The Uncosted West · Episode 2 of 15 · 48 min
Why Mining Companies Still Pay $0 in Royalties for Public Minerals (The 1872 Mining Law)
Coal, oil, and gas pay the public a royalty to leave federal land, but gold, copper, and lithium pay nothing under an 1872 law still on the books. The episode explains how the General Mining Act works, with cheap claims, a zero federal royalty, and historic patenting, and why 150 years of reform have failed, while giving the critical-minerals case its due.
Who's who
- Ulysses S. Grant+8 more episodesPresident who signed the General Mining Act of 1872
- Ben Ray Luján+3 more episodesSenator who sponsored the 2025 mining reform bill
- Raúl Grijalva+3 more episodesCongressman and reform champion who introduced the House bill, died March 2025
- Martin Heinrich+2 more episodesSenator among the bill's co-sponsors
- Michael BennetSenator among the bill's co-sponsors
Where it happens
- NevadaSite of the 1994 patent of 1,800 acres for about $9,000
- Rosemont mine site, ArizonaProposed copper mine in a 2022 Ninth Circuit ruling
Timeline
- May 10, 1872Grant signs the General Mining Act
- 1920Mineral Leasing Act moves coal, oil, and gas under royalty leasing
- 1994Congress imposes patent moratorium, renewed every year since
- 2022Ninth Circuit limits using claims to dump mine waste in the Rosemont case
- 2024BLM raises annual claim maintenance fee from $165 to $200
- March 2025Reform bills introduced in House and Senate
Still debated
Reformers disagree on whether the right royalty is a low net rate or a gross rate of 5 to 8 percent, and industry and critics dispute whether reform would move mining overseas. Forgone revenue is hard to estimate because no comprehensive production reporting exists.
← PreviousHow America Gave Away Its Public Land and Kept the BillNext →Why Grazing on Public Land Costs Just $1.35 a Cow (The Taylor Grazing Act)
Connected episodes in other series
A Century and a Half of Almost: Why the Law Never ChangesFree and Open: The 1872 Mining Law · Episode 9Also features Ben Ray Luján, Martin Heinrich
Why the Sioux Refuse Over a Billion DollarsAs Long as the Grass Grows · Episode 9Also features Ulysses S. Grant
The Eastern Ghost: The Lesson the West IgnoredRivers Reborn · Episode 8Also features Ulysses S. Grant
The Forecast and the FishStorm Warning: America's Earth Science · Episode 1Also features Ulysses S. Grant