Calista Corporation’s Statement on the Pipeline Right-of-Way Lease Granted to the Donlin Gold Project on January 21, 2020:
“Calista Corporation appreciates the diligent efforts by Donlin Gold and State of Alaska regulators to select the best available pipeline route across state lands to our lands in the Calista Region.
We support the natural gas pipeline as an environmentally sound method to provide power to Donlin Gold. Our Shareholders were concerned about increased barge traffic on the Kuskokwim River if the mine relied on diesel fuel. Donlin listened to our Shareholders’ input and revised the project.
Calista supports Donlin Gold because it is the brightest economic prospect in our Region in terms of jobs and revenue for our Shareholders and communities. Additionally, if the pipeline is built, the excess pipeline capacity and fiber optic expansion in the right-of-way enables us to consider and identify opportunities to pursue electrical power interties and increase Internet services for communities in the region.”
Calista’s Priorities for the Donlin Gold Project
“Calista Corporation’s priority is supporting Shareholders by protecting our land, our traditional way of life and promoting economic opportunities that benefit our people. We support the Donlin Gold Project because strict environmental oversight, good-paying jobs and affordable energy brought by the project will allow us to grow healthy communities.”Robert Beans, Calista Corp. Board Chair
- Our top priority for the Donlin Gold Project is protecting fish and our subsistence way of life.
- Modern Alaska mines operating today have a strong track record for protecting and enhancing local fisheries.
Helping our Communities
- Donlin Gold provides an opportunity to strengthen our communities—reducing unemployment and providing cash income to support the subsistence lifestyle (fuel, equipment).
- The project will require robust infrastructure improvements (gas pipeline, roads, ports) that provide an opportunity to reduce the costs of energy, goods, and services in our communities.
- Calista owns the mineral resource. We are an active participant in making decisions for mine operations, reclamation, and closure.
- Input and participation from Shareholders—including their traditional knowledge—will be a key component of project oversight and monitoring.
Hiring Preference for Shareholders and Their Families
- Donlin Gold operates under a lease agreement with Calista that requires a hiring preference for Shareholders and their families. The project has achieved a 90% local hire rate.
- Donlin Gold will provide many opportunities for living-wage jobs in the YK region during its estimated 5 years of construction and 27 years of operation.
Impact on Shareholder Distributions
- In addition to providing funds for scholarships and vocational training in the YK Delta, Donlin Gold is paying advance royalties that benefit Shareholders.
- Mineral royalties from Calista lands will be shared with all village corporations in our region and Alaska Native corporations statewide.
- Example: One of every three dollars in revenue shared among Alaska Native corporations between 1982 and 2015 came from mining (Source: McDowell Group, 2018, Page 6, Resource Development Sources of 7(i) Revenue).
Please contact the Calista Land & Natural Resources Department if you have questions or would like to request a meeting.