New Mexico Sun

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State Engineer denies Copper Flat Mine's request for major groundwater transfer

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Rep. Angelica Rubio House District 35 | Sierra Club Rio Grande Chapter

The State Engineer of New Mexico has denied an application from Tulla Resources to transfer water rights needed to reopen the Copper Flat Mine near Hillsboro in southern New Mexico. The decision was issued last week and is based on concerns about water availability, public welfare, and compliance with interstate water agreements.

In her decision, the State Engineer cited a 2006 report from the Office of the State Engineer that said, “New Mexico’s water future will be determined by water demand and availability of our water resources, [and] climate change will likely have a significant impact on both.”

The denial follows findings that granting the application would impair existing surface and groundwater rights. The applicant also did not meet the burden of proof required to show that it could put the water rights to beneficial use within the ten-year permit period. Additionally, it was determined that the transfer would negatively affect New Mexico’s obligations under its compact with Texas.

Copper Flat Mine operated briefly in 1982 before closing and leaving behind contamination issues including polluted groundwater and a toxic pit lake. Since then, mining operations at this site have not resumed.

Tulla Resources Group, an Australian company, sought to transfer 2,400 acre-feet per year of groundwater rights for use by New Mexico Copper Corporation—a wholly owned subsidiary of Canadian-based Themac Resources Group—which is itself owned by Tulla Resources Group. These water rights were intended for building, operating, and reclaiming an open-pit copper mine at Copper Flat.

A coalition of protestants including Percha-Animas Watershed Association (PAWA), Hillsboro Pitchfork Ranch LLC, Gila Resources Information Project, Ladder Ranch of Turner Ranch Properties, and Sierra Club Rio Grande Chapter opposed the transfer. They argued it would reduce supplies relied upon by local communities for domestic needs, agriculture, business operations, livestock care, and hunting.

Testimony submitted by opponents warned that waterways such as the Rio Grande, Las Animas Creek, Percha Creek, and Caballo Reservoir—important for people as well as wildlife—would be harmed if mining resumed at Copper Flat. These riparian habitats support rare species like Arizona sycamores and provide nesting grounds for endangered birds such as the Southwestern Willow Flycatcher.

Charles de Saillan represented several groups in opposition to the proposal: “This proposed mining operation would have used a tremendous amount of water – 6,100 acre-feet (almost two billion gallons) of water per year for approximately 12 to 14 years.  Yet Hillsboro is an arid region.  And close by we have a residential community and local businesses; two working ranches; and a truly unique, biologically rich ecosystem along Las Animas Creek.  They all depend on water.  And a few miles downstream we have the Lower Rio Grande, which is subject to a water compact with Texas.  The State Engineer absolutely made the right decision in finding that this proposed water transfer would be detrimental to the public welfare of New Mexico.”

He added appreciation for how climate change was factored into deliberations: “We particularly appreciate that the Hearing Examiner and the State Engineer recognized the significance of climate change in the decision.  Climate change will mean higher temperatures, greater evaporation, less precipitation, and less snowpack to feed our streams and recharge our aquifers.  It will mean less water available to New Mexicans.”

Max Yeh from PAWA commented on his group’s involvement: “This is the second, and more important, of PAWA’s litigation attempts to protect the waters of our area. The members are jubilant over this win. I started getting calls and emails immediately after I sent out the news. In the first litigation we successfully reduced the mining company’s claimed water rights from over 7,000 AFY to a little over 1,000 AFY. Now with this denial...the State has agreed that mining low-grade copper at Copper Flat Mine is a misuse of water that threatens...our lives...flora...fauna...However PAWA has been working...long enough to know that...the task is not over with this win....the Hearing Officer’s Report is fabulously detailed..., but it is also very narrow....”

Allyson Siwik from Gila Resources Information Project stated: “We applaud the State Engineer’s decision to deny Tulla Resources’ water rights transfer application since it will impair existing surface and groundwater rights,” adding that “this decision is a tremendous win for water rights owners downstream ...and riparian ecosystems ...that would be irreparably harmed by ...mine operations....”

Dan Lorimier with Sierra Club Rio Grande Chapter said: “Water is key to the future in New Mexico.  The denial by Office of State Engineer ...helps New Mexicans prepare for more certain water availability....The Sierra Club Rio Grande Chapter has worked to protect New Mexicans from water insecurity...” He called it “a strong victory” both for residents’ access to reliable supplies as well as natural ecosystems.

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