Nederland metal mine could reopen

State regulators to decide if mine with a history of polluting waters can resume operations

By Tyler Hickman - Mar. 19, 2025
Barker_Reservoir_Colorado-scaled
Barker Reservoir in Nederland sits downstream from Coon Track Creek where Cross Mine is located. Courtesy: Wikimedia Commons

A Nederland mine could restart operations after mining activities were paused in 2022 due to heavy metals leaking into water sources and a failure to report water quality data.

The Colorado Division of Reclamation, Mining, and Safety (DRMS) is accepting public comments through April 2 as they determine whether Cross Mine — a gold and silver mine located 4.5 miles west of Nederland along Coon Track Creek, whose waters eventually flow into Barker Reservoir — meets regulations as a Designated Mining Operation (DMO).

The mine, acquired by Grand Island Resources (GIR) in 2017, was issued a cease-and-desist order from DRMS in 2022 in response to excessive traces of lead and copper found in the watershed from December 2020 to August 2021, and a failure to submit pollutant reports in March and April 2021.

After the violations were reported, stage regulators determined that Cross Mine met the definition of a Designated Mining Operation, requiring stricter regulations for the operation due to potential exposure of toxic or acid materials during mining operations.

“The nature of the materials… that they are handling and moving has led to water quality impairment, which is why they’re treating water,” said Michael Cunningham, Director of DRMS. “By virtue of that, we made our determination that they were a DMO.”

After completing corrective measures, the DRMS Mined Land Reclamation Board found GIR to be in compliance. The order was lifted January 18, 2023. Now, GIR is applying to restart mining operations, and a decision on the application is currently scheduled for July 6.

The new application proposes a permit area of 205 acres, an increase of nearly 195 acres from GIR’s initial permit for 10 acres. While DRMS is still in the early stages of reviewing the application, Cunningham said “it is not, I guess, apparent from an initial read of the application, exactly what all that additional area would be utilized for in a future mining operation.”

According to the application, identified reserves could support the annual extraction rate of 70,000 tons of material and could continue for the next 50 years.

For residents, worries are mounting about GIR’s plans to resume mining, said Emily Wolf, who owns property off Caribou Road three miles downstream from the mine.

“There's a group of neighbors who are seriously concerned about this,” Wolf said. “It’s the creek that I own property on, where my son used to play. People along there have animals who drink out of the creek, and most people along there have wells.”

“Water quality is a concern. This company now has a significant history of water pollution in the past.”

Since exceedances were first found in wastewater discharge from the mine in 2021, GIR installed an updated water treatment system that meets state and federal regulations.

Residents can submit public comments via mail sent to DRMS at 1313 Sherman St. Room 215 Denver, CO 80203 or at dnrlaserfiche.state.co.us/Forms/DRMS_Comment.

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