Grouse Creek Gold and Silver Mine, Idaho

The Grouse Creek gold and silver mine is located on Forest Service land 3 miles up Jordan Creek on the Yankee Fork of the Salmon River near Stanley, Idaho.

"State of the Art" Mine

The Grouse Creek mine, located adjacent to the largest wilderness complex in the lower 48 states, was heralded as a "state of the art" mine when it began operations in 1994.  Just three years later, the mine shut its doors -- producing no profits and leaving behind severe environmental problems.

Hecla Mining Company (Hecla), owner and operator of the Grouse Creek Mine, began construction in 1993.   Before it produced its first ounce of gold, construction activities caused a major landslide, burying 100 yards of Jordan Creek -- a stream federally designated as critical salmon habitat.

Over 250 Water Quality Violations

Less than a year later, it was discovered that the tailings impoundment was leaking. By the time Grouse Creek temporarily suspended operations in 1997 due to low metal prices, Hecla had over 250 water quality violations for toxic pollutants.  As a result of on-going violations, the U.S. Forest Service posted signs along Jordan Creek which warned, "Caution, do not drink this water."

In July 1999, fearing a catastrophic release of cyanide and heavy metals from the Grouse Creek tailings impoundment, the Forest Service initiated a "time critical removal action" under the federal CERCLA program. 

$53 Million in Clean-up for Taxpayers

In June 2001, the Forest Service recalculated reclamation costs for the Grouse Creek Mine at $60 million.  Hecla's reclamation bond covers just $7 million, leaving a taxpayer liability of approximately $53 million.  Water quality problems continue at the mine today, as the federal government struggles with reclamation of the mine site.