The Minerals Division is charged with the responsibility for protecting the environment of this State, protecting the health and safety of miners and protecting the life, health, and property of Oklahoma’s citizens who are affected by mining and related activities. The Minerals Division has three (3) separate programs that are administered. They are, the Non-Coal Mining Program , Coal Combustion By-products (“CCB”), and Non-mining Blasting. These programs work simultaneously and in tandem to accomplish the Minerals Division’s goals through:

A. Issuing mining permits and revisions.
B. Conducting annual permit reviews.
C. Issuing bond releases.
D. Issuing Non-Mining Blasting permits or permit exemptions for the purchase of explosives within Oklahoma.
E. Conducting health and safety and environmental inspections on all Non-Coal surface and underground mines and CCB disposal mines.
F. Conducting reclamation inspections on all Non-Coal surface and underground mines and CCB disposal mines.
G. Conducting complaint investigations.
H. Conducting public conferences on projected mine permits or permit revisions.
I. Conducting blasting inspections on mine sites.
J. Conducting accident or fatality investigations.
K. Conducting Non-Mining blasting inspections.

Oklahoma’s Minerals

The extraction of minerals from the earth or mining of such minerals occurs in every county of this State. Minerals mined in Oklahoma include limestone, dimensional stone, sand and gravel, gypsum, clay and shale, granite, volcanic ash, tripoli, salt bentonite, iron, and chat. (See ODM Annual Report)

Non-Coal Mining Program

Issuance of Mining Permits and Revisions

Before commencement of mining operations, the Department must issue a mining permit. Such permit is only issued upon the mine operator’s submission of an acceptable application and the posting of adequate bond to cover reclamation processes. The mining operator’s permit application must include legal and financial compliance information, safeguards for environmental resources and an operation and reclamation plan.

In calendar year 2007, the Minerals Division conducted 463 annual permit reviews; in 2006, 457 were conducted; and in 2005, 441 were conducted. Also, the number of permit applications and permit revisions has increased, with 190 applications being submitted in 2007 and 161 in 2006. Legislation passed in 2004 allowing for permit transfers has also resulted in the Minerals reviewing numerous transfer applications. (Please refer to the chart below for recent issuance history.)

Since 1982, the minimum reclamation bond which must be posted with the Department is $2,000.00 The amount of reclamation bond necessary for a mining permit is generally determined by the type of material being mined and the number of acres involved in the mining.

Non-Coal Mining Reclamation Bond Releases

A permittee may apply for a bond release whenever it has completed the initial grading of a site. This is known as a Phase I release. The permittee may apply for a Phase II release upon completion of revegetation of the site. The law requires that reclamation must be started within one (1) year of mining cessation. The Department recommends and encourages simultaneous reclamation. Once an operator submits a bond release application, complete with landowner notification letters, notices to adjacent landowners and to affected public agencies, the Department also sends notification letters to specified individuals, businesses, and agencies regarding the schedule of the mine inspector’s visit to the mine site. All those so notified are invited to join the inspection. Upon inspection, the inspector submits his or her recommendations to the Department, including photographs and narratives. The Department’s final decision is sent to the mining permittee within 90 days of the bond release request.

Should a permittee desire to replace its existing reclamation bond with another type of bond, the Department may also approve a request for bond replacement. During the last three (3) calendar years, the total number of bond releases and bond replacements approved by the Department were 67 in 2007; 74 in 2006; and 93 in 2005.

The total dollar amount of bonds released during the last three (3) calendar years is shown in the chart below.

Public Participation in Non-Coal and CCB Permitting

Part of the permitting process allows for public notification and participation in the process. When a company publishes a notice of intent to mine, the public is informed of where interested persons may review a copy of the subject application. If a person, business or public entity wishes to file a protest against the pending permit or revision, a written objection may be mailed or faxed to the Department. The Department holds an informal conference in the county where the mine is to be located. At these informal conferences, protestants may voice their concerns and the mining company may answer any question regarding the proposed operation. After the conference, the Department representative holding the conference sends his or her results to the Department as well as the conference participants for comment. As long as the company is in compliance with the law, the permit is issued. However, in most cases, the company will alter its proposed mine plan to properly address the issues raised by the protestant. Should the protestants disagree with the result of the Conference Officer, they may request formal administrative review. These reviews or hearings are held in Oklahoma City by an administrative law judge (“ALJ”). The ALJ submits proposed finding to the Department’s Director for final decision.

During the last three (3) years, 16 permits received protests. Six (6) informal conferences were held on these protests and zero (0) formal hearings were requested. Of the 16 permits protested, the Department has since issued 7 permits.

Mining Inspections: Health & Safety and Environmental

The current mining industry would not have achieved its sound safety standards but for the Department’s field inspectors who monitor each producing site for health and safety of employees at the mine. Mining law mandates that each active operation be inspected at least twelve (12) times year. Departmental procedure requires that the blasting records of all operations be reviewed six (6) times each year. With over 700 mine sites (permits and exemptions) throughout Oklahoma, the Minerals Division’s field inspectors have a substantial work load.

Broken down into programs, the following inspections were conducted during the three-year time frame shown.

The Coal Health & Safety Inspections are conducted by Coal inspectors. The Department’s inspectors conducts all heath and safety inspections of all mine sites within Oklahoma. This is in addition to the permitting and environmental inspections conducted on mine sites.

Accident and Fatality Investigations

One of the most distressing responsibilities of the Minerals in the investigation of accidents and fatalities on mine sites. Our inspectors investigate all reported, non-fatal accidents and all reported fatalities occurring at mining operations throughout Oklahoma.

With more stringent laws regarding mine health and safety and a more safety-conscious industry, the number of fatalities has greatly decreased during the last decade. Any fatality is a tragedy, however. The lessons learned by the company mine employees are of great value. Once the accident or fatality investigations have been conducted, a report is filed as to any preventative measures which could have been taken to avoid the unfortunate death or accident. In addition, fliers sent from the Department, (SAFETY GRAMS), concerning the unsafe practices and updated training at the Oklahoma Miner Training Institute (“OMTI”) help make the industry aware of prevention of similar accidents at various locations.

In 2000, two (2) mining fatalities occurred within our State. One was due to failure to secure equipment during maintenance and the other was due to failure to wear protective flotation devices during barge maintenance. In 2001, Department personnel investigated two (2) fatalities, which the Department subsequently determined were outside of our jurisdiction. In 2002, one (1) fatality of a non-miner occurred on a mine site during non-production hours. Here, the company had unwisely given neighboring citizens permission to enter onto the mine sites. Thankfully, the industry reported no fatalities to the Department during 2003. In 2004, two fatalities occurred both as a result of unsafe machinery maintenance. In the first instance, the operator was installing a drill bit while the machine was in motion; in the second, the operator was attempting to re-install a pin on a skid-steer loader in violation of safety standards. In 2005, there was one (1) fatality at an underground coal mine due to an unsupported roof. In 2007 there was one (1) fatality at a surface coal mine. The investigation found inadequate barms and illumination on site. Reports for each of the above fatalities are available from the Department upon request.

Revenue Collected

The Non-Coal production fee rate is set by statute at .0075 cents per ton of material produced. This rate has not been increased since 1987. Non-Coal production reached a new high in 2007 with 83,443,637 tons reported.

The Non-Coal and CCB mining permit fee is $175.00 per year and has not been increased for over the past two decades.

At this time, there is no charge for mining permit revision which entails a company name change, a change in the reclamation plan or an increase in the amount of bonded or permitted acreage included in a permit. In addition, there is no fee for the Department processing an Affidavit of Permit Exemption for mining.

Further, no permittee incurs any fines associated with violations issued by the Minerals Division relating to health and safety or permitted conditions. Therefore, the 841 violations issued in 2007 generated no fines payable to the Department.