Call for Expressions of Competitive Interest; Possible Sale of Federal Minerals, Esmeralda County, NV, 62665-62666 [2014-24922]

Agencies

• DEPARTMENT OF THE INTERIOR
• Bureau of Land Management

[Federal Register Volume 79, Number 202 (Monday, October 20, 2014)]
[Notices]
[Pages 62665-62666]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-24922]


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DEPARTMENT OF THE INTERIOR

Bureau of Land Management

[LLNV920000 L13300000 EP0000; MO 4500067809]


Call for Expressions of Competitive Interest; Possible Sale of 
Federal Minerals, Esmeralda County, NV

AGENCY: Bureau of Land Management, Interior.

ACTION: Notice.

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SUMMARY: The Bureau of Land Management (BLM) Nevada State Office is 
seeking expressions of interest for a possible competitive mineral 
materials sale of three stockpiles containing potassium and sodium 
salts, constructed by the layering of salt mechanically scraped from 
the evaporative ponds belonging to Rockwood Lithium (Rockwood), 
formerly doing business as Chemetall Foote Corporation/Cyprus Foote 
Mineral Company. The stockpiles are a byproduct of lithium carbonate 
processing of Rockwood's lithium brine operations and are stockpiled on 
approximately 340 acres of private land owned by Rockwood Lithium in 
Clayton Valley, Esmeralda County, Nevada at Silver Peak.

DATES: Parties interested in participating in a competitive sale for 
the materials described in this notice should notify BLM at the address 
below by December 19, 2014.

ADDRESSES: Submissions expressing interest in participating in a 
competitive sale for the Federal Mineral Salt Stockpiles should be sent 
to the Bureau of Land Management, Nevada State Office, Attention: Gary 
Johnson, Deputy State Director, Minerals Management, 1340 Financial 
Blvd., Reno, NV 89502.

FOR FURTHER INFORMATION CONTACT:  T. Scott Murrellwright, by telephone 
at 775-881-6581; or by email at tmurrell@blm.gov. Persons who use a 
telecommunications device for the deaf (TDD) may call the Federal 
Information Relay Service (FIRS) at 1-775-861-6511 to contact the above 
individual during normal business hours. The FIRS is available 24 hours 
a day, 7 days a week, to leave a message or question with the above 
individual. You will receive a reply during normal business hours.

SUPPLEMENTARY INFORMATION: The 3 stockpiles are located approximately 
50 miles southwest of Tonopah, Nevada. The nearest major roads 
accessing the Rockwood operations area are U.S. 95 S. and Silver Peak 
Road. The stockpiles are located on the north and south side of Silver 
Peak Road approximately 2 miles west of Silver Peak. The subject 
stockpiles are located on Rockwood private lands and a portion of BLM 
lands described approximately as:

Mount Diablo Meridian

45 Pond Pile Located on Rockwood Private Lands & BLM Land

T. 2 S., R. 39 E.,
    Sec. 13, NE\1/4\SE\1/4\, SE\1/4\SE\1/4\.
    Sec. 13, NE\1/4\SW\1/4\ (BLM land)

10 Pond Pile Located on Rockwood Private Lands

T. 2 S., R 40 E.,
    Sec. 18, lots 10, 11 and 12, SE\1/4\SW\1/4\;
    Sec. 19, lots 5 and 8, NE\1/4\NW\1/4\, SE\1/4\NW\1/4\.

R3 Pond Pile Located on Rockwood Private Lands

T. 2 S., R. 39 E.,
    Sec. 24, NE\1/4\NE\1/4\.
T. 2 S., R. 40 E.,
    Sec. 18, lot 12;
    Sec, 19, lots 5 and 6.

    The combined volume of the 3 stockpiles is approximately 
5,500,000 metric tons.

    Map Location Link: https://maps.google.com/maps?q=silver+peak+nevada&ie=UTF-8&hq=&hnear=0x80be998255daf4bb:0xff5564b360df52de,Silver+Peak,+NV+89047&gl=us&ei=DOqNU6q_HMyIogTC7YDgCA&sqi=2&ved=0CI8BEPIBMA4.
    Map Stockpiles Link: https://www.blm.gov/nv/st/en/prog/minerals/saleable_minerals.html.
    The material in these stockpiles is composed of semi-crystalline 
heterogeneous salt, composed of approximately 70 percent Sodium 
Chloride (NaCl) and 19 percent Potassium Chloride (KCl). The NaCl and 
KCl may be marketable, but in its present form, the salt(s) cannot be 
used. The salts must first be processed to a higher percentage of 
sodium and/or potassium in order to be marketable.
    The stockpiles also contain lithium (Li) at approximately \1/2\ 
percent of the total volume. The lithium in the stockpiles is the 
property of Rockwood (see 1991 Settlement Agreement below).
    Rockwood or its predecessor-in-interest has been operating a 
lithium brine solution mining operation on lands in Clayton Valley, 
Esmeralda County, Nevada near the town of Silver Peak since the 1970's, 
first on Federal public domain lands, and then on private lands after 
the Federal lands were patented to Rockwood's predecessor, Chemetall 
Foote Corporation, subject to a reservation of Mineral Leasing Act 
minerals within the patented lands. The lithium solution mine pumps 
lithium-containing brine from ancient aquifers into large solar 
evaporative ponds for the purpose of precipitating and concentrating 
salts before they are processed into lithium carbonate for use in 
lithium ion batteries and other industrial applications. As part of 
this process, Rockwood has created stockpiles over the years when 
harvesting lithium that contain lithium, potassium and sodium salts. 
These salts are being stockpiled on Rockwood's patented land within the 
operational boundary of the solution mine.
    A 1991 Settlement Agreement to resolve litigation between the 
United States and Rockwood's predecessor allows for shared rights to 
the minerals in these stockpiles. The settlement agreement provides 
that Rockwood maintains first rights to any remaining lithium in the 
salt stockpiles. It further provides that the United States maintains 
the rights to the potassium and sodium in the stockpiles, but may not 
dispose of those minerals until the stockpiles no longer contain 
lithium in economic quantities. A copy of the June 1991 Settlement 
Agreement between the Cyprus Foote Mineral Company and the United 
States of America/Department of Justice can be accessed at, https://www.blm.gov/nv/st/en/prog/minerals/saleable_minerals.html.
    The settlement agreement provides that special terms would need to 
be negotiated with Rockwood before any third party could gain access to 
the stockpiles. Any negotiated access agreement would need to ensure 
that the activities of such third party would

[[Page 62666]]

have no adverse effect on Rockwood's current or reasonably anticipated 
operations and would need to resolve the issue of Rockwood's ownership 
of any economic quantities of lithium remaining in the stockpiles. We 
encourage potentially interested parties to carefully review the terms 
of the settlement agreement before initiating a notice of interest to 
the BLM.
    If the BLM determines there is competitive interest in the 
stockpiles, and that a competitive sale is warranted, Rockwood would 
first need to waive a provision in the settlement agreement that 
currently prevents BLM from disposing of the potassium and sodium salts 
in the stockpiles so long as the stockpiles contain marketable lithium. 
Subsequently, the BLM and Rockwood would need to agree on stipulations 
to ensure that Rockwood's operations would not be adversely impacted by 
a third party sale. The BLM would include notice of these stipulations 
in any sale notice for these materials. In addition, these stipulations 
would be attached to any contract with a third party.
    Parties expressing interest in participating in a competitive sale 
of the stockpiles must be authorized to transact business in Nevada. 
Interested parties should submit a letter of interest to the addressee 
in the ADDRESSES section.
    The BLM will review submissions from interested parties in response 
to this notice seeking expressions of competitive interest and 
determine whether competitive interest exists in the Federal Mineral 
Salt Stockpiles described above. If the BLM determines sufficient 
competitive interest exists, and issues related to the settlement 
agreement are resolved, the BLM may use a competitive-bidding process, 
consistent with the regulations, to conduct the competitive sale.
    This notice is a request for expressions of interest only. Even if 
competitive interest is expressed, it is possible that no competitive 
sale will take place due to the need for a waiver and for negotiated 
stipulations, discussed above.
    If a competitive sale takes place, it will be conducted in 
accordance with the Materials Act of 1947 (30 U.S.C. 601 et seq.) and 
the regulations at 43 CFR part 3600, in accordance with the nature of 
the stockpiled materials, which were removed from the ground and 
stockpiled on the surface for future use.

    Authority: 43 CFR 3602.40.

Marci L. Todd,
Associate State Director.
[FR Doc. 2014-24922 Filed 10-17-14; 8:45 am]
BILLING CODE 4310-HC-P