EPA recommends against reissuing permit for PolyMet mine

ST. PAUL, Minn. (AP) — Federal regulators recommended Tuesday that the Army Corps of Engineers decline to reissue a key permit for the proposed PolyMet copper-nickel mine, saying the project could raise levels of mercury and other pollutants downstream from the site in northeastern Minnesota.

It's just a recommendation, but it could deal a severe blow to the $1 billion mine if the Army Corps accepts the advice from the U.S. Environmental Protection Agency, Minnesota Public Radio reported.

The EPA announced its position at the start of a three-day hearing in Carlton, where the Corps is taking testimony on whether PolyMet would violate the water quality standards of the Fond du Lac Band of Lake Superior Chippewa, whose reservation lies down the St. Louis River from the site.

The Corps is considering whether to reinstate the project's wetlands permit, one of several key approvals PolyMet needs to begin construction. It's one of three critical PolyMet permits that have been suspended as the project remains tied up in court and regulatory proceedings.

The EPA determined that there were no conditions that the Corps could place on the wetlands permit that would ensure compliance with the tribe's water quality regulations, which are stricter than the state's. Tribal members rely on fish from the St. Louis River, which flows through the reservation, but consumption advisories limit the number of fish that can be safely eaten from it.

Environmental groups that oppose PolyMet said they expect the EPA’s position to carry significant weight with the Corps when it decides whether to reinstate or revoke the wetlands permit, and that if the Corps doesn't follow the EPA’s advice, a court would likely reject the Corps' decision.

But PolyMet said in a statement that the agency...