The Minnesota Gov. Tim Walz administration has canceled a Twin Metals Minnesota mineral lease.
“The Minnesota Department of Natural Resources has notified Franconia Minerals (US) LLC., a wholly owned subsidiary of Twin Metals Minnesota, that DNR is exercising its authority to cancel one state mineral lease held by the company,” the DNR said in a statement. “Termination of the lease becomes effective on November 10, 2026. The decision follows nearly a year of review and is based on a determination that the company has not met the performance and production requirements of the lease. The canceled lease is not located within the area that Twin Metals has previously sought to mine.”
Twin Metals Minnesota said it is disappointed in the action.
“Twin Metals Minnesota is disappointed by the Minnesota Department of Natural Resources’ decision to cancel one of our long-held state mineral leases,” Kathy Graul, Twin Metals Minnesota Public Affairs and Communications director said. “We have invested considerable resources into exploring the minerals associated with this site. The canceled lease is also located on School Trust Lands, which are established in the Minnesota Constitution to fund every K-12 school district in the state and are intended to maximize revenue generation over the long term. If developed in the future, this lease would contribute significant revenue for the fund. Twin Metals has invested more than 16 years in extensive exploration, geological, environmental, hydrological and engineering work, doing so in strict accordance with all applicable state and federal regulations. We remain committed to advancing a sustainable underground mining project that will bring vital economic opportunities to northeastern Minnesota.”
The action drew immediate ire from members of the Iron Range political delegation.
“Here we are again, another day and another anti-mining action by this administration,” Sen. Rob Farnsworth, R-Hibbing said. “I can't say that I am surprised, but I'm extremely disappointed. The governor had seven-and-a-half years to do this and he waited until the end of a very disappointing governorship to take this action. The people of northern Minnesota deserve to know whether the next governor will reinstate these leases and I hope people will start asking the two major candidates these tough questions.”
In a visit to the Iron Range last week, Lisa Demuth, Republican candidate for Minnesota governor, said she would on her first day in office rescind an Aug. 18 Walz executive order that ordered state agencies among other items, to not undertake any environmental review or permitting work associated with mineral mining within the Rainy River Headwaters Watershed.
That order would affect the proposed Twin Metals Minnesota nonferrous mining project between Babbitt and Ely.
Rep. Roger Skraba, R-Ely, said the canceled mineral lease would officially be terminated within a 60-day period.
That would occur right around the time of the general election, Skraba said.
“It's unfortunate they are playing politics with a multi-million-dollar business on the Iron Range,” Skraba said. “No one else would be treated like this in Minnesota. It's a sad day in Minnesota.”
With the general election ahead, Skraba said elections have consequences and people need to speak with their vote.
Skraba said he understands there are citizens that have opinions on both sides nonferrous mining.
“But those of us who are close to the middle, let's try to find a solution to this,” Skraba said. “This isn't right. This isn't the way to do business.”
Rep. Cal Warwas, R-Clinton Township called it a “trash move,” by Walz.
“This is part of his goal,” Warwas said. “There's a mechanism that would allow it in the 36th year of a 40-year lease. It's absolutely insane. You're taking money out of the state and what would come from it because you have a grudge against mining.”
Warwas said whoever becomes the next governor should feel compelled to repeal the action and the Walz executive order that preceded the lease cancellation.
“This is not a way to run a state,” Warwas said. “Tim Walz is motivated to change the subject away from the fraud and to gain accolades while leaving office for something that people are fear mongering about.”
Rep. Spencer Igo, R-Wabana Township, said the action angers him, but is no surprise.
“This decision to revoke leases from Twin Metals Minnesota is not just putting a finger on the scale, it's throwing it out the window,” Igo said. “What is thrown out with it is the potential for jobs, stability, and prosperity for our communities, state and nation. This is a move that expresses no leadership or respect for the process and Minnesotans deserve better. We need to stand together and advocate for a return to logic and process so that projects like Twin Metals and others get a fair opportunity to invest in our great state.”
Environmental opposition to the Twin Metals Minnesota project and other proposed Minnesota nonferrous mining projects has for years been raised over concerns about potential harm to water bodies.
The opposition, coupled with permitting challenges, has left several potential nonferrous projects hanging for more than 20 years.
Northeastern Minnesota geology holds the Duluth Complex, one of the world's largest untapped reserves of critical minerals such as copper, nickel, cobalt, platinum, palladium and gold.
An email request for comment from Minnesota gubernatorial candidate U.S. Sen. Amy Klobuchar was not returned by publication time.
