State leaders delay decision on mineral leases

Minnesota officials Wednesday unexpectedly postponed prospecting for copper and other minerals on private lands near Ely, giving cabin owners and local residents six months to try to change state law allowing the exploration.

The state has the power to sell the leases that would permit drilling, road building and other activities because it controls the mineral rights to those properties. However, the StarTribune reports Gov. Mark Dayton said that with the state on the brink of a new era of mining it's critical to "get it right."

He added, "Those minerals are not going to go anywhere," A delay, will allow the state "to regain the public trust."

About 75 people attended the special meeting by the state's executive council, made up of Dayton and the state's other top elected officials. Property owners have been fighting the sale since April. They said they wanted the opportunity to go to the Legislature to change a century-old law that they say is skewed in favor of the mining companies.

Companies that explore for minerals on private property are required to negotiate with the landowner, and put the property back to its original condition. But if they cannot agree on access, the company can legally condemn the land.

After the council agreed to delay the sale, property owners said they were surprised and ecstatic that they had prevailed. It is the first time since the 1980s that the council decided not to accept the sale of mineral leases, which are auctioned off every year.

The law, established in the late 1800s, gives the state rights to valuable ore under some private property. It's part of a legal framework that has provided millions of dollars in royalties from taconite for the state's public schools, and promises many millions more if copper sulfide mining projects are approved.