Notice of Lodging of Consent Decree Pursuant to the Comprehensive Environmental Response, Compensation, and Liability Act

DEPARTMENT OF JUSTICE

Notice of Lodging of Consent Decree Pursuant to the Comprehensive

Environmental Response, Compensation, and Liability Act

In accordance with Department of Justice Policy, 28 CFR 50.7, 38 FR

19029, and 42 U.S.C. 9622(d), notice is hereby given that on June 25,

1998, a proposed Consent Decree was lodged with the United States

District Court for the District of Montana in United States et al. v.

Crown Butte Mines, Inc. et al., Civil Action No. CV-98-91-BLG-JDS. the

proposed Consent Decree: (1) settles claims asserted by the United

States and the State of Montana arising out of the release or threat of

release of hazardous substances attributable to mining related

activities on certain lands located within the New World Mining

District in western Montana (the ``Site''); (2) settles claims asserted

in a related action also pending in the same court styled Beartooth

Alliance et al. v. Crown Butte Mines, Inc et al., Cause No. CV 93-154-

BLG-JDS; and (3) satisfies and effectuates an agreement in principle

entered August 12, 1996, between the United States, the Settling

Defendants, and certain public interest groups relating to the

termination of efforts to open a proposed gold mine in the New World

Mining District (the ``August 12 Agreement'').

The defendants in the action brought by the United States and the

State are Crown Butte Mines, Inc. and Crown Butte Resources Ltd

(collectively referred to as ``Crown Butte''). The Complaint filed by

the United States and the State asserts claims on behalf of both

governments under the Comprehensive Environmental Response,

Compensation, and Liability Act, 42 U.S.C. 9601 et seq. (``CERCLA'')

and asserts claims on behalf of the State pursuant to the Montana

Comprehensive Environmental Cleanup and Responsibility Act, Title 75,

Chapter 10, part 7, M.C.A. (``CECRA''), to recover costs incurred in

connection with response actions taken or to be taken at the Site, for

recovery for injuries to natural resources, and to obtain injunctive

relief requiring the defendants to take further response and/or

restoration actions at the Site.

Simultaneously with the filing of the Complaint, the United States

and the State moved the Court to consolidate their action with the

Beartooth Alliance et al. action. In that action, Beartooth Alliance,

Greater Yellowstone Coalition, Northern Plains Resource Council,

Northwest Wyoming Resource Council, Sierra Club, Gallatin Wildlife

Association, Wyoming Wildlife Federation, Montana Wildlife Federation,

and Wyoming Outdoor Council, all not for profit corporations

(collectively referred to herein as ``GYC''), brought claims against

Crown Butte, Noranda Minerals Corp., Noranda Exploration, Inc., and

Noranda Inc. alleging that the defendants were discharging pollutants

into navigable waters of the United States from point sources in the

New World Mining District in violation of Section 301(a) of

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the Clean Water Act, 33 U.S.C. 1251-1387 (``CWA'').

The parties to the consolidated actions are also parties to, or are

interested in, the August 12 Agreement. The August 12, 1996 Agreement

involved, among other things, the purchase by the United States of

certain interests in properties in the New World Mining District on

which Crown Butte proposed to develop a gold mine (the ``District

Property''), the escrow of a portion of the purchase monies for use in

conducting response and/or restoration actions to address the effects

of releases or threats of release of hazardous substances in the New

World Mining District and the granting of a number of covenants by the

parties to the Agreement. Through Pub. L. 105-83, 111 Stat. 1614,

enacted November 14, 1998, Congress authorized the implementation of

the Agreement and appropriated up to $65,000,000 for this purpose. With

the lodging of the proposed Consent Decree the requirements of Pub. L.

105-83 have been satisfied. Entry of the proposed Consent Decree and

the implementation of its provisions will satisfy the objectives and

obligations contained in the August 12 Agreement.

Pursuant to the Consent Decree, Crown Butte will transfer, cause to

be transferred, or relinquish to the United States those property

interests that comprise the District Property. In return, the United

States will pay Crown Butte $65,000,000. Immediately upon receipt of

the payment from the United States, Crown Butte will pay into escrow

$22,500,000 to be used by the United States, after consultation with

the State, to implement response and/or restoration actions to address:

(1) Releases or threats of release of hazardous substances,

pollutants, or contaminants at the Site; (2) injuries to natural

resources resulting from such releases; and (3) other matters affecting

water quality or natural resources in certain stream systems on or

adjacent to the Site. In addition, the Consent Decree provides that any

funds remaining after completion of actions noted in the preceding

sentence will be used by the United States for other purposes and/or

restoration actions within the New World Mining District. The proposed

Consent Decree also contains undertakings by Crown Butte and certain

named related companies to forebear in perpetuity any mining related

activities in the New World Mining District.

The proposed Consent Decree provides for covenants not to sue from

the United States, the State, and GYC in favor of Crown Butte and

certain names related companies for claims pursuant to Sections 106 and

107(a) of CERCLA, Section 7003 of the Resource Conservation and

Recovery Act, 42 U.S.C. 6901 3et seq., The Clean Water Act, 33 U.S.C.

1251 et seq., and/or the CECRA, Title 75, chapter 10, Part 7, and the

Montana Water Quality Act, Title 75, Chapter 5 MCA. In addition, the

proposed Consent Decree provides for covenants from Crown Butte, GYC

and the State in favor of the United States relating to conditions in

the New World Mining District and the response and/or restoration

actions to be performed there.

The Department of Justice will receive written comments relating to

the proposed Consent Decree for thirty (30) days from the date of

publication of this notice. Comments should be addressed to the

Assistant Attorney General of the Environment and Natural Resources

Division, U.S. Department of Justice, Washington, DC 20530, and should

refer to United States et al. v. Crown Butte Mines, Inc. et al., D.J.

Ref. No. 90-11-3-1674.

The proposed Consent Decree and exhibits may be examined at the

following locations: Gallatin National Forest, Supervisor's Office, 10

East Babcock, Ave., Federal Bldg. Boseman, Montana; Gardiner Ranger

District, U.S. Highway 89 South, Gardiner, Montana; and, the Office of

the United States Attorney, District of Montana, 301 South Park Ave.,

Helena, Montana, and 2929 Third Avenue, North, Suite 400, Billings,

Montana.

A copy of the Consent Decree and exhibits (if requested) may be

obtained in person or by mail from the Consent Decree Library, 1120 G

Street, NW., 4th Floor, Washington, DC 20005, (202) 624-0892. In

requesting copies, please enclose a check in the amount of $20.50

(without exhibits) or $31.00 (with exhibits) (25 cents per page

reproduction cost) payable to the ``Consent Decree Library.''

Bruce Gelber,

Deputy Chief, Environmental Enforcement Section, Environment and

Natural Resources Division.

[FR Doc. 98-17402 Filed 6-29-98; 8:45 am]

BILLING CODE 4410-15-M