South32 updates Santa Cruz supervisors on Hermosa timeline, permits and community protections

South32 President Pat Reisner told the Santa Cruz County Board of Supervisors on May 29, 2025, that construction work at the Hermosa site is advancing, that a Department of Defense–funded underground decline will be complete by year’s end and that a broader record of decision under the Forest Service environmental review is on the agency’s current schedule.

The update matters because Hermosa is a multi‑decade mining development that South32 says will bring long‑term employment and require changes to regional infrastructure; neighbors and public officials have raised questions about air, water, traffic, housing and tourism impacts. The company described where decisions already have been made, what remains under review, and what it says would happen if federal approvals for some federal‑land infrastructure are not granted.

Reisner said the work now under way includes sinking two shafts and advancing a decline for underground access. “We should complete that by the end of the year, and have access underground,” he said. He told supervisors the decline work to assess a manganese deposit is co‑funded by a U.S. Department of Defense grant and that the company has not yet made a decision to mine manganese: “We haven't made the decision to mine manganese. This is just to do underground exploration and is co funded by the federal government.”

Company timelines and workforce figures provided at the meeting:

- South32 reported roughly 600–700 people on site for construction work now, with an expected ramp to about 1,000 by July as surface construction begins; the company said it anticipates 800–900 long‑term direct jobs once the operation is at steady state. - One shaft is roughly 800 feet down now and is planned to reach about 2,700 feet. - The firm is producing small volumes of battery‑grade manganese for customer testing and expects additional, higher‑volume testing later this year. - A local workforce training program developed with Pima Community College and the Santa Cruz Center is scheduled to begin in September; the first course will be an electrical certification program aimed at preparing local residents for remote and technology‑driven underground positions.

Reisner described the Forest Service draft environmental impact statement (EIS) process and urged public input during the comment period. He said the draft identifies a preferred alternative that would authorize several pieces of ancillary infrastructure on federal land — a high‑voltage transmission line, a primary access road that would divert mine traffic away from Harshaw Road, a second tailings storage area and water‑management facilities — and that publication of a final EIS is scheduled for February with a record of decision (ROD) currently targeted for July of next year.

Reisner emphasized that the Forest Service analysis covers only those federal‑land components and that the underlying mine construction on private land is already permitted: “If none of these options were approved … The mine would still still be developed and operated from private land.” He said that, in some cases, the company’s proposed federal‑land infrastructure would reduce environmental impacts compared with the no‑action alternative — for example, enabling grid power instead of trucking natural gas to the site, which he said would lower greenhouse‑gas emissions and reduce truck traffic.

On state permits and litigation, Reisner provided an update: two water permits (an aquifer protection permit and a surface‑water discharge permit) have been issued and have faced appeals or legal challenges. He reported the aquifer protection permit has been upheld through multiple appeals, including review in the Arizona Court of Appeals, and that the surface discharge appeals were withdrawn after ADEQ initiated a separate water‑quality analysis for Harshaw Creek. He also said the U.S. Environmental Protection Agency issued a permit for underground tailings backfill last month and that the state air‑permit administrative appeal was withdrawn; the EPA has requested review of the air permit and that review is still pending.

Reisner addressed community requests for data and monitoring. “There is no air and water quality data that has not been released or is not on the public record at this point,” he said, adding that modeling and monitoring submitted for federal and state reviews were published with the draft EIS and state permitting records. He said South32 will help residents find those documents and is deploying additional air monitors in Patagonia and along transportation routes to collect baseline data focused on metals. The company also described a voluntary well‑monitoring program that has run for three years and said it is discussing moving that program into a formal well‑management program.

Reisner said the company is working on a Community Protection and Benefits Agreement (CPBA) with signatories and that the CPBA will cover topics including emergency services, nature‑based economic development (tourism), education and monitoring. He said assessments underway — including a University of Arizona capacity assessment and an independent health baseline — will inform the CPBA and help identify gaps for social investment.

On workforce and local economic commitments, Reisner said South32 has required some equipment vendors to establish maintenance and warehousing facilities in Santa Cruz County and to support local apprenticeship programs. He said the company has placed a large order for battery‑electric underground mining equipment and cited a target that at least 80% of the long‑term workforce be local residents; he added the intended training model should allow people with no prior mining experience to be trained in about 18 months to operate remotely controlled equipment from a surface facility called Centro.

Supervisors asked follow‑up questions about automation, local hiring and construction timing. Reisner said the use of remote‑operated equipment will change required skill sets but is not intended to reduce total jobs at steady state; the company expects the first on‑site work for Centro road and facility approvals to begin in the July time frame subject to city approvals.

What remains open: the federal EIS process (public comment deadline June 23), EPA review of the state air permit, and earlier state permit litigation outcomes that South32 says have largely been resolved in the company’s favor. Reisner said the company will continue quarterly updates to the board and has committed to help community members access monitoring and modeling materials already on the public record.

The Forest Service draft EIS public comment period and the coordinated CPBA topic groups remain the next key public milestones listed by South32 and county signatories.