The US Forest Service is preparing to issue a formal record of decision that would authorize South32 Ltd.'s roughly $2 billion zinc and manganese mining project in Arizona, according to a statement from the agency. The decision is expected on Tuesday, following an expedited permitting process granted under the Trump administration.
The federal move accelerates review of the project after it was designated for swift consideration by the Federal Permitting Improvement Steering Council. The Agriculture Department had previously identified the initiative as a critical minerals project and said it contains one of the largest undeveloped zinc deposits globally, together with other minerals important to steel production and the manufacture of large-capacity batteries.
Company filings indicate the mine is located in the Patagonia Mountains, approximately 80 kilometers southeast of Tucson, Arizona. South32 has stated that the operation is planned to reach full production by 2029.
The expedited approval path aligns with policy aims set out by President Donald Trump for a second term - namely, strengthening domestic supply chains and reducing reliance on foreign sources of critical minerals, particularly those tied to China. Federal officials framed the fast-track process as part of those broader strategic goals.
Context and implications
- The record of decision from the US Forest Service would represent a significant regulatory milestone that clears the way for development activities tied to the project.
- The project’s mineral endowment, as described by the Agriculture Department, targets inputs used in both heavy industry - such as steelmaking - and in energy storage applications, via large-capacity batteries.
- South32’s timeline projects full production in 2029, making the permitting outcome and subsequent construction schedule central to realizing that target.
What remains uncertain
- Although a record of decision is due, the authorization is not yet final until the US Forest Service issues the decision.
- South32’s target to reach full production by 2029 depends on post-approval execution, including construction and development timelines the company has outlined.
As the regulatory step approaches, market and industrial stakeholders will be watching how fast-track permitting affects the timetable for bringing a major undeveloped zinc deposit and associated minerals into production in the United States.