Icy Cape Project
The Icy Cape Gold and Industrial Heavy Minerals Project
The Trust Land Office is currently conducting exploratory work on Alaska Mental Health Trust Authority land near Icy Cape, about 75 miles from Yakutat. The Icy Cape sands contain significant prospects of gold and industrial heavy minerals, such as garnet, rutile, zircon, magnetite, epidotes, and platinum group metals. Further exploration this summer will help determine the potential for development of this project.
Minerals extraction would generate revenue to fund Trust programs
In order to support vital services for beneficiaries, the Trust needs to continue to generate revenue from its land and resources. Those revenues fund Trust programs that serve Alaska’s most vulnerable populations including people with mental illnesses, developmental disabilities, Alzheimer’s disease and related dementias, traumatic brain injuries, and substance abuse disorders.
Icy Cape is located in a remote, hard-to-access region
Icy Cape is located on the coast of the Gulf of Alaska near Icy Bay, 75 miles northwest of Yakutat. There are no roads to the area but it is accessible by boat, barge, and plane. The area is closed to public access. There is no fishing, hunting or recreational activities allowed in the area. Since the area has seen timber harvest activity in the past, some infrastructure already exists, including logging roads and a 4,000-foot airstrip.
Preliminary results have been promising
The Trust Land Office (TLO) has conducted mineral exploration on the Icy Cape land block and has defined significant prospects for gold and industrial heavy minerals, as well as platinum group metals. In 2020, the TLO commissioned an independent review of the Project’s economics.
This summer TLO will conduct a high-resolution magnetic survey over prospective areas of the Property. It will also conduct infrastructure improvements including drill access trails and camp upgrades in preparation for resource definition drilling in 2021. The exploration team consists of placer gold and industrial heavy mineral sands experts.
A three-year timber harvest in Icy Bay operated by Sealaska Timber Corporation and its subcontractor, Fairchild Trucking, was completed in 2020. About 29 MMBF were harvested. The timber sale yielded about $4 million in revenue to the Trust. Although harvest operations went smoothly, the U.S.–China trade war and other market conditions impacted the price received for this wood, affecting profitability for contractors.