Is Every Mine Promoter a Liar?


Tom Collier, Pebble Mine Partnership CEO, testifies before Congress (Source: Gray DC)(GRAYDC)

Tom Collier, Pebble Mine Partnership CEO, testifies before Congress (Source: Gray DC)(GRAYDC)

A long time ago, WC was stuck defending a young bank robber. It was court-appointed; there was no option for declining. The 20-year old bank robber had three accomplices, all of whom were testifying against WC’s client. The District Attorney wouldn’t make a plea offer, for reasons completely unrelated to the bank robbery charge. So the case went to trial.

The thing about the three accomplices is that they each had told three different version of events, implicating each other and exonerating themselves. In the circumstances of the case, the only defense was to attack the credibility of the accomplices. WC, on cross-examination, walked each of the accomplices through their various stories, closing each line of questioning by asking, “So why should the jury believe you this time?” The D.A. objected each of the three times WC asked the question, and each time time the judge overruled the objection, and directed the little thug to answer. The point of the exercise wasn’t whatever the answer would be; the point was to put the question in the fornt of the jurors’ minds.

Which takes WC to Pebble CEO Tom Collier and Ron Thiessen, President of Pebble parent company Northern Dynasty Minerals. They we caught on tape by the Environmental Investigative Agency, which was posing as a potential investor in Pebble Mine. Collier and Thiessen boasted of easy access to Alaska Governor Mike Dunleavy, and of having U.S. Senators Murkowski and Sullivan in their pockets. Thiessen and Collier bragged that Pebble Mine was going to live on for two centuries, far beyond the 20 years the developer is currently pursuing as it seeks a permit from the U.S. Army Corps of Engineers, and be an order of magnitude larger. Remember that would mean an order of magnitude more mine waste, held behind a dubious dam, looming over the most important salmon watershed on the planet.

Wow. Northern Dynasty must be truly desperate for investors.

WC doesn’t approve of unethical investigation techniques. If he was a member of Environmental Investigative Agency, he’d be publicly resigning about now.1

But the recordings were made, and they are damning.

Let’s have a look at the responses from the various players:

Pebble responded:

I do think that anytime an interviewer from a made-up ‘investigative agency’ misrepresents who they are when they schedule an interview, then secretly tapes the interview without the knowledge of their subject, and then goes on to obscure their identity after the interview is broadcast, you have to know there are some pretty questionable ethics at play,

We don’t know who has paid them or who they work for. We certainly intend to find out though, and to determine if any laws were broken by this despicable and abusive tactic.

That’s certainly a non-denial. And not even a very effective one. Talking about “questionable ethics” when you have yourself been caught lying isn’t a winning argument. WC’s verdict: Corporate credibility spill on Aisle 1; send a clean-up.

Pebble claimed to have Senator Lisa Murkowski (R, Alaska) in its pocket: “Murkowski ‘says things that don’t sound supportive of Pebble – but when it comes time to vote, when it comes time to do something, she never does anything to hurt Pebble, OK?’ according to Collier.

Murkowski responded:

Let me be clear: I did not misunderstand the Army Corps’ recent announcement.I am not ‘embarrassed’ by my statement on it and I will not be ‘quiet in the corner.’ I am dead set on a high bar for large-scale resource development in the Bristol Bay watershed. The reality of this situation is the Pebble project has not met that bar and a permit cannot be issued to it.

It’s sounds like a denial, but there’s a hidden equivocation. The bold statement, “A permit cannot be issued,” is a reference to the U.S. Army Corps of Engineers’ late call for more mitigation as a result of Pebble’s proposed obliteration of miles of wetlands and riverbeds. When Pebble proposes additional mitigation, Murkowski is saying she’d be satisfied for a permit to issue. WC’s verdict: Political credibility spill on Aisle 1; send a clean-up.

Pebble claimed to have U.S. Senator Dan Sullivan (R, Koch) in its pocket. Collier said in the tapes that Sen. Dan Sullivan, up for reelection on Nov. 3, has gone quiet on Pebble and is hoping to “ride out the election.” Thiessen claimed, “Sullivan’s going into his second (election) and so he’s got a battle on his hands, and we’re trying to work with him to make sure he doesn’t go and say something negative like – and he won’t say ‘Don’t build the mine,’ but he might say, ‘Don’t issue the ROD until after the election,’” Thiessen said.

Sullivan responded (in a written statement) that the Senator continues to believe a permit cannot be issued

Senator Sullivan stands by that clear statement — any suggestion otherwise by Tom Collier or anyone else is either wishful thinking, a blatant mischaracterization, or an irresponsible ploy to secure funding, his office said in a prepared statement.

Maybe in his imagination, but not in reality. This is yet another fabrication. Senator Sullivan has been steadfast in keeping the permitting process an objective, rigorous, fair, science-based review – free of politics – and he has consistently said we should not trade one resource for another. We now have a final (environmental report) that shows Pebble will result in unavoidable significant degradation of the environment, and doesn’t meet the high standards we demand for all resource development projects in Alaska.

That sounds impressive, but once again there is less there than meets the eye. Is Sullivan talking about the mitigation requirement, or about the risks understated in the environmental impact statement. WC bets the latter, but suggests Sullivan likes the ambiguity. WC’s verdict: Can Sullivan hold his breath until November 3? Will his opponent, Dr. Al Gross, let Sullivan hold his breath?2

And then there’s Alaska Governor Mike Dunleavy. On the video recordings, Collier called Dunleavy his friend and said it’s not unusual for the governor to call him. Collier said he organized the largest private fundraiser for Dunleavy as he ran for office. He pointed out that Ben Stevens, the governor’s chief of staff, served on Pebble’s advisory committee before the governor got elected. The “state of Alaska is every bit as supportive if not more supportive of us as each day goes by,” Collier said in one of the recordings.

Dunleavy responded:

The individuals in those videos embellished their relationships with state and federal officials at all levels. [They also] “misrepresent the Dunleavy administration’s role and stance on the Pebble Project. Any claims that Gov. Dunleavy contacted White House administration officials on behalf of that company are false. The Pebble Limited Partnership has not submitted a project for the State of Alaska to review at this point. If a plan is submitted it will also undergo a vigorous review process.

That statement qualifies as an example of what WC’s late Prof. Dom LaRusso called a “vigorous non-denial.” Collier “embellished” his relationship with Dunleavy. There’s a relationship, it’s just not quite as close as Collier claims. As for Dunleavy’s stance, the Governor has never met a mine project he didn’t like. The statement that Pebble hasn’t applied for a state permit is meaningless; it can’t until the Feds have granted one.

WC suspects that the truth about Murkowski, Sullivan and Dunleavy is a lot closer to Collier’s claims than the politicians are admitting, even with the vigorous non-denials from all of them.

In the meantime, Pebble CEO Tom Collier has “resigned.3 John Shively, Senator Sullivan’s Alaska Director’s tenant, is interim CEO. Northern Dynasty, Pebble’s parent, issued a statement in which Ron Thiessen said, “The unethical manner in which these tapes were acquired does not excuse the comments that were made, or the crass way they were expressed. On behalf of the Company and our employees, I offer my unreserved apology to all those who were hurt or offended, and all Alaskans.” Theissen’s apology omits the reality that half of the statements came from him.

All of which takes WC back to that long ago cross-examination of those young thugs: If you were lying the first three times, why should the jury believe you now?

Were Collier and Thiessen lying – sorry, embellishing – their relationship with state and federal officiasl? Or has Pebble indeed corrupted all of them?

Whichever is the answer, why should we believe anything they say? Why should we believe the mine is safe? Who have they bribed. What else have they embellished?

 

Sullivan has since said he’s opposed to Pebble Mine. We’ll see.

 


  1. In Alaska, one party can record a conversation without the consent of the other(s). AK Stat § 42.20.310 (definition), § 42.20.330 (penalty), Palmer v. State, 604 P.2d 1106 (1979). But it doesn’t mean it’s ethical. 
  2. It turns out that John Shively, the Board Chair of Pebble, rents his residence from Sullivan’s Alaska State Director, Renee Reeve. But it’s okay, Sullivan announced. “John Shively does rent an apartment from Renee Reeve, however, he began renting that apartment well before Renee ever joined the senator’s staff,” Sullivan’s office said. Ethics cleanup on Aisle 1! 
  3. Collier was to receive a $12.5 million bonus if Pebble Mine was permitted. Maybe a thoughtful Alaska news reporter will ask Collier what happens to that bonus now.