A controversial mineral exploration project near Haines is again changing hands, just one year after the last shakeup.
Vizsla Copper Corp. said Thursday that it’s purchasing the Palmer Project from American Pacific Mining Corp. The project is a zinc, copper, gold, silver and barite exploration site that sits about 14 miles upstream from the Native village of Klukwan.
The new owner said it prides itself on its commitment to working with communities to earn local support – and that it will take the same approach in the Chilkat Valley.
“For us it’s a very straightforward job: Win community and First Nations and government support. And get in and drill some spectacular holes come summer next year,” Vizsla CEO Craig Parry said in a pre-recorded video posted on Thursday.
But as one local tribe sees it, that’s not in the cards.
“I seriously do not believe there is any opportunity to gain community support,” Chilkat Indian Village President Kimberley Strong said in an interview following the announcement.
The deal means Vizsla will acquire 100% of the project along with the project’s long-time local operator, Constantine Metal Resources. Vizsla noted in a statement that it will need to raise $25 million from investors to move forward with exploration.
American Pacific, for its part, will walk away with $15 million in Vizsla stock rather than cash.
The company could also net an additional $15 million, in either cash or shares, on two conditions. First, Vizsla would have to find that the project could yield a certain quantity of minerals. Second, the project would have to become a commercial mine.
American Pacific has been involved in the project since 2022 and became its sole owner at this time last year when DOWA Metals and Mining sold its majority stake. Then, this spring, American Pacific confirmed that it, too, planned to step back from Palmer.
The America Pacific Mining and Vizsla lauded the project as an exciting prospect, particularly amid the Trump administration’s embrace of mining in Alaska and the surging demand for critical minerals.
“The U.S. administration aside, you’ve seen a complete 180 degree turnaround from governments around the world,” Parry said.
He said that’s happening as countries recognize that the global transition away from fossil-based energy – and toward greener technology – will require these minerals.
Still, he emphasized that the project, which has been under exploration for nearly two decades, has a long road ahead.
“It’s crucial to highlight that this is a long way from being a mining project,” Parry said. “And there’s a lot of stages you have to go through to get there, so we’re many, many years away from that.”
The project has long fueled local debate over what a mine would mean for the Chilkat Valley. While some say it would boost the local economy, others contend it’s not worth risking impacts to the Chilkat watershed.
Parry, of Vizsla, acknowledged that the mining industry needs to do a better job of seeking and acting on community feedback. But he says his company has made that a priority, including on its Panuco Project, a silver and gold exploration site in Western Mexico.
“We’ve demonstrated that not only do we listen, but we act on what we hear from communities and First Nations groups and look to work in partnership with those guys,” he said.
The Chilkat Indian Village of Klukwan has opposed the project out of concern that it would contaminate the Chilkat River, which supports runs of all five species of pacific salmon.
Strong, the tribe’s president, said that concern will stand regardless of ownership. She is skeptical about any mining companies that claim to prioritize engagement with tribes, particularly given her experiences with the companies that have already had a hand in the local project.
“The moment we sit down with them, it’s considered engaging with the tribe,” she said. “They’ll come and listen, but they’ll still do whatever they want.”
