(From Todd Epp, Northern Plains News)
When you turn on your faucet in Rapid City, the water flowing into your glass likely comes from Pactola Reservoir, a critical water source at the center of a heated debate about mining in the Black Hills.
Your Water at Risk?
The U.S. Department of the Interior recently withdrew 20,510 acres around Pactola Reservoir from mining activities for the next 20 years. This decision protects the primary drinking water source for Rapid City, Box Elder, and Ellsworth Air Force Base, according to the Bureau of Reclamation.
“The Pactola Reservoir-Rapid Creek Watershed is a treasured landscape, valued for its clean air and water, abundant recreation and ecological benefits, and sacred to multiple Tribes who call the area home,” said Interior Secretary Deb Haaland in an official press release from the Department of the Interior released on December 26, 2024.
Political Clash
The mining ban directly affects a project by Minneapolis-based F3 Gold, which had been seeking to conduct exploratory drilling in the Jenney Gulch area near Pactola Reservoir.
The Trump administration has signaled a different approach, with an executive order titled “Immediate Measures to Increase American Mineral Production” that directs federal agencies to identify sites on public lands with mineral deposits and prioritize mining activities according to the official White House document dated March 20, 2025.
The South Dakota Mineral Industries Association views the current ban as federal overreach, citing the economic benefits of mining development.
What’s in Your Water
Scientific studies by the U.S. Geological Survey have documented specific water quality concerns in the Black Hills, finding that “many abandoned gold mines in the Black Hills contribute acid and heavy metals to streams”.
The South Dakota Department of Environment and Natural Resources and the USGS have conducted extensive water quality monitoring. A study confirmed that some streams in mining areas have shown elevated levels of heavy metals, including arsenic and selenium.
For anglers and outdoor enthusiasts, these findings raise concerns about the environmental health of popular recreation areas. The Forest Service notes that new mining activities could compromise Pactola Reservoir’s exceptional brown trout fishery below the dam.
Jobs vs. Environment
Mining companies argue that their operations bring jobs and economic benefits to the region. The South Dakota Mineral Industries Association promotes “responsible mine development” that can coexist with environmental protection.
For workers in the mining industry, restrictions limit job opportunities, while for tourism workers, protecting the area’s natural beauty preserves a different economic sector. According to Travel South Dakota, tourism in the Black Hills and Badlands region generated $1.9 billion in visitor spending in 2023.
Your Water Bill
The reservoir provides a stable regional water supply, but management costs are rising. The Bureau of Reclamation secured Rapid City a water storage right of 49,000 acre-feet to support population growth, but during drought conditions, the city implements mandatory water restrictions.
These restrictions directly impact homeowners’ ability to water lawns and gardens during the summer months. Recent drought conditions have led to the earlier implementation of water conservation measures, affecting residents’ landscaping and outdoor water use.
The Sacred Hills Dispute
The land under debate holds deep cultural significance. The Fort Laramie Treaty of 1868 recognized the Black Hills as part of the Great Sioux Reservation for “exclusive use by the Sioux people,” according to National Archives records, which preserve the original treaty document.
After gold was discovered in 1874, Congress took the land, an action the U.S. Supreme Court ruled illegal in the 1980 case United States v. Sioux Nation of Indians. According to the official court opinion, the court held that the government had an “obligation to make just compensation to the Sioux Nation. ”
Despite being awarded over $1 billion, the Sioux Nation has refused payment, seeking the return of their sacred lands instead.
What Happens Next
The future of the mining withdrawal may depend on the Trump administration. President Trump’s executive order calls for the “Secretary of the Interior [to] prioritize mineral production activities over other activities on Federal lands that hold critical mineral deposits,” according to a White House fact sheet.
For residents, the outcome will determine water quality, recreational opportunities, economic development, and cultural heritage for future generations. Whether you’re concerned about your water bill, fishing opportunities, job prospects, or respecting treaty rights, today’s decisions about mining in the Black Hills will directly affect your daily life and community.




