A South Dakota mining company has canceled a drilling project in the Black Hills after opposition from Native American tribes and local groups.

In a letter provided Friday by Indigenous advocacy group NDN Collective, Rapid City-based Pete Lien & Sons told the United States Forest Service on Thursday it is withdrawing its plan of operations for a graphite drilling project. It doesn't intend to file another plan for this project, the letter said.

Groups opposed the project because of its proximity to a sacred site called Pe'Sla, a meadow in the Black Hills where Sioux tribes hold ceremonies and pray throughout the year.…