Canadian Mining Journal | June-July 2024

CLOSURE Reclamation &

> Innovative paths for post-mining prosperity

> Planning for closure: Q & A

THE REEFTON RESTORATION PROJECT THE DIRTY SECRET OF THE EV INDUSTRY

Working in a forested area?

Help prevent wildland fires.

During the fire season (Apr 1 – Oct 31), any industrial operation working in or near forested areas should follow the “Outdoor Fires” Regulation 207/96 – Part II and refer to the Industrial Operations Protocol to determine if these regulations apply to your operations.

Operators may be required to take action to prevent wildland fires by:

Developing a Fire Prevention and Preparedness Plan.

Mitigating operations in a manner that helps prevent wildland fires from starting.

Modifying operations based on fire danger and the risk of operations starting a wildfire.

Training staff to use equipment to reduce the negative impact should a wildfire occur.

Detecting and reporting wildfires so they are responded to in a timely manner.

10 Reclaiming the future: Innovative paths for post-mining prosperity.

RECLAMATION AND CLOSURE

14 Planning for closure: Q & A.

21 Saskatchewan Research Council helps the Accelerated Site Closure Program achieve award-winning results.

23 The Reefton restoration project.

WATER AND TAILINGS MANAGEMENT

16 The mining industry leads innovation in water treatment.

18 Underground tailings: Q & A.

CRITICAL MINERALS

29 The dirty secret of the EV industry.

HISTORY OF MINING

31 The big nickel scandal of 1916.

DEPARTMENTS

4EDITORIAL | Reclamation is an integral part of mine operations.

6OPINION-EDITORIAL | British Columbia celebrated Mining Month in May 2024.

7FAST NEWS | Updates from across the mining ecosystem.

8 LAW | Mine reclamation in Canada: Regulatory challenges and opportunities.

12MIN(E)D YOUR BUSINESS | Project approval: Managing the proponent target–reality gap.

53ON THE MOVE | Tracking executive, management, and board changes in Canada’s mining sector.

www.canadianminingjournal.com

Coming in August 2024

Canadian Mining Journal’s August (MINExpo) issue includes our annual ranking of the Top 40 Mining Companies in Canada by revenue. This will be supplemented with a look at some of the top development projects in Canada. And for MINExpo, we will preview trucks, heavy equipment, and material handling systems.

Please visit www.canadianminingjournal.com for regular updates on what’s happening with Canadian mining companies and their personnel both here and abroad. A digital version of the magazine is also available at https://www.canadianminingjournal.com/digital-edition/

Tamer Elbokl, PhD

AReclamation is an integral part of mine operations

ttending Wyloo Canada’s announcement that it plans to build a battery materials plant in northern Ontario that may cost around $900 million was “the icing on the cake” for the media tour in Sudbury organized by MineConnect Supply and Services Association at the end of May. Wyloo has entered a memorandum of understanding with Sudbury to secure a parcel of land to build the plant. The company said it chose Sudbury, a nickel producer for more than a century, for its leadership in the mining sector, its shift to clean technologies, and its commitment to reconciliation with First Nation communities.

The plant would target an output of around 50,000 t/y of nickel sulfate and precursor cathode active material (pCAM), a battery component often containing nickel, cobalt, or other chemical elements. Eventually, the plant would produce enough material to power about 800,000 vehicles a year.

Marla Tremblay, executive director, and Heather Johnston, project manager, in cooperation with several other members of their team, hosted an inaugural Mining Media FAM tour from May 27 to 31 in Sudbury, Ont. that included attending the back-to-back Mining Transformed and BEV In Depth: Mines to Mobility conferences. Additionally, I toured several supplier and manufacturing locations in Sudbury and interviewed several executives and CEOs for articles to come in the next few issues of this journal.

According to our feature article by OceanaGold staff on page 23, OceanaGold is entering the final stages of rehabilitation of its Globe Progress mine. After the mine closed in 2016, the site became known as “the Reefton restoration project.” The restoration team made sure that concurrent restoration work, also known as parallel reclamation, was an integral part of OceanaGold’s operations throughout the working life of the mine.

Additionally, several articles in this issue discuss the status of mine closure and reclamation, tailings, and water management in the mining industry and highlight potential new technologies.

Flip to the interview on page 29 with Martin Turenne, president, CEO, and director of FPX Nickel who reveals the dirty secret of the EV industry.

Finally, on page 31, John Sandlos sheds some light on the big nickel scandal of 1916.

Our most anticipated August issue will feature our annual Top 40 ranking of Canadian miners based on total revenue in 2023. The MINExpo issue will also look at some of the top development projects in Canada, and we will preview trucks, heavy equipment, and material handling systems. Relevant articles can be submitted to the Editor in Chief until July 15, 2024. CMJ

JUNE/JULY 2024

Vol. 145 – No . 4

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Navigating the waters: why effective water data management is a competitive advantage for miners

In today’s era of heightened investor and public scrutiny, maintaining an effective water management strategy is vital for a company’s environmental license to operate.

However, with companies collecting more environmental data than ever before and regulatory diversity across regions, Stuart van de Water, Environmental Leader at acQuire, says that the demand for better water stewardship is putting enormous pressure on environmental managers and scientists.

“Information is being collected from multiple sources and at differing frequencies. It’s time consuming to transform this raw data into business-ready reports,” Stuart says.

Without a data management system in place, it becomes difficult, if not impossible, for environmental teams to do their job efficiently and with certainty.

“Maintaining data integrity at the highest levels is crucial, but without a central repository to capture all water management data, this can be a daunting task,” Stuart says.

“Having auditable data that can be traced back to its original source is essential to water management governance, especially if it has been transformed in the time between capturing and reporting.”

Whether miners are tracking water consumption, monitoring water quality in creeks, rivers and dams, or taking grab samples from pits and dams, a single source of truth for all environmental information provides a competitive advantage – and peace of mind.

“Good environmental data management is invaluable for operational support and high-level modelling used in business decisions and policy making. Knowing you can easily report against your data is critical,” Stuart says.

Gain the big picture of your environmental data

acQuire’s environmental data management solution, EnviroSys, combines people, process and technology to help you manage a range of environmental data across your business.

EnviroSys provides you with complete transparency of your environmental data so you can always answer the crucial question, “are we compliant right now?” anytime, anywhere. Discover more about our environmental data management solution at

British Columbia celebrated Mining Month in May 2024

May is Mining Month in British Columbia, an ideal time to recognize and celebrate this cornerstone industry in our province. Mining moves us, connects us, and allows us to innovate. It drives and builds our technology and is the very foundation of almost everything around us, from the copper, gold, and silver used in electrical equipment, smartphones, and healthcare equipment to the critical minerals that build the batteries, wind turbines, and solar panels that are essential to fighting climate change.

Mining is one of B.C.’s largest industries and a foundational part of our economy, providing economic benefits in communities across the province. Last year, mineral exploration expenditures reached $643.5 million, 94% higher than this government’s first year in office, and mining production value is forecast to be up 57% since that time. In fact, looking over the past five years, exploration spending has totalled $2.8 billion with mining production at over $60 billion.

As minister responsible for mining, I take immense pride in our government’s accomplishments in supporting and growing the mining industry, but the industry’s successes are all possible because of the hard-working people at the heart of every aspect of mining. This industry is built by the determination of prospectors, expertise of geologists, support of suppliers, innovation of manufacturers, vision of investors and — most important of all — the dedication of tens of thousands of men and women who make mining their life’s work.

Step onto any mine site today, and many British Columbians might be surprised to find mining is not what they thought it was. Innovative, low-carbon practices like electric-powered machinery are creating cleaner and more efficient operations. Digital technologies are improving productivity and reducing waste. And diversity is helping to shape the future of mining, with women now making up over one in six workers and growing, something that was not even

imagined 35 or 40 years ago. Mining and mineral exploration is also the largest private-sector employer of Indigenous Peoples in remote communities in B.C., which is vitally important to recognize as First Nations have a critical role in the sector. First Nations’ cultural links to the land stretch across centuries, offering perspectives that are essential for driving progress in the industry, and their partnership and participation in the industry are essential for further growth.

Just as today’s miners can reflect on their work with pride, the next generation of miners and explorers can look forward to long and rewarding careers, as innovation and robust environmental, social, and governance (ESG) standards continue to strengthen B.C.’s mining sector. Men and women today have access to training to upgrade their skills to keep pace with an evolving industry that is committed to ongoing job security, the highest standards of health and safety, and a strong focus on remediation and environmental sustainability.

The year ahead promises to be marked by milestones, as we welcome two major mines starting or resuming operations: Premier gold, near Stewart, and Blackwater gold, southwest of Prince George. And we will continue to make progress on our B.C. Critical Minerals Strategy, guiding us to further boost critical minerals development, maintain sector com-

petitiveness, advance reconciliation, and attract new investment, while driving sustainable economic growth with jobs and opportunities for all British Columbians.

We are taking action to create more efficient processes and permitting while maintaining high environmental standards. B.C. has made significant progress on permitting timelines, including a 52% reduction in the backlog of exploration permits since 2022. Budget 2024 reaffirms our commitment to a low-carbon economy with $24 million to ensure that we continue to reduce permitting backlogs and enable access to the critical minerals we need for a low-carbon economy and future.

The success of the mining sector is founded on the hard work of people from across the province whose commitment to excellence and perseverance is truly inspiring. My ministry and I cannot express enough gratitude to explorers, miners and their families, and all those who support this vital industry.

Generations of British Columbia’s families have enjoyed security and a good life in mining, and in their names, I am proud to have proclaimed May 2024 Mining Month in British Columbia. CMJ

Honourable Josie Osborne is British Columbia’s minister of energy, mines, and low-carbon innovation.

The construction camp at Ascot Resources’ Premier gold project in B.C. in 2021. CREDIT:

• NEW MINE | Equinox pours first gold at Greenstone

Equinox Gold poured first gold on schedule at its 100% owned Greenstone gold project near Geraldton, Ont., the company’s flagship asset.

“We look forward to ramping up to commercial production in the third quarter of this year and delivering sustained value from the Greenstone mine for all our stakeholders,” president and CEO Greg Smith said in the statement.

Equinox is targeting 90% of the 27,000 tonne-per-day plant by the end of 2024. It has also increased mining rates ahead of this gold pour and has stockpiled 1.5 million tonnes of stockpiled ore at the end of the first quarter.

Production at Greenstone in 2025 is

expected to total 199,000 oz. at an all-in sustaining cost of US$879/oz. in the second half, matching guidance of approxi-

mately 175,000 to 210,000 oz. at US$840 to US$940/oz., BMO said in a note.

Greenstone is expected to produce approximately 400,000 oz. annually over its first five years, and 360,000 oz. per year over its 14-year mine life.

In April, Equinox acquired the remaining 40% interest in the mine from Orion Mine Finance for close to $1.4 billion (US$995 million) in cash and shares.

The purchase included $1.02 billion in cash and 42 million shares valued at $342.3 million . Equinox financed the acquisition through a new $684.7 million loan and a $356 million bought-deal equity financing. CMJ

• EXCAVATOR | Delivering the first Liebherr excavator to Quebec

In early January this year, Liebherr-Canada handed over an R 9150 mining excavator to new customer L. Fournier & Fils, a leading Canadian general contractor that works in the industrial, civil, and mining sectors.

This R 9150 is the first Liebherr excavator commissioned in eastern Canada and will go to work in the Abitibi-Temiskaming region at the North American Lithium (NAL) mine and mill, belonging to Sayona Mining, near Val d’Or, Que. The operation is part of the largest spodumenelithium ore reserve in North America.

Within seven months of meeting for the first time at the 2023 CIM Expo in Montreal, Fournier had become a Liebherr-Canada customer. Tom Juric, divisional director of mining for LiebherrCanada, credits this to the entire mining team at LiebherrCanada and their ability to demonstrate the company’s ability to not only supply world-class mining equipment but also to offer exceptional support services to their customers.

To experience Liebherr-Canada’s product and service offerings for themselves, representatives from Fournier were invited to Alberta to visit the Fort McKay service centre and the Acheson sales and Reman centre in October 2023. After a tour of the centre Gabriel Routhier, operations superintendent for Fournier who has been operating heavy equipment since he was a teenager, was given the opportunity to operate an R 9150 that Liebherr-Canada had on hand. After Routhier had experienced the R 9150 for himself, the whole group visited a nearby limestone

quarry to see one of the site’s R 9150s in action.

“As soon as I started digging, I felt the power of the machine. It had the speed of a 50-tonne construction excavator,” enthused Routhier. “When we were at the quarry, it only took three cycles to confirm the speed I experienced. At the time, I was wondering how it was possible for the machine to perform so effortlessly because I could barely hear the engine. Following discussions with the operator and the VP of operations, I was fully convinced the Liebherr R 9150 was the right tool for us.”

Besides highlighting the performance of the R 9150, Liebherr-Canada also wanted to showcase its ability to support customers across the entire lifecycle of their Liebherr equipment. So, during the same visit, members of Liebherr-Canada’s customer service team met with the Fournier delegation to discuss how they would support the customer with comprehensive machine inspections, troubleshooting, and problem resolution strategies to maximize uptime with the new R 9150. And to further understand how Liebherr-Canada helps its customers with parts planning, major component remanufacturing, and service support.

Once the R 9150 goes to work, it will be running round the clock. To ensure maximum uptime, one of Liebherr-Canada’s mining service technicians will provide full-time support to the customer and an inventory of consignment parts and components will be maintained at the NAL site. CMJ

Equinox has poured first gold at Greenstone CREDIT: EQUINOX GOLD

Liebherr’s R 9150 excavator to be used at a lithium mine CREDIT: LIEBHERR

By Alex MacWilliam and Kate Wiltse

Mine reclamation in Canada: Regulatory challenges and opportunities

The regulation of mine reclamation in Canada plays a vital role in ensuring the responsible development and utilization of the country’s abundant natural resources through the balance of economic development with environmental sustainability. As the mining industry evolves, alongside the evolution of environmental protection legislation and innovations in reclamation technologies, stakeholders are faced with a myriad of regulatory challenges and opportunities in implementing effective reclamation strategies.

Overlapping jurisdictions

One challenge stakeholders face is understanding the jurisdictional landscape which governs mine reclamation. The regulation of mine reclamation involves a sometimes-complex interaction between federal and provincial jurisdictions, often coupled with First Nations’ concerns. Provincial jurisdiction covers the ownership, administration, and control of public lands and minerals in Canada. However, the jurisdiction of the federal government can overlap with some aspects of mining-related activity, including the role it plays in regulating environmental assessments for certain mines, Indigenous rights and consultation, and other matters pertaining to federal lands and species under its jurisdiction.

effects of mining projects, including their impact on land, water, air, biodiversity, and ecosystem health, and these assessments set out the basis for the requirements for mine reclamation practices.

The key federal statutes include the Impact Assessment Act (IAA) and the Fisheries Act, while provincial legislation varies across jurisdictions. These regulations set standards for environmental assessments, permitting, reclamation plans, and post-closure monitoring, ensuring compliance with environmental reclamation standards. Stakeholders must be familiar with the various application statutes in their relevant jurisdiction which will govern their operations. Understanding the robust and sometimes overlapping frameworks can present a challenge for stakeholders in regulatory compliance, particularly as the regulatory framework governing mine reclamation continues to evolve. Consultation with impacted First Nations will include review of reclamation plans in the context of traditional treaty and rights holders.

Impact Assessment Act: Application and challenges

The IAA serves as the legislation which sets out the framework by which the federal government assesses the environmental and Indigenous impacts of certain designated projects, including mining developments. Mining activities covered under the IAA are subject to rigorous government reviews and assessments. The IAA’s impact on mine reclamation, albeit indirect, is important, as the IAA evaluates the potential environmental

Mining project stakeholders previously affected by the IAA may now face uncertainty in the face of the decision of the Supreme Court of Canada (SCC) in October 2023, which found the federal IAA to be largely unconstitutional. The SCC found that the IAA’s regulation of “designated projects,” which include certain mining developments, was outside the legislative authority of the federal government. The federal government must redesign portions of the legislation to address these deficiencies. The approximately 20 mining projects currently undergoing federal impact assessment will continue to advance, but stakeholders may now have the opportunity to challenge these assessments in the event the provincial assessment process is sufficient for their operations. Until an amended IAA is enacted, no new projects will be designated for the purposes of the IAA.

Innovations in reclamation technologies

The emergence of technological innovations in mine reclamation presents promising opportunities for enhancing environmental outcomes and regulatory compliance, while, at the same time, presenting new jurisdictional considerations for regulators and stakeholders. Innovations such as remote sensing used to monitor compliance with regulations requiring revegetation as part of mine reclamation, and phytoremediation of mine tailings to extract contaminants and rehabilitate

soil, present novel solutions for mitigating environmental impacts and achieving mine reclamation to the required standards.

However, questions arise as to what regulatory challenges such technologies may face — such as unclear legal frameworks leaving mine operators and regulators struggling to interpret how existing laws apply to emerging technologies. Additional regulatory challenges may arise through questions of data ownership, privacy rights, and security, when considering technological advancements such as remote sensing and data analytics. Additionally, effective governance of technological advancements in mine reclamation will be required to ensure sufficient collaboration between government agencies, industry, and Indigenous communities.

Liability management

Mine reclamation is a complex process, for which managing liability is crucial to ensure that operators have the financial resources to reclaim mine sites adequately to the applicable regulatory standards. Key challenges in liability management in mine reclamation include the following: ensuring the financial assurance mechanisms put in place adequately cover the

costs of reclamation and closure activities; long-term liability planning; inconsistencies in regulatory enforcement and compliance depending on the resource or jurisdiction; and proper monitoring of the effectiveness of reclamation efforts and adaptive management programs.

Conclusion

Navigating the regulatory landscape governing mine reclamation in Canada presents both challenges and opportunities for stakeholders. Stakeholders must have a comprehensive understanding of the applicable legal frameworks, the opportunities presented through technological advancements, and how to legally incorporate such technologies in their projects. In addition, transparent and well-planned reclamation liability and security regulations will be critical to future sustainable development in the sector. CMJ

Alex MacWilliam is counsel at Dentons and leads the Canada region environment practice group. He advises Canadian and international clients on all legal and regulatory issues relating to the environment and sustainability. Kate Wiltse is an associate at Dentons’ Toronto office. In her practice, she assists Canadian and international clients on a wide variety of environmental and regulatory matters.

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Reclaiming the future: Innovative paths for post-mining prosperity

The mining and metals sector ranked lowest in the 2021 GlobeScan report of attitudes toward all major sectors in 31 countries. Some U.K. universities have banned mining companies from recruiting on campus, and the number of geology and mining engineering graduates continues to slide.

Much of the issue stems from some newsworthy poor historical performance, including the sector’s impact on land, air, water, and biodiversity, as well as a perceived inability to prepare communities to thrive after operations close. Environmental, social, and governance (ESG) concerns ranked #1 for a third year in a row in EY’s top ten business risks facing mining companies report for 2024, highlighting that local community impact, tailings, waste management, water management and mine closure are utmost concerns within the ESG focus.

This article will examine three of the key areas identified in the ESG topic: innovative mine closure projects that benefit local communities, pioneering design approaches for end-of-life mine planning, and advancements in water stewardship that contribute to sustainable industry practices.

Mine closure is an opportunity to create a legacy of value

Mine closure is extremely complex, impacting a wide range of stakeholders with different, and increasingly high, expectations. An inadequate closure creates a negative legacy that is extremely difficult and costly to remediate. Many mining companies are strengthening their focus on the issue, aiming to repurpose sites, establish secondary businesses, and create long-term value for communities.

The concept of waste-to-value is transforming waste as a liability, into as something beneficial, such as extracting additional minerals and metals from closed mines. An intriguing case is the potential to meet the demand for rare earth metals, by reprocessing tailings left from former or ongoing operations.

Creating long-term value for communities post-mining can be achieved through innovative approaches to mine closure. The closed Kidson mine in Australia is being transformed into a renewable energy power hub. With the implementation of pumped hydro storage systems within the old pits surrounded by solar panels and wind turbines, these sites capitalize on the existing topography to generate green electricity. By utilizing two water reservoirs situated at different elevations, water can flow from the higher to the lower reservoir, turning turbines and producing electricity. This is especially appealing where energy costs are high, offering a sustainable source of local power. Wind and solar installations complement this setup, further enhancing the renewable energy output.

Additionally, the principle of “design for closure” focuses on integrating landscape architects and mining companies in the early stages of a mine’s development. Their collaboration is aimed at utilizing the natural surroundings and landscape of the mine site efficiently, leading to a more effective production and closure plans. This forethought ensures that the environmental footprint is minimized, while also providing a sustainable, long-term legacy for the local community once mining operations cease.

Miners are seeking innovative solutions to tailings and waste management

The past 10 years have seen more tailings dams built than in any previous decade. Today, safe storage of tailings is a key focus for stakeholders who are demanding mining companies do more to prevent failures that can devastate local communities and the environment and cost billions of dollars to fix. With over 200 billion tonnes of existing tailings under management and an additional 40 billion to 50 billion tonnes expected in the next five years, this is a critical risk to manage.

Fifty-five per cent of respondents to a survey expected tailings to receive investor attention, compared with less than 5% last year. In August 2023, members of the International Council on Mining and Metals (ICMM) released tailings disclosures to demonstrate ongoing commitment and provide transparency on the Global Industry Standard on Tailings Management (GISTM). But Mining companies need more innovative solutions to design, build, monitor, and manage tailings, especially if we are going to also extract value from waste.

Another innovative approach involves employing mine tailings as a carbon sink through the process of carbon mineralization, which sequesters CO2 from the

An old abandoned mining entrance in the Sierra Nevada mountains. CREDIT: STEVEN STARR/ADOBE STOCK

atmosphere and stabilizes it within the mine waste. This technique, however, is applicable only to specific types of tailings. Studies have demonstrated that great potential exists in Canada and elsewhere to make this ambition a reality.

The Mining Microbiome Analytics Platform project is an exciting example of progress. This collaboration between the University of British Columbia, industry players, and other partners maps naturally occurring microbes at various mine sites to accelerate the development and application of microbial biotechnologies throughout the mining life cycle. For example, remediating slag containing residual copper could be made profitable by introducing microbes that bind with the copper and enable extraction.

Investors and governments scrutinize water stewardship

Over half of the EY survey of the top ten business risks facing mining companies report for 2024 respondents said water stewardship was one of the top risks with significant increased scrutiny from investors. It is an issue top of mind for many governments as well. For example, the Chilean National Mining Policy 2050 mandates that continental water makes up no more than 10% of total water used in all copper production. Other drought-affected regions are likely to adopt similar restrictions, as it is critical that hydrology is managed end-to-end given water impacts soil composition and, therefore, the ability to regenerate land.

Many mining companies have set targets around their commitment to drive good water stewardship and improve disclosure to stakeholders.

In conclusion, the metals and mining sector, once viewed skeptically because of its environmental impacts and community disengagement, is actively seeking redemption and transformation. By focusing on innovative mine closure strategies, repurposing waste to value, and addressing water stewardship concerns, the sector is charting a course towards a sustainable and responsible future. Accelerating novel technologies commercialization and collaborations is proof of the industry’s commitment to improving its legacy and mitigating its footprint. As mining companies increasingly incorporate cutting-edge solutions to manage tailings, promote renewable energy, and engage in thoughtful design for closure, they are not only responding to investor and govern-

ment scrutiny but are also creating new opportunities and lasting benefits for the communities they have been a part of. This pivot toward responsible mining demonstrates the sector’s potential to be a driving force in the global transition to a greener and more sustainable economy. While challenges remain, the strides taken towards a positive closure legacy and improved water stewardship signify a forward-looking approach that may very well redefine the industry’s role in the world. CMJ

Chih-Ting Lo is a strategist, board member, and entrepreneur who’s committed to making a global net-zero carbon future a reality by focusing on industry decarbonization. A professional engineer with deep sector knowledge in ESG performance, Chih-Ting brings a data-driven approach to EY Americas Mining and Metals Centre of Excellence. To learn more, visit: https://www.ey.com/en_ca/mining-metals/ mining-and-metals-centre-of-excellence.

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Project approval: Managing the proponent target–reality gap

Canada has abundant reserves of cobalt, nickel, lithium, and rare earth minerals that are essential for the green economy. This has resulted in heightened interest and eagerness to mine these reserves. The exploration and development of these resources will require project-by-project government approval. The approval process requires compliance with environmental legislation at the provincial level and possibly at the federal level. It also involves interaction with the public to comply with regulatory requirements, and to gain a social license to operate. Increasingly, gaining project approval is an expensive and time-consuming process. Often, the project proponent is unfamiliar with the approval process in Canada, and the lack of harmonization between the federal and provincial regulatory jurisdictions. This leads to the proponent targeting an approval date based on economic or engineering requirements, rather than on an understanding of the realities of the timelines associated with the approval process.

A proponent’s decision to undertake a project is typically based upon predetermined benchmark financing, economic, and/or engineering considerations. Financing requires the generation of a return on investment in a timely manner. With economics, for example expansion of a petrochemical plant, the focus is on “hitting the market” at a specific time (month/ year) based on the predicted demand for the company’s product(s). Engineering, for example moving a project from pilot to full-scale operation, requires starting and completing construction consistent with the engineering design.

Unfortunately, in many cases, these approaches lead to the actual time available to undertake the regulatory requirements of the relevant environmental legislation being incompatible with the requirements (demands) of the proponent’s

financial, economic, and/or engineering driven schedule. This leads to a gap between the proponent’s target approval date and the timing demanded by the reality of the approval process. This target–reality gap must be managed by the proponent. Accordingly, a regulatory strategy is needed to navigate the complexities of a regulatory process that typically has no fixed timelines to complete the approval process. These parties usually comprise the consultant retained by the proponent to obtain the approval, and the proponent’s in-house project management team.

Bridging the target–reality gap poses challenges for both the proponent’s in-house team and the external consultant. The target date for approval has been established by senior levels of management in the proponent’s company and becomes a performance requirement of the in-house team and the consultant. Furthermore, the target date is often established without an understanding or appreciation of the complexities and open-ended nature of the approval process, or the political realities of the project area, for example, the possible need to collect multi-seasonal environmental data, and the time required to develop and secure agreement on mitigation measures with potentially impacted groups and regulators. In the case of the in-house team, advising senior management that the target approval date may not be achievable may be a career limiting experience. Consequently, the in-house team invariably tells senior management what they want to hear, that is the target date is achievable, not what they need to hear, that is the target date would be very challenging, if not impossible, to achieve given the on-the-ground realties. The result is that management of the target–reality gap is pushed down onto the consultant.

Often, in managing this situation, the consultant has some difficult decisions to make. Do they commit to achieving the target approval date, and then suffer the consequences of failing to “perform” later? Alternatively, do they have a difficult conversation with the proponent at the start of the project and be clear that the target approval date may not be achievable? The risk with this latter approach is that the proponent instead retains a consultant that will commit to achieving the target approval date. The root of this conundrum lies in the need to educate the proponent about the realities of the approval process and the achievability of the target approval schedule at the start of the project (i.e., beginning with the end in mind). The following case may provide some insight into the challenge of managing the target–reality approval gap and, with hindsight, offer some solutions for future consideration.

The case

Following the award of the contract to obtain approval for the expansion of a petrochemical plant, the consultant became increasingly concerned over the proponent’s project manager (PPM) continually stating “when (company) gets us our approval on (day/month/year).” To manage the PPM’s very specific target approval date, the consultant built a probabilistic model of the approval process. The model combined the provincial process and the potential for a federal review process. Simple triangular probability distribution functions (PDFs) specifying the shortest, most likely, and the longest times for each of the time elements that comprise the approval process were determined based on the consultant’s experience, through discussions with other practitioners, lawyers experienced with the process, and with the regulators. The model output was a probability function for approval dates. The model also indicated which elements of the approval process posed the greatest degree of uncertainty and risk to an approval date.

The model indicated that there was only a 25% probability of achieving the proponent’s target approval date. Furthermore, the model indicated that the greatest uncertainties in the approval process were in areas beyond the control of either the consultant or the proponent, for example, the public and government review processes, and need for a public hearing. The PPM was advised of the model and its output. The PPM immediately requested the approval dates for the 50% and 75% probability levels. Upon hearing these dates, the PPM requested that the consultant come to his office immediately with the model and instruct him how to use it. The PPM then used the model to educate senior executives and the board of directors of his company about the realities of the approval process, and the degree (or lack thereof) of control that the proponent and the consultant had over the process.

Subsequently, the project approval was obtained, without the need for a public hearing, on a timeline acceptable to the proponent.

A key learning from this success story is that the proponent and the consultant need to be open and honest with each other about the target approval timeline at the start of the project. The proponent needs to be educated about the legislative framework of the approval process in the jurisdiction in which the project is to be constructed. The proponent also needs to be educated about the political realities of gaining an approval in the

Bridging the target–reality gap poses challenges for both the proponent’s in-house team and the external consultant.

particular jurisdiction, for example, what are the government’s land use and development policies, how well-tested is the approval process, what is the political situation regarding development and the general public, and in some instances with Indigenous groups in the project area? Similarly, the consultant needs to be educated with regards to what is driving the proponent’s desire to meet the target approval timeline. The consultant must be honest with the proponent regarding the achievability of the target approval timeline, even if this could potentially be detrimental to the consultant. These actions by both the proponent and the consultant will lead to greater co-operation and understanding between the parties. It will also lead to an increased likelihood of obtaining approval.

Given the complexities and challenges of the approval process, many project proponents successfully obtain approval within an acceptable timeline. Success is usually founded on the proponent’s understanding and appreciation of the approval process, and in taking the time to discuss and agree on the terms of reference for the environmental impact assessment with the regulator. The proponent also needs to focus on taking the time to empathize with those stakeholders potentially impacted by the project, developing their trust, and establishing collaborative meaningful relationships with them. This leads to consultative decision-making around issues such as possible project options and mitigative measures. The result is a social license to operate that is acquired in addition to a government approval.

Finally, most, if not all critical metal and mineral reserves are located beneath Indigenous lands. Recently, certain Indigenous groups have expressed the view that they “own” these resources. Consequently, at a minimum, Indigenous groups see themselves as being partners with the proponent in a project, rather than simply being stakeholders impacted by the project. Therefore, Indigenous groups are focused on building collaborative and meaningful relationship with the proponent, rather than simply being informed of the proponent’s goals and objectives. Fully understanding and appreciating these Indigenous perspectives will help proponents and consultants manage the proponent target–reality gap in the exploration and development of these resources. “Beginning with the end in mind” benefits the proponent, not only in the short term through construction moving forward, but also in the long term throughout the operational life of the project and its subsequent decommissioning, reclamation, and sustainable post-closure land use. CMJ

Bryan Leach is a retired P.Eng. (Alberta), C. Eng. (U.K.) and a former principal with Golder Associates. He has managed environmental impact assessments for mining projects in the Northwestern Territories and Panama, petrochemical plant expansions in Alberta, and waste management projects in Alberta.

By Catherine Hercus

Ljililana Josic and Tim Joseph were interviewed on the topic of mine closure.

Ljiljana Josic is the senior director, tailings, water, and geotechnical engineering at SNC-Lavalin and has an M.E.Sc. degree in geotechnical/environmental engineering from Western University. She has over 25 years of experience in geo-environmental engineering, including geotechnical, environmental and hydrogeology. Her work has included dam design, design of tailings, waste rock, and sludge facilities on over 50 projects.

Ljiliana answered the following questions:

Q When should the closure plan be put in place?

AThe closure plan should be discussed and initiated at an early stage of the project. At the scoping level, different technologies for the tailings management should be evaluated and the best option should be selected based on selection criteria that include, social-economic, environmental, technical, and project economics. Closure of the facility definitively should be included in the tailing management design options evaluation criteria. The input from the community regarding post-mining is very important for developing the closure plan. Designing for the closure using the best design practices is currently adopted by many mining operations. The closure plan is usually initiated at the pre-feasibility stage of the project and updated during mine operation. An early closure plan is very important to understand the cost of the closure. Financial provisioning and estimation can commence at the conceptual closure planning stage and should be updated every three to five years during the operation phase of the project.

Planning for closure:

Q&A

AQHow long will the closure plan take to be implemented?

The tailings storage facilities are unique structures designed for the specific environment, region, climate, ore type, geotechnical, physical, chemical properties, etc. The closure plan should ensure that tailings disposal area is left after operation as structurally stable, be resistant to deterioration through erosion, and be compatible with surrounding unmined landform. The closure plan implementation depends on the type of the tailing’s facility. For example, for the dry stack tailings, the closure can start earlier as a progressive reclamation.

Tailings dams are more difficult to close. Designing and planning for the closure during operation should ensure that the final state of the tailings mass will have high resistance to liquefaction and low risk of catastrophic failure. The tailings storage facility is closed when tailings deposition has ceased, and all closure activities have been completed.

Q Once the project enters closure and post-closure, water management and treatment can become the dominant carbon generator. What can be done to mitigate this?

ATo mitigate carbon generation in water management and treatment during project closure and post-closure, several solutions can be implemented. Early incorporation of mine waste management in planning and design stages, along with the implementation of passive treatment systems like wetlands, can significantly reduce long-term maintenance needs and environmental liabilities.

Additionally, water recovery and tailings dam footprints can be maximized and minimized, respectively, through high-performance filters, achieving up to 90% water recovery, and uti-

lizing compact and efficient designs that can reduce plant footprint substantially.

Further improvements can be achieved by enhancing filtration efficiency with technologies that separate fine and coarse streams, and by reducing reagent usage through the application of thickeners. These measures not only address environmental concerns but also enhance operational efficiency and sustainability in the long term.

Q What should happen after the mine is closed?

AWhile in the past, mine closure and reclamation may have often been an afterthought, modern guidelines and legislation require closure plans and financial assurance to be initiated from the earliest stages of mine development. Closure plans and financial assurance requirements are typically developed based on the removal of mine facilities and rehabilitation of landforms to a condition similar to the pre-mining conditions and surrounding natural landscapes.

Reclamation and closure plan requirements vary by jurisdiction, but typical elements include provisions for temporary as well as permanent closure, with consideration of all elements of the mine. Of particular importance is the physical stability of open pits, tailings disposal facilities, and waste rock piles. The closure plan must demonstrate that these structures are stable in the long-term regarding slope stability as well as geochemical stability.

Closure plans will generally include monitoring plans for the post-closure period (i.e., active closure) to ensure that the intent of the closure plan is met. Full passive closure (i.e., the walk away scenario) can only occur once monitoring in the active care phase has demonstrated that remaining structures are physically stable and environmental requirements are met over an extended period.

Tim Joseph holds a Ph.D. in mining engineering from the University of Alberta and the P. Eng., and FCIM designations. He is the president and CEO of JPI Mine Equipment and Engineering. He is a mining operations’ consultant, and his company provides mining operations, performance, and engineering solutions, as well as mining courses. He is also a professor emeritus in mining engineering at the University of Alberta and has been part of the faculty of engineering for 21 years.

Tim answered the next two questions.

AQHow important is engaging the local community in the closure process?

People talk about consultation. I do not think they really understand what consultation needs to be, and it is not about just informing a community group and it does not matter whether it is a community, or whether it is Indigenous or not. It is just bad informing, saying we plan to do this just so you are aware.

How can you properly or more appropriately engage local communities so that at the point that the mine basically ceases to exist as an operating functional entity and they need to start implementing the closure, you need to make sure you leave the land as you found it.

The question really should be “how can we better engage the community at all stages, so they become part of the process,

the workforce, and the group that gets training, information, and education out of that whole activity? At the end of mining, it is that community that becomes the custodian of the landscape and the water and the air and everything else.

So, the biggest conversation that comes up is when a community expresses concerns that if an exploration route comes into their area, it will taint their water and destroy the water quality. The companies are prepared to ensure that that water quality is maintained. Why not train the local people on how to maintain that water quality?

An exploration mission into an area can take five to 10 years before we even see a mine develop. So, that is years of activity when a community could be doing something. And you are giving self respect to the community members who are now actually working to support themselves. That is really the big win that I have seen in other countries where communities have become self-sustaining. They can do it themselves, and if the resources are attributed to the community, the community then pays taxation on those resources to the government.

AQWhat are some of the opportunities available after closure?

This is a beef I have had for many, many years. What are the opportunities for using the waste materials and does the waste have other uses other than just being waste? Are there products in there? I had an interesting conversation with a mineral processing designer in the uranium industry in Saskatoon recently. He said he really wants to write a paper next year about all the critical minerals that are missed that go out with the waste when they mine for uranium.

Companies mining oil sands are throwing titanium, vanadium, and other very valuable minerals away with the tailings. But processing that waste material can become an industry for the community beyond the mine as it stands today. Could the waste materials become the next generation of industry and employment for that community? Are there construction materials that can be utilized? We have seen this in Greece and Morocco where communities have latched onto the value of the waste materials, and they have used it to build roads in their region, and they became the go to road builder.

People are not thinking broadly enough about what the opportunities are in closure. We need to shut things down, green things up, and walk away. That is not the answer. I think the answer is what is the opportunity to make the community sustainable beyond the mining.

Particularly if it is a 20- to 30-year mine life and a whole generation will grow up knowing nothing else but mining. Otherwise, when the mine closes, the community dies.

More recently, they are all tied together because if we want to reduce emissions, there is a dollar value that you can sell to a mining company to say this is the value you will get. Do not just think in terms of dollars, think in terms of emissions reductions. If they could save hundreds of thousands of tonnes of CO2, does that not have value?

How do you put a dollar value to that? Companies get stuck there. So, they say this is just something we have been asked to do. They are expected to reduce emissions by the province as part of the closure requirement and as part of the operating requirement, but they struggle to find that dollar incentive to say yes, we really need to pay attention to this. CMJ

Catherine Hercus is a freelance technical writer.

The mining industry leads innovation in water treatment

“Why mining?” It is a question people often ask when they learn I am a water treatment expert focused on this sector. My response is often enthusiastically long, but the crux of my answer is this: The mining sector is as innovative as they come. In fact, this sector is typically at the leading edge of technological development. Mine water treatment is years — often even a decade or more — ahead of municipal water treatment or treatment in sectors such as agriculture and food production. This is, in part, because of the ever-increasing regulatory regime applied to mine water quality in Canada. The regulatory requirements mean the mining sector is always under pressure to develop and refine technologies to ensure compliance and to find new ways to bring existing contaminants to lower levels than currently possible. Additionally, as science progresses and knowledge around toxicology and bioaccumulation increases, there are new elements and compounds that enter scrutiny for treatment. Accordingly, we are continually assessing how existing technologies can work to treat “new” issues which they were not originally designed to address. The complex challenges this sector faces and the corresponding innovation with which it is always responding to those challenges make this a dynamic and fun sector to be part of.

So, what are some of the key aspects of mine water treatment that drive this innovation in technological advancement and development?

THE PROBLEM: Water contamination in mining Mining operations inevitably interact with water in multiple ways, leading to potential contamination. Here are the main sources:

> Process water: Water is used in grinding and extraction processes. This water typically ends up in a tailings pond before being treated and released. Mines often perform partial treatment on these waters before they enter a tailings pond, addressing contaminants like cyanide or sulfides.

> Rock storage facilities: Both ore and sub-economic rock storage can lead to contamination. Rain and snow leach minerals from these rocks, sometimes causing oxidation and acidification.

> Exposed pit and underground mine walls: Newly exposed rock surfaces in pits or underground mines can leach and oxidize, contributing to water contamination.

> Blasting activities: Explosives used in mining contain ammonia and nitrate, which can contaminate water when they interact with rock.

> Infrastructure runoff: Unlike municipalities, mines must treat all water runoff from roads, parking lots, and laydown areas.

> Mine camps and personnel infrastructure: Water used in camps, including potable water and sewage, also requires treatment.

THE SOLUTION: Advanced water treatment

In the simplest terms, treatment needs are determined by comparing the targeted water quality for discharge to the actual water quality. If any constituent is exceeding the target, then it is a candidate for treatment. In Canada, the Canadian Council of Ministers of the Environment (CCME) provides the Canadian Environmental Quality Guidelines (CEQG), which apply after a specified mixing zone. Additionally, guidelines like the Metal and Diamond Mining Effluent Regulations (MDMER) and Coal Mining Effluent Regulations (CMER) apply to the “end of pipe” discharge. Provincial criteria may also apply.

Mining typically occurs in highly mineralized places. If the mineralized area is close to surface, then the water quality can sometimes be naturally elevated in metals and other elements. It is common for water in mineralized areas to naturally exceed targeted federal and provincial guidelines. In such cases, we need to develop site-specific guidelines to protect the environment while considering natural concentrations.

Why mining stands out

In Canada, mining abides by stricter water quality regulations than most other sectors, including agriculture, forestry, and municipalities. For example, mines must treat contact water to much cleaner levels than municipalities treat sewage before discharging. They also often need to collect, test, and treat water from roadways and parking lots, which municipalities generally do not. This rigorous regulatory environment drives innovation, pushing mining companies to develop and implement advanced water treatment technologies.

How do you treat water?

Different jurisdictions use various guidance on how to develop site-specific targets and identify treatment candidates. For example, in British Columbia, if a constituent is predicted to surpass 80% of the target regulated concentration, it is flagged for screening by a “Best Achievable Technology (BAT)” pro-

An in-ground demonstration constructed wetland treatment system. Image adapted from https://www.mavenwe.com/learn. CREDIT: MAVEN WATER AND ENVIRONMENT

cess. This process helps to identify appropriate treatment or mitigation approaches for the potential contaminant. There are two main methods for treating water: Transfers and transformations.

Transfers: Transfers move contaminants from one place to another without changing their form. Examples of commonly used transfers are membrane separation, ultrafiltration, and reverse osmosis. Transfers are effective but require a plan for disposing of the concentrated contaminants to prevent recontamination. Unless you can pair it with a transformation, you will need to manage the disposal. Constituents have not changed form, only changed their location, so a disposal plan is required to remove the risk of recontamination. Not all constituents behave the same way or can be treated with the same transformations. You need to know the properties of the constituent and the conditions necessary to undergo the transformation you are targeting.

Transformations: Transformations change the fundamental properties of contaminants through chemical or biological reactions. Transformations can make contaminants more stable and easier to manage. An example of a commonly used transformation is the biological oxidation of cyanide to ammonia to nitrate or reduction of nitrate to nitrogen gas (the most common gas in our atmosphere).

Transfers and transformations are often paired together in water treatment. For example, microbes can reduce sulfate to sulfide, which then bind with metals such as copper and zinc to form stable, insoluble compounds that can be filtered.

Leading the way in water treatment innovation

Mining must meet more stringent discharge criteria than other sectors, which drives innovation in water treatment. One would think that the amount of selenium coming off sewage treatment system into a river would have equally stringent regulations as selenium coming from a mine. This is not the case. However, this pressure is driving innovation in mine water treatment at a pace that is unparalleled. In some cases, such as the case of selenium, the mining sector is also advancing analytical detection methods for the contaminants because the available methods were not sufficiently sensitive and accurate to meet their guidelines reproducibly. This need for high precision and effective treatment has pushed mining to the forefront of water treatment technology.

How can we do better?

Mining is already leading the way in water treatment technology, but there is always room for improvement. Here are some ideas:

> Celebrate the wins: Publicize advanced practices and technologies to amplify the sector’s leadership, strengthen public trust, and allow other sectors to adopt them and improve to the standards we hold mines to in Canada.

> Share the science: Continue to distribute evidence-based information publicly.

> Improve source control: An ounce of prevention is worth a pound of cure. Treatment may seem more impressive as it “fixes’ a problem,” but prevention is even better. Mines continue to innovate in this area alongside water treatment.

> Decentralize treatment: Use co-management or segregation to enable more effective, localized treatment. This will

also help to transition mines into closure more easily.

> Decarbonize water treatment: Reduce greenhouse gas (GHG) emissions by using newer technologies that replace traditional methods, like lime treatment.

> Fast-track technology maturation: Technology readiness assessments and technology maturation plans streamline new technology development. They facilitate communication and permitting, bringing technologies to implementation more quickly and cost-effectively.

Innovation highlight: Gravel bed bioreactors

Gravel bed bioreactors (GBBRs) are a technology known by several different names. Sometimes they are called gravel bed reactors (GBRs), rock bed bioreactors (RBBRs), or a similar variation. The author developed North America’s first fullscale GBBRs for the treatment of metals and nitrate from mine water at a mine in Ontario. There are now two GBBRs operational, from 2019 and 2020, respectively. While many technologies get side-tracked by “interesting research” that does not align with getting technology to market, these systems went from technology readiness level (TRL) 6 through 8 in less than two years. Testing included trials at bench-scale (laboratory) and column-scale (off-site climate controlled and on-site using actual conditions). These tests were planned to specifically address risks and information gaps to advance the technology. This technology maturation plan (TMP) focused on the maturing of the technology for implementation and permitting, which was critical to its rapid success. These GBBRs each treat approximately 20,000 m3/day of water from either a tailings pond or neutralized water from a potentially acid-generating rock stockpile. Dissolved metals treated can be as high as 3 mg/L copper or 4 mg/L zinc, paired with 10 to 30 mg/L nitrate. The GBBR has been operated side by side with a conventional low-density sludge system (LDS). Not only did the GBBR outperform the LDS for metals treatment because of metal-cyanide complexes that only the GBBR could treat, but also performed nitrate treatment in the same step. These cost savings are significant but can also yield an approximately 2,000 t/y decrease in GHG emissions compared to the conventional LDS treatment. The mBio GBBRs are now at a TRL-8 for many constituents, such as nitrate, copper, and zinc. Maven Water & Environment is expanding the implementation of their mBio systems across Canada and for a wider range of constituents.

Conclusion

Water treatment is a complex and crucial part of the mining industry. It requires site-specific consideration, and there is no one-size-fits-all solution. This, and the stringent guidelines being imposed on the sector, have put mining at the forefront of water treatment leadership. Understanding the basics of contamination sources, treatment needs, and treatment methods can help us appreciate the innovation driving this sector. With ongoing advancements and a focus on continuous improvement, the mining industry has set a standard for water treatment that other sectors can follow. CMJ

Dr. Monique Simair is a globally recognized leader in passive and semi-passive water treatment for the mining sector, including bioreactors, constructed wetlands, in situ treatment, and contaminant source control methods. She is the founder and CEO of Maven Water & Environment (www.mavenwe.com) and can be contacted at monique@mavenwe.com.

By Catherine Hercus

Underground tailings:

Q&A

Kristan Straub, Ljiliana Josic, and Dr. Shahid Azam were interviewed regarding the latest developments in tailings storage.

Kristan Straub is the CEO of Wyloo Canada and holds a B.Sc. in geology from Laurentian University. Kristan has more than 25 years of experience in the mining industry, including being the vice president of exploration at Glencore, and president of Koniambo Nickel SAS, New Caledonia. Kristan is a proud band member of Henvey Inlet and French River No.13.

Ljiljana Josic is the senior director, tailings, water, and geotechnical engineering at SNC-Lavalin and has an M.E.Sc. degree in geotechnical/environmental engineering from Western University. She has over 25 years of experience in geo-environmental engineering, including geotechnical, environmental, and hydrogeology. Her work has included dam design, design of tailings, waste rock, and sludge facilities on over 50 projects.

Dr. Shahid Azam is a professor of environmental systems engineering at the University of Regina and holds a Ph.D. degree from the University of Alberta. He is a geotechnical engineer with over 30 years of international experience. His work focuses on developing natural resources and civil infrastructure and using a multi-disciplinary approach to address mining and construction issues.

AQMany mines are now storing tailings underground. What is the process?

Kristan Straub: When ore is mined, a void is created. The purpose of underground tailings is to fill a void and prevent collapse. They are treated and upgraded, crushed, ground, and passed through a solution to leach the sulfides from the waste rock. The tailings are then dewatered and thickened into a concentrated paste. The treated tailings are taken back underground and used to fill the void spaces underground. Depending on the recipe used, binders are used to create a cement-like binder which gives the tailings strength. It is not concrete, but it is a hard material.

Regarding contaminants/toxic material in tailings, there will be a lot of work done beforehand. Whether they are sulfide ore, reactive based on the sulfur content in the tailings, the key associated risks is drainage. The tailings will not be exposed to water.

The chemicals associated with cleaning the tailings will be accepted ones, and no cyanide or arsenic will be used. Classic lime slaking changes the water pH, turns it into a sludge, and

then this is used in backfill and the water is brought back to pH neutral.

There are technologies available on the market today and extractive technologies which extract metals left over from the residue and allow it to be safely stored. Most Ontario and Manitoba underground mines are storing their tailings underground.

Ljiliana Josic: The tailings are generally mixed with a binder, usually cement, and then pumped underground to fill voids and help support an underground mine.

QWhat are the advantages and disadvantages of storing tailings underground as opposed to on the surface?

ALjiliana Josic: Underground tailings deposition or backfilling is considered one of the safest forms of tailings disposal. This technology has many advantages: The disposal of mine tailings in underground mine stopes results in an increase in their geotechnical stability, an increase in their geochemical stability, and a decrease in their leaching potential. Another benefit is a reduction of the footprint compared to land use on the surface by not having a dam and reservoir used as tailings storage facilities and the elimination of seepage that can reach aquifers in watersheds.

It reduces the risk of direct exposure and limits long-term monitoring. In addition, the underground tailings disposal can reduce tailings porosity and decrease their permeability, as well as provide an alkaline environment that can limit the potential for acid rock drainage (ARD) and metal leaching.

The disadvantage of this could be the higher cost and the location of the underground mine.

Kristan Straub: So far, there have been no failures of this type of tailings storage system. It is designed for use in underground environments. The binder added to the tailings helps it resist interaction with water. It is located under the water table, as opposed to above ground mines which are in contact with the water table and subsurface ground water. As this will be below the water table, there are limited potential risks, and the scale of the risk is mitigated.

Because of the way the tailings are stored underground, they lose their reactivity. The rock is processed, ground down, and put back in with cement binders. The risks are associated with interacting with surfaces, and we are limiting that interaction. Other extraction methods leach the sulfides out of the metals and mix it back into concentrates. This is not cheap but is good stewardship and is the right thing to do.

Dr. Shahid Azam: This approach is acceptable; failures have not been associated with this method. This is popular in Ontario and Quebec and is referred to as mine backfill. There can still be stability issues as they use different types of binders to improve backfill materials. The tailings should be fine if someone keeps an eye on them.

AQWhat is the main cause of tailings storage failure?

Dr. Shahid Azam: Failure is common in Canada. About four years ago in Brazil, there was a big one, and more have happened in China. It is not just happening in developing countries; it can be anywhere.

The main reasons for tailings failure are communication problems on the site. If the mine is big, the number of personnel working on the mine is big, with lots of employees. Who says what to who becomes important. Record keeping becomes important.

The dams can be big in size and are not always constructed using high quality materials. Often the storage container is made up of less than high-quality material, just whatever material is on hand at the site. So, storage is often made of marginal material, and physical and chemical stability is an issue.

The mining company is not an expert in dam construction. They are experts in getting the commodities out. Dams can be raised in height as more material has to be stored over time. These must be managed for a very long time. In one case in the U.S. at Questa, the mine is 100 years old. There was a classical tailings failure in Spain, where the people at the mine did not pay much attention to the geotechnical design.

Another problem is the rock formation. After it is blocked off, it becomes fragmented. Water comes through the tailings, and bacteria also comes through, and if it has residual chemicals, for example pyrite has iron, and when mixed with water you get sulfuric acid. When water and gas form round a material, it makes more chemicals, and contaminants are going out, and the physical stability is compromised.

Regarding tailings construction, how firms implement this on the mining site can be a problem. Sometimes they put new geological material in there, but how will it work in the long term? There can be major issues with this construction practice depending on the material installed.

One problem is the lack of storage capacity. One example is a uranium mine in Saskatchewan, they had to make sure it did not dewater too fast. You want to increase the tailings storage capacity gradually rather than too quickly.

In Chile, the biggest problem is the extreme aridity of the land. You must get the water out of the tailings. This is not such a big problem in places like Ontario.

Active earthquake zones are another issue. And there are always tremors at mine sites whenever they are blasting on site. Scale and comminution are site-specific. Innovations and technological improvements are not happening fast enough and cannot keep up with the pace that is required.

Kristan Straub: Regarding the tailings dam failure at Mount Polley, the upstream tailings dam contained both tailings and water in a reservoir, the dam failed, and the tailings leaked into the environment.

AQWhat are the important considerations in planning storage failures?

Ljiliana Josic: Achieving physical and chemical stability of the tailing’s storage facilities is paramount for the mining companies, designers, operators, and community. The primary goal is safe facilities, and operating companies must commit to making safety a primary consideration in the tailings dam design, construction, operation, closure, and post-closure monitoring.

The tailings facilities should be regularly inspected, and any potential risk must be reported and mitigated. The monitoring instrumentation must be placed strategically, and data must be collected regularly and analyzed to identify and mitigate any potential risk. The annual probability of failure must be periodically calculated and reported. The water management of the structure must be regularly inspected to prevent overtopping. Dam safety inspections and dam safety reviews must be completed and documented. The Canadian Dam Association provides guidelines of their procedures. In addition, independent tailings review boards should be engaged to promote safety and prevent potential failure.

An emergency action plan or emergency preparedness and response plans related to catastrophic failures of tailings facilities must be prepared and discussed with all potentially affected communities, workers on the site, operators, and other stakeholders.

The document must be regularly reviewed and updated. Emergency contact names and details must be included in the emergency preparedness and response plans.

The operating company is responsible for taking all steps necessary to save lives and provide appropriate humanitarian aid in case of a sudden failure. All necessary resources and support for local and national governments and first responders during and after a failure must be provided by the operating company.

At the scoping level, different technologies for the tailings management should be evaluated and the best option selected based on selection criteria that includes social, economic, environmental, technical, and project economics criteria.

Tailings storage facilities are unique structures designed for the specific environment, region, climate, ore type, geotechnical, physical, and chemical properties.

Dr. Shahid Azam: The rush for critical minerals — the government has expedited the process. How will it be ensured before digging, does the mine have everything in place, is it technically and chemically stable, and how will it be affected by climate change? There must be consideration of all the above. The public wants jobs, minerals, and metals.

The observation approach, which is well-established in our industry, means instruments are installed in critical sectors to make sure the tailings are fine. It means that someone keeps an eye on the tailings.

Now, Canadian mining companies extracting minerals must follow Canadian standards for environmental protection. They must be included in the mine site design, and the site must be compliant.

One new issue is climate change. If there is a major rainfall, are you ready for it? What if it happens?

Today’s critical minerals are the green energy of tomorrow.

As global mining consultants, we champion sustainable, responsible processes that see beyond profit to support people and the planet. rough our expertise across the mine life cycle, we meet the needs of now, and guide the industry to where it needs to go next.

wsp.com/mining

AQWhat is the approximate volume of the tailings which can be stored underground?

Ljiliana Josic: At best, about 60% of the tailings can be placed underground. Reducing the surface-disposal footprint, underground disposal of cemented tailings can provide ground support to minimize or prevent subsistence or surface collapses. CMJ

Catherine Hercus is a freelance technical writer.

Near the tailings dam at Los Bronces copper mine in Chile. CREDIT: ANGLO AMERICAN | FLICKR

Saskatchewan success story:

Saskatchewan Research Council helps the Accelerated Site Closure Program achieve award-winning results

During a time when a global pandemic brought industries across the world to a standstill, shuttering businesses, and stymieing job growth, the government of Saskatchewan initiated a program to help get people back to work.

On May 22, 2020, the government of Saskatchewan launched the Accelerated Site Closure Program (ASCP) with $400 million in federal stimulus funding through Ottawa’s Covid-19 Economic Response Plan.

The initiative was aimed at supporting Saskatchewan-based oil and gas service companies to conduct reclamation work on thousands of inactive oil and gas well sites across the province.

The ASCP was a collaborative effort between the Saskatchewan Ministry of Energy and Resources, the Saskatchewan Research Council (SRC), the Saskatchewan Ministry of SaskBuilds and Procurement, and the Saskatchewan First Nations Natural Resource Centre for Excellence.

to this team, but it still came with a bit of a learning curve.”

As program manager, the Ministry of Energy and Resources says it is proud of the way the team of government and industry stakeholders worked quickly and collaboratively to get people back to work and take advantage of this federal pandemicrelief fund.

“This work would not have been possible without the dedication of Saskatchewan’s oil and gas service sector, which stepped up to get the work done within a relatively short timeframe,” energy and resources minister Jim Reiter said.

SRC helps cleanup decades of inactive, abandoned wells

Being the western oil and gas powerhouse it is, Saskatchewan currently has 50,000 active oil and gas wells — with 1,483 new wells drilled in 2022 alone. Between 1900 and 2022, Saskatchewan had amassed a backlog of inactive and orphaned oil and gas wells.

At the inception of the ASCP, Saskatchewan had over 35,000 inactive gas wells, over 46,000 abandoned wells and a little over 2,700 orphaned wells.

Tasked as program administrator, SRC leaned on its experience gained from previous reclamation projects and used a procurement-based model to allocate work and implement area-based cleanups.

Bundling work into packages drove efficiencies, generating more cleanup and reclamation work under the program, which kept more Saskatchewan people employed.

Jesse Merilees, vice-president of business integration at SRC, said, “the scope of this major project was not a foreign concept

“SRC is born to do this type of project in a lot of ways as we can ramp things up quickly. We have managed large projects on behalf of the government before, so I think we were wellplaced to be able to lead this. We have the industry contacts, we have worked with some of the oil and gas companies for many decades, but the closure sector was not something that we had worked with a lot before, so it was something we had to learn on the fly,” Merilees added.

Merilees explained that the experience gained through the multi-year, multi-site remediation effort on Project CLEANS gave SRC the experience it needed to take the lead on the ASCP. Project CLEANS is a multi-year project focused on remediating 37 uranium mines in northern Saskatchewan that were abandoned by various mine operators in the 1950s and 1960s. The project achieved a new milestone in the spring of 2022 with the first stage of successful revegetation at the former Gunnar mine and mill site.

“We learned a lot about site cleanup with Project CLEANS and we were able to apply that to the ASCP. From CLEANS, we learned how to talk to communities, talk to the regulators, talk to who is going to be doing the work. It was nice to have a set of data to review before starting to make decisions and evaluate how we are going to implement something,” added Merilees.

Top priorities for the ASCP: Remediation and employment

Employment was an over-arching priority for the ASCP, as the government aimed to support 2,100 full-time equivalent jobs in the oil and gas service industry. The program ended up sur-

passing this goal by more than 350 jobs. Additionally, the program helped more than 900 different Saskatchewan and Indigenous service companies through a rocky economic phase due to the Covid-19 pandemic.

The number one service provider in the program was an Indigenous company, and three of the top 10 service providers in the program were also Indigenous-owned and operated. Even though Indigenous participation in the program was a federal mandate, Merilees explained that the work could not have been completed without engaging with Indigenous communities.

“Many of the abandoned sites were on First Nations land, so much like Project CLEANS, where we want to talk to the communities, we always found you get much more buy-in and much more support for programs, if you engage and talk to the communities that we are working with,” Merilees said. “The ASCP took things to a different level. We knew it was important that we had buy-in, and we really found a collaborative relationship.”

Merilees added that the Saskatchewan First Nations Natural Resource Centre of Excellence played an integral part in forging collaborations and securing successful outcomes for Indigenous communities and businesses.

The ASCP was administered over several phases beginning in June 2020 and running until March 2023. This program proved to be transformative, allowing Saskatchewan oil and gas service providers to thrive during a tough economic time for the energy sector. At the end of the program, the ASCP successfully spent 100% of the $400 million, funding 900 Saskatchewan-

based oil and gas service companies, supporting an estimated 2,500 jobs over the nearly three-year life of the program.

During the program, over 8,800 well cleanups, and over 3,400 flowline cleanups were completed, plus over 14,000 site remediation and reclamation activities were conducted and over 18,500 unique oil and gas sites saw closure work completed. Many former oil and gas sites were returned to their natural state through remediation and reclamation of lands across the province.

Over $90 million of the program funds were spent supporting Indigenous participation in the ASCP, and over $32 million were used for projects on First Nation reserves. Plus, eligible Indigenous service companies completed over $59 million in site closure work under this program.

Successful completion of an award-winning program

In Nov. 2023, SRC was a recipient of the Premier’s Award for Excellence in Public Service, alongside the Ministry of Energy and Resources and other collaborators involved in the ASCP.

“We do not do things for awards, but to be able to have something like this recognized by the Premier is an honour. This is in recognition of the fantastic work that we did to ensure the success of a very important project for the province in a time of uncertainty,” Merilees said.

The ASCP was a true Saskatchewan success story, meeting the federal and provincial government’s goal of getting people back to work during the pandemic, boosting the economy and cleaning up thousands of abandoned oil and gas well sites. CMJ

Our approach to mine closure is simple – we partner with clients to develop and implement tailored solutions that streamline reclamation and meet project objectives – all while considering stakeholder needs.

Mine Closure: Reclamation For Future Generations

stantec.com/mine-closure

Stantec is a world leader in the closure of operating, inactive, historic, and abandoned mines.

By OceanaGold

The Reefton restoration project

World-class rehabilitation in action at OceanaGold’s New Zealand site

In New Zealand’s South Island, OceanaGold is entering the final stages of rehabilitation of its Globe Progress mine. The mine closed in 2016, and the site subsequently became known as “the Reefton restoration project.” It is now approaching return to New Zealand’s Department of Conservation, which is expected in late 2024. Over the past eight years, OceanaGold has been progressively rehabilitating the site, using leading closure practices, and pioneering a passive water treatment system to ensure ongoing water quality for the site’s contact water.

Globe Progress mine

OceanaGold for almost 10 years between 2007 and 2016. During that time, it produced 70,000 to 80,000 oz. of gold per year, totalling over 610,000 oz. over its life.

The modern Globe Progress mine was an open pit mine that was operated by

The site is situated seven-kilometres southeast of the small town of Reefton in the Victoria Forest Park, New Zealand’s largest conservation area at 1,800 km2 Reefton was home to New Zealand’s

1860’s gold rush, and as a result, it was the first town in the Southern Hemisphere to have a public supply of electricity.

The modern Globe Progress site is over 5.4 km2 in its entirety; however, only 2.6 km2 were disturbed for the mining use. The site hosts the historic Globe Progress mine (closed in 1926) in addition to the General Gordon, Empress, and Souvenir mining areas.

Closure planning

Globe Progress is the first modern largescale gold mine in the South Island to move into closure. OceanaGold’s responsibilities under its resource consent (permitting) conditions include restoring and

The Globe Progress pit lake in 2023 CREDIT: OCEANAGOLD

Reefton Town CREDIT: OCEANAGOLD

rehabilitating the Globe Progress site to environmental standards and conditions specified in its Access Agreement with the Department of Conservation. This includes rehabilitation of landforms, establishing plantings of native trees and shrubs, meeting water quality standards, and infrastructure removal. Megan Williams, environmental advisor at the Reefton restoration project, explains, “When OceanaGold began operating the Globe Progress mine in 2007, it was done so with the condition that the company would rehabilitate the area, re-establishing the ecosystem with native plants, after mining was completed. The goal is to leave a safe and sustainable site that we have restored as best we can with the most up-to-date technology. This means, among other things, that the trees we have planted can produce seedlings, and that the water leaving site meets all the water quality standards.”

Megan Saussey, OceanaGold’s chief sustainability officer, explains that closure was considered even before mining started at Globe Progress: “Our team

looked at the entire mining life cycle and applied an elevated level of governance to planning and executing the closure of Globe Progress. We considered the environmental, social, cultural, and economic issues around closure at the initial stages of Globe Progress’ development. Through progressive closure planning, we sought to return disturbed land to a safe and stable condition, consistent with a final land use that complied with regulatory requirements and minimized our impact on the natural environment. Closure underpins the final legacy we leave in host communities and is a critical aspect in the maintenance of our promise to be a good neighbour.”

Williams agrees, “I want the work here to reflect that we did not take any shortcuts and that OceanaGold takes the environmental side of gold mining seriously. Productive mines can move into closure, and it is possible to have a mine that contributes to subsequent sustainable land use.”

Integrated reclamation in action

Concurrent restoration work, also known

as parallel reclamation, was an integral part of OceanaGold’s operations throughout the working life of the mine. Williams says this has been vital to the success of the mine’s closure, “Integrated closure at Globe Progress has been a dynamic and iterative process, developed throughout the life of the mine.”

She says that earlier efforts to plant southern rata and broadleaf were discontinued because of deer browse. Deer have no natural predators in New Zealand and can damage native forests by feeding on plants, trees, and seedlings, potentially threatening ecosystems. OceanaGold now prioritizes early successional species, such as manuka and red, silver, and mountain beech.

The site’s waste rock areas have been contoured to the shape of natural landforms in the area, covered with weathered rock and topsoil and replanted. Their shape and plant cover mirror the surrounding topography, vegetation, and animal life. Tree stumps and logs help reduce erosion during rainfall events and create micro habitats.

Top: Rehabilitated waste rock stack in 2022 shows growth of planted saplings.

Above: Megan Williams checks manuka trees on a restored waste rock stack at the Reefton Restoration Project

Left: The Reefton restoration project is approximately sevenkilometres southeast of the small town of Reefton in New Zealand’s South Island. CREDIT: OCEANAGOLD

“The woody material we have placed around the restoration area also provides little microclimates for other species we would not have planted ourselves,” says Williams. These encourage the nesting of birds, which disperse the seeds of a range of native plant species, further promoting ecological succession.

To date, approximately one million seedlings have been planted across an area of over 1.6 km2 (that is about 2.5 times the size of Disneyland). “The trees which have been planted will encourage the development of a natural forest,” Williams says. Ecosystems of indigenous tree species have been established across the site, populated by a variety of beech, and complemented by native conifers, including rimu, miro, and totara. Seeds were eco-sourced to mirror the surrounding forest and assist plant survival. “We had a four-person team each planting 900 to 1,100 seedlings a day. That is 12,000 a week, ramping up to 18,000 a week as the

planting season progressed,” Williams explains.

The Globe open pit, which began naturally filling with water when mining stopped, has 0.03 km2 of native species planted on benches and roads with beech and manuka where accessible. Three hundred thousand square metres of pit wall and benches have been hydroseeded with a mixture of native grass seed and ecosourced manuka. The small Souvenir

open pit has also been rehabilitated. It was filled, capped, and planted with beech species and manuka.

To monitor the progress of the forest regeneration and the success criteria developed in collaboration with professor David Norton at the University of Canterbury and the Department of Conservation, monitoring plots were established (10 metre by 10 metre). These ensured the correct density of saplings were being planted and seedling growth was on track to maturation.

Importance of wetland areas

The establishment of a functioning wetland created within the previous tailings’ storage facility has been a highlight of the Reefton project to date, as flora and fauna have thrived.

The Fossickers tailings area was partially capped, contoured, and planted. It is now a shallow water body, known as

The Reefton restoration project in 2015 (left) and in 2023 (right). CREDIT: OCEANAGOLD

Saplings planted on a waste rock stack are well on their way to becoming native forests. Photo taken in 2017. CREDIT: OCEANAGOLD

Fossickers Lake, that has attracted waterfowl and gulls. The engineered wetland has been fully planted with around 25,000 plants, while 0.3 km2 of littoral zone, the sloped space where water meets land, has been planted with around 62,000 plants. The littoral zone is often the most fertile and complex part of a waterbody. It helps

support a healthy aquatic ecosystem and beneficial organisms that serve a critical role in the foundation of the food web.

“The wetland plants have done better than we originally thought and in a shorter time frame,” explains Williams. “It has been amazing to see the return of native species to make this their home.”

Pioneering passive water treatment at Reefton

Steph Hayton, previously senior environmental advisor at the Reefton project, attributes OceanaGold’s success at Reefton to its innovative approach to closure, one that is grounded in science but pragmatic in nature. Hayton says that

Fossickers Lake in 2022. CREDIT: OCEANAGOLD

Steph Hayton (left) and Megan Williams (right) inspect plantings on the capped section of the Fossickers tailings’ storage facility. CREDIT: OCEANAGOLD

working on Reefton was a hugely rewarding experience. “Working on a project like this required an adaptive management style where research and trial work informed decisions on all aspects of closure. This included restoration trials determining rehabilitation methods at the beginning of the operation, all the way through to the establishment of passive treatment trials for long-term management of onsite water when we first went into closure,” Hayton added. She also says that this approach has meant innovative techniques have created some great long-term solutions.

One of those solutions was the development of a passive water treatment system to manage water quality from the site long after the site is passed back to the Department of Conservation. Water modelling results indicated that some site water would have elevated levels of certain contaminates in the long term. An options study was undertaken which identified a potential treatment system, but it was unfeasible in the area available.

Hayton started to look at SulfateReducing Bioreactors (SRB) and a Vertical

An integral part of the Reefton project has been reinstating recreational opportunities to the site and the development of a range of visitor experiences.

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Flow Reactor (VFR) as part of a master’s thesis project. An SRB is an anaerobic system, which provides carbon as an energy source for bacteria to remove sulfate and other metals, from solution. A VFR is an aerobic system. Water is oxygenated prior to entering the VFR, which precipitates iron out from the water, turning it into a reddish-brown colour. Iron naturally attracts other free-floating metals in the water, forming a sediment layer which acts as a filter capturing more contaminates from the water. The concept was developed at Cardiff University and then adapted by the OceanaGold team with the help of the Verum Group and Mine Waste Management.

Hayton explains that trials using the two systems were set up at Reefton in 2018, “The trials ran over a two-year period, and it became evident that the VFR worked exceedingly well — there was a noticeable difference in the hydraulic residence times (the time it takes for the water to move through the system), when compared to the SRBs. It showed removal rates of metals were high at low-residence times, and the captured solids proved to be more stable. Our solution using the VFR removes suspended metals from the water with little running cost, using gravity flows, and no added water treatment chemicals. It has been trialled extensively, with the final design developed to exceed compliance requirements and run as passively as possible.”

At Reefton, the iron particulate gently settles on a gravel filter bed at the bottom of collection ponds. The water then continues its gravity-fed course through the gravel bed and exits the system into the nearby creek. The solids are left behind in the collection pond, then removed and stored safely in a controlled storage area.

CONTINUED ON PAGE 28

Stop DangerousTramp Metals

Over time, the metals will eventually be exhausted from the site’s leachable rock, and the ponds will continue to naturally spill into the creek.

Design of the VFR to full scale was required to consider topographical constraints and the integration of other site elements, such as spillways. Hayton explains that the system being the first of its kind designed to full scale made it complex; however, the installation and implementation of the system was successful, and it is operating as designed with exceptional results. “The system is removing around 98% of iron and 96% of arsenic,” she says.

Community aspects of closure

Saussey says that the community aspects of closure are just as important as getting the environmental aspects right. “From the beginning we wanted to make sure that our team worked alongside the Reefton community to make sure we listened to their views on how we could leave the site in a way that would continue to contribute to the economy of the

town and the wider region,” she added.

An integral part of the Reefton project has been reinstating recreational oppor-

tunities to the site and the development of a range of visitor experiences. The company has been working with the Department of Conservation, regional councils, local Māori, and members of the community to develop access and activities that are both safe and sustainable in the long term.

A multidisciplinary working group was formed in 2021 with OceanaGold, the Department of Conservation, local Māori representatives, and the local community board to work on practical options. Linkages to existing hiking trails and the provision of a 12-kilometre multi-purpose trail making it possible to access the site from Reefton town by mountain bike are currently being constructed. Lookouts and rest areas, and interpretive panels detailing the social, cultural, and technological history of the area have been developed and will soon be installed, replacing the area previously occupied by the mine process plant.

Saussey says that the goal is to establish a sustainable visitor opportunity to benefit the Reefton community at the Globe Progress mine site which aligns with the obligations in the company’s Access Arrangement.

Handover to the Department of Conservation is planned for the end of 2024 by which time the site will be ready to cater for the visiting public as part of the Globe Progress Visitor Experience Project. CMJ

Mountain biking around Fossickers Lake will be one of the attractions of the restored site. CREDIT: OCEANAGOLD

By Tamer Elbokl, PhD

MADE IN CANADA: SECURING THE SUPPLY OF LOW-CARBON NICKEL

MARTIN TURENNE, PRESIDENT, CEO, AND DIRECTOR OF FPX NICKEL TALKS TO CMJ ABOUT “THE DIRTY SECRET OF THE EV INDUSTRY”

FPX Nickel is a company that has “too many irons in the fire.” Earlier this year, the company announced that it has closed the private placement financing with a new cornerstone strategic investor, Sumitomo Metal Mining Canada, a wholly owned subsidiary of Sumitomo Metal Mining. Later, FPX announced the creation of a Technical Advisory Committee (TAC) to provide guidance to FPX’s management regarding the exploration and development of the Baptiste nickel project. Additionally, the company successfully completed a large-scale mineral processing pilot testing campaign for the Baptiste nickel project. Then, an expansion of the Company’s Global Generative Alliance program with Japan Organization for Metals and Energy Security (JOGMEC) was announced last April. And the list goes on.

FPX Nickel is a Vancouver-based junior nickel mining company developing the large-scale Decar nickel district in central British Columbia.

During PDAC 2024, I met with Martin Turenne (MT), president, CEO, and director of FPX Nickel to discuss the latest news and success story of FPX Nickel.

CMJ: As a conversation starter, please talk to us about your background, the history of FPX Nickel, and the current company’s portfolio.

MT: I have a background in accounting and experience in the chemicals industry, but I have dedicated the last 15 years to the mining sector. Almost all that time has been with FPX Nickel, where I have held the position of CEO since 2015. Our primary focus at FPX Nickel is the development of the Baptiste nickel project located northwest of Prince George, B.C., and home to one of the world’s largest undeveloped land nickel deposits. It is a project that holds enormous potential. We are pioneering the development of a new nickel source from awaruite, a mineral known for its low sulfur content and strong magnetic properties. This means we can extract nickel without the need for chemicals and produce high-quality concentrate directly at the mine site. By bypassing the traditional, more carbon-intensive smelting process, the Baptiste nickel project has the potential to become a leader in low-carbon mining. It is important to acknowledge that the Baptiste nickel project is situated on the traditional territories of the Tl’azt’enne, Binche Whut’enne,

Yekooche, and Takla Peoples. We are deeply committed to listening to and understanding the priorities of First Nations’ communities, and we respect and appreciate their guidance and leadership as we advance the development in a responsible manner.

The Baptiste nickel project has the potential to be a high-margin, long-life, large-scale, and low-carbon mine with unparalleled flexibility to produce either a high-grade concentrate (60% nickel) for direct feed into the stainless-steel industry or further refining into battery-grade nickel sulfate, cobalt precipitate, and copper concentrate products for the battery material supply chain.

CMJ: Can you please give highlights of the 2023 prefeasibility study (PFS) of the Baptiste nickel project?

MT: Our PFS shows a very robust project that can produce nickel at a cost below US$4.00 per pound. Based on current estimates, the carbon intensity of Baptiste would be less than two tonnes of carbon dioxide for every tonne of nickel produced. This is significantly lower than the London Metal Exchange’s

MARTIN TURENNE

proposed limit of 20 tonnes of carbon dioxide per tonne for “green” nickel. The fact that it is in B.C. and well-located to plug into the North American electric vehicle ecosystem makes it a very strategic asset. Based on that and the prefeasibility study, we have seen a significant amount of interest from large players in the industry who have made strategic investments in our company, including Japan’s largest mining company, Sumitomo Metal Mining.

CMJ: What is the status of the worldwide nickel supply after the Covid-19 pandemic? Was it affected by the pandemic? And if so, how?

MT: Overall supply was not too negatively impacted by Covid19. What occurred during the pandemic, and what we continue to see today, is a regionalization of supply chains. Many western companies and governments are seeking to break their dependence on certain geopolitical actors who are not aligned with their values. What is very interesting to me about nickel, in that context, is the high concentration of geopolitical risk in the nickel supply chain. Approximately 70% of global nickel supply is controlled by China and Russia. So, one of the key things emerging out of Covid-19 is a growing realization that we need to break reliance on that supply. That means expanding production in Canada, Australia, and other allied nations.

CMJ: Can you please explain the deal and the benefits of the Sumitomo partnership announced recently, including the refinery option?

MT: Sumitomo Metal Mining is one of the world’s largest nickel producers. It is the largest mining and metal processing company in Japan, and they are very focused on supporting the Japanese nickel consumption ecosystem. Their customers include companies like Toyota, Panasonic, and Honda. As long-term players in the nickel space, they are constantly doing evaluations of next-generation projects, and their investment in FPX Nickel is their first in a nickel project in more than a decade. It represents the culmination of significant due diligence, and it expresses their positive views on the technical and economic viability of our project. Sumitomo is particularly expert at the processing of nickel into battery grade sulfate for the EV supply chain, so we see opportunities to collaborate with them not just on the project, but also on a potential refinery to produce that battery grade nickel.

CMJ: FPX, the University of British Columbia, and Trent University completed a study on the Baptiste deposit waste rock that demonstrates the tailings at the Baptiste deposit “can sequester significant quantities of carbon dioxide (CO2) when exposed to air through a natural process of mineral carbonation.” Can you explain the study and how carbon sequestering could play a large role in a future mining operation?

MT: The study examines the carbon capture potential of the minerals present in the waste and tailings material that would be generated from our project. In short, we believe that mate-

rial can act as a significant carbon sink, that would further reduce the carbon emissions on a net basis for our project, even lower than the two tonnes of carbon dioxide per tonne of nickel produced.

This aligns with our core value, which is protection of the environment. We need a safe, sustainable nickel supply to help the world transition to a low-carbon economy, and to support the growing prevalence of electric vehicles. One of our big competitive advantages is our ability to leverage the hydroelectric power available in B.C. and the carbon sequestration capacity of our material. It is very important for people to know that, in advancing this project, we are collectively enabling this transition to electrification and decarbonization and doing it in a responsible way.

CMJ: Can you give us an update on the activities of CO2 Lock?

MT: CO2 Lock is a majority-owned subsidiary of FPX, formed to find mineral deposits that are particularly high in minerals reactive with carbon dioxide, primarily brucite. We have identified an initial study area in B.C. and are now evaluating three methods to mineralize and store carbon. Through these initial assessments, our aim is to identify the best approach and proceed to pilot plant trials in the field as soon as this year. Additionally, we are studying prospective international locations to demonstrate potential global impact. This activity has attracted great interest, and we are very keen to see the progress it can make so that we are able to apply learnings to FPX’s project development at Baptiste.

CMJ: In one of your recent presentations, you talked about “the dirty secret of the EV industry;” can you elaborate on that?

MT: The nickel production processes we see in other parts of the world, and that currently goes into making Tesla batteries, emit excessive amounts of carbon dioxide for every tonne of nickel production. If 20 people each purchase a Tesla, they are collectively responsible for 80 tonnes of carbon dioxide emissions. And that is just for nickel. Whereas if those same 20 people bought cars that had nickel coming from our batteries project, they would collectively be responsible for only two tonnes of carbon dioxide. I do not think many consumers understand the implications of the full supply chain. We see that certainly in things like food, for example, where people are very concerned about buying organic or fair-trade coffee, and I think we need to apply that mentality to our other purchase decisions. When consumers and governments put those puzzle pieces together, the strategic environmental value of our project becomes clear. CMJ

The Baptiste zone of the Decar nickel district in B.C. CREDIT: FPX NICKEL

The International Nickel Company (Inco) and

the BIG NICKEL scandal of 1916

In 1854, the land surveyor A.P. Salter noticed the needle on his compass wiggle in strange way, a signal that the bedrock on which he stood contained a huge deposit of nickel (one of the few ferromagnetic minerals that affects the orientation of old-school magnetic compasses). Owing to its remoteness, Salter’s discovery was ignored at the time and soon forgotten. The construction of the Canadian Pacific Railway through the Sudbury basin in the early 1880s brought an influx of newcomers and a transportation link to the region. Among them was a blacksmith named Thomas Flanagan, who in 1883 noticed telltale signs of mineralization (namely, rusty residue associated with oxidization) at a blast site. A staking rush soon followed, as prospectors and early developers laid the foundation for the growth of Ontario’s nickel empire.

More than anyone, the American investor Samuel Ritchie actively promoted Sudbury nickel as the new wonder-metal of modern warfare. But when Ritchie initially created the Canadian

Copper Company in 1886, his focus was, as the name of his company suggests, the copper in the Sudbury ore because there was no real market for the much larger supply of nickel. Ritchie also faced the problem of developing a smelting facility that could separate the nickel from the copper and other minerals in the ore.

To overcome these obstacles, Ritchie forged a partnership with Robert M. Thompson, president of the Orford Copper Company of New Jersey, the only firm in North America that had developed a large-scale process for smelting nickel ore. Orford helped to design a facility to produce nickel matte in Copper Cliff (now part of Sudbury), but the final smelting would take place at Orford’s New Jersey plant. To develop a market for nickel, Ritchie lobbied General Benjamin Tracy, Secretary of the U.S. Navy, to conduct experiments on the development of a nickel-steel alloy that was strong and durable enough for military purposes.

The new nickel-steel armour plating was so effective, the U.S. Navy pursued a massive ship-building program in the

1890s to modernize their fleet. In 1902, the all-important nickel supply chain connecting Sudbury to New Jersey was further reinforced when J. Pierpont Morgan bought Orford and the Canadian Copper Company and merged them to create the International Nickel Company (shortened to Inco in 1919). Some Canadian politicians grumbled about the fact that Inco was exporting a partially refined product that could be smelted in Canada. Ironically, Samuel Ritchie, bitter because he had been ousted from the board of the Canadian Copper Company in 1891, worked with sympathetic businessmen to lobby for an export tax on nickel matte to support the development of a nickel smelter in Canada. Most in the mining industry opposed the idea. The Canadian Mining Review urged the government to “let the mining industry have a free chance to develop and strengthen itself; to gather a population of consumers around it; to give natural birth to associated industries.” The government mostly acceded to this sentiment, at least until World War One brought the debate over nickel processing to a fever pitch.

On July 9, 1916, the German cargo submarine, the Deutschland, arrived in the port of Baltimore, one of two commercial cargo submarines built to avoid the British naval blockade of the Atlantic shipping lanes. With the U.S. not yet fighting in the war, the submarine crew members were feted as celebrities, as their curious vessel and daring journey across the Atlantic seemed to capture the public imagination. The spectacle of the American media celebrating a German submarine likely rankled Canadians, but when The Providence Journal reported that the return cargo would include 341 tonnes of nickel that was likely mined in Sudbury, the reaction was fast and furious. On July 12, the editors of The Globe

captured the public mood when they opined, “not a pound of metal, whether wholly or partially refined, should be permitted to reach Germany from Canada.” They went on to argue that “nothing short of the government control of the refining of nickel in Canada, probably including government ownership of the refining plants, will now satisfy the people of Canada.”

At first, the government and industry denied the story. G. Howard Ferguson, Ontario’s minister of lands, forests, and mines, told The Globe that if the Deutschland were to reach the open Atlantic safely, “it will not contain one ounce of Canadian nickel.” In a shot aimed at his interviewers, Ferguson argued that “the newspaper editor who sits in his office and tells the public that Canadian nickel is in danger of reaching enemy shores is not only falsifying conditions, but seriously injuring recruiting.” Ferguson claimed that the British government tracked every ounce of nickel that left Canada, and it was “absurd” to claim that the government would allow it

to fall into the hands of the enemy. James T.Ashley, treasurer of Inco, also denied the story, claiming that all nickel sales remained under the control and supervision of the Canadian government.

But the story did not end there, mostly because nobody could provide convincing evidence that the nickel aboard the Deutschland was not from Sudbury. On the contrary, The Globe reported that George P. Graham, a member of parliament with the opposition Liberals, had traveled to New York on July 18 and interviewed businessmen familiar with nickel markets. One of Graham’s contacts suggested he had bought tens of thousands of dollars of nickel from Sudbury, with no restriction on where he could sell it internationally. As late as November 1916, The Globe castigated Arthur Meighan, the federal solicitor general, for arguing, without proof, that the nickel on the Deutschland must have come from mines in the U.S.

Despite the public arguments, the damage was done. The government and industry had little choice but to mollify the public outrage. Inco created a Canadian sub-

sidiary on July 25, 1916, which helped to pacify Canadian economic nationalists. More importantly, in early August, the company committed to build a nickel smelter in Port Colborne, Ont. (Sudbury lacked the requisite power supply), which created an all-Canadian nickel production process once the plant was completed in 1918. While the industry had favoured continental integration, nickel’s status as a strategic wartime metal forced the consolidation of operations within Canada. From Inco’s point of view, it was fate preferable to the public demands for a government takeover, one that allowed Inco to maintain its virtual lock on continental nickel supplies and feed the ongoing demand for nickel, especially in the U.S., as major military conflicts continued to erupt throughout the 20th century. CMJ

John Sandlos is a professor in the History Department at Memorial University of Newfoundland and the co-author (with Arn Keeling) of “Mining Country: A History of Canada’s Mines and Miners,” published by James Lorimer and Co. in 2021.

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ON THE MOVE

Executive, Management and Board Changes in Canada’s Mining Sector

TOP MOVES IN THIS ISSUE

Jane Banks

Jane Banks joined Lincoln Strategic a leading executive search and recruitment firm specializing in the mining sector. With over two decades of mining recruitment experience, Jane has played a pivotal role securing talent for many successful operational turnarounds and startup ventures. Possessing a deep understanding of the global mining arena and a strong professional network, Jane brings a unique combination of industry insight and credibility to her role. She will collaborate with John Larpent, Steve Bergounhon, and Erik Buckland at Lincoln Strategic.

Nathan M. Stubina is now CEO at Pace Global. His extensive resume lists some of the world’s mining giants, including Falconbridge, Noranda, McEwen Mining, Sherritt International, and Barrick Gold. He was VP international of the CIM and served as president of the CIM’s MetSoc. Stubina holds a PhD in metallurgy and materials from the University of Toronto and a BEng in mining and metallurgical engineering from McGill University. He also holds a Six Sigma Master Black Belt in process improvement.

Francis Hardy took over as Newmont CTO, bringing more than 30 years of mining experience to the role. He joined Newmont in 2002 and has held roles including group head exploration, MD Africa, and GM Tanami. Hardy graduated from the Technikon Witwatersrand (now University of Johannesburg) with a BSc in mine engineering and received his national higher diploma in metalliferous mining from the University of Johannesburg. He look for new ways to enhance operations through innovation and new technologies.

MANAGEMENT MOVES

» 1911 Gold welcomed new VP exploration Della Libera

» Alamos Gold hired Ryan Clarke as GM at the YoungDavidson mine.

» Doug Beahm is the new COO at Anfield Energy

Appia Rare Earths & Uranium named Andre Costa its new VP exploration for Brazil.

» Aris Mining named Richard Orazietti as CFO and Oliver Dachsel as SVP capital markets.

» Atacama Resources International appointed Greg Praver as its new COO.

» Atacama Resources International welcomed Thomas Moynihan as its new CFO and Brian Praver as VP business development.

» When founding CEO Raymond Jannas retires at the end of April, he will be replaced by Ben Pullinger, currently SVP of exploration and business development, at Atex Resources. Additionally, Aman Atwal will become VP of business development and investor relations, and Owen Hatton will be director of exploration.

» C2C Metals named Jason Bagg as CEO.

» Brian Arkell is now VP exploration and technical services at Cabral Gold.

» Michael Swistun is the new president and CEO of Canadian Gold.

» Condor Resources named Chris Buncic the company’s new president and CEO.

» Eminent Gold has a new head of communications, Michael Bebek

» General Copper Gold named Michael Curtis its new president and CEO.

» Goldshore Resources appointed Michael Henrichsen as CEO.

» Great Eagle Gold secretary Gary Harbottle has added CFO to his duties.

» Japan Gold strengthened its team with the appointment of Alexia Helgason as VP corporate communications.

» Jaxon Mining said CFO and secretary Brian Crawford has resigned.

» Karus Mining appointed Alex Gostevskikh as CEO and director.

» KO Gold named Leah Dionne corporate secretary.

» Kore Mining appointed Jim Henning as CFO and a director.

» Luca Mining named Israel Munoz VP finance.

» Richard Klue is now VP technical services at Mayfair Gold

» Osprey Advanced Materials reported the death of co-founder Dale Schultz on April 3, 2024.

» Palamina welcomed new VP exploration Alvaro Fernandez-Baca

» Quebec Innovative Materials named John Karagianidis as the new president and CEO.

» Quebec Rare Earth Elements named Sylvain Duchesne VP process alnd engineering.

Nathan Stubina Francis Hardy

» Sayona Mining appointed Manon Berube EVP and GM of the Eeyou Istchee James Bay hub.

» Stelmine Canada named Christian de Saint-Rome as interim president and CEO.

» Steppe Gold said EVP Aneel Waraich and COO Greg Wood have resigned.

» Titan Mining named Ty Minnick as interim CFO.

» Traction Uranium named Paul Gorman interim CEO and a director.

Michael Michaud is stepping down from the post at SVP exploration and resources at Wesdome Gold Mines

» Windshear Gold appointed Patricio Varas president.

» Zeus North America has a new CFO and secretary, Lawrence Cheung

» 1911 Gold named Gary O’Connor executive chair.

» Atacama Resources has three new directors – John Grant, William MacRae, and Greg Praver

» Aurelius Minerals gave Grant Hall a seat on the board.

» Alain Laplante joined the board of Cartier Resources

» Defense Metals named Guy de Selliers de Moranville to the board.

» Flying Nickel Mining added Neil Duboff to its board.

» Gold Royalty said Glenn Mullan has given up his seat.

» Great Eagle Gold added Michael Moses to the board.

» Headwater Gold named Fraser MacCorquodale a non-executive director.

» Honey Badger Silver has appointed George Topping to the board.

» Inca One Gold announced the resignation of Adrian Morger from the board.

» Kore Mining named Barry Brandon a director.

» Kore Mining said Harry Pokrandt resigned his seat.

» Lucapa Diamond named ex-De Beers head Stuart Brown as chair.

» The newest member of the Pasofino Gold board is Emre Kayisoglu

» Planet Green Metals added Sandy M. Archibald to the board.

» Rua Gold offered Tyron Breytenbach a seat on the board.

» Terry Krepiakevich joined the board of Sama Resources

» Ur-Energy appointed new board members John Paul Pressey and Elmer W. Dyke.

» Martin Vydra has resigned from the board of US Copper

» Vizsla Silver welcomed Suki Gill as a director.

Contact Robert Seagraves at rseagraves@canadianminingjournal.com or George Agelopoulos at gagelopoulos@northernminer.com or call 1-416-510-6891 to request your copy.

DEC 1-2, 2024

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