Friday, April 22, 2011
MINERALS NORTH 2011 APRIL 27-29 STEWART, BC
S TANDARD TERRACE
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Terrace Economic Development Authority 3224 Kalum Street, Terrace, B.C. V8G 2N1 Toll Free: 1-877-635-4168 Fax: 250-635-4152 www.teda.ca
Friday, April 22, 2011
MINERALS NORTH 2011
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Stewart is once again playing gracious host STEWART - For more than 20 years the annual Minerals North mining conference has played a pivotal role for the industry and for the people who live in the north. For it’s at these conferences that business and personal relationships are forged, ideas exchanged and groundwork set for an industry which provides an economic foundation for the north’s economy. Stewart has played a key part in the development of the Minerals North conferences. While the first northern BC minerals conference was held in Terrace in 1989 the name Minerals North was not adopted until the third conference which was held in Stewart in 1991. Stewart was the host again in 2005 and is welcoming the industry again this spring. Minerals North is held in a different location each year, with each host community being responsible for organizing and undertaking the event. The conference attendants are a mixture of residents from communities throughout northern BC, including an increasing number from First Nation communities, mining and exploration company representatives, service providers and local and provincial politicians. Not only does the mix of people make the conference unique, so does the atmosphere. Communities have put huge effort into the conferences, and the friendliness and open hospitality has been the thing delegates most remember. Many have remarked that it felt like they were invited right into the living
rooms of the hosts. According to the history of Minerals North, posted on its website, from the onset, the events were more than just another mining conference. They were a forum where people were invited into communities to meet and discuss aspects of the industry with people having many different connections to, and opinions on, mineral exploration and development. The concept of a northern minerals association “was discussed at the 1991 conference, as well as over beverages during the winter of 1992. The intent was to not only facilitate an annual conference, but also to provide a northern perspective to land use debates and to promote the economic benefits of the industry in the north part of the province.” Those years were marked by low exploration and controversy over the proposed Windy Craggy copper mine in the environmentally sensitive Tatshenshini region. One of the new association’s first endeavours was to organize a conference on Windy Craggy in conjunction with local environmental groups, with invites to representatives from all sides of the debate. The decision in 1993 by the BC government to make the area of the mine a park negated the need for the planned conference. However the understanding and goodwill between people with different outlooks on the issue that resulted from working together remains and forms the core of the philosophy behind the continuing success of the annual Minerals North conferences.
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MINERALS NORTH 2011
Friday, April 22, 2011
MINERALS NORTH 2011
Conference Agenda
APRIL 27-29 STEWART, BC
Wednesday, April 27th
Friday, April 29th
Time
Event
Time
Event
10:00am – 5:00pm
Tradeshow Set-Up & Registration Al Lawrence Memorial Arena and Events Centre Open House – Activation Labs, 5th Avenue, Stewart (see invitation for more information) Welcome Reception & Registration - Sealaska Inn, Hyder AK (sponsored by: Pretivm Resources)
6:00am – 8:45am
Breakfast - King Edward Hotel (sponsored by: Castle Resources) Tradeshow Opens - Al Lawrence Memorial Arena and Events
4:00pm - ?? 6:30pm - ??
9:00am
Centre 9:00am
Thursday, April 28th 6:00am – 8:30am 8:45am
9:00am 9:00am
12:00pm – 1:30pm
1:30pm
3:00pm
4:30pm 5:00pm 6:30pm - ??
Breakfast - King Edward Hotel (sponsored by: Seabridge Gold) Official Welcome & Opening Remarks Al Lawrence Memorial Arena and Events Centre • Mayor Angela Brand Danuser • President Mitchell Stevens, Nisga’a Lisims Government • Doug Donaldson, MLA Stikine Tradeshow Opens - Al Lawrence Memorial Arena and Events Centre Powering It All Up • Long Lake Hydro, Regional Power – David Carter • Power Smart, BC Hydro – Mike Brandson In Production • Yukon Zinc – Shae Dalphond Tomorrow’s New Mines • Red Chris, Imperial Metals – Byng Giraud • Galore Creek, Galore Creek Management Corp – Henri Letient • Mt. Milligan, Terrane Metals – Christy Smith Lunch – Elementary School Gym (sponsored by: Seabridge Gold) Keynote Speaker – Pierre Gratton, President & CEO of Mining Association of British Columbia (sponsored by: MABC) Janine North, CEO NDI Trust – Northern Development Business Programs for the Mining Industry and Suppliers In The Heart of the “Golden Triangle” • Brucejack & Snowfield, Pretivm Resources - Speaker TBA • Turnagain, Hard Creek Nickel – Ed Beswick • Kutcho Project, Capstone Mining – John Sagman • Schaft Creek, Copper Fox – Cam Grundstrom • KSM, Seabridge Gold – Brent Murphy & Mike Savell Tradeshow Open to the General Public Open House – EcoTech Laboratory, Stewart Group located at 621 6th Ave GeoScience BC Project Announcement – Trade Show Floor Tradeshow Closes Banquet – We Will Rock You! (sponsored by: Radius Drilling) • Featuring: • the Accelerators • (sponsored by: Fountain Tire Mine Services)
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Gavin Dirom – President and CEO, AME BC Exploration in the Northwest • Kitsault Mine, Avanti Mining – Craig Nelsen • Granduc Property, Castle Resources – Mike Sylvestre • The BA Project, Great Bear Resources – Lucia Theny • Silver Coin, Jayden Resources – Bob Perry • Decade Resources – Ed Kruchkowski • Overview of GeoScience BC’s 2011 Activities – ‘Lyn Anglin • Recent Mineral Exploration and Development in Northern BC – Kirk D.Hancock, P.Geo Lunch – Elementary School Gym (sponsored by: Imperial Metals) Keynote Speaker: Bruce Barrett, Vice President, Transmission & Distribution, Major Projects Delivery, BC Hydro (sponsored by: BC Hydro) Tradeshow Closes Overall Conference Sponsor:
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Friday, April 22, 2011
MINERALS NORTH 2011
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Mines minister extends best wishes By Rich Coleman VICTORIA - I am honoured to welcome you to the Minerals North mining conference. Since 1989 this conference has given voice to the aspirations of the mining industry in northern British Columbia and provided insight into the region’s activities and potential. With commodity prices booming and demand soaring, this is an exciting time to be part of the mining industry. As the global economy continues to rebound, particularly in Asia, we can look forward to a prosperous future. The dramatic increase in mineral exploration spending – from $154 million in 2009 to
$322 million in 2010 – underlines mining’s vitality. The northwest led the recovery in exploration expenditure, with companies spending $172 million in 2010, an increase of 164 per cent. The exploration taking place in the region suggests another healthy figure for 2011. Mining is a $7-billion industry that has helped to power the province’s economic recovery, with employment, revenue, exports, production and prices all up over the previous year. This is an industry crucial to British Columbia’s success. To take full advantage of these favourable conditions it is essential that we continue to make the province glob-
ally competitive with other jurisdictions, while ensuring responsible exploration and mining. This government is determined to strengthen B.C.’s mining sector for the benefit of all British Columbians. We believe that the province’s revenue sharing agreements with First Nations, tax and fiscal policies, rich mineral deposits, world-class infrastructure, outstanding public geoscience data and abundant sources of clean and affordable energy all combine to make B.C. an extremely attractive proposition for mining investors. It is in this climate that new mines are opening around B.C.. Four coal mines have opened in the north-east corner of the province over the past six years, while
RICH COLEMAN the Mt Milligan coppergold mine, currently under construction, plans to begin operations in 2013. Mt Milligan is expected to create 400 high-paying jobs, with miners earning an average wage of $110,000.
Perhaps of more immediate interest to this region is the Northwest Transmission Line, a $400-million, 287-kilovolt, 335-kilometre, publicly-owned transmission line from the Skeena Substation near Terrace to Bob Quinn Lake on Hwy37 North. The NTL is vital to the region’s regeneration. The power it will supply will help develop a number of mineral projects that will create thousands of jobs and inject new life into struggling communities. It is for this reason that the provincial government is committed to reaching agreements with all the communities that will be affected by the power line. The people of Stewart and northwest B.C.
have high expectations following the power line’s approval. If Galore Creek develops into a mine, it will attract billions of dollars in capital investment and when operational will provide about 900 well-paid jobs. The Red Chris project, located near Iskut, will require about $400 million in capital investment and could employ up to 500 people. Apart from serving as a substantial supply and service centre, Stewart’s port should see a marked increase in traffic. Thousands of indirect jobs would be created throughout the region by these two mines alone. With numerous projects worth billions of dollars and thousands of
jobs in the environmental assessment process, it is imperative that our goal of “one project, one process” is realized. We will work hard on this issue with our federal counterparts as it is vitally important to the region and the province. For the good of every British Columbian, it is essential that mining succeeds in the province. I can assure you our government will fully support you in this endeavour. Best wishes for a successful conference. Rich Coleman is the provincial Minister of Energy and Mines and Minister Responsible for Housing. He is the MLA for Fort Langley-Aldergrove.
Welcome to the heart of mining’s golden triangle By Angela Brand Danuser STEWART - Once again, Minerals North is being held in Stewart. We have been lucky to host this conference three other times in the past, 1991, 1995 and 2005. This conference is a great way for Stewart to showcase what we can provide to the mining industry and
with the recent upturn in the industry the excitement and energy leading up to the conference is palpable. The Minerals North Committee is made up of a core group of volunteers. The list includes Gwen McKay, Shannon McFee, Maria Ryder, Peggy Lister, Stu Murray, Lora-Lee Murray, Silvia Goulet and myself. We are a small but dedicated group and
we have enlisted the help of several smaller “subcommittees” to work with us on decorating, trade show set up, and the banquet. The planning for this year’s conference has included quite a bit of accommodation juggling and coordination. We mailed out a notice to everyone in town advising of the upcoming conference and asked if anyone had any rooms/hous-
ANGELA BRAND DANUSER
es they would like to rent. Not surprisingly we received quite a few replies and have been able to connect people directly. With the entire community working together we have been successful in selling out all the trade show booths and registration for the conference is maxed out at 275! The lineup of presenters for this year’s conference is first
rate! We are focusing on some of the activity around Stewart and along Highway 37north; projects such as Galore Creek, KSM, Red Chris, Kitsault, Granduc, Red Cliff, and Long Lake Hydro to name just a few. The presentations and trade show will be held in the Al Lawrence Memorial Arena and Events Centre and will keep everyone busy all day Thursday and until lunch on Fri-
day. Mining has always been a very big part of the economy of Stewart; exploration, development, production and closure we have seen it all. Minerals North 2011 will give delegates at this year’s conference a firsthand view of this - in the heart of the “golden triangle”. Angela Brand Danuser is the mayor of Stewart, BC.
All eyes are turning to the Red Chris property TERRACE - With provincial environmental approval for the Northwest Transmission Line now in writing and with the expectation of federal approval soon, anticipation is growing over the line’s customers. Already under construction is the Forrest Kerr run-of-river project which will generate power by taking water from the Iskut River and then returning it without having to resort to the more traditional dam system. It will need to build its own power line to hook up into the end of the Northwest Transmission Line at a substation to be built at Bob Quinn. Also needing its own power line, but this time to take power from the substation at Bob Quinn, is Imperial Metals which is on the verge of announcing construction of a mine at its Red Chris copper property, just south and to the east of Iskut. The Red Chris power line will run south paralleling Hwy37 North to Bob Quinn, a distance of more than 100 kilometres. A feasibility study update released in late 2010 concluded the Red Chris
property has robust economic viability. Now underway is detailed engineering, gathering of procurement details and construction details aimed at commissioning to target commercial production in the first quarter of 2014. That’s based on the completion of the Northwest Transmission Line at the end of 2013. Imperial Metals officials have consistently said they want to the Northwest Transmission Line’s first customer. As currently envisioned, the Red Chris mine will have a life span of more than 24 years, adding economic stability to the region from its direct jobs and from indirect spinoffs as well as providing income to the provincial treasury. Ore will be taken out through the port at Stewart. The company has committed itself to a cooperative working relationship with the Tahltan. The history of the property goes back decades and Imperial Metals acquired the property in 2007 with an eye to project construction.
FILE PHOTO
Imperial Metals hosted a tour of the Red Chris mine site last July, bringing together mining industry stakeholders and representatives from the federal and provincial government as well as members from the Tahltan Central Council. From left to right is Imperial Metals chairman Pierre Lebel, then-minister of energy, mines and petroleum Bill Bennett with Iskut band Chief Marie Quock, Tahltan Band Chief Rick McLean, Tahltan Central Council Chair Annita McPhee and Bill Adsit from the Tahltan National Development Corporation.
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MINERALS NORTH 2011
Friday, April 22, 2011
CONTRIBUTED PHOTO
A change in regulations has made it more efficient to transport on Highway 37 North.
Carrying ore has been made more efficient By Margaret Speirs TERRACE - An agreement between the provincial government, a northern B.C. company and a Yukon mining company has been a benefit to the company, truck drivers and Hwy 37 North. And with mines set to open in the northwest, the potential is there for even more benefits. Last June, Maple Leaf Loading Ltd., a shipping company headquartered in Prince George, and Yukon Zinc Corp. mining company entered into a deal with the BC government, allowing Maple Leaf to haul zinc, copper and lead concentrate along Hwy 37 North from Yukon Zinc’s Wolverine Mine in the Yukon Territory to the port of Stewart. The alternative would’ve been shipping it to the port of Skagway, Alaska, which would’ve been the most plausible, cost savings way for Yukon Zinc to go without the bulk haul agreement, said Maple Leaf company chief operating officer Don Watt. Under the bulk haul program, Maple Leaf was allowed to use
trucks that comply with axle weight limits but exceed gross vehicle weight limits. That means trucks can haul more weight than before. For Maple Leaf, the bulk haul agreement means a significant fuel savings as trucks can carry a 20 per cent larger payload, said Watt. The agreement helps the company as it wants to grow, which requires more manpower and equipment – equipment can be bought but manpower can be difficult to find as fewer people go into trucking as a career. Maple Leaf hasn’t signed any more bulk load agreements, but with the plans for the Galore Creek mine and the Northwest Transmission Line along the Hwy 37 North corridor, the potential is there. “We would hope that we would have the opportunity,” Watt said about signing more bulk hauling agreements with these companies when their projects go ahead. Maple Leaf was the first to sign a bulk haul agreement but that doesn’t automatically grant it a monopoly on signing any future agree-
ments that come up along Hwy 37 North. “An agreement would be easy because it’s the same vehicle and same stuff. The big thing is we’d have to win the competitive tender. Now that everybody knows what we’re doing, the cat’s out of the bag,” said Watt. The provincial bulk haul agreement allows the Maple Leaf trucks to exceed the gross vehicle weight restrictions while complying with axle weight limits on Hwy 37 North. This is done by adding an extra axle. “We just have one trailer behind us but with an extra axle on the end,” Watt explained, adding that other trucks pulling a trailer will have eight axles under them but his trucks use nine axles. The provincial government support, under then-minister of transportation Shirley Bond, helped the agreement go forward, he said. In a press release announcing the agreement last year, the transportation ministry said Maple Leaf would receive “up to $440,000 to
support creation of transportation sector employment in northwest B.C....” from the Northern Development Initiative Trust. The money, was to assist with training and capital costs, said Watt, adding he wasn’t sure of the exact amount. “Under the bulk haul agreement was a fairly stringent list of required training,” he says. Another condition of the agreement was that “drivers must have a minimum of 100,000 kilometres driving experience on similar highways with similar equipment...” The distance required of these truck drivers is more like 250,000 km, said Watt, adding that distance amounts to two or three years of driving but another requirement is that the drivers have experience pulling multiple trailers as larger weights will stop and accelerate differently. The bulk haul program here allows the focus to be put on staying in B.C. in general and northern B.C. in particular, said Watt. “Our focus is it’s much easier to stay in Canada, and being in BC
and born and raised in the north, I wanted to see it (jobs) stay in the north,” he said. “As the [Wolverine] mine is starting to produce more, we’re starting to ramp up. We’ll go through hiring phases in the next few months and expect to be near full production by the end of the year.” That will mean about 65 jobs for truck drivers, mechanics, administration and management, he added. A round trip from the mine to the port of Stewart and back again takes about two-and-a-half days, he said. The company currently hauls about 10 loads a week, with about four trucks units, but that number is changing as business starts to ramp up, added Watt. When Yukon Zinc is up and running at its peak, Watt expects to be running about 15 truck units 24 hours a day, seven days each week, he said. Other sectors of the economy are also looking at the regulation change to see if it can aid their particular business.
Bulk terminal owners anticipate an upswing By Kat Lee STEWART - Not all of the port activity along the northern coast of the province is confined to either Kitimat or to Prince Rupert. More mining activity in the northwest means that transportation businesses can grow by using port facilities at Stewart as the industry develops. Stewart Bulk Terminals Ltd. has been shipping ore out of the Stewart port since 1994, moving the product to Japan and China. It used to ship ore from Eskay Creek before the mine closed down
several years ago. It is now is shipping product from the Huckleberry mine, which is owned by Imperial Metals, near Houston. Company co-owner Al Soucie said the terminal isn’t working at full capacity, saying that there’s only about 12 ships a year at the terminal. “Just maybe...five per cent of the time,” he said, confirming that the company would stand to gain if mining opportunities do develop in the region. “There’s quite a few potential mines coming up,” he said of an upswing in exploration and development. See Bulk terminal Page 7
CONTRIBUTED PHOTO
Bulk carrier at Stewart Bulk Terminals in Stewart is being loaded up with ore for the journey across the ocean to markets in Asia.
Friday, April 22, 2011
MINERALS NORTH 2011
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Road to Stewart leads to bulk terminal at its port “We hope to accommodate them all instead of (them) driving around to Rupert or Kitimat, because it would be a long drive for them,” Soucie said, pointing out that it’s about 20km shorter to come to Stewart than it is to Prince Rupert from the Bulkley Valley area. Right now, he said, various mining companies are making sure they’re securing spots at the terminal.
“We’ve met with them, and waiting for them to get their permits and see if they can get on with things,” Soucie said. Stewart Bulk Terminals Ltd. is privately owned and operated by Al Soucie and Jack Elsworth. It’s located on a fjord that is ice-free throughout the year and connects to the rest of the Northwest through Hwy37A.
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Mining offers wide variety when it comes to a career By Janine Workman TERRACE - Mining opportunities for high school students can reach far beyond the general act of mining. This is according to Mike Jones, career and vocational counsellor at Caledonia Secondary School in Terrace, who said career opportunities for students within mines are wide-spread and diversified. “They need everybody from nurses to carpenters to welders to truck drivers, you name it,” Jones said. “Basically they [mining camps] are cities unto themselves. Whatever a city needs, a big mine operation would need the same thing.” Caledonia currently has a trades training program set up in co-operation with Northwest Community College (NWCC) where high school students can get a jump start on trades before graduation. Using a partnership program for school districts and and post-secondary institutions called ACE IT Caledonia sends students to NWCC to learn from registered tradesmen. The students receive high school graduation credits as well as the technical component of a level one apprenticeships. “The point being, get into a trade, get qualified for a trade, or get a start on your apprenticeship,” Jones said. Caledonia students have the opportunity to learn welding, carpentry, electricians, millwright, culinary and auto mechanics – all skills which would be used in the running of a mine – through this program. “There are more kids that are interested
in mining only though the career programs through the NWCC,” Jones said. Jones also said Caledonia also offers standard science courses as well as a Geology 12 class, which would also benefit students looking to get involved with mining. And upon graduation in the area students can take a variety of mining courses at Northwest Community College (NWCC), said employment advisor for mining and exploration Rob Maurer. He said NWCC offers many different options such as learning how to be a part of a soil sampling crew, working a a drillers helper or becoming a drill technician. Most of these courses are certificates, which run anywhere from six days to seven weeks. And while they are not transferable towards a degree Maurer said they are recognized throughout the mining industry, and that companies will hire directly based on these certifications. He said employment is high for students coming out of mining and exploration programs. “It’s safely over 80 per cent, I think it’s going to be growing,” Maurer said. He also strongly recommend safety certifications, such as first aid or a bear awareness course as something beneficial to prospective mine workers. Maurer’s strongest recommendation for anyone looking to succeed in the mining industry was to have a valid drivers license. “The biggest advice I can give to anyone now is to get a driver’s licence, Maurer said, adding it was a real surprise to him how many people don’t have one.
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MINERALS NORTH 2011
Friday, April 22, 2011
Mineral exploration continuing to grow VANCOUVER – The dramatic revival of mining in British Columbia was underlined today with the release of exploration spending figures for 2010 that were more than double the amount for 2009. The expenditure worked out to $322-million last year. This represents the third-highest total in the province’s history and a 109 per cent increase on the $154-million spent in 2009. By way of comparison, in 1999 mining exploration expenditures were only $25 million. The increase is being regarded as a remarkable turnaround for the industry and for the province from the low spending years of the 1990s. Those working in various facets of the mining industry are benefitting from higher wages and that helps their families and their communities. In addition to exploration spending, the mining industry invested more than $1 billion last year expanding existing operations and developing new mines in B.C. Exploration and mine development investments are both key indicators of mining’s future. This kind of spending includes increase drilling and sampling, activities required to sustain the mining industry. Along with the construction and mine development underway at Copper Mountain, New Afton and, in the north, Mt. Milligan, in 2010, there were also major mine expansions at Endako, Gibraltar, Highland Valley Copper and Wolverine mines. The dollar value of mineral exploration
in BC very much follows the worldwide demand for products and is influenced by many outside matters. In 2009, for example, $154 million was spent on exploration, a sign of the continuing depressed demand for commodities. That’s compared to the $367 million in exploration expenditures for 2008 and the $416 million estimation in 2007. Continuing and robust exploration is necessary to keep the industry alive and well in BC. BC covers 18 per cent of the total Canadian mineral resource production, behind only Quebec at 19 per cent and Ontario at 20 per cent. Canada’s coal mines and metal mines offered the highest average weekly wages followed by smelting and refining and non-metal mining. As of 2010, there are 8 operating metal mines, 10 operating coal mines and more than 65 industrial mineral operations across the province. A full 60 per cent of Canadian exploration and mining companies are based in British Columbia. The number of new mine development proposals was 36: 21 metal mines, 10 coal mines, 2 industrial minerals operations and 3 large aggregate operations. 28 new mineral deposit discoveries were reported. According to the Pricewaterhouse Coopers’ (PwC) report on mining, BC’s economy is strongly supported by the mining industry -- it reported pre-tax net earnings of $2.3 billion during 2009 in spite of the worldwide economic slowdown.
Sustainable, responsible mining is an important economic opportunity for the northwest. Congratulations to the 2011 Minerals North organizers and delegates on a successful conference.
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Terrace Constituency Office 104 4710 Lazelle Avenue Terrace, BC V8G 1T2 Ph: 250-638-7906 Email: robin.austin.mla@leg.bc.ca
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Phone 250-635-3478 • Fax 250-635-5050
Tahltan Northern Exploration Services Ltd. A Tah Tahltan Nation Development Corporation Company Explo Exploration Management Construction & Labour Services Tahltan Northern Exploration Services (TNES) is the exploration management, construction, and labour services arm of the Tahltan Nation Development Corporation. In cooperation with our partners and suppliers we are able to offer a complete package of services in support of mineral exploration and development activities. Light construction Ligh Ge General labour Pr Project implementation & supervision C Camp management Digital claim staking Line cutting & grid layout Soil, silt and chip sampling Pad building Falling services Road layout, survey & design, permit applications and SUP’s Bridge site selection, site plans & designs
Road & trail layout, deactivation & reclamation supervision Real time & differentially corrected GPS surveys to sub-metre accuracy Project and license administration services, including planning and supervision for completion of infrastructure projects, as well as acting as a liaison with government agencies to obtain permits and licenses. Infrastructure layout and design Performance auditing
Benefits of working with TNES Employment of local people, helps meet accommodation interests, saves on crew transport and earns goodwill within local communities. Hiring TNES as support frees technical staff to do their jobs while at the same time leverages local knowledge to more efficiently deliver your program putting more money into the ground. HEAD OFFICE Tahltan Northern Exploration Services Ltd., Dease Lake 250-847-0122 CONTRACT MANAGERS Steve Soby, Smithers 250-847-0122 CATERING DIVISION Spatsizi Remote Services Corporation, Dease Lake 250-771-5484 PARENT COMPANY Tahltan Nation Development Corporation, Dease Lake
Friday, April 22, 2011
MINERALS NORTH 2011
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MINERALS NORTH 2011
Friday, April 22, 2011
MINING IS PART OF OUR COMMUNITY Dease Lake Telegraph Creek
Iskut
Stewart
CONTRIBUTED PHOTO
Mine engineer Brandon Wilson talks with Northwest Community College Mining Essentials students during a tour of the Endako Mine.
College mining pilot program goes national TERRACE - A work readiness mining program for Aboriginal People will soon be offered across Canada as a result of a successful pilot project recently completed at Northwest Community College (NWCC) in cooperation with the College’s School of Exploration and Mining (SEM). Mining Essentials: A Work Readiness
Training Program for Aboriginal Peoples teaches students basic skills needed to enter the mining industry. The program is unique in that skills are taught using workplace examples and traditional knowledge methods. It also combines industry recognized standards with hands-on learning experiences.
The Hazeltons
Gitlaxt’aamix
Smithers
Prince Rupert
Terrace Kitimat
Regional District of Kitimat-Stikine 300 - 4545 Lazelle Avenue Terrace, BC Canada V8G 4E1
Phone (250) 615-6100 Toll Free 1-800-663-3208 www.rdks.bc.ca
See Pilot Page 14
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John Shorter Paul Nessman 2728 Pacific St., Box 2650, Smithers, BC V0J 2N0 Office 250.877.2710 Fax 250.877.6256 www.driftwooddrilling.com info@driftwooddrilling.com
Friday, April 22, 2011
MINERALS NORTH 2011
Miners give to community TERRACE - Since 2004, a booming minerals industry has meant excellent sponsorship support for Minerals North, resulting in financial surpluses from recent conferences. Conference organizers have taken the opportunity to re-invest those funds in ways that will contribute to the sustainability of the host communities, the region and the minerals sector in northern British Columbia. Since 2004, over $168,000 of conference surplus has been distributed. The Northwest Community College, for example, has received $30,000 for its School of Exploration and Mining while $25,000 has been provided to the College of New Caledonia toward the development of mining-related currriculum. Geoscience projects in the Terrace area
have received $15,000 as a major contribution to the costs of to re-analyze for chemical elements in rock samples collected in the Terrace area in the late 1970s. And $11,500 has been provided to the Mineral Resources Education Program of BC which provides schools with instructional modules that explain the minerals industry to primary and high school students. BC Children’s Hospital Foundation, the mining industry’s charity of choice, has been the recipient of $10,000 as part of the mining industry’s Mining for Miracles campaign. The Smithers Exploration Group has received $5,000 to enhance the work SEG does in sponsoring Bulkley Valley student field trips to mining-related sites.
White River Helicopters Providing Drill support for Avanti Mining Corp 2011
Drill moves Camp support Eco tours Heli ďŹ shing Fire suppression I.R scanning
PROUD TO BE PART OF NORTHERN BC’S FUTURE Seabridge Gold’s proposed KSM gold-copper project is located 65 kilometres northwest of Stewart. It is anticipated to have a 50 to 55-year mine life and to create multi-generation employment in the region. Work at KSM currently includes exploration, geotechnical and environmental studies to update the project’s preliminary feasibility study and support the RQJRLQJ )HGHUDO DQG 3URYLQFLDO (QYLURQPHQWDO $VVHVVPHQW FHUWLÀFDWLRQ SURFHVV 6HDEULGJH KDV PDGH VLJQLÀFDQW SURJUHVV LQ DGYDQFLQJ WKH .60 project toward production and, if approved, it is our belief the project will become an economic anchor for Northwestern BC and its residents for many years to come.
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In operation: Seabridge estimates the KSM project will employ 550 people, will provide direct supplier employment for 940 and indirect employment for 640 more. The mine will stimulate approximately $370M in annual spending on BC goods and services and will contribute annual tax revenues of about $65M.
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DELEGATES
Seabridge Gold Inc.,
www.seabridgegold.net
1235 Main Street,
community@seabridgegold.net
P.O. Box 2536,
(250) 847-4704
Smithers, BC V0J 2N0
Established 1993 (oldest locally owned operator in Terrace)
WELCOME
LEARN MORE ABOUT THE KSM PROJECT
TO
MINERALS
NORTH
2011
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A14 MINERALS NORTH 2011 College from Page 12
Friday, April 22, 2011
Pilot program a success, plans underway to be offered nationally soon “The course will benefit me because it really helped me to prepare for work and taught me how to look for work. I would recommend this course to anybody who is interested in the mining industry,” says mining essentials graduate Richard Alexander. Brent Dennis, another graduate of the program, said “The course was very informative in a lot of ways. It opens up opportunities for finding the right job that is best for me.” Twelve students successfully completed the training, and are now working with school staff to find work. Several students have also decided to take more exploration and mining courses. School of Exploration and Mining manager Andrea Kosalko and two instructors travelled to Toronto in March to present
the results of the mining essentials pilot project. Based on those results and those from the two other pilot locations, the Mining Industry Human Resources Council is fi-
NWCC was one of only three locations in the country chosen to pilot the Mining Essentials program nalizing a plan for the program to be offered across the country, including a train-the-trainer workshop, in the future. NWCC was one of only three locations in
the country chosen to pilot the Mining Essentials program, which took place in Hazelton between November 2010 and February 2011. The program was offered in partnership with the Mining Industry Human Resources Council (MiHR), the Assembly of First Nations (AFN), and Skeena Native Development Society (SNDS). Mining Essentials was partially funded through Human Resources and Skills Development Canada’s (HRSDC) Aboriginal Skills and Training Strategic Investment Fund, British Columbia Aboriginal Mine Training Association (BCMTA) and Smithers Exploration Group (SEG). Industry partners included Imperial Metals, Goldcorp, Thompson Creek Metals, LowProfile Ventures and Metal Mountain Resources.
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Friday, April 22, 2011
MINERALS NORTH 2011
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Rock Talk pumps up rebound year for industry ACCORDING TO Wojdak’s report, there were 55 drilling projects and 18 projects that had $2 million or more in expenditure in 2010. Below are some highlights the from exploration and mining report in the Skeena Region:
By Cameron Orr SMITHERS - It is being called a “rebound year” as 2010 saw a sudden jump in exploration expenditures over last year. That’s the word from regional geologist Paul Wojdak who gave attendees at the recent Rock Talk conference in Smithers a round-up of what’s going on in the north. And there is, in fact, plenty going on. “It was a strong year,” said Wojdak of 2010. There’s been $241.5 million spent on mine development - a near record level - in the Skeena Region, which effectively covers an area from south of Houston right up to the B.C./Yukon border including areas such as Prince Rupert and Kitimat. That’s according to the report prepared by Wojdak on exploration and mining in the Skeena region, which is freely available online on the Ministry of Forestry, Mines and Lands website. Annual exploration expenditures in 2010 took a big jump from 2009; expenditures in 2010 came to $172 million, compared to $65 million in 2009. Last year even surpassed the last record setting year of 2007; in 2007, expenditures came out to $170 million. Wojdak singled out a few projects in the report’s introduction. Firstly he discussed the Endako open pit molybdenum mine that he said is in the midst of a $498 million expansion and modernization. The Huckleberry Mine near Houston is also developing a new plan that will potentially expand the lifetime of the mine for years. Of course, one of the major developments that has mining interests rubbing their hands together is the proposed Northwest Transmission Line, which would send power up the Highway 37 corridor from Terrace to Bob Quinn. From there, mining companies will be able to run lines from their mines to the Bob Quinn substation. The NTL project just received its provincial environmental certificate, a major hurdle for its development. “It does look like things are going to be strong this year,” said Wojdak. He also points out that mineral prices are hitting at or near records gold is hitting new peaks, and silver is holding on very strong as well. The one exception to the mineral price explosion is zinc, he said, but thankfully most of the projects in the region are gold and copper. Molybdenum is doing well also, although not at the peaks it saw a few years ago.
1) Yellowjacket: high grade lode gold rediscovered 2) Red Chris: new copper-gold resource and reserve estimates 3) KSM: Iron Cap zone delineated, a major addition to copper-gold resources 4) Schaft Creek: porphyry copper project reactivated and progressing toward feasibility 5) Kitsault: scope of environmental assessment set; high grade molybdenum intersections at Roundy Creek prospect 6) Kutcho Creek: high grade copper-zinc intercepts from Esso lens 7) BrucejackSnowfield: project acquired by Pretium Resources
CONTRIBUTED PHOTO
A core sample on display from Finlay Minerals’ Silver Hope Property, which actually shows a copper sample, was among the rocks on display at Whiskey Jacks Lounge on Hudson Bay Mountain. This year’s Rock Talk was another overview of exploration efforts in Northern B.C., with a peek at some of the upcoming work being done in places such as Dome Mountain and Huckleberry Mine. It should be a good year for mining and exploration, especially as mineral prices, such as for gold and copper, are currently very high.
To see the full report on the Skeena region, go to www.for. gov.bc.ca/mof/reports.htm Then click on “BC Geological Survey Publications Catalogue.” From there click on “Exploration and Mining in British Columbia” and after that just select the year you want a report from.
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MINERALS NORTH 2011
Friday, April 22, 2011
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JANINE WORKMAN PHOTO
Chris Robins puts a mining sample through a pulverizing machine as part of the preparations needed to send it off for analysis in Vancouver.
Prep labs prepared for increased mining activity By Janine Workman TERRACE - With a regional increase in mining exploration, Terrace has become a gathering point for mining samples in the area. There are two companies in Terrace who offer the service of packaging and posting mining samples for analysis in larger labs. They are a part of six other similar facilities in the region with two in Stewart and two more in Smithers. ALS Laboratories has been operating in Terrace for five mining seasons, and was joined by AGAT Laboratories last October. David Rootham, branch manager at ALS, said his branch was put in Terrace as a direct result of mining exploration in the region, and it’s keeping the Terrace ALS branch busy. “We are getting roughly 60,000 samples per year,� he said, adding that 99 per cent of sample preparations are for exploratory projects, something he finds promising for the region. “They put prep labs into where exploring is going on to sort of be the catch-all,� Rootham said. “The prep part of it is a fair bit of work to do.� Rootham said the cost of shipping unprepared samples, which average around 5 kg., would be an astronomical. “The sheer weight of the rock and the drill core is so high,� he said. The process of preparing a mining sample requires a multi-step operation. Raw samples of rocks or drill core are first heated in an oven, removing all moisture.
Next a sample is put into a crusher, which grinds the material into a chunky powder. Rootham calls the next step “splitting�, where the sample is sifted through a splitter and halved again and again until it is roughly 250 grams in weight. The core sample is then “pulverized� to a fine dust that Rootham compares to the consistency of icing sugar. The final package is shipped off to a main laboratory for analysis, which is Vancouver for all ALS preparation labs in North and South America. Once in the analysis laboratory a sample can be put through tests as detailed as searching for a mineral in the parts per billion, or simply checked in an overall test, which would look for around 41 different minerals, Rootham said. The whole process takes between 7 and 14 days. AGAT Labs also provides the same serves ALS does, acting as a middle man for preparing and packaging mining samples to be analyzed. “If people are drilling and want to know what’s in there we help them determine that,� said Sam Harling, the company’s business development representative. AGAT is also involved in environmental consultations as well as air quality control. Harling agrees with Rootham that viable mining prospects are on their way to the region. He said it has been hard for locals to see the effects of mining right away. “You’re not going to see an open pit mine in the Terrace limits, so it’s a little bit more out of sight out
of mind,� he said, adding through the rest of 2011 and 2012 the area is going to see a lot of mining activity. Part of this, he said, is coming from the expected Northwest Transmission Line, something that will greatly benefit mining in the region as it will power remote mines. According to Harling, a mine can use up to twice the amount of power a Terracesized city would use. “With all that’s been going on in the Terrace area with the downturn in the forestry, mining is kind of the new up and coming promising sector,� Harling said. He said it there is more than $10 billion worth of major construction projects slated to start up in the area in the next 18 months in the region. “We are on the edge of a major boom in Terrace,� he said. Stewart is in a similar situation for preparation labs as Terrace. The town has had Eco-tech Laboratories operating for 10 years, and Actlabs, which opened its doors in 2010. Lynne Bruce from Ecotech Laboratories said Stewart is well known for its mining history, as well as its lack of accessibility for transportation. “As long as there is sufficient mining exploration activity in an area it is much better for the companies to have a sample prep area in remote areas,� Bruce said. She added the cost of putting in a full-service lab in an area as remote as Stewart wouldn’t justify the volume of samples. “This way it’s a win-win situation,� Bruce said.
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Friday, April 22, 2011
MINERALS NORTH 2011
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Stewart understands mining’s importance STEWART - Mayor Angela Brand Danuser looks skyward for evidence of a mining resurgence. “I hear the sound of helicopters. I know then what the mining industry means to us,” she says of exploration crews flying out to work in season. “Everyone in Stewart knows what the mining industry means to us.” For a community which has its history rooted in mining, Stewart is staking its future in the same industry. With a population now in the 500 range, a drop from 1,100 when Brand Danuser first moved to Stewart in 1989, there’s hope of a population increase. Several advanced stage projects are underway in the area and companies are looking at former mine locations in hopes of developing viable development plans. As much as Stewart enjoys the economic benefit of exploration efforts, it also offers a port facility through privately-owned Stewart Bulk Terminals through which a mine’s end product can be shipped. “There’s capacity there and we certainly support any increase,” said Brand Danuser of the prospect of shipping more ore concentrate through the terminal. A change in highway hauling regulations has made it more efficient to carry ore on Hwy 37. If exploration is the start of any mine development and shipping out concentrate or ore marks the end, Brand Danuser also says there’s opportunity in the middle. Although miners in camp situations nowadays can live practically anywhere in the world, she’s hoping some will be attracted to Stewart. “This is a nice place to live,” said Brand Danuser for people attracted to a smaller-town lifestyle.
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Book illuminates history of local mining area TERRACE - A new book strives to share the history of a wilderness area poised to boom with the promise of mineral developments and other industrial projects. It also answers the question, “Who was Bob Quinn?” which is a name becoming more known thanks to its strategic location on Hwy37 North. There’s an airstrip at Bob Quinn and it is also the jumping off point for roads to mineral properties and will be the location for the substation marking the end of the Northwest Transmission Line. Author Margaret Vanderberg hopes Through This Maze: Iskut River to the Nass 1867-1940 will appeal to people who will soon be working in and around the area. “..I wanted some introduction to the history [of the area] to be in the hands of the people working on the power line and the mines,” she says. The book also answers the questions “Who was Bell-Irving?,” and “Where in the area can you find the Telegraph Trail today?” It’s a short book at 88 pages but packs in a lot of details, drawings, archival photos and photos from when Vanderberg was there in 1980. The book tells early stories of Bob Quinn Lake and Bell II including details from the journal of surveyor P.J. Leech, which is followed by 11 stories of people who worked or travelled in the Ningunsaw Pass, which connected Bell II to Bob Quinn, long before there was a road, says Vanderberg. She believed Leech’s story should be told in clearer language, and set out to do just that.
“When you read P.J. Leech, either his article or journal, you haven’t a clue where he was because he didn’t have the names of the places except Ningunsaw [Pass],” she says, “and one of my purposes was to make it clear and easy to understand.” The book had been on her mind since the 1970s when Vanderberg first saw Leech’s journal but it’s only in the last two years that she put it all together. When she was working at Bell II – back when Ernie Kriese was building it – waiting tables and pumping gas, loggers were working around Echo Lake, close to Bob Quinn. “[The loggers were saying] ‘there’s some kind of wire getting tangled in the skidders.’ I’m thinking ‘didn’t you know there was a telegraph trail here?’” says Vanderberg. The story goes that Leech was looking for a way from Telegraph Creek to Kisipiox. He made a wrong turn by going up what we now know as the Nass River and missed the trail, she says. He found the Gitxsan, who guided him to Kispiox for a price, which was lucky because by that time he was well into the Interior, says Vanderberg. Leech kept a journal of the trek and made pencil and ink drawings, some of which are in the book. As for the telegraph trail, logging in that area destroyed the telegraph line but it now has received a Heritage designation, Vanderberg says, and she plans to put coloured ribbon on the remaining wire to mark it where it’s close to the highway near Bell II.
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MINERALS NORTH 2011
Friday, April 22, 2011
PROVIDING SUPPORT FOR MINING COMPANIES IN NW BC SINCE 1983
CONTRIBUTED PHOTO
Michelle Blackburn, flanked by her friend Colleen Skubovius (left) and daughter Alabama Quock (right), proudly holds an envelope containing her $3,000 CAMA bursary cheque. Tracy McIntyre (right) of Northwest Community College presented the cheque to Blackburn.
Student wins bursary TERRACE - A Northwest Community College (NWCC) Tahltan student has received the second of three $3,000 Canadian Aboriginal Minerals Association (CAMA) bursaries. Michelle Blackburn is currently completing an Associate of Arts Degree with a specialization in Archaeological and Cultural Resource Management at NWCC’s Smith-
ers Campus. In her work outside of class, she helps Tahltan youth reconnect with their roots through song and dance. After achieving her Associate Degree, Blackburn intends to pursue a Bachelors Degree in Archaeology at UNBC. See Student wins Page 19
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Friday, April 22, 2011 Student wins from Page 18
MINERALS NORTH 2011
Bursary achievement hailed as solid step toward future “I couldn’t think of a more deserving student to receive a CAMA bursary than Michelle. Her studies at NWCC will build on her previous experience working as an environmental monitor and with the mining industry in Northwest BC,” said Robin Curry, Director of NWCC’s School of Exploration & Mining (SEM). “By providing much needed support for education, CAMA is doing a favour to individual students, educational institutions, First Nations and the province as a whole.” CAMA is an Aboriginal, non-profit organization which seeks to increase the understanding of the minerals industry, Aboriginal mining and Aboriginal communities’ paramount interests in lands and resources. In 2009, it established three $3,000 bursaries for
Aboriginal students enrolled or interested in the following NWCC University Credit programs: - Applied Earth & Environmental Studies Certificate – Geostudies or Geoscience Specialization - Associate of Science Degree – Environmental Geosciences Specialization - Associate of Arts Degree – Archaeological & Cultural Resource Management Specialization - Associate of Arts Degree – Sustainable Communities Specialization NWCC awarded the first bursary late last year to Tracey McKay of Laxgalts’ap (Greenville), a Nisga’a student enrolled in the Associate of Arts Degree – Sustainable Communities Specialization.
Mining is an economic driver By Staff Reporter THE NORTHERN CONNECTOR
TERRACE - British Columbia’s mining industry reported pre-tax net earnings of $2.3 billion during 2009 in spite of the worldwide economic slowdown, according to PricewaterhouseCoopers (PwC) report, The Mining Industry in British Columbia—2009. The earnings of $2.3 billion declined from the all-time record of $3.2 billion reported in 2008, but remain at historically high levels. The 2009 financial results for BC’s mining industry are very similar to those seen in 2007, which was a record year itself. The industry weathered the global economic downturn better than most, but BC mines were faced with
lower shipments and weaker prices across the board in 2009 due to a drop in overall economic activity just about everywhere. Coal, which dominates BC’s mining sector, experienced a 24 per cent decline in volumes shipped and prices fell by almost half. BC’s mining sector contributed $5.7 billion to the provincial economy in 2009. Overall employment maintained 2008 levels of approximately 7,600 jobs. The mining industry paid out $851 million in salary and benefits last year, with the average salary at $110,800, down slightly from the previous year. PwC’s 2009 survey summarizes the yearover-year financial information of 41 participants with operations in BC.
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MINERALS NORTH 2011
Friday, April 22, 2011
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