Onotassiniik Spring 2014

THE WABUN ANSWER to Overlapping Territory 6 | ᐁᒪᒪᐃᐧ ᐊᐸᑕᐠ ᑲᐃᑯᑎᐯᒋᑫᒪᑲᐠ ᐊᐦᑭ 13

Onotassiniik Wawatay’s Mining Quarterly

SPRING 2014

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DETOUR to Prosperity

Detour Gold’s ABORIGINAL AGREEMENTS photo: Detour Gold

with Moose Cree First Nation Taykwa Tagamou Nation Wahgoshig First Nation Métis Nation of Ontario

for TRAINING JOBS BUSINESSES OWNERSHIP pages 7-10

What’s Next for the RING of FIRE?: Columnists Sudol, Baggio & Gallagher 12-13

HIGH VOLTAGE EPC CONTRACTING TRANSMISSION LINES

SUBSTATIONS

SITE DISTRIBUTION

GRID CONNECTIONS

Over 30 Northern First Nations involved in past projects A Few Northern Projects  Lower Mattagami River Projects—3 Substations & 1 Switching Station—2013  Kapuskasing River Projects—4 Substations—2013  Detour Lake Gold Mine—185km 230kV Transmission Line—2012  Greenwich Wind Farm—10km 2 circuit 230kV T-Line & 32km collector system—2011  DeBeers Victor Mine—115kV Substation—2006  Umbata Falls Hydro Project—23km 115kV T-Line—2006  Omushkego Ishkotayo—270km 115kV T-Line & Stations along James Bay Coast—2001  Musselwhite Mine—Site Substation—1997  Lac Des Iles Mine—70km 115kV T-Line, Substation & Site Distribution—1996

Building the Lines to Prosperity in the North  Remote Communities  Remote Mine Sites  Power Generation  Decades of experience in overcoming the challenges of building in the North

POWERTEL UTILITIES CONTRACTORS LIMITED Phone:705-866-2825 Fax:705-866-0435 150 Regional Road 10, Whitefish, ON Canada P0M 3E0 Email: info@powertel.ca Web: www.powertel.ca

 Massive fleet of offroad equipment enables us to tackle the largest projects in Canada

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Northern Ontario’s First Nation Voice Published by Wawatay Native Communications Society since 1974, the newspaper is distributed to more than 80 First Nations across Northern Ontario and to Aboriginal people living in the region’s towns and cities. Wawatay News features Aboriginal news, people, culture and language published in English and the Aboriginal languages of Northern Ontario – Ojibway, OjiCree and Cree. Wawatay News coverage and distribution area serves an Aboriginal population of almost 58,000.

Wasaya’s In-fight Magazine Publishing each season, this full colour, glossy magazine is distributed on all Wasaya flights, in regional airports and in First Nation communities served by Wasaya. In addition to learning more about their carrier, Wasaya passengers will enjoy reading entertaining stories about the places they travel to, special events they’ll want to enjoy, and special people they’ll want to meet when they get to their destination. Wasaya passengers will also be interested in reading about the services available to them in their destination community. This publication provides an economical means of advertising your products and services to these travellers.

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Wawatay’s Mining Quarterly Onotassiniik sets out to provide knowledge and information about the mining industry in northern Ontario to First Nations communities, individuals and leaders throughout the region. Wawatay’s Mining Quarterly emphasizes best practices within the mining industry, while helping to share information about mining activities and mining agreements with and between First Nations of northern Ontario.

The online home for Wawatay wawataynews.ca serves as a portal to all of Wawatay Native Communications Society’s products and services. The site is Northern Ontario’s First Nation voice and is visited by Aboriginal and Non-aboriginal residents of the region and around the globe. The site receives over 50,000 unique visitors every month worldwide. All ads displayed on the website include a “click through” to their own website.

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CLAIMS VOLUME 2, NUMBER 1 Onotassiniik (translated from Oji-Cree as ‘People Who Work With Rocks’) is a forum for sharing knowledge about the mining industry in northern Ontario with First Nation communities, individuals and leaders. The magazine emphasizes best practices within the industry, while providing information about mining activities and agreements involving First Nations.

“One of the more rewarding experiences I continue to have is when I bring elders from my home community (Moose Cree First Nation) to the Detour Lake mine site, giving them a chance to view something I think very few people have had direct experience with. You can talk a lot about it but it’s important for community members to be able to see what this project is actually about. In that instance, I often reflect on the life experiences of my grandparents’ generation and knowing what a vastly different lifestyle they would have grown up with. And (I reflect on) being in a much different position now to promote Aboriginal inclusion in these projects, to guide a company like Detour Gold in making the best of the situation ...”

Published quarterly by Wawatay Native Communications Society www.wawataynews.ca A/CEO & Sales Manager Magazines Editor/Writer Sales Representative Graphic Designer Translator Circulation Co-ordinator

–Leonard Rickard, Aboriginal affairs manager, Detour Gold

“If handled correctly, (resource development offers) an unprecedented opportunity for Aboriginal people and their communities to join the mainstream of the Canadian economy, without which, in my judgment, we won’t make progress on all the other things we need to make progress on in those communities.”

–Prime Minister Stephen Harper, speaking Jan. 6 at the Vancouver Board of Trade.

According to the Vancouver Sun, Harper also noted that resource development offers significant economic development where Aboriginal communities are dominant and where they haven’t before had large-scale economic opportunities.

photo: Bryan Phelan

“The answer to the issues of poverty, drugs and alcohol abuse that have plagued many First Nations communities can be found in economic opportunity, and this (Ring of Fire) project is one that could do just that. It is crucial that this development be done sustainably, responsibly and in concert with First Nations communities. For the federal government, though, this is a chance to not just talk about First Nations poverty but to actually do something about it.”

–an Ottawa Citizen newspaper editorial on Dec. 10 makes the case that the federal government should do its part to bring the Ring of Fire mineral development to fruition

James Brohm Bryan Phelan Tom Scura Matthew Bradley Thomas Fiddler Grant Keesic

Contributors Andy Fyon, Anna Baggio, Bill Gallagher, Detour Gold, Matawa First Nations Management, Ministry of Northern Development & Mines, Prospectors & Developers Association of Canada, Stan Sudol, Laura Taylor/Shared Value Solutions Comments Bryan Phelan bryanp@wawatay.on.ca Subscriptions Grant Keesic reception@wawatay.on.ca phone (807) 737-2951 toll free 1-800-243-9059 fax (807) 737-2263 16 Fifth Ave. P.O. Box 1180 Sioux Lookout, ON P8T 1B7

“The (Ontario) Liberals have suddenly pulled a plan for a Ring of Fire development corporation out of their back pockets. Sort of like tossing eggs to boil on the stove when it’s suddenly discovered there’s nothing else to eat in the cupboard and the family is clamouring for food. But why did it take so long for this sensible idea to materialize?”

Advertising Tom Scura toms@wawatay.on.ca phone (807) 344-3022 toll free 1-888-575-2349 fax (807) 344-3182 2nd Floor Royal Bank Building, Suite 202 Victoriaville Centre 620 Victoria Ave. East Thunder Bay, ON P7C 1A9

–Gary Laine wrote Dec. 2 in the Thunder Bay Chronicle-Journal

photo: Bryan Phelan

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PARTNERSHIPS Mining advisory group focuses on First Nations

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he Manitoba Government has created a Mining Advisory Council to ensure First Nations benefit from the development of new mines in the province.

“It will ensure First Nations communities that want to participate are always consulted on every aspect of resource development,” Dave Chomiak, minister of mineral resources, said in announcing the new council Nov. 8.

Nine chiefs are included in the 14-member council, with the balance made up of mining industry representatives.

The council will provide advice and recommendations to the government on: • resource revenue and benefit sharing with First Nation communities; • promoting and increasing First Nations procurement and business opportunities, including joint ventures; • creating education, training and employment opportunities and equity;

• strengthening environmental protection and stewardship; and • ensuring full consultations continue with First Nation communities throughout this process.

“None of these initiatives will replace consultations with communities or the ability for independent First Nations to pursue separate processes, but they will assist in improving communications and understanding,” Chomiak said in a news release.

Co-chairmen of the council are Chief Donovan Fontaine of Sagkeeng and Chief Ron Evans of Norway House.

Evans said the work of the advisory council “will develop meaningful consultation processes,” while Donavan added it “will help ensure our people receive equitable benefits from mining done in our territories.”

Mining is the second largest resource sector in Manitoba, with 40 companies active in mineral exploration and mining, employing more than 900 Aboriginal workers. In 2012, the province’s combined value of mineral production for metals and industrial minerals exceeded $1.5 billion.

Constance Lake-GTA co-operate for Auden graphite exploration

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onstance Lake First Nation has signed an exploration agreement with GTA Resources and Mining Inc. for the continued exploration of GTA’s Auden graphite property.

The 280-square kilometre claim block is located within Constance Lake’s traditional territory near Hearst, Ontario.

The agreement, announced

by GTA on Oct. 30, allows for compensation to the First Nation for cultural and environmental impacts, local work opportunities and business ventures, and continued consultation on land use issues. Constance Lake was also to receive 100,000 GTA common shares upon signing, and 200,000 common share purchase warrants in future.

The Auden property is adjacent to Zenyatta Ventures’ Albany graphite project.

Sandy Lake agreement for Goldeye’s Weebigee Project

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andy Lake First Nation has reached an exploration agreement with Goldeye Explorations Limited for the company’s Weebigee Project activities.

The project’s mineral claims cover gold and base metal showings in the Sandy Lake Greenstone Belt, within the First Nation’s traditional lands.

As part of the agreement, announced Nov. 18, Goldeye will issue up to 1,500,000 of its common shares to a Sandy Lake First Nation trust. The agreement, for five years but subject to renewal after the first and third years, also provides a framework for ongoing dialogue and information sharing about the Weebigee Project.

“We look forward to working in a spirit of partnership with Sandy Lake First Nation to advance the Weebigee Project and build value for Goldeye’s shareholders, including Sandy Lake First Nation,” Blaine Webster, president and CEO of Goldeye, said in a news release.

Goldeye planned to transport equipment to the project this winter road season for the start of a 2,500-metre drill program in early February. The drilling will focus on targets in the Northwest Arm area of the project. According to Goldeye, sampling in that area last summer “returned significant gold values.”

The Weebigee Project is the flagship project for Goldeye, a Canadian, gold-focused exploration company. Webigee is the Oji-Cree word for goldeye fish, which are found throughout Sandy Lake.

Lac Des Milles Lacs and Bold Ventures sign MOU

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ac Des Milles Lacs First Nation has signed a memorandum of understanding (MOU) with Bold Ventures Inc. concerning the Wilcorp Gold Project, located about 14 kilometres northeast of Atikokan, Ontario.

According to a Nov. 12 news release from Bold, the MOU encompasses environmental stewardship, business and job opportunities for the First Nation, “as well as the contemplation of a longer term exploration agreement should the initial drilling program be successful and warrant additional work.”

Lac Des Milles Lacs is a member community of Grand Council Treaty #3.

WAWATAY’S MINING QUARTERLY

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UPFRONT First Nations oppose Quebec’s new Mining Act

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n Innu chief says Quebec’s new Mining Act will be challenged in court.

The act, adopted Dec. 9 by the Quebec National Assembly, calls for consultation with First Nations on mining projects but does not require an exploration permit as a prerequisite to such consultation. According to the Assembly of First Nations of Quebec and Labrador (AFNQL), consultation will therefore be “meaningless” because Quebec won’t have control over exploration work.

“Since the government has ignored our request to introduce in the current legislation the prerequisite of an exploration permit, despite its existence (else)where in Canada – including British Columbia, Alberta, Ontario and Newfoundland – the matter will inevitably be settled in court,” Chief Gilbert Dominique of the Pekuakamiulnuatsh of Mashteuiatsh said in an AFNQL news release. He added that the Ross River Dena in the Yukon recently won a similar case heard by the Supreme Court of Canada.

AFNQL, a political organization of 43 chiefs, also contends Quebec’s new Mining Act represents “a major setback” to First Nations selfgovernance because it forces mining companies to disclose information about confidential commercial agreements signed with First Nations.

Power plan for Northwest Territories

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he Government of the Northwest Territories in December released a plan for expanding its hydro transmission grid.

Key elements of the plan include: shifting two communities from diesel to hydro power; extending the grid northeast towards established mines; public sector ownership of the transmission grid, with individual mine customers paying for transmission spurs; and connecting the grid to the south in Saskatchewan or Alberta to stabilize the system and tie the NWT to the North American grid.

The moves will “unlock our enormous hydro potential” predicted the minister responsible for the NWT Power Corporation, Michael Miltenberger.

Also enthusiastic about the plan is Brooke Clements, president of the NWT and Nunavut Chamber of Mines.

“The lack of infrastructure in the North makes it one of the highest cost jurisdictions in which to work,” he noted in a news release. “Not only must new mines provide their own transportation infrastructure, but they must generate their own power. Implementation of this (plan) will make the NWT more competitive, and more attractive for investment in mineral exploration and resource development.”

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SPRING 2014

photo: Laura Taylor/Shared Values Solutions & Matawa First Nations Management Raymond Ferris, right, Matawa Ring of Fire co-ordinator, on tour with Bob Rae, the tribal council’s chief negotiator for regional strategy talks with Ontario.

Development corp. benefits unclear to Matawa Suspension of Cliffs’ chromite project a relief to First Nations, Ferris says Bryan Phelan Onotassiniik

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ore than two months after the Ontario government announced it, Matawa First Nations had yet to endorse a proposed development corporation for building infrastructure to the Ring of Fire mineral development.

Ontario declared in early November it would lead the creation of such a business structure.

“Recent developments, and divergent private sector interests, have impacted our ability to move forward on vital infrastructure required to develop the region,” said Michael Gravelle, minister of northern development and mines. “Currently there are a variety of proposals for infrastructure development. They propose different corridors and different modes of transportation but in the end, they all lead to the same place. In recent weeks, it has become increasingly clear to me that we need to determine exactly what those infrastructure needs are, and we need to do it now.”

As a result, Gravelle said, “The creation of a development corporation will bring First Nations, mining companies, and provincial and federal partners together to settle divergent interests and get back to making this development happen. They will determine infrastructure needs and financing to support infrastructure development. We will reach out to our partners immediately to ensure work starts today.”

That immediate work would include determining the development corporation’s scope and a suitable governance model, Gravelle’s ministry stated in a news release. Once established, the corporation is to develop, construct, finance, operate and maintain infrastructure to the Ring of Fire.

The nine member First Nations of the Matawa tribal council have been invited to participate as partners in the corporation.

“There is no question that vital infrastructure is required in the region to support remote First Nations communities,” said Frank Iacobucci, Ontario’s lead negotiator for Ring of Fire talks with Matawa. “Using a development corporation model to advance infrastructure development will ensure First Nations can participate in the governance and use of the transportation infrastructure.”

But Raymond Ferris, Ring of Fire co-ordinator for Matawa, hasn’t been so enthusiastic. “As of today, the First Nations do not understand the benefit of this corporation,” Ferris told Onotassiniik in a Jan. 17 e-mail. “Ontario has stated the First Nations will be part of developing this corporation. That is all we know at this point. Whether this is a positive or negative is something that will be decided after much discussion.”

Both Ferris and Iacobucci indicated the development assessment process. The First Nations need the time corporation concept would be discussed as part of to prepare so that they can be fully engaged in the ongoing deliberations between Matawa and Ontario. decision-making process.”

To be fully engaged, he said, First Nations must first Bob Rae, the province’s former premier, has been Matawa’s chief negotiator for these “regional strategy” be properly resourced to study a range of key issues, talks, which in addition to infrastructure planning and from environmental to socio-economic to community development were expected to address environmental and regional infrastructure. “This will assist the First protection and monitoring, resource revenue sharing, Nations to be totally involved in putting concerns and and social and economic supports. Ferris said he solutions forward.” anticipated a broad framework agreement would be reached early this year.

“The chiefs are continuing their discussions at the community level and the regional level to ensure that decisions at the community level are not interfered with, • The Ring of Fire is located 540 northeast of Thunder but supported at other levels,” he added.

Bay, covers more than 2,000 square kilometres, and is considered one of the most significant mineral regions ntario publicly introduced the in the province with mineral potential worth about $60 development corporation idea Nov. 8. billion.

Less than two weeks later, Nov. 20, Cliffs Natural Resources announced it was • It holds the largest chromite deposit discovered in suspending indefinitely its $3.3-billion North America. Chromite is the key ingredient in making chromite project in the Ring of Fire – the stainless steel. largest mining development proposed for • It also holds potential for significant production of nickel, the area. “The company determined that copper and platinum. it will not allocate additional capital for the project given the uncertain timeline • Twenty-seven companies and individuals have about and risks associated with the development 12,850 active mining claims in the Ring. of necessary infrastructure to bring this • Companies with active, on-the-ground exploration project online,” Cliffs stated in a news programs during 2013 included Cliffs Natural Resources, release.

Noront Resources, KWG Resources, Bold Ventures, and Previously, in September, the Ontario MacDonald Mines.

Mining and Lands Commissioner dismissed Cliffs’ application for an easement that –Ministry of Northern Development and Mines would have allowed it to build an allweather road to the Ring of Fire area over mining claims held by another company, or its part, the province continues to tout the KWG Resources (through its subsidiary, Canada proposed Ring of Fire development corporation as Chrome Corporation), which instead proposes a railroad for the north-south route. Cliffs appealed the “the vehicle that will bring key stakeholders together to find an (infrastructure) solution that allows for decision.

In June, Cliffs suspended its environmental development to occur in a smart, sustainable and assessment (EA) activities, citing uncertainty over collaborative way.”

Julia Bennett, a spokeswoman for the Ministry of the federal EA process, lack of approval on terms of reference for a provincial EA, and the pending decision Northern Development and Mines, said in January that Ontario is also seeking a “direct role” for the on land access for the all-weather road.

Of the more recent decision by Cliffs to suspend its federal government as a partner in the corporation, whole project, Ferris remarked: “Given the value of especially for “infrastructure supporting communities Cliffs’ shares, this was not a surprise and somewhat in the region.” expected. Cliffs had warned us this may happen, as Bennett said the province is prepared to make a iron ore prices are very low and iron ore represents the significant investment toward the infrastructure and is core business of Cliffs. This was a business decision. expecting the federal government to provide matching “It came as a relief,” Ferris added. “There was funds, the same way it has with other projects across too much pressure on the First Nations, as they are Canada. “Any investment would be determined by not prepared to be involved in the environmental CONTINUED ON PAGE 5

Ring of Fire facts

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ᑌᐸᑫᓂᒥᑐᐃᐧᐣ, ᐃᐧᒋᓀᐣᑕᒧᒥᑐᐃᐧᐣ ᐊᐣᑕᐁᐧᐣᑕᑲᐧᐣ ᒍᓇᒋᑲᑌᑭᐣ ᑲᐊᑫᐧᑕᐃᐧᓭᑭᐣ ᐊᐦᑭᐃᐧ ᑎᐯᐣᒋᑫᐃᐧᓇᐣ ᔕᐧᐣ ᐸᑎᐢ ᐅᑭᒪ ᐊᐧᐸᐣ ᐅᑭᒪᑲᓇᐠ ᑲᐅᐣᒋ ᐸᐱᑭᓯᐃᐧᑕᓄᑭᒥᑎᐊᐧᐨ ᐅᐁᐧ ᑲᐃᐧᐊᓂ ᒪᓯᓇᐦᐃᑲᑌᐠ ᐊᐁᐧ ᔕᐧᐣ ᐸᑎᐢ ᑲᑭᐸᑭᑎᓇᐠ ᐅᐃᐧᐣᑕᒪᑫᐃᐧᐣ ᐃᐁᐧᑎ 2013 ᒪᐃᓂᐠ ᕑᐁᑎ ᓴᒥᐟ ᐃᒪ ᑎᒪᐣᐢ. ᐸᑎᐢ ᐅᑭᒪᐃᐧ ᐃᒪ ᐊᐧᐸᐣ ᐅᑭᒪᑲᓇᐠ ᑲᐅᐣᒋ ᐸᐱᑭᓯᐃᐧᑕᓄᑭᒥᑎᐊᐧᐨ, ᓂᑯᑕᐧᓱ ᐊᔭᐊᐧᐣ ᐃᐁᐧᓂᐊᐧᐣ ᐃᐡᑯᓂᑲᓇᐣ ᐃᒪ ᑲᐃᐧᐣᒋ ᑎᐯᐣᑕᑯᓯᐊᐧᐨ: ᒥᐢᐊᒥᑭᐧᔑᐠ, ᐱᕑᐊᐣᐢᐃᐧᐠ ᐦᐊᐃᐧᐢ, ᔕᑊᓫᐅ ᐅᒋᐯᐧᐠ, ᐱᓫᐊᔨᐠ ᐳᐢᐟ, ᒪᑕᒋᐊᐧᐣ , ᐁᑲᐧ ᒪᑕᑲᒥ.

ᐊ

ᐁᐧᓂᐊᐧᐠ ᐊᐧᐸᐣ ᐅᑭᒪᑲᓇᐠ ᑲᐅᐣᒋ ᐸᐱᑭᓯᐃᐧᑕᓄᑭᒥᑎᐊᐧᐨ ᐊᔕ ᓂᑐᒋ ᐃᐧᑕᓄᑭᒪᐠ ᐃᐁᐧ ᑲᑭᒪᒋᓭᓀᐸᐣ 1990. ᐃᐁᐧᓂᐊᐧᐣ ᐊᐧᐸᐣ ᐃᐡᑯᓂᑲᓇᐣ ᐃᐁᐧᑎ ᑭᐁᐧᑎᓄᐠ ᐊᐧᐸᓄᐠ ᐃᒪ ᐊᐣᑌᕑᐃᔪ ᐃᔑ ᐊᔭᐊᐧᐣ, ᑲᑭᓇ ᓇᐣᑕ ᓂᔓᐊᐧᑲᓭ ᑲᐱᑦᐱᓯᓇᓂᐊᐧᐠ ᐃᒪ ᑎᒪᐣᐢ. ᐃᒪ ᒪᐊᐧᐨ ᐁᔑ ᑭᒋᐅᐣᑕᒥᓭᐠ ᐃᐁᐧ ᑲᐃᔑ ᓇᓇᐣᑕᐃᐧ ᒧᓇᐦᐃᑲᓂᐊᐧᐠ ᐁᑲᐧ ᑲᐊᓯᓂᑲᓂᐊᐧᐠ, ᐁᑲᐧ ᐃᐁᐧ ᑲᐊᓯᓂᑲᓂᐊᐧᐠ ᐁᐱᒥ ᒪᒥᑐᓀᐣᑕᒧᐊᐧᐨ ᐃᐁᐧᓂᐊᐧᐣ ᐃᐡᑯᓂᑲᓇᐣ ᐃᒪ ᐊᐧᐸᐣ ᑲᐅᐣᒋ ᑎᐯᐣᑯᓯᐊᐧᐨ. ᐃᐁᐧ ᓂᐃᐧᑕᓂᑭᐃᐧᑐᓂᓇᐣ ᑲᓇᓇᐣᑐᓂᑲᑌᑭᐣ ᐊᐸᒋᑕᑲᓇᐣ ᐃᒪ ᐊᐦᑭᐠ ᐊᔕ ᑲᑭᐸᐱᒥᔭᐦᑭᐊᐧᐠ, ᑲᐃᐧᐣ ᐃᐧᑲ ᓂᐊᐧᐸᐣᑕᓯᐣ ᑲᓂᐅᑦᐱᑭᒪᑲᑭᐣ ᑫᑯᓇᐣ ᐃᒪ ᐃᐡᑯᓂᑲᓂᐠ ᑕᐱᐡᑯᐨ ᔓᓂᔭᐃᐧᐃᔑᒋᑫᐃᐧᐣ, ᒥᓄᔭᐃᐧᐣ, ᑲᐧᔭᐠ ᐊᓄᑭᐃᐧᓇᐣ … ᐁᑲᐧ

ᐁᑲᐧ ᒣᑲᐧᐨ ᐅᐁᐧ “ ᑲᐱᒥᓭᐠ ᒥᓇᐊᐧ ᐊᐦᑭᐊᐧᐠ ᐊᔕ ᓂᑎᔑᐸᑯᓭᐣᑕᒥᐣ ᓇᐣᑕ ᓂᒥᑕᓇ ᒥᓂᑯᐠ ᓂᔭᓄᒥᑕᓇ ᒪᒪᐃᐧᐃᓀᒋᑫᐃᐧᓇᐣ -- ᐃᐧᑕᒪᑫᐃᐧ ᓂᓯᑐᑕᒧᐃᐧᐣ ᓇᐣᑕ ᐊᓯᓂᑫᐃᐧ ᓇᓇᑕᐃᐧᑭᑫᐣᒋᑫᐃᐧ ᐃᐧᒋᓀᐣᒋᑫᐃᐧᓇᐣ ᒍᓇᒋᑲᑌᑭᐣ ᐃᒪ ᐊᓯᓂᑫᐃᐧ ᐱᒧᒋᑫᐃᐧᓀᓴᐣ ᑲᐊᔭᑭᐣ.

ᑲᒥᓄᓭᑭᐣ ᔓᓂᔭᐃᐧ ᐱᒧᒋᑫᐃᐧᓇᐣ. ᐃᐁᐧ ᑫᑲᐟ ᒥᓯᐁᐧ ᑲᑭᓇᓄᑭᔭᐠ photo: Bryan Phelan ᐃᒪ ᑭᐃᐧᒋᐃᐁᐧᒪᑲᐣ ᑲᑭᐊᓄᑲᑕᒪᐠ Shawn Batise in conversation at the 2013 NADF Mining Ready Summit. ᐃᒪ ᐊᐧᐸᐣ ᐱᒧᒋᑫᐃᐧᓇᐣ, ᐁᐃᐧᒋᑐᐊᐧᐨ ᐃᐁᐧᓂᐊᐧᐣ ᑕᓇᐱᐃᐧᓇᐣ, ᑲᑕᔑᐣᒋᑲᑌᑭᐣ ᐅᑭᒪᑲᓇᐠ ᑲᐃᐧᐣ ᐅᐁᐧ ᑕᑭᓭᓯᐸᐣ. ᐁᑲᐧ ᑭᓇᐊᐧ ᐁᑲ ᒪᔑ ᐃᒪ ᑲᐊᔭᔦᐠ, ᐃᐧᒋᐃᓀᑕᒧᐃᐧᓇᐣ ᓇᓇᐣᑕᐊᐧᓯᓂᑫᐃᐧᓂᐠ. ᓇᐣᑕ ᐅᐁᐧᓂᐊᐧᐣ ᐁᐡᑲᑦ ᑲᑲᑫᐧᒋᒥᑯᔭᐠ ᐁᑭᑐᐨ ᐅᑭᒪᑲᐣ ᓇᐳ, “ᑲᑲᓄᓂᑎᔪᐠ. ᑫᑯᓇᐣ ᐊᔕ ᑭᒪᒋᒋᑲᑌᐊᐧᐣ. ᓂᑭᐅᔑᑐᒥᐣ ‘ᐊᓂᐣ ᑲᑭᑐᑕᒣᐠ? ᐊᓂᐣ ᐁᐡᑐᔦᐠ ᑲᐃᔑ ᑲᑲᓄᓂᑎᔪᐠ ᑲᐃᔑ ᐃᐧᑕᐱᒥᑎᔦᐠ ᐁᑲᐧ ᓇᐣᑕ ᐊᓄᑭᑕᒪᑫᐃᐧᓇᐣ ᑫᐃᐧᒋᐦᐃᐁᐧᒪᑲᑭᐣ ᒥᓄᐃᐧᑕᓄᑲᑕᒣᐠ ᐃᐁᐧ ᐊᐸᒋᑕᑲᓇᐣ ᒋᐃᐧᑕᓄᑭᒥᑎᔦᐠ. ᒥᐁᑕ ᑫᑭᔑ ᑌᐱᓇᒣᐠ ᐃᒪ ᐊᓯᓂᑫᐃᐧᐱᒧᒋᑫᐃᐧᓂᐠ ᒪᐊᐧᐨ ᑲᐧᔭᐠ ᑲᓇᓇᑎᓂᑲᑌᑭᐣ ᐱᒧᒋᑫᐃᐧᓇᐣ? ᐊᓂᐣ ᑲᐧᔭᐠ ᐱᒧᒋᑫᐃᐧᐣ.” ᑭᒥᓄᓭᐊᐧᐣ. ᐁᐃᔑ ᐅᓀᐣᑕᒣᐠ ᓇᐣᑕ ᐁᐃᔑ ᑭᑫᐣᑕᒣᐠ ᐃᐁᐧ ᒪᒪᐤ, ᓂᑎᐡᑯᓂᑲᓂᓇᐣ ᐃᓀᐣᑕᒪᐣ ᐃᐁᐧᓂᐊᐧᐣ ᑲᐊᔭᔭᐠ ᑲᐊᑫᐧᑕᐃᐧᓭᑭᐣ ᑲᐃᔑ ᑎᐯᐣᑕᑲᐧᑭᐣ ᐊᐦᑭᐠ? ᐅᑭᒪᓯᓇᐦᐊᓇᐊᐧ ᓂᐦᓯᐣ ᐃᐧᒋᓀᐣᒋᑫᐃᐧᓇᐣ ᒪᐊᐧᐨ ᑲᐧᔭᐠ ᐊᓂᐣ ᐁᐃᔑ ᒪᒪᐃᐧ ᐅᓀᓂᒣᐠ ᐊᐁᐧᓂᐊᐧᐠ ᑲᐃᐧᑕᓄᑭᒥᑎᓇᓂᐊᐧᐠ ᓇᑯᒥᑐᐃᐧᓇᐣ ᐃᐧᒋᓀᐣᒋᑫᐃᐧᓇᐣ – ᑫᐧᑫᐧᐠ ᐁᒥᓄᓭᒪᑲᑭᐣ. ᐅᑕᓯᓂᑫᐠ ᑲᒪᒪᐃᐧᓇᐱᔦᐠ?’ ᓂᑯᑕᐧᓱ ᐊᐦᑭ ᐅᑕᓇᐠ, ᐁᑲᐧ ᒣᑲᐧᐨ ᑭᔭᐱᐨ ᑫᑲᐟ ᑲᑭᓇ ᐊᓯᓂᑫᐃᐧ ᓇᓇᐣᑕᐃᐧᑭᑫᒋᑫᐃᐧ ᑌᐯᐧ, ᐃᐁᐧ ᐁᑕ ᐁᐃᔑ ᐊᔑᑌᐣᑕᒪᐣ ᓂᓯᐣ ᓂᑕᔑᐣᑕᒥᐣ. ᐃᐁᐧᓂᐊᐧᐣ ᑫᑲᐟ ᑲᑭᓇ ᐃᐧᒋᓀᐣᒋᑫᐃᐧᓇᐣ ᒪᔭᑦ ᐃᔑᓇᑲᐧᓂᐊᐧᐣ. ᒧᔕᐠ ᑌᐸᑫᓂᒥᐁᐧᐃᐧᐣ – ᐃᐁᐧ ᑲᑭᐊᓂ ᐊᐁᐧ ᔓᓂᔭᐊᐧᓯᐣ ᑲᒧᓇᐦᐅᐨ, ᐁᑲᐧ ᐯᔑᐠ ᓂᑎᔕᒥᐣ ᐊᓯᓂᑫᐃᐧ ᓇᓇᑕᐃᐧᑭᑫᒋᑫᐠ ᐁᑲᐧ ᐊᐧᐁᐧᓇᒋᑲᑌᐠ ᒥᔑᓂᔭᐦᑭ. ᐊᐁᐧ ᑲᐊᐧᓭᐊᐱᑭᓯᐨ ᐊᓯᐣ. ᐁᐃᓇᑭᐨ, ‘ᓇ, ᐅᐁᐧ ᓂᐃᐧᒋᓀᐣᒋᑫᐃᐧᓂᓇᐣ. ᐃᐁᐧ ᑲᐃᓀᐣᑕᒪᐣ ᑲᐃᐧᐣᒋ ᒥᓄᓭᐠ ᑫᑲᐟ ᐁᑲᐧ ᑭᔭᐱᐨ, ᓂᑭᑕᓯᐣᑕᒥᓇᐣ ᓇᐣᑕ ᑕᐃᐧᓭᐃᐧᐣ ᓇᐣᑕ ᑲᑭᓇ ᐊᓄᑭᓇᑲᓇᐠ ᐃᒪ ᐊᐧᐸᐣ – ᑲᔦ ᓂᓯᑕᓇ ᐊᓯᓂᑫᐃᐧ ᓇᓇᑕᐃᐧᑭᑫᐣᒋᑫᐃᐧ ᒋᑕᔑᐣᑌᑭᐣ ᓴᑯᐨ ᐊᐁᐧᓂᐊᐧᐠ ᑯᑕᑭᔭᐠ ᓂᐣ ᐁᑲᐧ ᒉᓴᐣ ᐸᑎᐢ, ᔓᓂᔭᐃᐧᐱᒧᒋᑫᐃᐧᐣ ᐃᐧᒋᓀᐣᒋᑫᐃᐧᓇᐣ ᐃᐁᐧ ᒪᔭᑦ ᒥᓂᑯᐟ ᐅᑕᓯᓂᑫᐠ ᐃᒪ ᑲᐃᐧᑕᐱᒥᑯᔦᐠ ᐃᐁᐧᓂ ᐅᓇᓇᑲᒋᒋᑫ ᐃᒪ ᐊᐧᐸᓂᐠ – ᐊᔕ ᓇᐣᑕ ᑲᑭᐱᒥᔭᐦᑭᐊᐧᐠ. ᐁᑲᐧ ᒣᑲᐧᐨ ᐅᐁᐧ ᑲᐱᒥᓭᐠ ᐅᑭᒪᓯᓇᐦᐊᓇᐊᐧ ᐃᐧᒋᓀᐣᒋᑫᐃᐧᓂ, ᐊᓂᐣᑕᐡ ᓂᔑᑕᓇ ᐊᐦᑭ ᐁᐃᐧᒋ ᐃᐧᑕᓄᑭᒥᑎᔭᐠ. ᐊᔕ ᒥᓇᐊᐧ ᐊᐦᑭᐊᐧᐠ ᐊᔕ ᓂᑎᔑᐸᑯᓭᐣᑕᒥᐣ ᐁᑲ ᑭᐣ ᐁᐃᐧᐣᒋ ᒪᓯᓇᐦᐊᒪᐣ?’ ” ᓂᑐᒋᐃᐧᑕᓄᑭᒪᒥᐣ ᒣᑲᐧᐨ ᑲᓂᑲᓂᑕᒪᑫᐊᐧᐨ ᓇᐣᑕ ᓂᒥᑕᓇ ᒥᓂᑯᐠ ᓂᔭᓄᒥᑕᓇ ᓂᐸᑯᓭᐣᑕᒧᐃᐧᓇᐣ ᐃᐁᐧ ᐊᐱ ᑲᑭᐃᐧᐣᒋ ᐅᑕᐱᓂᐣᑕᐧ, ᓇᐣᑕ ᓇᐊᐧᐨ ᒪᒪᐃᐧᐃᓀᒋᑫᐃᐧᓇᐣ -ᐃᐧᑕᒪᑫᐃᐧ ᓂᐃᐧᒋᓀᐣᒋᑫᐃᐧᓇᐣ ᒋᒪᓯᓇᐦᐃᑲᑌᐠ ᑭᓀᐧᐡ. ᐅᑭᒪᑲᐣ ᐊᐧᓫᑎᕑ ᓇᐳ ᐃᒪ ᒪᑕᑲᒥ, ᓂᓯᑐᑕᒧᐃᐧᐣ ᓇᐣᑕ ᐊᓯᓂᑫᐃᐧ ᑲᑭᓇ ᐊᐃᐧᔭᐠ ᒋᐊᐧᐸᐣᑕᒧᐊᐧᐨ ᐊᐱ ᐊᐁᐧ ᐯᔑᐠ, ᐊᔕ ᓂᓴᐧᓱ ᐊᐦᑭ ᐅᐣᒋ ᐅᑭᒪᑲᓄ ᓇᓇᑕᐃᐧᑭᑫᐣᒋᑫᐃᐧ ᐃᐧᒋᓀᐣᒋᑫᐃᐧᓇᐣ ᐁᑲᐧ ᐃᐁᐧᓂᐊᐧᐣ ᑯᑕᑭᔭᐣ ᐃᐡᑯᓂᑲᓇᐣ ᓴᑯᐨ ᓂᑭᐃᐧᑕᓄᑭᒪ ᐸᐦᑲᐣ ᑲᔦ ᒣᑲᐧᐨ ᑲᑭ ᒍᓇᒋᑲᑌᑭᐣ ᐃᒪ ᐊᓯᓂᑫᐃᐧ ᐱᒧᒋᑫᐃᐧᓀᓴᐣ ᒋᓇᐱᐱᐦᐊᒧᐊᐧᐨ ᓇᐣᑕ ᐊᓂᐣᐱᑯ ᐃᓇᓄᑭᐨ, ᑲᑭ ᐅᓇᔑᐁᐧᐃᐧᓂᐃᐧᐨ ᐁᑲᐧ ᑲᑭ ᑲᐊᔭᑭᐣ. ᑲᐃᐧᓇᐸᒋᑐᐊᐧᑫᐧᐣ. ᐁᑲᐧ ᓂᑕᐡᐊᐧᐸᐣᑕᒥᐣ ᐱᒧᒋᑫᐃᐧ ᐊᓄᑭᐨ ᐃᒪ ᐃᐡᑯᓂᑲᓂᓂᐠ. ᐃᐁᐧᓂᐊᐧᐣ ᑲᑭᐃᐧᐣᒋ ᒥᓄᓭᑭᐣ ᓇᐣᑕ ᒋᐃᐧᐣᒋ ᐃᓀᐣᑕᒧᐊᐧᐨ ᐊᓂᔑᓂᓂᐊᐧᐠ ᐁᑲᐧ ᐁᐃᔑ ᐊᔭᒪᑲᐠ ᑌᐸᑫᓂᒥᐁᐧᐃᐧᐣ ᑲᑭ ᐅᒪᐡᑲᐁᐧᐣᑕᒧᐃᐧᓂᐊᐧ ᐁᑲᐧ ᐅᑕᓄᑭᐃᐧᓂᐊᐧ ᓇᐣᑕ ᐊᓂᔑᓂᓂᐃᐧ ᐱᒧᒋᑫᐃᐧᓇᐣ ᐊᐱ ᐅᔑᑐᔭᐠ. ᐊᐁᐧᓂᐊᐧᐠ ᐊᓂᔑᓂᓂᐃᐧ ᐅᓂᑲᓂᑕᒪᑫᐠ. ᐃᐁᐧ ᑐᑕᒪᐠ ᓴᑯᐨ ᓂᑐᑭᒪᑲᓂᓇᐣ ᐅᐃᐧᔑ ᒥᐦᐃᐁᐧ ᒪᐊᐧᐨ ᑲᑭᓇ ᑫᑯᓇᐣ ᑲᑭᐃᐧᐣᒋ ᑫᒋᓇᐨ ᑭᐡᐱᐣ ᐁᑲ ᑭᐃᐧᑕᓄᑭᒥᑎᐊᐧᐸᐣ ᐊᐧᐸᐣᑕᐦᐃᐁᐧᐊᐧᐠ ᑲᐃᔑ ᓂᑲᓂᑕᒪᑫᐊᐧᐨ. ᒥᓄᓭᑭᐣ.

ᐁ

Cash part of Flying Post-Red Pine deal

F

lying Post First Nation is set to receive cash payments under an agreement with Red Pine Exploration Inc., a gold and base-metals exploration company headquartered in Toronto.

The deal, which took effect Dec. 1, applies to Red Pine’s exploration and development of its Cayenne-Chili property, located about 110 kilometres southwest of Timmins and within the First Nation’s traditional territory. It will remain in effect until the two parties reach an impact benefit agreement, Red Pine noted in a Jan. 13 news release.

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Subject to reaching specific thresholds, the company has agreed to provide the following compensation and consideration to Flying Post in recognition of the First Nation’s Aboriginal and Treaty rights: • issuance of up to 300,000 common shares; • issuance of up to 700,000 common share purchase warrants with a five-year term, at an exercise price to be determined as at the date of issuance;

(ᑲᑭ ᐃᓀᐧᑕᒪᑫᐨ ᑕᐧᒪᐢ ᐱᑎᓫᐃᕑ ᐃᒪ ᐊᐧᐊᐧᑌ.)

for FREE!

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one year and aS a bonuS, get 4 editionS

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The agreement also includes terms and conditions outlining environmental protection; employment, training and business opportunities; and mitigation of impacts on the traditional pursuits of Flying Post First Nation members.

in addition, you will receive .

4 editionS of Nishnawbe Youth Magazine

• lump sum cash payment of up to $15,000; and

the route and type of infrastructure, and would also be subject to environmental assessment and regulatory processes and approvals and the Crown meeting its duty to consult. The amount committed will be MNDM Minister established when all the Michael Gravelle partners are on board.”

In letter to Prime Minister Stephen Harper the same day the development corporation was announced, Premier Kathleen Wynne said capital investment required for “industrial infrastructure” to the Ring of Fire could cost up to $1 billion. And the price for connecting First Nation communities in the area to all-season access roads would be another $1.25 billion, her government estimated.

“Right now, Ontario is moving forward in discussions with the federal government and the conversations have been encouraging,” said Bennett. Meetings, including one Dec. 5 between

ᐃᐁᐧᓂᐊᐧᐣ ᑲᔦ ᐃᐡᑯᓂᑲᓇᐣ ᐁᑲ ᐊᐧᐸᐣ ᑲᐃᐧᐣᒋ ᑎᐯᐣᑕᑯᓯᐊᐧᐨ ᓂᐃᐧᑕᓄᑭᒪᒥᐣ ᑲᐊᑫᐧᑕᐃᐧᓭᓂᑭᐣ ᐅᑕᐦᑭᒥᐊᐧ. ᐃᐁᐧ ᑲᐊᔭᑭᐣ ᐊᐦᑭᐣ ᑲᐊᑫᐧᑕᐃᐧᓭᑭᐣ, ᓂᑕᓯᑕᑭᒪᒥᐣ ᐃᒪ ᓂᐃᐧᒋᓀᐣᒋᑫᐃᐧᓇᐣ ᐁᑲ ᐃᐧᐣ ᓂᓀᑕᐃᐧᐟ ᓂᑎᓀᑕᒧᐃᐧᓂᓇᐣ ᐁᐊᐸᒋᑐᔭᐣᐠ. ᐯᔑᐠ ᐃᐧᒋᓀᑕᒧᒥᑎᐃᐧᐣ ᒪᐊᐧᐨ ᒥᓄᓭ ᑫᐃᐧᐣᒋ ᐃᐧᒋᐦᐃᑯᔭᐣ ᐊᐁᐧᓂᐊᐧᐠ ᐃᐧᑕᓄᑭᒪᔭᐠ ᐊᓯᓂᑫᐃᐧ ᐱᒧᒋᑫᐃᐧᓇᐣ, ᓴᑯᐨ ᑭᐡᐱᐣ ᐊᐦᐸᐣ ᐸᐦᑲᐣ ᑕᐃᔑ ᐅᓇᑌ ᐃᐧᒋᐃᓀᑕᒧᒥᑎᐃᐧᐣ. ᑲᐊᔭᐣ ᐃᐁᐧ ᒪᐊᐧᐨ ᑲᒥᓄᓇᑲᐧᐠ ᐃᐧᒋᓀᑕᒧᒥᑎᐃᐧᐣ ᓴᑯᐨ ᐃᐁᐧ ᑫᐸᐣᑭᓯᓄᒪᑲᐠ ᐃᐡᑯᓂᑲᓇᐣ ᐁᑲ ᐁᐃᐧᑕᓄᑭᒥᑎᐊᐧᐨ ᐃᐁᐧ ᐊᐦᑭᐣ ᑲᐊᑫᐧᑕᐃᐧᓭᒪᑲᑭᐣ. ᓂᑌᐯᐧᑕᐣ ᐃᐁᐧ ᒪᐊᐧᐨ ᑫᒪᒋᓭᐦᐃᐁᐧᒪᑲᐠ ᐊᐣᑎ ᐱᑯ ᑲᐃᔑ ᐊᓯᓂᑫᓇᓂᐊᐧᐠ ᐅᒪ ᐊᐦᑭᐠ, ᑭᐡᐱᐣ ᑲᔦ ᐅᒪ ᓇᐣᑕ ᐱᐊᐧᐱᑯᑫᐃᐧᓂᐠ ᐁᑲᐧ ᐊᐣᑎ ᐱᑯ ᑲᓇᑕ. ᑭᐡᐱᐣ ᐁᑲ ᐃᐡᑯᓂᑲᓇᐣ ᒪᒪᐃᐧ ᐃᐧᒋᓀᐣᑕᒧᐊᐧᐨ ᐃᐁᐧ ᐊᐦᑭ ᑲᑎᐯᐣᑕᑲᐧᐠ, ᑲᐃᐧᐣ ᑕᐃᓭᓯᓂ. ᐊᐣᑕᐁᐧᐣᑕᑲᐧᐣ ᐃᐁᐧ ᑌᐸᑫᓂᒥᐁᐧᐃᐧᐣ. ᑫᒋᓇᐨ ᐊᐣᑕᐁᐧᐣᑕᑲᐧᐣ ᒥᐡᑕᐦᐃ ᒪᒪᐃᐧᐊᐧᐱᐃᐧᓇᐣ. ᐁᑲᐧ ᐊᐣᑕᐁᐧᐣᑕᑲᐧᐣ ᑲᑭᓇ ᒪᒪᐃᐧ ᒋᓂᓯᑐᑕᒧᐊᐧᐨ ᐊᐃᐧᔭᐠ. ᐃᒪ ᐊᐧᐸᐣ, ᑲᑭᓇ ᓂᑎᐡᑯᓂᑲᓂᓇᐣ ᐅᑭᔭᓇᐊᐧ ᐅᑕᐦᑭᒥᐊᐧ ᑲᑭ ᐊᑫᐧᑕᐃᐧᓭᓂᑭᐣ ᓴᑯᐨ ᑭᔑ ᐸᐯᔑᑯ ᐅᓀᐣᑕᓇᐊᐧ ᐊᓂᐣ ᑫᐃᔑ ᒪᒪᐃᐧᐊᓄᑭᐊᐧᐨ. ᒥᔑᓂᔭᐦᑭ ᑭᐱᒥᓭ ᒋᑌᐱᓇᒪᐠ ᐁᑲᐧ ᒪᐊᐧᐨ ᑭᑲᑫᐧ ᒪᒪᐃᐧ ᓂᓯᑐᑕᒧᐣᑎᓇᓂᐊᐧᐣ. ᐯᔑᐠ ᑫᑯᐣ ᑫᒋᓇᐨ: ᑲᐃᐧᐣ ᐊᐃᐧᔭ ᐅᑲᑭᒪᒥᓇᐧᑐᓯᐣ ᓂᑕᓂᒥᓭᐃᐧᓂᓇᐣ ᐃᐁᐧ ᑲᐊᑫᐧᑕᐃᐧᓭᐠ. ᑭᒍᑭᒪᐃᐧᐣ ᑲᐃᐧᐣ ᐅᑲᑭᒪᒥᓇᐧᑐᓯᐣ ᐁᑲᐧ ᐃᐁᐧ ᐊᓯᓂᑫᐃᐧᐱᒧᒋᑫᐃᐧᓇᐣ ᑲᐃᐧᐣ ᐅᑲᑭᒪᒥᓇᐧᑐᓯᐣ. ᑭᓇᐃᐧᐣᐟ ᐱᑯ ᑲᑐᑕᒥᐣ ᑲᐃᔑ ᐊᓂᔑᓂᓂᐃᐧᔭᐠ.

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• ongoing cash contributions equal to two per cent of all assessment-eligible exploration expenditures incurred on the property, to a maximum of $50,000 per agreement year.

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Wynne and Harper, “have highlighted that the provincial and federal governments share the same goal: realizing the tremendous benefits associated with this project.”

Cliffs, meanwhile, while suspending its chromite project also expressed support for the development corporation plan, and indicated it would participate in related discussions.

Noront Resources, which in December submitted a draft environmental assessment report for its planned Eagle’s Nest mine for nickel, copper and platinum group metals, said it would participate in the proposed corporation. “As we near completion of our EA process, clarity regarding the timing and financing of this infrastructure will become paramount,” Alan Coutts, president and CEO of Noront, said in a news release.

And Frank Smeenk, CEO and president of KWG, told CBC News he was enthusiastic about Ontario’s planned development corporation, since his company had been proposing a similar model.

“The development corporation would act as a vehicle for investment, leveraging private and public sector investments,” Gravelle said.

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QUARTERLY

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BEST PRACTICES “By this time next year we fully expect to have 40-50 agreements – memorandums of understanding or exploration agreements with junior mining companies.”

Constantine inks pact with Wahgoshig & Matachewan First Nations

C

onstantine Metal Resources Ltd. on Jan. 15 announced it had reached an exploration agreement with the First Nations of Matachewan and Wahgoshig.

The agreement is for the company’s properties within the shared traditional territories of Wahgoshig and Matachewan. This area currently includes Constantine’s Golden Mile property in the city of Timmins.

The primary purpose of the agreement is to establish the foundation for ongoing communication with the Matachewan and Wahgoshig communities during the exploration process, while respecting their culture, heritage and territory, Constantine stated in a news release. It also promotes training and employment for First Nation people, and business opportunities for First Nation companies and partnerships.

“Constantine has established very positive, mutually beneficial relationship with the Wahgoshig First Nation since 2008 on its Munro Croesus project and looks forward to expanding (that) relationship … and building a similar strong relationship with the Matachewan First Nation,” said Garfield Macveigh, president and CEO of Constantine.

Constantine and the First Nations have also agreed to a negotiation process leading to an impact benefits agreement (IBA) should any project within the shared traditional territory proceed to an advanced stage. The IBA will cover topics such as business opportunities, employment, training and financial compensation.

“This agreement protects our traditional values and continues to demonstrate that Wahgoshig First Nation promotes responsible development on our land,” said Chief David Babin of Wahgoshig.

Added Chief Elenore Hendrix of Matachewan: “This pact between us signals the company’s intent to engage our community in a responsible manner, while allowing our citizens to provide input into the development and to promote a sustainable future for our territory.”

Under the terms of the exploration agreement, Constantine will issue an aggregate of 185,000 shares of the company to Wahgoshig and Matachewan, subject to regulatory approval.

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SPRING 2014

Trust, compromise required to resolve overlapping territory Shawn Batise

Executive Director Wabun Tribal Council The following is from a presentation by Shawn Batise at the 2013 Mining Ready Summit in Timmins, hosted by Nishnawbe Aski Development Fund. Batise is executive director of Wabun Tribal Council, which has six member First Nations: Beaverhouse, Brunswick House, Chapleau Ojibwe, Flying Post, Matechewan, and Mattagami.

I

’ve been involved with Wabun Tribal Council since it started in 1990. The Wabun communities are in northeastern Ontario, all within about a two-hour drive of Timmins. Their traditional territories kind of intersect here in Timmins.

It’s the busiest area in the province in terms of mining exploration and development, and mining has become top of mind in most of the communities of our tribal council.

With our participation in resource development over the past five to seven years, I’ve never seen more growth in the communities in terms of wealth, health, better jobs … being economically well off.

A large part of it is because of what we’ve been able to do in the tribal council area, with the help of the First Nations, obviously, in negotiating agreements around mining development. Things have really taken off. We’ve created a number of businesses servicing the industry that have been very successful.

Collectively, our First Nations have signed three impact and benefit agreements (IBAs) in the past six years or so. We’re currently in the negotiation of three other IBAs and are hopeful two of them will be concluded in the coming months. An additional IBA negotiation could

photo: Bryan Phelan

begin soon. These are mostly for gold mining properties, plus one nickel mining property.

On top of that, we’ve negotiated about 30 exploration agreements over the same period. By this time next year we fully expect to have 40-50 agreements – memorandums of understanding or exploration agreements with junior mining companies.

This has all been made possible through the collective will and drive of the First Nations leadership. Certainly without the chiefs working together this never would have been possible.

Some of the things we get asked most often asked are: How do you guys do it? How do you create the environment where you work together on resource development? How do you decide or determine overlap of territories? How do you come to agreements with developers amongst yourselves, whether it’s a onecommunity agreement or a multi-community agreement?

Really, the only answer I have is trust – something we’ve been able to build up over a number of years.

I think a lot has to do with the fact that most of the staff at the tribal council – including myself and Jason Batise, economic development and technical services advisor for Wabun – have been around for 20-odd years.

We’ve worked with the current leadership since they’ve been elected, or longer. Chief Walter Naveau of Mattagami, for example, has been chief for the last seven years but I’ve also worked with him in his previous roles, as a councillor and as a program worker in the community. So there’s a trust that we’ve built up.

That’s been the key element in our success.

For those of you that aren’t there yet, as Chief Naveau said (in welcoming remarks at the NADF Mining Ready Summit), “Dialogue. Dialogue amongst yourselves and work together. That’s the only way we’re going to achieve success long term.”

I

think the agreements we have are very good agreements – fair to both sides.

We’ve largely standardized our exploration agreements; about 75 per cent of them are exactly the same. And there’s very little variance in the ones that are different. We always go to the exploration company and say, “Look, here’s our agreement, do you want to negotiate it? We’re open to some pieces of negotiation but for the most part, the company with the

property right beside you has signed the same agreement, so why shouldn’t you?”

Our hope is to publicize our agreement at some point – all of the details of it – to make it available for other communities to copy or use as they want. We fully expect there will be some criticism by First Nations or First Nations groups once we’ve done this but our chiefs are willing to lead by example. We certainly think our agreement is a best practice.

We also work with communities outside of Wabun that share traditional territories with us. Where there is territorial overlap, we invite them into agreements with us rather than doing our own agreements. One agreement is best for leverage with mining companies, otherwise they’re going to set some benefits aside for other agreements and you’re going to leave something on the table.

You can have the best agreement but sometimes the failing is communities not working together with regards to territorial overlap. I believe, and I’ve said it many times in many conferences, that this is the biggest threat to development in any territory, whether it’s here or the Ring of Fire or anywhere else in Canada. If communities can’t work together to come to a shared understanding of the territory, it’s not going to work.

It requires some trust. It certainly requires a lot of dialogue. And it requires some compromise. It doesn’t just require compromise of one party; everybody has to compromise.

And that’s what we’ve collectively done in Wabun. All of our communities have territory that overlaps so significantly they could say, “All the way over across to other side, that’s my territory and I want a piece of that project.” But we undertook to decide amongst ourselves how we’re going to share. It took us a few years to get there and it required a lot of compromise.

One thing is for sure: no one is going to solve that problem of overlap for us. Government is not going to do it and industry is not going to do it. It’s up to us as First Nations.

Without dialogue and compromise among us, industry will not have certainty. Without certainty, there won’t be any investment.

And without any investment, there won’t be development.

So, if you want development in your communities, you need to work together wherever there’s overlap.

SPECIAL REPORT

Major role for Aboriginal partners in Detour mine Bryan Phelan Onotassiniik

T

he figure seemed so high, Leonard Rickard double-checked his calculations.

Rickard, Aboriginal affairs manager for Detour Gold Corporation, had been asked to determine the value of Aboriginal participation in construction of the company’s Detour Lake gold mine.

To find the answer, Rickard pored over all contracts associated with building the mine, line by line. He discovered – and confirmed upon double-checking – Aboriginal businesses and joint ventures had done more than $400 million worth of the construction work.

Surprised when presented with the information, Rickard’s supervisor also wondered whether this extraordinary level

of Aboriginal involvement had really been achieved or if the number reported was just the result of a typo.

“People assumed I meant to say $40 million, something in that area,” Rickard recalls, “but to be able to say we did $400 million was quite amazing … certainly well above what we had anticipated.”

It’s also a big share of the $1.5 billion total cost of construction.

CONTINUED PAGE 8 photo: Detour Gold One of Detour’s trucks heads out of the pit to the primary crusher.

WAWATAY’S MINING QUARTERLY

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SPECIAL REPORT Detour Gold’s Detour Lake Mine

• Extensive work experience in community economic development, specializing in business development and small business financing.

Detour Gold’s flagship asset, Detour Lake mine is on track to becoming Canada’s largest operating gold mine, with the largest pure gold reserve in the country at 15.6 million ounces of gold.

The open-pit mine is located 185 km by road northeast of Cochrane, Ontario, where Detour has a regional office.

Its corporate office is in Toronto.

• Previously worked as: CEO of CreeWest GP Inc.; executive director of Wakenagun Community Futures Development Corporation; and co-ordinator of employment and training services at Mushkegowuk Council.

• Educated at the University of Toronto, Rotman School of Management (directors education program, Institute of Corporate Directors); International Air Transport Association Training & Development Institute (senior diploma, airline management); and the University of Western Ontario (BA, political science).

2006 • Acquired the Detour Lake gold property from Pelangio Mines Inc. for $75 million. A former Detour Lake mine was operated by Placer Dome and produced 1.8 million ounces of gold from 1983 to 1999.

2009-10 • Signed memorandum of understandings with Moose Cree First Nation and Taykwa Tagamou Nation in 2009, and with Métis Nation of Ontario in 2010.

• Executed impact benefit agreements with Taykwa Tagamou and Wahgoshig First Nation in 2010.

• Received provincial permits to start construction in November 2010.

2011 • Signed a business agreement with Moose Cree First Nation.

• Received federal approval for the Detour Lake environmental assessment.

2012 • Signed an IBA with Métis Nation of Ontario.

2013

• Commercial production reached in August.

The Future • Projected average annual gold production of 650,000+ ounces over a mine life of more than 20 years.

–compiled from www.detourgold.com

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photo: Bryan Phelan

CONTINUED FROM PAGE 7 The open-pit Detour Lake mine is located 185 kilometres northeast of Cochrane on a site that had been mined previously, most recently by Placer Dome in the late 1990s. It also sits in the shared traditional territory of Moose Cree First Nation, Wahgoshig First Nation, and Taykwa Tagamou Nation.

Detour negotiated a business or impact benefit agreement (IBA) for the mine with each of these communities, and with the Métis Nation of Ontario.

“We have a very broad commitment to maximize economic opportunities for our Aboriginal partners, (while being) focused on minimizing the environmental impacts of our mine,” Rickard says.

After 27 months of construction, gold production at the mine started early last year and Detour hopes to achieve full production capacity by the end of 2014.

The projected life of the mine is 22 years.

“Detour is on track to becoming Canada’s largest operating gold mine,” noted Brian Davey, executive director of Nishnawbe Aski Development Fund (NADF), while introducing Rickard as a speaker at an NADF mining forum in Timmins last fall.

As with others who listen to Rickard, hearing that the value of Aboriginal participation in Detour’s construction exceeded $400 million caught Davey’s attention. “That was a surprising figure,” he said. “If that’s a signal of the type of success that can come out of some of these agreements, I think we’re definitely heading in the right direction.”

Construction contracts

• First gold pour in February.

SPRING 2014

“We need to take more time to celebrate the great news that is coming out these (impact benefit and business) agreements, and the work that we do with our Aboriginal communities and partners.”

Leonard Rickard Aboriginal Affairs Manager, Detour Gold Corporation

A

boriginal businesses contributed to nearly every aspect of the Detour Lake mine construction. “We had Aboriginal participation in our camp catering, site services, concrete work … pretty much any areas in our mine construction where contracts were issued,” Rickard says. The result was an Aboriginal business participation rate of 52 per cent in the overall construction.

After Rickard’s talk in Timmins, Davey noted an obstacle Detour likely would have had to overcome to achieve this high rate: “One of the realities that exists right now for local entrepreneurs, in some cases, is that they’re simply too

small to be able to compete on largescale construction bids.”

Rickard explained Detour’s solution: “We’ve encouraged some of our major contractors to sub-contract work, wherever possible, to local entrepreneurs. The most visible example would be in (sub-contracting to) heavy equipment operator businesses. With large-scale construction programs, that’s probably the best fit. Or perhaps with transportation of cargo or fuel – encouraging sub-contracting that way.”

Major components of the Detour Lake construction included the building of a 180-kilometre hydro transmission line, mining facilities, an accommodation complex, and a tailings management area.

For the right to build the transmission line, the three First Nations that have agreements with Detour – Moose Cree, Wahgoshig and Taykwa Tagamou – partnered with Peter Kiewit Infrastucture to form Detour Lake Constructors. Kiewit is one of North America’s largest construction and engineering organizations. PowerTel Utilities Contractors also joined the effort to build the 230-kilovolt Detour line, as a sub-contractor. The group successfully completed the line in 2012 for connection of the mine to the Ontario hydro grid.

“That was sort of the first big project on the construction side that (Taykwa Tagamou) was involved in,” says Merv McLeod, a member of the community’s IBA negotiation team.

“What that provided was not only the ownership component of this construction company, but also both Taykwa Tagamou and Moose Cree have fairly substantial forestry operations that do right-of-way clearing, working in the bush … so they were able to put an existing workforce together and do that.”

One significant advantage for Taykwa Tagamou from its IBA, adds McLeod, “is that a few of its companies have gained a lot of experience with developing partnerships, getting them running and making them successful.”

New Post Constructors, which represented Taykwa Tagamou in the transmission line partnership, is one such company, he said.

According to the contractor’s website, New Post Constructors formed in 2010

to focus on securing contracts at the Detour Lake mine. Through various partnerships, the company took on several more projects for Detour: tailings management and dam construction as part of a joint venture called TMA Venture; construction of a truck maintenance and wash facility, plus a mine services building, with Cyrheault Construction; and installation of a mill in a joint venture with Blais Industries.

“They’re still working up there,” McLeod said of New Post Constructors in mid January.

4 Aboriginal partners, 100+ businesses listed

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of the work our community partners are doing in support of the Detour mining operation and, in fact, every single one of our employees,” Rickard says.

Taykwa Tagamou also has a partnership with a national company, Domco Foodservices, to provide camp catering and janitorial services at Detour Lake. It takes about 100 contract employees at a time just to handle the catering, Rickard says. They feed up to 500 employees who stay on site, plus contract workers.

Other current contracts cover camp security, explosives supply and service, and heavy equipment maintenance.

Although Detour doesn’t engage in life-of-mine contracts, “We do have lifeof-mine commitments to our Aboriginal partners,” says Rickard. Detour doesn’t set aside contracts for those partners but follows a limited tendering process that’s restricted to First Nation

boriginal businesses continue to secure contracts with Detour Gold at an impressive rate now that its Detour Lake mine is producing gold.

“Approximately three-quarters of our operations contracts are being performed by Aboriginal contractors,” Rickard says.

“We need to acknowledge that capacity does exist within the Aboriginal business community.

They’ve done amazingly well and provided a great track record for us.”

Although there are fewer contracting photo: Detour Gold opportunities now Trista Keesic works at Detour’s process plant. than during the mine construction, operations contracts are for a longer communities and businesses. To period, he points out. “We don’t provide win a contract, they have to be costlife-of-mine contracts; typically our competitive and able to demonstrate mine contracts are for anywhere from they can perform the work, as with any three to five years. But if all goes well, regular bidding process.

“Our Aboriginal partners seem to contractors will be there for the next be working very well within those 21 ½ yrs.”

Through its Aboriginal agreements, parameters and have been very Detour made specific commitments for successful,” Rickard says. “I think it has its mine operations to include Aboriginal been a great way of building capacity in participation in camp catering and Aboriginal communities.”

Aboriginal partners contribute to employee transportation contracts.

Taykwa Tagamou formed a joint their own success by maintaining and venture with Tisdale Bus Lines, a providing Detour with registries of family-owned business based in South community businesses. Together, those Porcupine, Ontario, to bus Detour registries list more than 100 businesses. employees and contractors between the They typically find out from local mine site and Cochrane six days a week. business development co-ordinators “For us, it’s a very visible demonstration about upcoming contracts at Detour.

“The community alone determines what constitutes a community business,” notes Rickard.

First Nations, he says, have taken a range of business approaches: partnering with each other, as was the case with the transmission line construction; winning work through their communityowned entities, such as the Moose Band Development Corporation or Wahgoshig Resources Inc.; community-owned businesses joint venturing with Timminsor Cochrane-based businesses; or First Nation members entering into business relationships with mainstream companies.

“The challenge for us is ‘How do we ensure benefits that accrue from those significant pieces of (contract) work are shared widely?’ ” Rickard says.

“It’s something we’ve become much more aware of in the past year. Frankly, we faced some criticism when we’ve gotten feedback on ways to improve working with Aboriginal communities.

One of things we’ve become much more conscious of now is that with any contractor, whether or not its First Nations affiliated, we specifically ask that they be able to demonstrate benefits to the community, whether it be sub-contracting, employment or other community benefits.”

Maximizing Aboriginal employment

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s of January, Detour employed about 700 people at the Detour Lake mine. Of those, close to 100 were Aboriginal workers from its partner communities. And Aboriginal employees in general represented about 25 per cent of the mine’s workforce.

With the projected mine life of up to 22 years, “There are people working for us who could potentially retire at the Detour Lake mine,” observes Rickard.

“Our commitment is to maximize Aboriginal employment. We want locally based employees – part of our commitment to ensuring this region benefits from the economic benefits of our mine. We’ve committed to working with our Aboriginal partners to identify and recruit potential employees.”

Detour recruiters regularly travel to the company’s partner communities to promote the mine to potential

employees. There is a commitment from Detour for “preferential Aboriginal hiring” from those communities.

“If an Aboriginal candidate from one of our partner communities meets the minimum requirements for a position and has the necessary experience, he or she will be considered over any other candidate,” Rickard explains.

Once hired, photo: Detour Gold some First Nation Twenty-five per cent of Detour’s workers self-identify as e m p l o y e e s Aboriginal. commute from their home communities for seven days revitalized forestry industry, and Ontario of 12-hour work shifts at Detour Lake, Power Generation’s project to upgrade where accommodations and meals are hydro generating stations on the Lower provided, then return home for seven Mattagami River. days off. For Moose Cree workers living “From a community perspective, it in Moose Factory, it first means a five- provides excellent options,” Rickard hour train ride to Cochrane, then the realizes.

185-kilometre bus ride to the mine.

With the Lower Mattagami project From McLeod’s perspective, the expected to sunset sometime in the biggest benefit to Taykwa Tagamou next couple of years, Detour has already Nation from its IBA with Detour has been arranged with Moose Cree First Nation jobs. “That’s what brings the ongoing to talk to its members working there – money into the community,” he says. including tradespeople – about future “There’s a number of people working up work at Detour Lake. there.

Another part of Detour’s ongoing “With Taykwa Tagamou being about efforts to maximize Aboriginal 400 people, we run out of people fairly employment has been the leveraging, quick,” McLeod adds. “So, between with its Aboriginal partners, of almost Detour and other things that are $8 million in training funds. Some of the happening … the word is that those who training has been on-the-job at the mine. want to work are working.”

“We don’t have a specific employment Most Taykwa Tagamou members at targets within any of our units, but Detour so far seem to work in support there’s a general consensus that we jobs, such as catering and maintaining can do more and we should do more,” the residences, which don’t pay as well Rickard says. as the mining jobs, he says. “But still, they’re real jobs.”

A skilled labour shortage not only t’s an exciting time for us,” Rickard in the Aboriginal community, but said in October at the NADF mining across Ontario and Canada, presents a challenge to recruitment for some jobs, forum in Timmins, two months after Rickard says. Adding to that challenge in commercial production levels had been northeastern Ontario is competition for reached at Detour Lake. “We’ve poured skilled workers from the De Beers Victor well over 100,000 ounces of gold.”

The Aboriginal partners will share diamond mine, several new mines, a

Community development

“I

in any commercial success after having received shares in Detour Gold Corporation as part of their agreements, although the value of those shares dropped significantly over the past year along with the price of gold.

At the same time, says Rickard, “While Detour Lake is focused very much on gold production, our story can’t simply be about gold or about making money.

“When we speak to the communities, we’re quite regularly reminded that money can’t buy happiness, … that we must participate actively in other ways,” he explains. “In my own home community (Moose Cree), the feedback I receive is ‘Your mine takes people away from our community … for a week or two weeks at a time. They come back, spend time with their families and they’re gone again.’ Or ‘The contracts don’t operate in the community and the community doesn’t see any physical benefit from the project.’ ” So, Detour regularly makes significant contributions toward education and cultural programming to directly support the community development of its partners. “A common theme in all of our agreements is support for education and training initiatives,” Rickard says. “Our efforts can range from financial support for community education funds to the endowment of local college scholarships or trusts.”

The education director in Taykwa Tagamou Nation tells McLeod the community no longer has to decline funding to qualified students who want to pursue post-secondary education, since the IBA with Detour ensures there are now enough funds to meet the need.

“It’s nice to hear that things are actually being done with (the IBA provisions),” McLeod says, “and it’s actually working the way it’s supposed to.”

As Detour ramps up to full production at its gold mine, it’s also just in the beginning stage of its relationships with Taykwa Tagamou, Wahgoshig, Moose Cree, and Métis Nation of Ontario, says Rickard. “We’re trying to define right now how our long-term relationships will unfold. We all have a role to play.

The success at Detour Lake to date could not have been possible without our Aboriginal partners.”

Detour’s First Nation Partners Moose Cree First Nation The Moose Cree traditional territory extends from Hearst, Ontario in the west to the Quebec border in the east, and from south of Highway 11 to points north toward the Albany River. There is no road access to the First Nation’s reserve of Moose Factory, an island across from the town of Moosonee, which can be reached by train from Cochrane or by plane. Boat taxi is used to cross between Moosonee and Moose Factory in summer and an ice road joins the communities in winter.

Registered Population: 3,899 Population on Reserve: 1,577

Taykwa Tagamou Nation Taykwa Tagamou is a Cree nation with two reserves. Located between Cochrane and Moosonee, one was set aside for hunting, trapping and other activities, not as a principal settlement.

In 1984, a new reserve was created about 20 km west of Cochrane.

Taykwa Tagamou Nation was previously known as New Post First Nation because the community had been associated with a Hudson’s Bay Company post, near the first reserve where the New Post Creek meets the Abitibi River.

Registered Population: 484 Registered Population on Reserve: 126

Wahgoshig First Nation The north end of the Wahgoshig First Nation reserve meets the south shore of Abitibi Lake, which divides northeastern Ontario from northwestern Quebec.

Lake Abitibi was the site of an important Hudson’s Bay Company trading post. The Lake Abitibi Indians, historically one band, are now composed of two communities, Wahgoshig (Ontario) and Pikogan (Quebec).

Wahgoshig is accessible

by Hwy. 101.

Registered Population: 316 Registered Population on Reserve: 135

A panoramic view of the Detour Lake process plant, primary crusher and stockpile dome.

photo: Detour Gold

–Population figures from Aboriginal Affairs & Northern Development Canada, www.aadnc-aandc.gc.ca

WAWATAY’S MINING QUARTERLY

9

SPECIAL REPORT

$8 million worth of mining skills development Bryan Phelan Onotassiniik

D

photo: Detour Gold A teepee sits behind the living quarters for Detour Lake miners. “We want all our employees to understand the contributions of our Aboriginal partners to this region,” says Leonard Rickard, Detour Gold’s Aboriginal affairs manager.

“We have a team dedicated to supporting our Aboriginal employees and providing our non-Aboriginal employees opportunities to better understand Aboriginal cultural traditions and practices.”

Modern mining camp life Detour miners enjoy recreational & cultural activities during downtime Bryan Phelan Onotassiniik

I

t almost sounds like a luxury resort as it’s being described. A beautiful lakefront setting. Private rooms for up to 500 people, with full housekeeping and meals. Lounges, a gym and recreation activities that include golf.

In fact it’s Detour Gold’s mining “camp” for workers at its Detour Lake gold mine.

They’re bused 185 kilometres here from Cochrane for their seven-day work rotations, during which they typically work 12-hour shifts.

Home during the work week is the camp – a five-wing dorm on Little Hopper Lake, several kilometres from the mine.

“It’s a very comfortable facility,” says Leonard Rickard, manager of Aboriginal affairs for Detour Gold. “We wanted somewhere that was very scenic, (so) it’s on the lake, certainly far enough from the mining operations that you’re not going

to hear trucks roaring by every other second.”

Every employee who stays here has a private room, along with a private bathroom. Meals are prepared for them in an on-site kitchen. There are TV lounges (“the big UFC fight everybody was talking about, our employees gathered to watch that together, plus hockey games,” Rickard says), communal spaces with ping-pong and pool tables, a co-ed gymnasium, and a golf simulator that’s especially popular.

“Our employees are quite active in regards to planning events for each other, keeping themselves busy during their downtime,” Rickard notes.

They’ve formed both recreational and cultural committees.

With about 25 per cent of its workforce being Aboriginal, Detour also recently established an Aboriginal employee resource centre, attached to the accommodation unit, as a hub for cultural activities and supports.

It’s staffed by two full-time workers.

The centre can be a place for something

as simple as a social call, Rickard says, or for discussion of personal issues that might lead to a referral for help in a miner’s home community.

It’s also a gathering space “for all of our employees to learn more about each other and to socialize,” adds Rickard. “We offer various programming through the resource centre, whether it be something like a dreamcatcher workshop or an introduction to Aboriginal history … or something as informal as a movie night.”

Employees will also sometimes gather at a teepee, set up lakeside behind the living quarters, as was the case last summer on National Aboriginal Day. In future, they might have trails to walk along the lake, another recreational option being considered by Detour.

“It’s an amazing setting for the accommodation complex and we want people to enjoy their stay,” Rickard says, sounding somewhat like a resort manager.

etour Gold’s mine in northeastern Ontario has been the catalyst for $8 million worth of mining readiness training in the region, mostly for members of Detour’s partner Aboriginal communities.

More than 100 of those who participated in the training have gone on to work at the Detour Lake gold mine, which started production last year.

“As a large-scale mine, we have long-term requirements for a skilled labour force,” says Leonard Rickard, Aboriginal Affairs manager at Detour Gold and a Moose Cree First Nation member.

“We made a commitment early on to work side-by-side with our Aboriginal partners on employment and training issues.”

Those partners include Moose Cree, Taykwa Tagamou Nation, Wahgoshig First Nation, and Métis Nation of Ontario, each of which has an impact benefit agreement (IBA) or business agreement with Detour because its mine is in their shared traditional territory. Together these Aboriginal communities and Detour formed a steering committee to plan for training.

Mushkegowuk Council, of which Moose Cree and Taykwa Tagamou are members, administered the committee’s work.

Since spring 2011, the group has leveraged almost $8 million in training funds from two major sources – the province’s Northern Training Partnership Fund and the federal Skills and Partnership Fund. For a lot of the training offered, applicants from the partner communities were given first priority, then applicants from other First Nations that are members of the region’s Mushkegowuk and Wabun tribal councils.

Even before its mine opened, Detour was asked to help develop the curriculum for a “process plant operator” course through Northern College to prepare participants for future work in the processing of gold. The college offered the 12-week course at its Timmins campus. It also included one week of training at the Detour Lake site. Three classes of students enrolled over two years, and the majority of them – 33 in total – landed jobs at the mine, says Debbie Corston of Mushkegowuk, project manager for the Detour training initiative.

Other courses included training for driving tractor-trailers and rock trucks. And of six people who took a “hard rock common core mining” course at the Kirkland Lake campus of Northern College, four are working as miners and another went back to school.

Also funded was on-the-job training with some of the mine’s contractors – for earthmoving, for example – and with Detour once the mine started operating. Such hands-on training was provided for Detour environmental monitors and geotechnicians.

Detour and Northern College also worked together to create an “employability skills” program. It trained participants to operate scissor lifts and other equipment, and to be “job ready” for entry-level mine work. “Some people are working there now and then some have gone to, say, taking a heavy equipment operator course,” Corston notes.

Also offered through Northern College, early in the Detour training initiative, was “Mining Essentials” – a pre-employment program for Aboriginal people interested in exploring career options in mining. The national program was created through a partnership between the Assembly of First Nations and the Mining Industry Human Resources Council. At Northern College, Detour professionals presented students with an overview of

CONTINUED PAGE 11

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SPRING 2014

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NATIONAL RESOURCES

Energy report stresses improved First Nations consultation

Canadian governments collect $71 billion from decade of mining

Bryan Phelan Onotassiniik

Bryan Phelan

N

ational Chief Shawn Atleo says a report on West Coast energy infrastructure presented to the prime minister reflects key concerns and perspectives of First Nations.

The report, titled Forging Partnerships, Building Relationships: Aboriginal Canadians and Energy Development, was prepared by Vancouver lawyer Douglas Eyford at the request of the federal government. Eyford’s research took him across British Columbia and Alberta over eight months for meetings with more than 80 groups, including representatives of Aboriginal communities and organizations, industry, and provincial and local governments.

In his 54-page report, presented to Prime Minister Stephen Harper on Nov. 29, Eyford recommended that a Crown (federal and provincial governments)First Nations energy working group be established to create open, sustained dialogue and action on energy projects. “There has not been constructive dialogue about energy projects,” he wrote.

Addressing the issue of consultation with First Nations were these recommendations: • for major projects, Canada should develop a federal framework and timeframe for Crown engagement with First Nations;

Onotassiniik

A

photo: Natural Resources Canada

Above: Joe Oliver, Canada’s minister of natural resources, delivered a speech in Vancouver with the Dec. 5 release of a final report on West Coast energy infrastructure. “This report … is a solid basis for sustained engagement on responsible resource development with Aboriginal peoples,” Oliver said.

• Canada should consider undertaking early engagement to address Aboriginal interests that may not be dealt with in a regulatory process; and

Left: National Chief Shawn Atleo: “First Nations are not antidevelopment but if any project is going to proceed … we must be involved.”

• Canada should define and articulate its view about the Crown’s and industry’s respective roles and responsibilities with respect to the duty to consult.

Atleo, national chief of the Assembly of First Nations, responded to the report with a news release on Dec. 5. “The reality is that the federal government and all parties must understand that First Nations are not simply another interest group in this work,” Atleo said.

“We have constitutionally-protected rights and title and there is a legal obligation on the part of government to meaningfully consult and accommodate First Nations.

For too long these realities have been ignored and they are holding all of us back. Now is the time for action.”

Eyford’s 29 recommendations cover four broad themes: building trust, fostering inclusion, advancing reconciliation, and taking action.

“The themes of the Eyford report … can guide all parties in building further the relationships that will underpin responsible resource development and the participation of Aboriginal peoples,” Joe Oliver, federal natural resources minister, said in a news release. “We will now engage on the report with Aboriginal peoples, as well as provinces and industry, and identify the most promising avenues for meaningful follow up.”

Canada should facilitate the financial participation

of Aboriginal communities in energy projects, Eyford suggested, and provide targeted, timely funding for related Aboriginal education and skills training.

“Aboriginal communities will consider supporting natural resource development if it is undertaken in an environmentally sustainable manner,” Eyford advised Harper in a cover letter for his report. To that end, “Where federal jurisdiction is engaged, Canada should collaboratively participate in regional planning with provincial governments, Aboriginal communities, local governments, and other stakeholders to effectively assess cumulative effects and encourage sustainable development,” Eyford recommended. In addition, he wrote, “Canada should establish a joint initiative with Aboriginal groups for environmental stewardship and habitat enhancement to address concerns about cumulative effects of major resource projects.”

Atleo said it is important that Eyford’s report be followed by immediate action on the fundamental issues it addresses.

“Mr. Eyford’s report reflects some key concerns and perspectives of First Nations as they relate to energy development and resource development, and addresses these with some important recommendations,” said Atleo. “In order to ensure prosperity for Canada and First Nations, Canada must recognize First Nation rights, support First Nations through capacity support and access to capital, engage in environmental planning that incorporates First Nations traditional knowledge and principles, and facilitate shared decision-making that is respectful, inclusive and accountable.”

Detour training project funds support ‘prior learning’ assessments for mature students CONTINUED FROM PAGE 10

mining job options available. Several participants went on to work at Detour Lake, Corston says, and one of them is thinking about returning to school to become a geologist.

Another part of the overall training initiative was the sponsorship of individual students in mining-related education programs. Among students sponsored were those studying to become an environmental technician, industrial mechanic or instrumentation technician.

For others, not having completed high school was a barrier to mining jobs, so academic upgrading courses were also sponsored.

“One of things Taykwa Tagamou discovered was that they had a lot of people who were short a few credits to complete their Grade 12, with Grade 12

being the starting point for a lot of apprenticeships and (job) interviews,” says Merv McLeod, a member of the community’s negotiating team for its IBA with Detour. “They had a Grade 12 class on the reserve in the band office, so people … got their Grade 12 as sort of preparation for potential jobs at the mine.

Similarly, through an upgrading class in Moose Factory, “We had about 15 people who graduated (from Grade 12) this past June,” Corston says.

Also over the past year, the Detour training project funds supported “prior learning” assessments for mature students to be awarded high school credits for knowledge and skills gained outside of school. They then take online courses that allow them to complete their diplomas through a Taykwa Tagamou company, Apitisawin Employment and Training. “We have about 148 mature students registered from all the Wabun

communities, the Mushkegowuk communities and any First Nation (person) who lives in the TimminsCochrane area,” says Corston. Some of them work at the mine or elsewhere, and they’re working at online courses between shifts.

The training initiative with Detour finishes at the end of March 2014, but its lasting impact is seen in the number of graduates from the various training programs who have gone on to work at the mine: “for sure over a hundred,” Corston says. When all the tracking is done, she would like to see that number climb past 200.

“It makes me feel very proud when they are successful in obtaining employment,” she says. “A lot of those who took the training were unemployed – the majority of them – and now they have skills can take them anywhere.”

recent report from the Mining Association of Canada (MAC) found that mining industry payments to Canadian governments totalled an estimated $71 billion from 2003 to 2012.

The report, prepared by ENTRANS Policy Research Group and released Dec. 3, calculates the payments using aggregate mining taxes and royalties, corporate income taxes, and personal income taxes paid by mining sector employees.

Data for 2012 showed mining payments dropped to an estimated $6.6 billion in 2012 from about $8.3 billion in 2011. “This decline can be largely attributed to the challenging economic environment miners faced last year and the price declines experienced for the majority of major minerals,” according to a MAC news release.

Ontario’s mining tax revenues fell about 40 per cent, from $184 million to $110 million, probably as a result of lower gold and copper prices, MAC reports. Quebec experienced a similar decline of 41 per cent. Only Manitoba, Saskatchewan, and Newfoundland and Labrador had revenue increases.

The total mining tax figure for Ontario in 2012 would be larger if public information was available on the royalties paid by the Victor diamond mine operated by De Beers. That information is considered confidential, so it could not be included in the mining tax tally.

Also missing from calculations in the report for all provinces and territories are any mineral-related payments made to or collected on behalf of First Nations.

According to Natural Resources Canada, the Canadian mining industry employed more than 418,000 workers across the country in 2012, which represents one in every 41 Canadian jobs. Moreover, mining workers earn the highest wages and salaries of all industrial sectors in Canada. The average weekly pay for a mining worker in 2012 was $1,599, which surpassed the earnings of workers in forestry, manufacturing, finance and construction.

WAWATAY’S MINING QUARTERLY

11

COMMENTARY — RING of FIRE

Ring of Fire’s world-class mineral potential still there border, while Anglo-American walked away from the Alaskan Pebble gold mine. In fact all the major global miners, such as Vale, BHP-Billiton, Rio Tinto, and Glencore, have also significantly slashed annual expenditures by delaying or halting new projects.

Without enormous government subsidies, the economics of Cliffs’ proposed chromite project did not make economic sense at the present time.

However, there are other companies and project proposals that will eventually result in the development of the enormously rich Ring of Fire mining camp once global metal demand and prices recover.

Stan Sudol

Onotassiniik Columnist

C

liffs Natural Resources’ decision in November to indefinitely suspend its development operations in northwestern Ontario’s Ring of Fire mining camp was unfortunate.

Notwithstanding the blaming game between different levels of government, other stakeholders and First Nations communities, the global economic slump in metal demand and prices, along with the company’s current financial problems, were the primary causes of this decision.

Cliffs is not the only company to slow down or halt a major mining project. In the past few months, for example, Barrick Gold indefinitely suspended its $8-billion Pascua-Lama gold project on the Argentina-Chile

12

SPRING 2014

Geologist outlines staggering economic value

I

n 2007, an interesting mix of six geologists and junior mining executives – Richard Nemis, Mac Watson, Frank Smeenk, Neil Novack, John Harvey and Don Hoy – collectively discovered the geologically rich Ring of Fire. Located 540 kilometres northeast of Thunder Bay, the area contains billions of dollars worth of chromite – among the best deposits in the world – plus nickel, copper, platinum group elements, gold, zinc, and vanadium metals. It is the most significant mineral discovery in Canada since the Sudbury Basin in 1883 and the Timmins gold camp in 1909.

In an engaging presentation about

the Ring of Fire at the Prospectors & Developers Association of Canada convention last March, geologist James Franklin outlined the staggering economic value of the Ring of Fire.

Franklin was the chief geoscientist at the Geological Survey of Canada from 1993 to 1997. He is one of the country’s top experts on the Canadian Shield geology underlying northwestern Ontario, including the Ring of Fire.

By comparing the similar geologies between the Ring of Fire and surrounding regions with that of the enormously rich Abitibi-Greenstone belt between northeastern Ontario and northwestern Quebec, Franklin has come up with some educated guesses about financial values for the deposit types found in the Ring.

For slightly more than a century, the legendary Abitibi-Greenstone belt has produced hundreds of billions of dollars worth of mostly gold, silver, copper, and zinc.

“The Ring of Fire is a truly extraordinary mineral discovery due to the various types of deposits,” Franklin said. “Similar deposits elsewhere in Canada and around the world have yielded billions of dollars of metallic metals. Due to roughly eight smaller VMS (volcanogenic massive sulphide)-type deposits that hold copper, zinc and silver, which have not been thoroughly drilledoff, the Ring of Fire could ultimately produce between $30 billion to $50 billion worth of these metals and perhaps another Kidd Creek ore body, which has been in operation since the

mid-1960s in Timmins.”

He very conservatively estimates an additional $7.5 billion to $12.5 billion worth of nickel, copper and platinum group element (PGE) values in the Ring alone. And while no one is currently looking for gold, he suggests that due to the favourable geology, at least $10 billion worth of the precious metal has yet to be found.

In the adjacent greenstone belts – prime gold-bearing geology – to the west of the Ring of Fire, Franklin is exceptionally optimistic, predicting an additional $140 billion to $190 billion worth of gold will eventually be discovered.

These financial projections are on top of the currently accepted Ministry of Northern Development and Mines valuations of $50 billion for chromite and $10 billion for Noront Resources’ proposed nickel, copper and PGE mine!

“These are only conservative estimates,” Franklin said, “and the provincial government should spend at least $50 million over the next few years on more aerial high-resolution geophysical surveys, mapping where outcrops permit, and extensive onground geochemical and till sampling on a regional basis. Every dollar spent on geoscience results in five dollars of industry activity.”

And while Franklin does not want to venture a guess at the value of future chromite discoveries, he contends the current chromite reserves of roughly 220 million tonnes could easily be doubled. The chromite discoveries in the Ring of Fire are “very, very well behaved,” he

noted, so that with more infill drilling, initial (inferred) reserve estimates routinely move over to the indicated and measured categories due to the enormous size and predictability of this deposit.

KWG Resources recently announced it had discovered an additional 46.5 million tonnes (inferred) of chromite at the Black Horse deposit, in which the company has the right to earn up to an 80 per cent joint venture interest. This is the second largest chromite deposit in the mining camp after Cliffs’ Black Thor project, which has 102 million tonnes measured and indicated, plus 33 million tonnes inferred. However, the Black Horse deposit has a much higher grade, which could justify it being mined from underground, without the environmental impact of other proposals.

“We are tremendously pleased with these initial results,” said M. J. (Moe) Lavigne, vice-president of exploration and development at KWG. “Our next step is to continue to expand this resource, as well as conducting infill drilling. This deposit will allow KWG to put together its own chromite mining development plan.”

Overall, the massive chromite deposit in the Ring of Fire follows a 12-kilometre strike-length, which remains to be fully explored. In the world of chromite mining, the Ring of Fire, if developed in an economically sustainable manner, will be a gamechanger.

In a global context, only South Africa with 6.86 billion tonnes, Zimbabwe with 930 million tonnes

COMMENTARY — RING of FIRE and Kazakhstan with 387 million tonnes, have larger reserves.

At the recent Noront Resources annual general meeting, Alan Coutts, the company’s new president and CEO, was also very enthusiastic about the potential of the Ring of Fire camp.

A professional geoscientist, Coutts has more than 25 years of executive management experience – mostly with the Falconbridge/Xstrata organization – in a variety of roles, across multiple commodities, including nickel and zinc, and in many remote locations in Canada and abroad.

“The Ring of Fire represents a wonderful exploration opportunity for a host of mineral deposits,” Coutts said. “I’m excited about the prospects for new nickel sulphide-PGM (platinum group metal) discoveries in the region. In my experience, these deposits tend to occur in clusters, whether it’s Canada, Russia or Australia. To think that Noront’s Eagle’s Nest deposit is the only one is like saying that there will only be one nickel mine in the Sudbury Basin.

“Noront’s plan over the next three years is to develop Eagle’s Nest and our exploration activities will be focused on the discovery of additional nickel-copper-PGM deposits.”

Noront has the largest land holdings in the Ring of Fire.

While the Eagle’s Nest nickel mine is its first priority, Coutts also intends to have the company work on the Blackbird chromite deposit, which contains 44 million tonnes.

“We are confident that the Blackbird chromite resource can be significantly increased. We may develop the chromite potential alone or look to do something in partnership with other industry players in the region.”

Historical case for government-backed rail line

H

istorically, the federal and provincial governments have funded vital infrastructure projects – both rail and road – which enabled private sector investments in resources, creating jobs, wealth and tax revenue, as well as the sustainable development of remote northern regions.

The construction of the Temiskaming and Northern Ontario Railway in 1903 (known today as Ontario Northland Railway, or the ONR, a provincial Crown agency) led to the discovery of silver at Cobalt that same year, gold at Timmins in 1909 and at Kirkland Lake in 1911. By opening up this isolated region, many other discoveries occurred, including the Rouyn-Noranda and other gold mining camps in northwestern Quebec. Today, a spur line that extends into Rouyn-Noranda is a critical link for the shipment of mineral concentrates and sulphuric acid to global markets.

Except for Cobalt, all these mining camps are still in production.

Due to the continuing gold boom in Red Lake, the Ontario government built a 172-kilometre highway from 1945 to 1947, connecting the isolated community to Highway 17.

During the late 1950s, Prime Minister John Diefenbaker started the Roads to Resources initiative to help mineral development in Canada’s North.

In the 1960s, Ontario Northland built spurs to three new mines – Sherman, Adams and Kidd Creek – to ensure economic development and jobs. (Interestingly, the line to Kidd Creek was built on mining claims staked for the purpose, just as KWG has done to extend the ONR to the Ring of Fire.)

Now, through an innovative proposal that depends on federal governmentbacked loans and perhaps some equity participation, a railroad would open the isolated, mineral-rich Ring of Fire to sustainable development for at least 75 to 100 years.

Stan Sudol is a Toronto-based communications consultant, mining policy analyst and owner-editor of www.republicofmining.com

Time for regional environmental assessment

Anna Baggio

Director Conservation Planning, CPAWS Wildlands League

O

h the gnashing of teeth and pulling of hair that has occurred in various media outlets and around the province since news broke that Cliffs would suspend indefinitely its chromite project in northern Ontario. It wasn’t a surprise to those of us who follow global market prices, corporate boardrooms and here at home the environmental assessment processes. The project had been sputtering for quite some time.

With news of the indefinite suspension by Cliffs, there has been a lot of finger pointing and apportioning of blame. But I think this is a distraction from bigger, more important issues such as how Ontario should develop its nonrenewable resources in the Ring of Fire. “The Ring” is more than Cliffs, after all.

How should we address neighbouring First Nations’ decades-long infrastructure needs? How do we make sure the Ekwan, Attawapiskat and Albany rivers will be clean and healthy forever? How do we all make best use of limited public resources? How do we ensure there is transparency and integrity around decision-making and that First Nations are respected?

There are some who think the solution lies in “speeding up the process” for new mines to

go ahead in the Ring of Fire. We’ve been there, done that, and bought the T-shirt, thank you very much. Efforts to speed things up over the past four years have resulted in lawsuits, conflicts, wasted resources, bitter feelings and delays.

It’s time for all of us to take a deep breath and turn our attention to designing a thoughtful, regional strategic environmental assessment so the ecosystems in this area can be maintained, First Nations respected and industry can finally get the certainty it seeks.

It’s not the job of a company to do it (although their participation is needed). The province has to take the lead and Canada needs to play a constructive role.

One of the factors Cliffs cited as impeding its progress was the “delayed approval of the terms of reference” for the provincial environmental assessment (EA) process.

In our view, Ontario was acting properly by not approving the terms of reference Cliffs proposed. As our group, CPAWS Wildlands League, and others pointed out, Cliffs’ terms of reference was woefully inadequate to meet the requirements of the Environmental Assessment Act. We officially submitted a mediation request with the company through the Ministry of Environment.

Regarding the “uncertainty” of the federal EA process due to the then judicial challenge by a number of the impacted First Nations, if Cliffs had agreed to send the project to a joint review panel instead of fighting it in court, the EA process could have been completed by last summer. Instead, a lot of the company’s and First Nations’ resources were spent fighting over the EA in court.

And another issue cited by Cliffs for pulling the plug was that Ontario had not completed agreements critical to the project’s economic viability, such as building an all-season road.

In our view, it was premature and risky for Ontario to promise to design and build a north-south road in the absence of a widely supported plan for the region. If Ontario had agreed, it would also have pre-empted the environmental assessment processes and raised questions about the integrity of the EA. The EA is supposed to be based on

sound science regarding the ecosystems and be robust in terms of decision-making, alternatives and transparency.

At the end of the day, though, these are not the reasons Cliffs pulled out. Money and a new CEO were. It made sense for the new CEO to come in and shore up the company’s core business, iron ore, before pouring more money into something new, chromite.

The winds of change in the global market will surely shift again and demand is expected to pick up in three to five years. We need to be ready. Cliffs and/or some other company will want to move in to extract the chromite deposits. And don’t forget Noront is still chugging along with its Eagle’s Nest project to exploit its nickel, copper, platinum and palladium deposit.

It’s a never a smart idea for the future of a region to be determined by a single company through its project-level environmental assessment. The Ring of Fire mineral deposits are located in an expansive and largely undisturbed boreal ecosystem containing globally significant forests, rivers and wetlands.

The remote First Nations within the region have large traditional territories and tremendous social pressures. They are not going to accept anyone pulling more wealth out of the territory without getting their needs addressed too.

This area has never been the subject of strategic assessment, environmental study or comprehensive planning because no regional strategic EA has been conducted.

First Nations, scientists and not-for-profit conservation groups have been asking for one for quite some time now.

The best thing for Ontario to do would be to get that going.

The column was originally published by Huffington Post Canada and is printed here with permission from the author. Anna Baggio has participated in the Ontario Minister of Natural Resources’ Far North Advisory Council and currently sits on the Minister of Northern Development and Mines Mining Act Advisory Committee. You can follow her on twitter @annabwild.

Ontario-NAN agreement needed for project ‘reboot’

Bill Gallagher Guest Columnist

L

akehead University appears to have filled a gap in bringing together key perspectives in its attempt to ‘reboot’ the Ring of

Fire. The university’s Centre of Excellence for Sustainable Mining and Exploration in December hosted a conference about the role of government policy in sustainable mining development.

My presentation at the conference was a strategic, followthe-evidence approach of Cliffs Natural Resources’ Black Thor project in the Ring of Fire and major projects elsewhere that had likewise tumbled into the project ‘death zone,’ and what these parallels now meant for the Ring of Fire. In my view, that Ring of Fire project is now gone for 10 years and before it comes back, shaping

the window of opportunity for its return has to be the priority of all pro-development policy makers, business leaders, politicians and strategists.

Contrary to popular opinion, I drew attention to the fact that the ‘elephant in the room’ was none other than Nishnawbe Aski Nation (NAN), which represents 49 First Nations in northern Ontario. I said it was delusional for Ring of Fire planners to think that if only Cliffs could get Matawa tribal council on board, we would be off to the races.

Indeed, it will take the support of way more than Matawa’s nine First Nations (which are also members of NAN) to reboot the Ring of Fire, as supply lines, hydro sites and transmission, rail and road, concentrate processing, and environmental cumulative impacts are broader, deal-making factors. Simply, all these factors make developing the Ring of Fire a pan-northern resource extraction process.

I also proposed a breakthrough idea to further this end. Why doesn’t Ontario start negotiating a Ring of Fire impact benefits agreement (IBA) with NAN? This process would proceed in lockstep with Cliffs’ IBA negotiations with Matawa, so it would be one IBA for Matawa and another IBA for NAN. The province would now engage through its new body corporate

(Ring of Fire Development Corporation) and NAN would likewise engage as a body corporate. These IBA negotiations would be based on contractual rules of interpretation, always keeping the dialogue squarely within business-case scenarios.

Since I have been a strategist to the most daunting IBA negotiation in Canada’s resources history at Voisey’s Bay in Labrador – likewise once in the project death zone – I can say from experience that this is where success has to materialize in the downtime. That’s how the star-crossed nickel project recreated its (second) window of opportunity, which ultimately saw a major mine move forward, leaving behind all the grief and project impediments that currently encumber such progress in the Ring of Fire.

It’s only once Native stakeholders come on side, demonstrably, that the federal government will come to the table.

That’s been the case with all major mines, whether in Labrador or in the northern diamond plays.

Moreover, new money will never materialize so long as litigation and Bay Street lawyers rule the roost, which unfortunately remains the defining dynamic today in the Ring of Fire.

So, this proposal for an IBA with NAN is intended to engage on another front entirely, where

IBA progress can be made and measured on commercial terms.

Only then will northern Ontarians be able to point to progress benchmarks and demand a rebooted project from all levels of government, the proponents, eco-activists and Native representatives. The key difference this time around would be that NAN and Matawa would be project partners thanks to their IBAs – the latter having recreated the missing project window of opportunity.

Nationally, the Native mood in the country is deteriorating on the resource-dialogue front. No less than three think tanks in Canada said as much this December alone.

For my part, I’ve been warning of “geographically landlocked– politically gridlocked–Native empowerment deadlocked” resource projects over the last three years. I even wrote a comprehensive book about it to warn Canadians of the aftermarket consequences.

Sadly, those consequences are now about to play out in the Ring of Fire. That’s why it’s imperative to engage on an IBA process with NAN today.

Bill Gallagher is the author of Resource Rulers: Fortune and Folly on Canada’s Road to Resources, available on Amazon.com (see his blog: http://billgallagher.ca/ resource-rulers-book

WAWATAY’S MINING QUARTERLY

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ONTARIO GEOLOGICAL SURVEY Earth resources in rock Most metals come from the greenstone rocks of the Canadian Shield. When present, nickel, platinum and chromite occur in rocks called gabbro or dunite, coloured blue on a geology map.

When present, copper and zinc occur in rocks called rhyolite, coloured yellow on a map. Iron, used to make the steel that is used in buildings and vehicles, is found in rocks called iron formation, coloured black on geology maps. Granite, shown in map shades of pink, is used to make countertops, facing on buildings, or even headstones.

Northern Ontario is also rich in gold deposits.

Gold is used to make computers, cell phones and jewelry. Ontario has produced more gold than any other province. Most gold occurs within, or close to, zones where the Earth “broke” a long time ago along faults, where the ancient faults cut greenstone rocks.

Rocks near Hudson Bay and James Bay are much younger than rocks of the Canadian Shield. These lowland rocks formed in a warm ocean about 400 million years ago. Parts of southern Ontario are also covered by these younger rocks. In the South, they contain small concentrations of oil and natural gas resources used to make diesel to generate community electricity and drive our trucks, ATVs and outboard motors.

Some lowland rocks, in both the North and the South, may be suitable as a source of industrial minerals to make cement and a special type of construction material called aggregate that can be sold around the world. High-quality kaolin clay, used to make fine dinner plates, also occurs locally in the Moose River area. Gypsum, essential to make wallboard (drywall) needed for houses, hospitals and schools, can be found from Cheepash River to the French River area. A low-quality coal, made from the remains of ancient plants, occurs in the Moose River area near Onakawana. Although this coal is not likely to be used to generate electricity, natural gas also comes from the coal and the gas has been considered as an energy source.

Diamonds are special non-metal materials found in northern Ontario. They are found in rare rocks called kimberlite, which are formed by the melting of the deep earth. The liquid kimberlite material raced to the surface of the Earth at the speed of a jet plane and picked up diamonds along the way.

That would have been an exciting and very fast ride! Diamonds mined in Ontario are often highquality gems. However, lower quality diamonds are also important materials used for tool-making.

Glacial material resources The till, sand and gravel glaciers left behind are important sources of non-metal construction aggregate – material needed for roads and airport runways. The surface geology maps show landforms called eskers, coloured orange, which are a good source of this aggregate building material.

Groundwater resources The Earth contains underground water that occurs in both rock deposits and in sand and gravel deposits. Geology maps and geologist knowledge are essential to identify location, quantity and quality of groundwater. This geological information is essential to consider when planning for sustainable use and protection of groundwater.

Can we predict?

Across Ontario, there are 30 metal mines, 10 major industrial mineral mines, one diamond mine, and many small sand and gravel aggregate mines.

Modern, up-to-date geological maps are very important. They guide: prospecting and exploration for hidden mineral, energy or groundwater resources; community-based land-use planning; and decisions related to health, safety, environmental baseline, habitat, and climate change impact.

A geological map is like a hunting guide. The guide can take you to the right place but there is no guarantee the moose will be there. Similarly, a geology map can take you to the right location, but there is no guarantee that an Earth resource will occur there.

Geological maps and geologist knowledge are key sources to inform us about the hidden Earth resources that occur in the Ontario beneath our feet.

Above: A simple geology map of Ontario that shows the distribution of different types of rocks and the location of some types of mineral resources. Chromite, copper, nickel, and zinc occur in the Ring of Fire region.

Left: A geology cartoon that shows the link between specific rock types and metal mineralization: a) gold (Au) occurs along fault zones; b) chromite and nickel occur in gabbro rocks; c) copper and zinc occur in rhyolite rocks.

Andy Fyon is the director of MNDM’s Ontario Geological Survey. For more information about the geology of Ontario: www.mndm.gov.on.ca/en/mines-andminerals/geology.

Do you think geology rocks? Follow @ OGSgeology to connect with Andy Fyon on Twitter. Subscribe to the Ontario Geological Survey (OGS) Facebook Page for fun facts, articles and more from the OGS team: www.facebook.com/OGSgeology.

WAWATAY’S MINING QUARTERLY

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