2012 – Page 128 – Republic of Mining

Ottawa to eases pipeline rules in bid to boost oil exports to Asia – by Claudia Cattaneo and Peter Koven (National Post – March 30, 2012)

March 30, 2012

The National Post is Canada’s second largest national paper.

The federal government gave a boost to oil sands exports to Asia by streamlining the environmental review process and making it more difficult for environmental groups to mount an opposition.

In its budget brought down Thursday, Ottawa said it will propose legislation aimed at having “one project, one review” that establishes clear timelines for approval of big resource and industrial projects, reduces duplication and regulatory burdens, and focuses resources on the largest projects with the biggest environmental impacts.

Most of Canada’s oil is now exported to the United States, where it is heavily discounted because of pipeline bottlenecks.

Canadian governments and industry have been pushing for market diversification in Asia by way of new pipelines to the West Coast, but have run into opposition from the environmental movement and First Nations that are targeting regulatory reviews to delay the projects.

Ottawa betting on the West for economic prosperity – by Adam Radwanski (Globe and Mail – March 30, 2012)

March 30, 2012

The Globe and Mail is Canada’s national newspaper with the second largest broadsheet circulation in the country. It has enormous influence on Canada’s political and business elite.

OTTAWA — With an increased focus on the resource sector that fits neatly with its efforts to shrink Ottawa’s footprint, the federal government is accelerating the westward shift of economic opportunity – at least for now.

Federal officials insisted on Thursday that helping mining and other developments by reducing the regulatory burden will have nationwide benefits – and will ultimately help Ontario rebuild its struggling economy. But in the short term, it’s oil-rich Alberta, and to a significant extent neighbouring British Columbia and Saskatchewan as well, that are celebrating.

Swift and positive responses from the Western provinces reflected that reality, with Alberta Premier Alison Redford taking a break from campaigning to enthuse that there’s “much good news” in the budget that will make her province even more competitive, and B.C. Finance Minister Kevin Falcon saying it “struck the balance between some modest spending discipline without going overboard.”

Ontario junior gets C$3.5m settlement to cede controversial claims – by Matthew Hill (MiningWeekly.com – March 30, 2012)

March 30, 2012

www.miningweekly.com

TORONTO (miningweekly.com) – Against a backdrop of simmering tensions between aboriginal communities and exploration companies in Ontario, the government announced on Thursday it reached a C$3.5-million settlement with God’s Lake Resources, whereby the company agreed to cede its claims over a contentious area.

The move evokes memories of the 2008 stand-off between the Kitchenuhmaykoosib Inninuwug (KI) First Nation north of Red Lake, government and a junior called Platinex, which saw the company receiving a similar $5-million payment.

“The government, it seems, has capitulated and has expropriated these claims and compensated God’s Lake for that,” Fasken Martineau DuMoulin lawyer Neal Smitheman said in an interview.

God’s Lake had bumped heads with the KI over its right to explore its exploration claim, located some 130 km north of the community.

Proposed 2012 Canadian budget extends 15% mineral exploration tax credit – by Dorothy Kosich (Mineweb.com – March 30, 2012)

March 30, 2012

www.mineweb.com

The Canadian government announced it will streamline the permitting process for major Canadian mining projects, using the proposed “one project, one review” legislation.

RENO (MINEWEB) – Finance Minister Jim Flaherty Thursday presented a Canadian federal budget which streamlines the nation’s environmental review process, extends a 15% mineral exploration tax credit for junior explorers, accelerates job growth, and enhances Canada’s international competitiveness in mining.

In his budget presentation, Flaherty noted Canada’s oil and gas, mining and forestry sectors directly employ more than 750,000 Canadians. “Canada’s resource industries offer huge potential to create even more jobs and growth, now and over the next generation. This potential exists in every region of the country-natural gas in British Columbia, oil and minerals on the Prairies, the Ring of Fire in Ontario, Plan Nord in Quebec, hydro power in Atlantic Canada, and mining in Canada’s North.”

“We will implement responsible resource development and smart regulation for major economic projects, respecting provincial jurisdiction and maintaining the highest standards of environmental protection,” he stressed.

Ottawa clears hurdles to resource development – by Shawn McCarthy (Globe and Mail – March 30, 2012)

March 30, 2012

The Globe and Mail is Canada’s national newspaper with the second largest broadsheet circulation in the country. It has enormous influence on Canada’s political and business elite.

OTTAWA— The Harper government is putting new muscle to its ambitious natural resource strategy, clearing away regulatory hurdles to drive Canada’s energy and mineral development and expand exports to Asia.

Finance Minister Jim Flaherty’s budget Thursday included an announcement that the government is speeding up environmental reviews of major resource projects, including the controversial Northern Gateway pipeline that will bring oil sands bitumen to Kitimat, B.C., for export to Asia.

Ottawa is also stepping up its battle with oil industry opponents by ordering the Canada Revenue Agency to increase monitoring of environmental charities that engage in political advocacy, a move critics say is an attempt to cow activists into silence.

Mr. Flaherty said the government was responding to complaints that environmental groups may be abusing their charitable status, in part by accepting foreign donations for campaigns that oppose pipeline construction and oil sands development.

God’s Lake vs KI conflict ends in $3.5 million payout – by Shawn Bell (Wawatay News – March 29, 2012)

March 30, 2012

This article came from Wawatay News: http://www.wawataynews.ca/

The Ontario government has paid $3.5 million to buy out God’s Lake Resource’s controversial claims in Kitchenuhmaykoosib Inninuwug (KI) territory.

The government announced its deal with the junior gold mining company on Mar. 29. Under terms of the settlement God’s Lake agreed to surrender its mining leases and claims.

The land in question was added to the more than 23,000 square kilometers that Ontario previously removed from development in the region. KI Chief Donny Morris said the announcement was good news for his First Nation.

“Now my question to the government is when do we sit down and discuss the real, tangible things,” Morris said. “Everybody thinks we’re anti-development, but we’re not. But we are signatory to the Treaty, and we want to have say over development.”

NEWS RELEASE: Ontario Reaches Agreement With God’s Lake Resources

March 29, 2012

McGuinty Government Balances Industry and Aboriginal Interests

NEWS

March 29, 2012

Ontario has reached an agreement with Toronto-based junior mineral exploration company God’s Lake Resources (GLR) to surrender its mining lease and claims near the Kitchenuhmaykoosib Inninuwug (KI) First Nation.

In keeping with the agreement, GLR has surrendered its mining lease and claims, north of Red Lake in Northwestern Ontario. The lands are now subject to the Province’s recent withdrawal from staking and mineral exploration in the area.

It was the ministry’s goal to see KI and GLR work together to build a positive relationship. This settlement responds to KI’s concerns, while allowing GLR to move forward with mineral exploration in other parts of the province in the future.

QUOTES

[Ontario] North takes share of hits from budget – by Brian MacLeod (Sudbury Star – March 29, 2012)

March 29, 2012

The Sudbury Star is the City of Greater Sudbury’s daily newspaper and Brian MacLeod is the managing editor. brian.macleod@sunmedia.ca

A few hours before Ontario Finance Minister Dwight Duncan boasted in a release that his government’s budget had made a commitment to health care, six ambulances and 12 paramedics were kept waiting at Health Science North’s ER department in Greater Sudbury because there was no one to take control of their patients.

“We choose strong health care, with the lowest wait times in Canada . . . and better access to doctors and nurses,” Duncan said in his release.

Tell that to the doctors and nurses in Sudbury’s ER, where the head of the department recently warned that long wait times, often due to lack of available acute-care beds, are causing doctors to leave the city and nurses to transfer elsewhere and may be compromising patients’ health.

Tuesday’s budget didn’t make that situation any worse, but neither did it do much to help.

McGuinty needs a Leafs sweater [Northern Ontario alienation] – by Len Gillis (Timmins Times – March 29, 2012)

March 29, 2012

http://www.timminstimes.com/

Provincial Liberals need some intellectual Viagra

It is almost beyond comprehension how the Queen’s Park Liberals can consistently make decisions that are so clearly against the interests of Northern Ontario.

Over the years, Northerners have become accustomed to being ignored by southern politicians. As bad as that was, at least when the North was ignored, it meant we were being left alone.

It’s much worse now. Queen’s Park is imposing policies and changes on the North that defy reason. Things such as the changes to The Mining Act, The Far North Act and the Endangered Species Act fly in the face of reality. Some of it borders on junk science.

The decision announced last Friday that Queen’s Park is selling off Ontario Northland assets is another example of how that government is out of touch.

Ontario Northland enough to oppose budget: Critics – by Laura Stricker (Sudbury Star – March 29, 2012)

March 29, 2012

The Sudbury Star is the City of Greater Sudbury’s daily newspaper.

“The proposed sale … of Ontario Northland is a ruthless blow to the North.
I think it’s something that needs far more discussion than has occurred …
It’s flagrant negligence on the part of the government to even talk about
eliminating Ontario Northland.” (David Leadbeater – Laurentian University
economics professor

The government’s decision to sell Ontario Northland is making waves across the province.

“This kind of measure of (selling Ontario Northland) as a short-term austerity event is the most short-sighted, backward and retrograde action I’ve seen about Northern Ontario in a long time,” said David Leadbeater, a Laurentian University economics professor.

“The proposed sale … of Ontario Northland is a ruthless blow to the North. I think it’s something that needs far more discussion than has occurred … It’s flagrant negligence on the part of the government to even talk about eliminating Ontario Northland.”

Last week, Sudbury MPP Rick Bartolucci announced the province is divesting itself of the Ontario Northland Transportation Commission, a Crown agency that offers rail and bus service in Northern Ontario. Additionally, the government is looking to privatize Ontera, a telecommunication company that is a subsidiary of the commission.

Junior miners seek their own voice – Jody Porter (CBC News – March 29, 2012)

March 29, 2012

http://www.cbc.ca/news/canada/thunder-bay/story/2012/03/29/tby-miners-united.html

Exploration companies form new group to share concerns about First Nations

A lawyer who represents junior mining companies in disputes with First Nations says some exploration companies feel they’re not being heard by their industry association.

Neal Smitheman said the Prospectors and Developers Association is trying, and sometimes failing, to represent both industry and First Nations.

Smitheman said that ignores the fact the two are often in conflict. Neal Smitheman, lawyer representing junior mining companies in disputes with First Nations.

“Some people think that PDAC, by trying to accommodate both First Nations and the industry, finds itself in an unresolvable conflict from time to time,” he said.

Bullion miners lament cost and tax pressures – by Euan Rocha (Calgary Herald – March 28, 2012)

March 28, 2012

http://www.calgaryherald.com/index.html

Agnico, which taps miners in Quebec, is facing cost pressures on the labour front

Reuters – TORONTO – Rising labour costs, surging oil prices and higher tax rates are eating into profits of precious metals miners and raising the cut-off bar on new projects, making it much more difficult for them to replace reserves and boost production.

High precious metal prices are prompting governments to raise taxes and royalties on miners, industry executives say, while giving little thought to the level of risk and the amount of investment required to develop these mammoth projects.

“Countries want to impose super taxes – well, where are the super profits?” Gold Fields chief executive Nick Holland said at the Reuters Global Mining Summit this week.

“If we do want to sustain the gold industry where it is – never mind grow it – we are going to need to spend money. And to spend that money we are going to need to provide returns for shareholders,” Holland said, explaining the conundrum facing global mining companies.

Nothing for the North [Ontario] – by Mark Prior (Timmins Daily Press – March 27, 2012)

March 28, 2012

Northern leaders have little good to say about the provincial budget

Still stinging from the announcement that Ontario Northland will be axed, political leaders were hoping to hear some good news for the North in Tuesday’s provincial government. They didn’t get it. Timmins Mayor Tom Laughren wasn’t impressed with the latest budget.

“Personally, I’m very disappointed,” Laughren said. “There doesn’t appear to be anything in there to have an affect on the municipalities, but I look at it from a Northern Ontario perspective. “There is so much opportunity for growth and mining, yet the provincial government can’t get their act together to make that happen.”

Laughren expressed frustration. He doesn’t believe the government is taking advantage of opportunities available with resource-based industries. Plus, the North is still in shock with the recent decision to divest the Ontario Northland Transportation Commission.

Ring of Fire missing [Ontario budget] – by Jamie Smith (tbnewswatch.com – March 27, 2012)

March 28, 2012

www.tbnewswatch.com

Some local officials were surprised the Ring of Fire was largely absent from Tuesday’s provincial budget.

In his speech, which went beyond the 28 minute mark, Ontario Finance Minister Dwight Duncan didn’t mention the potential multi-billion dollar money maker once. Thunder Bay Chamber of Commerce president Harold Wilson said he thought this was going to be the budget where the province outlined its plan, with dollar figures, on how to get the minerals shipped and power running in the Far North.

“That I thought would have been front and centre,” Wilson said. “We didn’t see any of that and that would have been great.” Mayor Keith Hobbs was disappointed about the province’s Ring of Fire plan, a document he has yet to see.

“In infrastructure we’re waiting for a little more than what I see so far in the budget. The government says they have a plan in place for the Ring of Fire. We didn’t see any plan … I would really like to see specifics of that plan.