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Year: 2012

Planning should determine Vale’s request – by Brian MacLeod (Sudbury Star – November 17, 2012)

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

It is the city’s planning committee, not the labour board, that is considering whether to allow Vale to temporarily house workers on its properties, so committee members should consider the request with sound planning principles in mind.

And while the request is obviously not good planning, temporary exemptions to planning regulations are not uncommon. If the city’s planners feel this can be done safely, and it’s a necessary requirement, councillors should consider placing restrictions on how the housing is used, such as a time limit that would require the company to reapply for an exemption.

In June, Vale began work on a historic $2-billion Clean ARE project to retrofit and upgrade its smelter. The largest environmental project of its kind in Sudbury’s history is expected to reduce sulphur dioxide emissions at the Copper Cliff smelter by 70%, bringing emissions down to 45 kilotonnes per year, well below the regulatory limit of 66 kilotonnes per year.

It’s a project that’s of enormous benefit to the city, not just for the obvious environmental advantages, but that amount of money spent on materials and labour is a major boost to the economy. Up to 70% of the money may be spent locally. But since the city has, for years, had a low vacancy rate, Vale says it needs to be ready to house an influx of workers that could hit 1,300 at peak construction in 2014/15.

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PQ makes oily mess with its pipeline rhetoric – by Sophie Cousineau (Globe and Mail – November 17, 2012)

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.

Just when you think the Parti Québécois has finally put the lid on the outbursts and non-scripted remarks that characterized the party’s first days in power, here comes Daniel Breton.

On Wednesday, Mr. Breton, Quebec’s Environment Minister, said the province could block Enbridge Inc.’s project to transport oil from Alberta to Quebec on environmental grounds. Never would Mr. Breton accept the reversal of the flow of the pipeline between Sarnia and Montreal if it were imposed by Ottawa against Quebec’s will. “What I see is Alberta wanting to transport its oil on our territory without our consent. Are we masters of our own territory or not?” he said, even if is unclear whether the province has authority over the project, which the National Energy Board will review.

After a call from Pauline Marois’ office, Mr. Breton tamed his words. Even his colleague Martine Ouellet, the Natural Resources Minister who has made incendiary remarks of her own, tempered the discourse of this former activist, who is so green he glows in the dark. “There are economic advantages with respect to costs and it also represents an alternate source of supply,” she noted.

There are also political advantages in saving jobs.

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In U.S. energy renaissance, flares of fear for Alberta’s oil patch – by Nathan Vanderklippe (Globe and Mail – November 17, 2012)

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.

WILLISTON, N.D. — As the sun dips below a grain stubble horizon, the flares flicker into view, a dozen tongues of flame licking against a pink sky.

The flares are natural gas being burned off in the rush for a far more valuable resource – oil. Shining in the gathering dusk, they are industrial glimmers of a changed future for a nation whose long-faltering dreams of energy independence are being revived.

Oil is pouring out of North Dakota. In September, some 728,000 barrels a day flowed, up a startling 57 per cent from the year before. And it’s not just here: Similar fields in Texas and elsewhere are seeing similarly fast rises in oil output, prompting a near-euphoric re-examination of what’s ahead for a country that has long relied heavily on imported oil to fill its gas tanks and keep its economic engine running.

Now, as hundreds of drilling rigs employ technological advances to extract rich reserves of previously untapped energy, the oil renaissance is triggering some startling forecasts.

The International Energy Agency predicted this week that the U.S. is set to become the largest oil-producing nation on earth, more prolific even than Saudi Arabia. One day, the IEA said, the U.S. could drive away most foreign imports.

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Alaska-bound rail project could solve Canada’s oil sands problems – by Diane Francis (National Post – November 17, 2012)

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

A group of Canadian businessmen has obtained the blessing of Alaskan tribes and Canadian First Nations to build a railroad through their lands that could carry up to five million barrels per day from the oil sands to the super tanker port in Valdez, Alaska.

This is truly a nation-building project that must be seriously evaluated by all governments and the oil industry. Preliminary feelers have been placed and it’s clear that the concept is the most viable and pragmatic solution for Canada’s logistical problems.

The proposed 2,400-kilometre railway would link Fort McMurray, Alta., with the Alaska oil pipeline system then on to the Valdez for export. The proposal, conceived a few years ago in studies commissioned by Alaska and Yukon, would liberate the stranded oil sands and bypass opposition to new pipelines in both countries.

Other solutions have been proposed, but this is the best for many reasons: The group promoting this realizes that any major infrastructure project is a non-starter without a social licence. So they began by seeking and obtaining local support.

“The greatest strength of our Alberta-Alaska railway concept is the support it has received from First Nations along the route and from the Assembly of First Nations across Canada,” said consortium CEO Matt Vickers.

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Quebec shows tougher approach toward mining sector with access road deal – The Canadian Press/CTV News (November 15, 2012)

http://www.ctvnews.ca/

QUEBEC — Quebec’s new government is living up to its pledge to take a tougher stance with mining companies after offloading some responsibility for the construction of a controversial access road.

Finance Minister Nicolas Marceau announced Thursday that Quebec has renegotiated a deal that will see Stornoway Diamond Corp. (TSX:SWY) assume a bigger share of the costs to build a route to its proposed mine.

Marceau expects the agreement on the 240-kilometre highway extension to the Renard diamond mine site will save Quebec taxpayers at least $124 million. “We’re not going to build gold-plated roads with huge cost overruns,” Marceau told a new conference.

“The signal we’re sending to mining companies is that we’re ready to make deals with you, but the terms must be reasonable for Quebec taxpayers.”

PQ officials had expressed concern that costs for the Route 167 project had exploded beyond the estimated budget of $260 million in 2009. By August, the price tag had soared to $472 million.

The new deal will drop the maximum cost down to $304 million, the government insists. The PQ has criticized the previous Liberal government’s northern-development plan — known as the Plan Nord — for being too generous to the mining sector.

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Insolvent US coal miner agrees to stop mountaintop-removal mining – by Henry Lazenby (MiningWeekly.com – November 15, 2012)

http://www.miningweekly.com/page/americas-home

TORONTO (miningweekly.com) – Bankrupt US coal miner Patriot Coal on Thursday became the first miner to cease large-scale mountaintop-removal coal mining in central Appalachia in exchange for more time to comply with the Clean Water Act at several of its central Appalachian mines.

As the company is preparing for Chapter 11 litigation, it had reached an agreement with three environmental groups that had sued over water pollution from its West Virginia operations.

The agreement was presented for consideration to Judge Robert Chambers of the US District Court for the Southern District of West Virginia, and had its roots in water pollution lawsuits filed by environmental protection groups the Sierra Club, the Ohio Valley Environmental Coalition (OVEC) and West Virginia Highlands Conservancy.

Mountaintop-removal coal mining is an economical but devastating form of strip mining unique to West Virginia, Virginia, Kentucky and Tennessee. Coal companies blast apart mountain ridge tops to expose multiple coal seams and then dump the waste in streams, creating so-called valley fills.

Patriot Coal said it had concluded that continuing and expanding its surface mining, particularly large-scale surface mining of the type common in central Appalachia, was not in its long-term interests.

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NEWS RELEASE: GLEN MURRAY: TIME FOR NORTHERN ONTARIO TO HAVE ITS OWN VOICE

For immediate release 

November 16, 2012

As Ontario Liberal Premier, Murray Wants Northern Regional Government

THUNDER BAY – Ontario Liberal Leadership Candidate Glen Murray says it’s time for Northern Ontario to have its own regional government.

“Ten years from now, I would like to look back and be able to say ‘I was the Premier when we took the steps to make Northern Ontario stronger,'” Murray said today, during a visit to Thunder Bay and other Northern Ontario communities.

“The North should have more authority over energy, infrastructure and natural resources. Northerners would choose by referendum the kind of regional authority they want – a general northern government or a separate regional government in the Northeast and Northwest.”

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Canada remains world’s top destination for mineral exploration investment

This article was provided by the Ontario Mining Association (OMA), an organization that was established in 1920 to represent the mining industry of the province.

An event at the Toronto Stock Exchange (TSX) this week reminded participants that Canada is the world’s preferred destination for mineral exploration investments. In 2011, $3 billion, or 18% of all global mineral exploration expenditures were made in Canada. For 2012, this number is expected to surpass $4 billion.

The Mining Association of Canada in cooperation with the Prospectors and Developers Association of Canada and the Ontario Mining Association organized this industry event. Federal Natural Resources Minister Honourable Joe Oliver, who is the MP for the riding of Eglinton-Lawrence, was the featured speaker.

“We all know Canada is a global mining economic powerhouse,” said Minister Oliver. “Mining and mineral exploration play a pivotal role in creating growth and jobs in Canada. The natural resource sector accounts for close to 20% of all economic activity in Canada and contributes to meeting Canada’s social priorities.”

Mr. Oliver spoke about his government’s support in working to open new and to expand existing markets for mineral producers and of its financial assistance to geoscience.

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You’ll have energy, McGuinty tells NWO – (Thunder Bay Chronicle-Journal – November 16, 2012)

The Thunder Bay Chronicle-Journal is the daily newspaper of Northwestern Ontario.

Ontario’s premier is reassuring Northwestern Ontario residents that the region will have all the energy it needs, regardless of the eventual Thunder Bay Generating Station outcome.

The station’s conversion to run on natural gas has been put on hold by the Ontario Liberals, because the Ontario Power Authority (OPA) says there are better, and cheaper ways to power the North.

Halting the conversion, the OPA said, will save $400 million, and required power can be generated from other sources, such as southern Ontario via an expanded east-west tie-line. The government has not made a final decision about the conversion, as the OPA is still finalizing its alternative plan.

“The issue for us is not whether we have the power in place to meet those energy needs,” Premier Dalton McGuinty said in Thunder Bay on Thursday. “It’s, what’s the best way to do that? “I think everybody wants us to act responsibly in that regard.”

McGuinty said the conversion project was paused because the “experts are telling us that this is the best way to do it at this point in time.”

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North pays for OPA mess: Hampton – by Kris Ketonen (Thunder Bay Chronicle-Journal – November 16, 2012)

The Thunder Bay Chronicle-Journal is the daily newspaper of Northwestern Ontario.

The Ontario Power Authority (OPA) is trying to solve southern Ontario problems at the expense of the North with its push to halt the Thunder Bay Generating Station’s conversion to natural gas, the former leader of the provincial NDP said Wednesday.

“I don’t think the OPA is thinking about Northwestern Ontario and what’s good for the Northwest,” Howard Hampton said Wednesday.

“I think they’re thinking about solving some of the problems they’ve created in south and eastern Ontario. They’re thinking more about that, and using Northwestern Ontario as a piece of the puzzle.”

The Ontario government, at the behest of the OPA, has put a hold on plans to convert the Thunder Bay Generating Station from coal-fired power to natural gas. The OPA has said halting the project will save $400 million, and the region’s power needs can be met by other means, such as the to-be-expanded east-west tie-line that moves electricity between Northern and southern Ontario.

And while the government has not cancelled the plant conversion — Energy Minister Chris Bentley is waiting to see the OPA plan before making his decision — the hold has representatives in the region sounding the alarm.

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BP agrees to plead guilty and pay a record $4.5 billion over Gulf spill; 3 employees charged – by Michael Kunzelman (Toronto Star – November 16, 2012)

The Toronto Star has the largest circulation in Canada. The paper has an enormous impact on federal and Ontario politics as well as shaping public opinion.

The Associated Press – NEW ORLEANS—A day of reckoning arrived for BP on Thursday as the oil giant agreed to plead guilty to a raft of criminal charges and pay a record $4.5 billion in a settlement with the U.S. government over the deadly 2010 disaster in the Gulf of Mexico. Three BP employees were also charged, two of them with manslaughter.

The settlement and the indictments came two and a half years after the fiery drilling-rig explosion that killed 11 workers and set off the biggest offshore oil spill in U.S. history.

The settlement includes nearly $1.3 billion in fines — the biggest criminal penalty in the United States’ history. As part of the deal, BP will plead guilty to charges involving the 11 deaths and lying to the U.S. Congress about how much oil was spewing from the blown-out well.

“We believe this resolution is in the best interest of BP and its shareholders,” said Carl-Henric Svanberg, BP chairman. “It removes two significant legal risks and allows us to vigorously defend the company against the remaining civil claims.” Assistant Attorney General Lanny Breuer said the deaths and the oil spill “resulted from BP’s culture of privileging profit over prudence.”

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Stornoway strikes new deal with Quebec on diamond mine road – by Nicolas Van Praet (National Post – November 16, 2012)

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

MONTREAL – Stornoway Diamond Corp. has struck a new deal with the Quebec government on a controversial highway leading to its Renard diamond mine that will see it pay a bigger share of the total costs but ensures construction of the mine itself remains on target for 2013.

The renegotiated agreement is the first of several the Parti Québécois government is looking to revamp as it grapples with significant cost overruns on 20 major infrastructure projects inherited from the previous Liberal administration. The new deal saves Quebec taxpayers $124-million and marks the start of new effort to recoup public money that was bargained away to benefit the private sector, PQ ministers said.

“There are other cases where it will be harder to save money, but we’ll do as much as we can on all the projects,” Quebec Finance Minister Nicolas Marceau told reporters. “We will make sure that, in those deals, Quebecers are not paying too much.”

The Stornoway deal involves the Route 167 extension, a 243-kilometre all-season highway leading to the company’s Renard site. The road, championed publicly by former Premier Jean Charest as one of the centrepieces of his Plan Nord development project, had become a political lightning rod after costs ballooned from initial estimates of $260-million to more than $470-million.

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Energy literacy cuts both ways – by Yadullah Hussain (National Post – November 16, 2012)

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

The energy industry and Canadians opposed to its plans seem to be speaking in different tongues. One side is focused on economic climate, the other on climate change. One brandishes impressive employment numbers, the other embarrassingly high CO2 emissions. One talks about provincial and federal permits, the other highlights the absence of a ‘social licence’.

A common gripe among industry executives is that the average Canadian doesn’t comprehend the economic benefits and job creation the industry brings to the table, nor does he or she trust the safety of the technologies deployed.

“It’s an image of ships passing in the night, going in opposite directions,” said Michal Moore, professor of economics at the School of Public Policy, University of Calgary.

Prof. Moore, together with colleagues André Turcotte and Jennifer Winter, wrote a report aimed at measuring Canadian energy literacy. Released Oct. 31, it surveyed more than 1,500 Canadians to determine their understanding of energy issues.

“The survey revealed that Canadians have a good general knowledge of energy use and relative cost but lack detailed knowledge about sources of energy fuels, as well as sources and linkages with environmental impacts,” the report says.

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Thomas Mulcair offers Alberta an updated version of a bad idea – by John Ivison (National Post – November 15, 2012)

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

Tom Mulcair cast himself as a latter-day Sir John A. Macdonald when he talked in Calgary about his vision of Western Canada oil being shipped by pipeline to central and eastern provinces to be processed and then sold domestically.

It would be a nation-building project on a par with railway construction in the 1800s, “a win-win situation,” he said.

But the net effect of supplying Eastern consumers with cheaper Western oil would be closer to a less celebrated federal initiative — Pierre Trudeau’s late and unlamented National Energy Program.

Mr. Mulcair was not specific and it’s not clear how much government intervention in the process he is proposing. But if he is talking about landlocking Canadian oil and supporting the domestic refining industry with discounted Western crude, it starts to look very much like a back-door transfer from one group of Canadians to another.

The New Democratic Party leader said he is not opposed to exporting Canadian oil, as long as the country’s own energy needs are taken care of first. Ottawa’s command and control of the oil industry didn’t end so well last time out: Albertans still blame the federal government for a 40% drop in house prices in Calgary and Edmonton, and a bankruptcy rate that rose 150%.

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NEWS RELEASE: An open letter to all Ontario Liberal Party leadership candidates on behalf of stakeholders supporting the New Deal for Northern Ontario

Dr. Eric Hoskins, MPP, St. Paul’s; Mr. Glen Murray, MPP, Toronto Centre; Ms. Sandra Pupatello; Mr. Charles Sousa, MPP, Mississauga South; Ms. Kathleen Wynne, MPP, Don Valley West

NORTH BAY, ON, Nov. 15, 2012 /CNW/ – Dear Candidates,

We are writing you to make you aware of our plan to revitalize the Ontario Northland Transportation Commission (ONTC) and create significant new job and economic opportunities in Ontario’s North.

Our initiative, called the New Deal for Northern Ontario, will save existing transportation and communication services and hundreds of jobs in the North, while also creating thousands more jobs by providing rail access to the Ring of Fire mineral deposits. The plan, which includes the development of other competitive infrastructure components into the Ring of Fire region, will deliver significant benefits to First Nations, the region and the mining and related industries.

The New Deal calls for transferring ownership of the railroad and other assets of the provincially-held ONTC to a new ports authority to be operated under the Canada Marine Act. This will ensure that important infrastructure assets are kept in public hands for the benefit of all stakeholders. The first step in this process was recently completed with the creation of The James Bay & Lowlands Ports Trustee Corporation. The new Ports Authority will be led by Roy Hains, who successfully ran ONTC for several years and developed strategies to make Ontario Northland strong and sustainable.

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