Business-backed website defends HD Mining – by Wendy Stueck (Globe and Mail – December 7, 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.

Vancouver — HD Mining supporters have launched a website to support the company, which has come under fire for its plans to develop a coal mine with the help of Chinese miners brought to Canada under the temporary foreign worker program.

A website entitled Friends of HD Mining lists member companies in businesses including trucking, construction and restaurant services and says the initiative is funded by donations from those members.

It includes a bulletin headlined “HD Mining is under attack.”

“As fellow service providers to HD Mining, we feel the need to stand up for a company that has been supportive of all of us,” it says. “Certain organizations in B.C. have targeted HD Mining in an effort to succeed in their own selfish agenda. This website has been developed to provide a voice for the many Canadian-owned companies providing services to HD Mining and to set the record straight about our friend and client, HD Mining Ltd.”

The recent furor over foreign workers has overshadowed the positive impact of HD Mining’s project, says one of the business people involved in the campaign.

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Norman Keevil: Ernst & Young Entrepreneur Of The Year 2012 Pacific Lifetime Achievement Award (National Post – December 2012)

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

Overseeing a $25-billion company doesn’t exactly sound like a very entrepreneurial job, but then Teck Resources wasn’t always so big. It traces its roots back to 1912 and a gold discovery at Kirkland Lake, Ont., but it remained a comparatively small company until the early 1970s when it started on a growth streak. Norman Keevil, who joined Teck in 1962, became CEO and president in 1981 and then chairman in 2000, was at the helm for many of the developments that have made Teck the resources giant it is today. “We did it one small step at a time,” he says.

BUSINESS PHILOSOPHY Your philosophy when you started may be different than later on. But I would say now, and maybe it always was, it’s to try to be the best at what you do. For us, that’s been working toward building the best Canadian-based mining or resources company we can. We’ve been all over the place. In the ’60s, we actually had more oil than gold, but then we got out of oil in the ’70s because we realized we didn’t know much about it and then we got back in later on in the oil sands and out of gold. We’ve been willing to be diversified, which is one of our pluses.

In our business, the three keys are people, oil reserves and financial strength, in no particular order. At any given time, there are only so many opportunities out there in the world and if you’re restricted to one commodity, whether it’s gold, coal or copper, if in your mind you’re restricted to one, then by definition there are fewer opportunities. One of our business philosophies is to be opportunistic in the sense that we’re looking for the maximum number of opportunities and size them up to each other, which means being prepared to look at different commodities at different times. We end up being diversified not because we set out to be that way, but because we set out to be opportunistic.

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Chinese investment OK but not workers, B.C. unions say in fight against foreign employees at coal mine – by Brian Hutchinson (National Post – November 30, 2012)

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

VANCOUVER — Tumbler Ridge is a coal mining town, tucked away in northeastern B.C. All of its largest employers are in the same business: Extracting high quality coal from the ground and shipping most of it to Asia, where demand is insatiable.

The first Chinese investors arrived in Tumbler Ridge almost 10 years ago and began purchasing coal-bearing properties. They even bought a small lodge. And now the first wave of Chinese coal miners have landed, to the chagrin of some. Chinese money is welcome in Tumbler Ridge, it seems. But Chinese muscle is another story.

HD Mining International Ltd. is a private partnership, established last year by Chinese-owned entities, including the Chinese government. In April, the partnership obtained permission from Ottawa to hire on a temporary basis 201 foreign workers, for the development of a potential underground mine just south of Tumbler Ridge.

The Murray River coal project could eventually create up to 600 permanent jobs, and over a lifespan of 30 or more years yield up to three billion tonnes of coal. That’s just for starters, says the town’s mayor, Darwin Wren. “For every job underground, there would be another one above ground,” he says.

The Chinese insist they need their own workers to continue with the coal deposit’s “advanced exploration stage,” which precedes actual mine production.

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Copper Mountain Tempts With Canadian Stability: Real M&A – by Tara Lachapelle and Brooke Sutherland (Blomberg.com – November 26, 2012)

http://www.bloomberg.com/

pper Mountain Mining Corp. (CUM) is offering buyers a potentially irresistible combination: the cheapest valuation in three years and the ability to extract metal without the threat of civil unrest in such places as Indonesia and Peru.

Lower-than-estimated copper production drove the company’s price-earnings ratio down to 16.7 in October, the cheapest since 2009, according to data compiled by Bloomberg. Copper Mountain has tumbled 43 percent since this year’s peak, giving the business the lowest price-sales multiple using estimated 2012 revenue among Canadian base metals stocks with a market value exceeding C$250 million ($252 million), the data show.

The location of Copper Mountain’s main mining project in British Columbia may prove alluring to acquirers seeking assets where there’s low risk of social disorder, Laurentian Bank of Canada said. While initial copper production levels were disappointing after extraction began in 2011, the Vancouver- based company seems to have turned the situation around and a buyer should strike now before Copper Mountain’s shares rebound, according to Haywood Securities Inc. Jennings Capital Inc. said companies such as Teck Resources Ltd. (TCK/B) could offer C$8 a share in a deal, more than double yesterday’s close.

“There’s a lot of reasons why it would be attractive to potential acquirers,” Adam Low, a Toronto-based analyst at Raymond James Financial Inc., said in a telephone interview.

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NEWS RELEASE: UBC, SFU to further global sustainable mining practices through $25M Institute

Media Release | Nov. 23, 2012

The University of British Columbia and Simon Fraser University will lead an international coalition to help developing countries benefit from their natural resources in environmentally and socially responsible ways.

The establishment of the Canadian International Institute for Extractive Industries and Development (CIIEID), funded by a $25-million grant from the Canadian International Development Agency (CIDA), was announced last October with an aim to sharing Canadian expertise in extractive industries. The selection of UBC and SFU to operate the Institute was announced today by the Honourable Julian Fantino, Minister of International Cooperation.

In 2008 alone, exports of oil and minerals from Africa, Asia, and Central America were valued at $1-trillion. Canadian companies, many headquartered in Vancouver, B.C., dominate the world’s mineral exploration and Canada relies heavily on its resource industries.

UBC’s research and education in the extractive sector spans nearly a century, with a strong emphasis over the past decade placed on sustainable development and corporate social responsibility through its Norman B. Keevil Institute of Mining Engineering. SFU’s Beedie School of Business offers Canada’s longest-standing Executive MBA program for sustainable mining, and houses the Responsible Minerals Sector Initiative, fostering global dialogue for the extractive sector.

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Dehua shuts separate [B.C. coal] project over temporary worker concerns – by James Keller (Vancouver Sun – November 24, 2012)

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

THE CANADIAN PRESS – VANCOUVER – The legal and political troubles that have overshadowed a plan to bring 201 Chinese workers to a proposed coal mine in northern British Columbia have prompted one of the companies involved to shut down a separate coal project nearby.

Canadian Dehua International Mines Group Inc. announced Saturday it has decided to wind down work at its Wapiti River coal project, located southeast of Tumbler Ridge.

Dehua owns a minority stake in HD Mining, which has generated headlines in recent months over its plan to bring Chinese miners to another proposed mine at Murray River, also near Tumbler Ridge. Two unions have asked Federal Court to throw out HD Mining’s temporary foreign worker permits, and the case has prompted the federal government to announce a review of the entire temporary foreign worker program, including HD Mining’s permits.

Dehua issued a statement early Saturday morning announcing it had filed a notice to shut down its Wapiti River project. The shut-down order is effective Sunday at midnight, the statement said.

“The decision has been forced upon Dehua following a deluge of calls from investors in Dehua’s mining operations in Canada,” said the statement, distributed by company lawyer Darryl Larson.

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B.C. court says unions can see work permits for Chinese miners – by Petti Fong (Toronto Star – November 23, 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.

VANCOUVER—The federal government was ordered Thursday to turn over to two B.C. trade unions the permits it granted up to 300 Chinese miners to see whether those jobs could have been done by Canadian workers.

In a decision late Thursday in federal court, Judge Douglas Campbell awarded the two unions access to the Labour Market Opinions, the federal government term for the temporary work permits that allows foreign workers to come to Canada. Federal lawyers had argued against releasing the LMOs because of concerns that allowing the permits to be made public could open the floodgates to wide access. They said the permits could provide information that could violate privacy and raise competition issues for the companies that wanted to bring in workers.

HD Mining International Ltd., Canadian Dehua International Mines Group and Huiyong Holdings B.C. sided with the federal government in arguing the trade unions should not have access to those permits.

The permits will allow 200 to 300 miners from China to come to northern B.C. to work at the Murray River Coal Mine near Tumbler Ridge. Already about a dozen miners from China have arrived to do preliminary surveillance work and another 60 were scheduled to be in Canada by mid-December.

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B.C. to get new Canadian institute for mining, development abroad – by Peter O’Neil (Vancouver Sun – November 23, 2012)

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

OTTAWA – B.C. will be the location for a new “world class” Canadian International Institute for Extractive Industries and Development, the Harper government announced Friday.

The University of B.C., collaborating with Simon Fraser University, beat out other competitors in the competition to host the institute, which will get up to $25 million in federal funding over five years.

The announcement was made to a business audience in Toronto Friday by International Cooperation Minister Julian Fantino, who unveiled a new strategy to ensure that Canada’s $5 billion in annual international aid promotes the Canadian economy as well as advances development in less developed countries.

The institute is part of a recent federal strategy of lining up non-governmental organizations to work with mining companies to ensure local communities benefit from major projects.

The move has been controversial, with critics accusing the government of using scarce aid dollars to subsidize Canadian mining firms who have often faced controversy in developing countries.

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Imported Chinese workers inflame B.C. debate over skills training – by Jim Sutherland (Canadian Business Magazine – November 14, 2012)

http://www.canadianbusiness.com/

On the day in late October when 13 temporary foreign workers arrived from China to begin work at a coal mine near Tumbler Ridge, B.C., the forecasted low was –19°C, with a snowfall warning. So much for a warm welcome. In fact, just two days later the federal government announced that it was re-examining the application that allowed HD Mining to bring in workers to the site in the first place.

But then, the reception afforded these particular arrivals was expected to be frosty. Unions were already angry about the growing number of workers entering the country through the Temporary Foreign Worker Program, in part due to the Harper government’s easing of restrictions. Making it worse, here was China, long the great job thief, now exporting its impossibly cheap labour to Canadian shores.

Looming in the background was a historic misallocation of the labour market that has high-school graduates spending tens of thousands of dollars training for pursuits like web design and filmmaking, even as jobs go chronically unfilled in the country’s resource hinterland. The controversy, which started weeks before the workers’ arrival, happened to coincide with a much-mocked B.C. provincial government advertising campaign urging young people to reconsider their career paths, since “Hipster is not a real job.”

Then, there were some early missteps by HD Mining, a joint venture between Huiyong Holdings, a Chinese miner, and Canadian Dehua International Mines, founded by Naishun Liu, a China-born, Vancouver-based businessman.

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[Canada] We need foreign workers, they need fair treatment – by Tim Harper (Toronto Star – November 14, 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.

OTTAWA – The day Canadians decide en masse that they will relocate to northern Alberta or northern British Columbia to take available jobs, we can have a proper debate in this country over the need for the Temporary Foreign Worker program.

Until that fanciful day arrives, let’s accept that this program fills a huge void in the Canadian labour market in 2012.

There are two other more relevant questions to debate — why has this program been left open to such obvious abuse and why has its use accelerated so quickly under the Conservative government?

Human Resources Minister Diane Finley has been forced into a long overdue review of the program by organized labour in British Columbia after a subsidiary of the Chinese Dehua Mines advertised for workers fluent in Mandarin, apparently ignoring the requirement that efforts first be made to locate or train Canadian workers to fill the mines jobs.

“Our government believes that Canadians must always have first crack at job opportunities in Canada,’’ Finley said.

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Hiring of Chinese miners in B.C. sends unions to court – Petti Fong (Toronto Star – November 6, 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.

VANCOUVER—The hiring of about 200 Chinese miners to work in northern British Columbia has raised concerns with Ottawa as unions went to court Monday seeking to overturn the decision to allow the foreign workers into Canada.

The workers, some of whom are already at the mine near Tumbler Ridge, B.C., were allowed in after getting approval from Human Resources and Skills Development Canada.

The miners will be employed at HD Mining International Ltd’s Murray River coal mine extracting bulk samples.

“Canadians must always have the first crack at job opportunities,” said Alyson Queen, spokeswoman for Human Resources and Skills Development Minister Diane Finley. “As we have indicated previously, we are concerned with the process that led to this decision.”

Queen said in a statement to the Toronto Star that the ministry is looking into the case to ensure that appropriate rules were followed but cannot comment further on matters because the issue is now in the courts.

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Two unions seek federal court muscle to oust foreign workers from B.C. mine – by Dene Moore (Vancouver Sun – November 5, 2012)

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

The Canadian Press – VANCOUVER – Two labour unions want a federal court to overturn temporary work permits issued to Chinese workers at a coal mine in northern British Columbia, arguing that there are unemployed Canadians who could fill the jobs.

Permits have been granted under the federal Temporary Foreign Worker Program to 200 Chinese workers to conduct exploration work at HD Mining International Ltd.’s Murray River mine near Tumbler Ridge, B.C.

The company has said it was not able to find workers in Canada with the specialized skills necessary. But the court action filed by the International Union of Operating Engineers Local 115 and the Construction and Specialized Workers Union Local 1611 maintains that is not the case.

“There is no evidence of a labour shortage nor is there an absence of suitable Canadian citizens or permanent residents for the jobs,” said the application.

It says HD Mining received 300 applications to work at the underground coal mine “despite the fact that HD Mining did not advertise widely and imposed unreasonable and unnecessary requirements on Canadian applicants.”

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Foreign workers shouldn’t get jobs Canadians can do: Kenney – by Kristy Kirkup (Toronto Sun – October 31, 2012)

http://www.torontosun.com/

OTTAWA — Immigration Minister Jason Kenney said Wednesday he wants to ensure the temporary foreign work program operates “on the basis of Canadians first” in light of concerns raised about permits granted to Chinese miners at a B.C. coal mine.

“Companies cannot access foreign workers unless or until they have demonstrated to the government that they have advertised the job in Canada, offering it to any qualified Canadians,” Kenney told QMI Agency.

“We never want to give jobs away to foreign workers if qualified Canadians are available and applying for them.”

Human Resources and Skills Development Canada is now investigating why the work permits were granted to about 200 mine workers at HD Mining International Ltd., located west of Grand Prairie, Alta.

Employers who wish to hire temporary foreign workers must apply for a “labour market opinion” from Service Canada that assesses “the impact the foreign worker would have on Canada’s labour market.”

“Concerns have come to light, subsequent to these labour market opinions being approved for that particular mine, that Mandarin was listed as a work requirement,” Kenney said.

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[B.C. coal] Miners Could Have Been Trained Here Easily – by Bill Tieleman (The Tyee.ca – October 29, 2012)

http://thetyee.ca/

Longwall coal mining is hardly the rare, elite skill politicians want us to believe. If you don’t think Chinese miners should be coming to British Columbia as temporary foreign workers in new coal mines, get ready to be really angry.

That’s because the federal Conservative government will ratify a foreign investment agreement this week, ensuring even more Chinese takeovers of Canada’s natural resources — and jobs.

And if you doubt that China-owned coal companies had no choice but to import their own workers to B.C. because no trained, experienced miners are available, prepare to get downright furious.

The reason is simple. Neither the coal companies nor the federal or B.C. governments wanted to train Canadian workers — even though it’s nowhere near as hard as they claim.

“We require temporary foreign workers because we are introducing a highly mechanized form of longwall mining to the province. There’s currently no active long-wall mining going on in Canada or B.C.,” says Jody Shimkus, vice-president of HD Mining International, one of the companies involved in developing up to four coal mines.

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Canadian gov’t investigates foreign worker permits for Chinese miners in B.C. – by James Keller (Vancouver Sun – October 30, 2012)

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

The Canadian Press – VANCOUVER – Ottawa is investigating controversial foreign worker permits that will allow as many as 201 Chinese miners to work a proposed project in northern British Columbia, a government spokeswoman confirmed Tuesday.

HD Mining International Ltd. has obtained permits for miners from China to conduct exploration work at its proposed Murray River project near Tumbler Ridge, B.C., located about 200 kilometres west of Grande Prairie, Alta.

The company insists there aren’t any Canadian workers trained in the specialized skills it needs. Details of those permits became public earlier this month, prompting several unions to demand Canadians be hired instead. There have also been allegations that recruiters in China demanded fees for the jobs, which HD Mining has denied.

Human Resources and Skills Development Canada is now investigating whether the permit applications met all the necessary requirements, said Alyson Queen, a spokeswoman for Human Resources Minister Diane Finley.

“The government is committed to ensuring that Canadians always have first crack at the jobs available in Canada,” Queen said in an interview Tuesday.

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