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Northern Ontario Politics

Inside the secret, intricate world of diamonds – by Rita Celli (CBC News Business – May 14, 2015)

http://www.cbc.ca/news/canada/ottawa

Cash only, hyper-secure world where very few know how stones are priced

“If you think platinum or gold is secret. It doesn’t hold a candlelight to diamonds,” says a smiling Ron Gashinski, retired Ontario geologist and one of the lead players to set up a controversial diamond royalty in the province.

“No one touches the diamonds. Not even the people cleaning them. They have to put their hands in a glove box,” says Gashinski. “The daily production is in a thermos, about the size of a Tim Horton’s coffee, and a guy with gloves hits a keypad so a door opens, and this arm puts the diamonds into a vault.”

Ontario’s only diamond mine, north of Attiwapiskat, is part of a high stakes, and secret world of diamonds. From the way the stones are stored, valued, and shipped around the world, the De Beers Victor mine is a piece of an intricate global puzzle. Everything is precise, and hyper-calculated.

“There are no accidents,” says Gashinski. “It is a strange business. A cash business. Before anyone can buy those diamonds from De Beers, they have to put cash in the bank. There are no lines of credit. It’s a built in ‘I trust you when the money is in the bank, up until then these are my diamonds.'”

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Excerpt From Call of the Northland: Riding the Train That Nearly Toppled a Government – by Thomas Blampied

To order a copy of Call of the Northland: Riding the Train That Nearly Toppled a Government, click here: http://www.northland-book.net/buy.html

Historian, author and photographer Thomas Blampied has been interested in railways for as long as he can remember. Growing up east of Toronto, he spent summer evenings sitting trackside with his father watching streamlined VIA trains race past and long freight trains rumble by. From these early railway experiences grew a lifelong passion for railways and rail travel which has manifested itself through model railroading, photography, writing, railway preservation and the academic study of railway history. This is his fourth book about railways in Ontario. He has studied in both Canada and the United Kingdom and currently resides in Southern Ontario.

Chapter 1: First Steps to the North

The day of the trip: before dawn. Up around five, I was packed and ready to go. My journey would take two trains: one west into Toronto and then one north to Cochrane. I had some breakfast, never much on travel or photo days, and got a ride to the Whitby Station. It was a cold and drizzly morning in late April as I waited on the platform for the 6:18 GO train to Toronto. I must have looked odd, standing with all my bags and winter coat in the rain, among the latest spring fashions.

The train arrived and I boarded with the commuters – all of them pushy and determined to have their seat. As usual, I sat up behind the crew, but was disappointed to see that the window separating the crew and passengers had been boarded up. I had liked looking through this window for years as I could see the track ahead from the crew’s point of view.

The weather did not improve as we rolled along the GO Subdivision (the operational name for a particular stretch of track, a subdivision is often referred to as a Sub), running parallel to Highway 401.

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Federal help in Ring of Fire linked to community benefits (Thunder Bay Chronicle-Journal – April 25, 2015)

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

The federal government needs to see the potential for community benefits before investing in the Ring of Fire development.

That’s the message Aime Dimatteo, director general for FedNor, gave during his presentation at the Northwestern Ontario Municipal Association conference, which was held this week in Thunder Bay.
Dimatteo argued the project is moving forward and pointed to the joint funded study with the province that’s looking at an east-west road corridor.

He said he was referring to the direction the federal government has taken in terms of building the infrastructure for the Ring of Fire. But the government wants to make it clear that those investments have to have community benefits, he said.

“If it is just about putting a road from a highway into a mining site that’s not going to have any community benefit, the federal government’s programs won’t come to bear,” he said. “In the case of the east-west road study that was announced jointly by the federal and provincial governments, it will connect four remote communities.

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Media Release: Stop the fire sale of Ontario’s natural resources

Green Party Ontario leader Mike Schreiner is calling on the Liberal government to end the fire sale of Ontario’s natural resources as the government struggles to balance its budget.

(April/01/2015) Queen’s Park – “It’s irresponsible for the Liberals to sell off our natural resources at rock bottom prices, especially when the province’s finances are a mess,” says Schreiner. “The people of Ontario deserve their fair share of the province’s resource wealth.”

The Liberal government is looking at selling public assets such as Hydro One and extracting more money from alcohol sales. Yet, the Liberals have made no effort to maximize the value of Ontario’s natural resources, even though the Drummond Report called for increasing natural resource revenues, which would also create incentives to use them efficiently.

Ontario has the lowest effective mining royalty rate in Canada after all tax breaks are counted. In 2010 and 2011 the province’s mining industry extracted metals and minerals valued at $17 billion but only paid 1.4% ($250 million) for these resources. The average Canadian rate for the same period was 5.6%. Saskatchewan’s public return was over 9%.

Ontario only charges 11.5 cents/tonne for aggregate extraction. Quebec charges 50 cents/tonne. The province’s water-taking levy for industrial purposes is only $3.71 per million litres.

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Timing not right for Ring of Fire project: Tony Clement – by Len Gillis (Kingston Whig-Standard – March 17, 2015)

http://www.thewhig.com/

TIMMINS, Ont. — The federal and provincial governments are not likely to make any significant moves on the Ring of Fire mining project until there is a vast improvement in mineral markets, says federal Treasury Board president Tony Clement.

The guest speaker at a Timmins Chamber of Commerce luncheon Monday, Clement responded to a question about the Ontario Chamber of Commerce’s Ring of Fire report card, which gave failing grades to both levels of governments for not being proactive enough to get mining projects up and running.

The report card blamed red tape in the mine permitting process, as well as a failure to provide infrastructure, such as better road or rail links. “There has been little progress developing this extraordinary economic opportunity,” it read.

The Ring of Fire project is a mining development about 600 kilometres northwest of Timmins, in the remote McFaulds Lake area. The prospect is identified mainly as a chromite project, valued in the tens of billions of dollars.

There are huge deposits of other metals there, too, but so far none of the three significant mining companies involved has moved forward with any sort of mining operation.

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Sudbury’s ‘Sexy’ Byelection: David Robinson Profile [mining issues] – by Mary Katherine Keown (Sudbury Star – January 31, 2015)

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

Sudbury economist David Robinson says climate change was the deciding factor. The Laurentian University professor decided to throw his hat into the provincial byelection ring after considering the implications of carbon pollution and the inaction of the other parties.

“My family and I — like many millions of other Canadians — think cutting carbon pollution is essential. We don’t see action from the old-line parties on climate change,” he says.

He has harsh words for the Liberals, New Democrats and Progressive Conservatives. But ultimately, Robinson says duty compelled him to put forth his name.

“We see denial. We see cowardice. We see ignorance,” he contends. “We happened to have an economist in the family who has spent a lot of time studying the economics of carbon pricing. We decided it was a family duty to run our economist to help dispel the confusion and lies. We figured that I had earned some respect around the community over the last 15 years, so people might listen. At the very least the other candidates, who obviously don’t understand carbon pricing, might learn something in case they are elected.”

Robinson, who holds a PhD in economics from Queen’s University, is director of the Institute for Northern Ontario Research and Development at Laurentian University.

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Attention Premier Wynne: Turn Laurentian Into Global Harvard of Hardrock Mining – by Stan Sudol (January 30, 2015)

Stan Sudol is a Toronto-based communications consultant, mining columnist and owner/editor of www.republicofmining.com  He can be reached at stan.sudol@republicofmining.com

This essay was also published in the Sudbury Star in two parts:

http://www.thesudburystar.com/2015/02/07/accent-laurentian-as-harvard-of-hardrock-mining-2

http://www.thesudburystar.com/2015/02/09/sudbury-needs-premier-needs-to-act-boldly

Sudbury Byelection

Laurentian University economics professor David Robinson, who is running for the Green Party in the current municipal by-election, has done a terrific job in highlighting mining issues and his plans to ensure that Sudbury continues to become Ontario’s centre of mining excellence.

It’s a refreshing policy approach that often gets overlooked by other politicians but in fairness to Glen Thibeault and even Premier Wynne, both have also mentioned – but not with the same passion as David Robinson – and promoted Sudbury’s mining sector.

However, as with many issues related to Premier Wynne and the mining sector – including the Ring of Fire – there seems to be more “political talk” and very “little solid walk”, actually dodging and spinning would be a better description of her government’s mining policy in general.

If Premier Wynne is truly serious about promoting and establishing Sudbury as a centre of mining excellence, than she must merge and relocate all of Ontario’s university mining programs to Laurentian and significantly expand and establish a “Global Harvard of Hardrock Mining” with a mandate to educate the next generation of miners in Canada and from around the world.

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Rickford, Gravelle meet on Ring of Fire – by Staff (Northern Ontario Business – January 28, 2015)

Established in 1980, Northern Ontario Business provides Canadians and international investors with relevant, current and insightful editorial content and business news information about Ontario’s vibrant and resource-rich North.

Progress in the Ring of Fire – or the lack of it – was on the agenda of federal Natural Resources Minister Greg Rickford and provincial Northern Development and Mines Minister Michael Gravelle during a meeting in Ottawa, Jan. 27.

In their first “constructive” meeting of 2015, a joint news release stated the ministers discussed funding arrangements to extend transportation infrastructure into the isolated Far North region to support mining and improve access to remote First Nation communities.

The two sides have been at an impasse on how to work together in the James Bay lowlands where exploration has ground to a halt and the biggest explorer, Cliffs Natural Resources, has abandoned work and seems likely to leave Ontario.

The Wynne government has accused the Harper government of dragging its feet in matching Ontario’s $1 billion infrastructure commitment for development of the mining camp, while Ottawa has chastised Queen’s Park for its lack of a detailed plan from its much-maligned Ring of Fire development corporation.

The news release said discussion focused on the Ottawa’s $53 billion Building Canada Fund, set aside for provincial and municipal infrastructure, including “legacy resource development projects like the Ring of Fire.”

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Robinson says he has a comprehensive plan for Ring of Fire – by Staff (Sudbury Northern Life – January 21, 2015)

http://www.northernlife.ca/

David Robinson says he has a comprehensive plan that would move the Ring of Fire development plan forward.

The Ring of Fire is a rich ore deposit in a remote section of northwestern Ontario, which no land transportation access, but a promise of billions of dollars worth of chromite and other metals. The province has taken heat for not producing a plan to allow development to move forward, and work in the area has effectively stalled.

Robinson, the Green Party candidate in the Sudbury riding byelection, said his plan includes developing a regional governance structure for those areas of Northern Ontario without functioning local governments. Regional government for the Far North will greatly strengthen the voice of people living in the area – and those expected to reside in the North when the Ring of Fire is developed.

“Sustainability begins at the local level,” says Robinson. “The people who live in the Far North will be hosting what will assuredly be one of the largest economic enterprises this province has ever seen. What we don’t need are politicians and bureaucrats sitting in a Toronto boardroom calling the shots for the Far North.

“Right now, that appears to be the plan that the Liberals, PCs and NDP have for the region.”

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The Idiot’s Guide to Being a resource minister – by David Robinson (Northern Ontario Business – January 2015)

Established in 1980, Northern Ontario Business  provides Canadians and international investors with relevant, current and insightful editorial content and business news information about Ontario’s vibrant and resource-rich North.  

Dave Robinson is an economist with the Institute for Northern Ontario Research and Development at Laurentian University.drobinson@laurentian.ca 

Here is some bedtime reading for Claude Gravelle, Greg Rickford and Kyle Fawcett. The Three Amigos are the most influential resource ministers in Canada.

Mr. Gravelle and Mr. Rickford are familiar to Northerners. Fawcett is Alberta’s new minister of Environment and Sustainable Resource Development. They are in charge of much of Canada’s natural resource wealth and they have access to the three most powerful politicians in the country. They are responsible for getting Canada’s resource policy right. This modest column should help them do their jobs.

The Idiot’s Guide to Being a Resource Minister is actually called Guidelines for Exploiting Natural Resource Wealth, by economist Rick van der Ploeg from the Oxford Centre for the Analysis of Resource Rich Economies. [http://www.economics.ox.ac.uk/materials/papers/13249/paper128.pdf] The guidelines were written for resource ministers in resource-rich countries like Canada.

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NOACC NORTHWESTERN ONTARIO ASSOCIATED CHAMBERS OF COMMERCE (NOACC) SUBMISSION TO STANDING COMMITTEE ON FINANCE & ECONOMIC AFFAIRS PRE-BUDGET CONSULTATION (January 20, 2015)

http://www.noacc.ca/

The Northwestern Ontario Associated Chambers of Commerce (NOACC) is the “voice of business” representing the interests of nearly 2,000 members from Kenora and Rainy River in the West to Marathon and Greenstone in the East. We appreciate this opportunity to outline our concerns on a number of topics.

Skills Gap

The Province needs to address the skills gap. Two major trends are creating skills shortages. The first is the aging of the population and the departure of baby boomers from the workforce. The Conference Board of Canada’s long-term economic outlook projects that by 2025, one in five Canadians will be 65 or older. The second trend is that jobs are becoming increasingly specialized, which in turn demands more educated and skilled workers. The evidence is clear that the rising shortfall of skilled workers and the growing mismatch between the skills required and those available has evolved into a skills crisis affecting both the Ontario and the Canadian economy. Funding is vitally important to address the training and skills needs of Ontarians in all sectors.

One area that needs further attention is the apprenticeship system – the Ontario system uncompetitive with other resource-based Provinces. Many skilled trades require 4 journeypersons to train 2 apprentices, which leaves both small companies and rural communities at a disadvantage and does little to address the growing shortage of skilled trades. We believe that the current ratios are too high and should instead be comparative to Alberta and Saskatchewan levels of 1 journeyman to 3 apprentices.

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Wynne’s actions snub Sudbury on free choice – by Carol Mulligan (Sudbury Star – January 13, 2015)

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

There was something oddly symbolic about a gesture at a news conference in Sudbury Wednesday. Hours after Kathleen Wynne announced a byelection for Feb. 5, she spoke to reporters at a local hotel. Positive and upbeat, the premier was pleased to be in Sudbury. The city looked Christmas-card pretty under fresh snow.

Wynne introduced Glenn Thibeault, former New Democrat MP, as the best man to represent Sudbury at Queen’s Park. Thibeault seemed nervous and had every right to be. For six years, Sudburians sent him to Ottawa under the NDP banner. Many are angry at what they see as betrayal.

Taking to the podium, Thibeault dropped his pen. Wynne swooped in, picked it up and handed it to him. It was a small movement, but to some indicative of how tightly Thibeault is being handled by the premier.

After hand-picking the former United Way executive director, Wynne and party brass are doing everything they can to ensure he doesn’t drop the ball. It has nothing to do, they say, with Wynne and powerful Sudbury Liberals wanting a member they could quickly promote to cabinet.

It’s about pressing Sudbury issues that need Thibeault’s attention — the expansion of Maley Dr., an arterial road; the four-laning of Highway 69; infrastructure for the Ring of Fire mineral belt.

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Media Release: David Robinson Wants to Create Jobs by Making Sudbury a Centre for Mining Excellence

Green Party Candidate Dr. David Robinson will continue pushing to make Sudbury Ontario’s global centre for mining excellence.

WireService.ca Media Release (01/12/2015) Sudbury, ON – “I will advocate for local job creation by pushing to consolidate mining research and innovation in Sudbury,” says Robinson. “The Liberals have scattered Ontario’s mining assets all over with no real plan. My plan helps everyone in the mining sector by building on Sudbury’s mining supply cluster to create a global centre for mining research, innovation and best practices.”

Robinson’s strategy includes consolidating public sector research in Sudbury. This will attract more mining supply companies and increase investment and job creation in the mining sector. Robinson’s plan will also provide the expertise needed to support new projects such as the Ring of Fire with cutting edge innovation and sustainable practices.

“The three old parties have no vision for how the Ring of Fire can establish Ontario as a centre for excellence in sustainable and innovative mining practices,” says Robinson. “Sudbury is the obvious choice to be the centre for mining research and supply.”

Robinson’s plan also includes research and development to cut energy costs for mining. By utilizing underground waste heat, for example, mining companies could reduce their energy costs and even save millions in energy costs for businesses and households in Sudbury.

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Ontario Tories look to appease Northerners – by Carol Mulligan (Sudbury Star – December 9, 2014)

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

Four provincial Progressive Conservative leadership candidates didn’t outright apologize to Northerners two weeks ago at a Sudbury debate. But they did express affection and demonstrated a knowledge of northern issues at the first of six PC leadership debates.

Whitby-Ajax MPP Christine Elliott, Nipissing MPP Vic Fedeli, Nepean-Carleton MPP Lisa MacLeod and Barrie MP Patrick Brown said all the right things at the Nov. 24 event at College Boreal in Sudbury.

They came bearing olive branches, and that the first of six leadership debates was held in the Nickel City was no accident. It was a mea culpa meant to undo a snub by former PC leader Tim Hudak for not participating in a May 26 northern debate before the June 12 election.

Hudak’s failure to attend and his party’s dismal showing are probably just coincidence, but would-be leaders and their party aren’t taking any chances. They have four years to rebuild a party in ruins and gain ground in

11 northern ridings. They represent a small portion of the province’s 107 electoral districts, but they’re important nonetheless to any party wanting to govern.

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Show us the Ring of Fire plan, says Rickford to province – by Ian Ross (Northern Ontario Business – December 4, 2014)

Established in 1980, Northern Ontario Business provides Canadians and international investors with relevant, current and insightful editorial content and business news information about Ontario’s vibrant and resource-rich North. Ian Ross is the editor of Northern Ontario Business ianross@nob.on.ca.

Federal Natural Resources and FedNor Minister Greg Rickford remains optimistic about the future prospects for the Ring of Fire despite the slow exit of Cliffs Natural Resources from Ontario.

But the Kenora MP stuck to the federal government’s line that the province must identify “focussed infrastructure projects” before Ottawa is prepared to spring for any dollars to help the Wynne government develop a transportation corridor to reach the stranded chromite and nickel deposits in the James Bay region.

“I remain confident that the province will come to understand that that’s what Northern Ontarians expect on this legacy resource development project.”

Rickford was in Sudbury Dec. 4 to announce the Community Investment Initiative for Northern Ontario, a FedNor program that sets aside $3 million for small towns and remote First Nations to hire economic development officers to advance local projects in their communities.

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