Cliffs puts Ring of Fire project on hold – by Shawn Bell (Wawatay News – June 13, 2013)

http://wawataynews.ca/

Citing a list of holdups with its proposed Ring of Fire chromite project, Cliffs Natural Resources announced on June 12 it has suspended its environmental assessment (EA) for the $3.3 billion mine project.

Bill Boor, Cliffs senior vice president, told Wawatay News that the uncertainty over the federal EA process – given Matawa First Nations’ ongoing legal case calling for a Joint Review Panel assessment – played a significant role in Cliffs decision to halt the project.

“Cliffs wants to work with First Nations on how we’ll cooperatively make sure we have an assessment that works for all of us, so we can assess this project in the best possible way,” Boor said. “We haven’t reached an agreement on that, and one of the issues is the judicial review.”

Boor emphasized that the uncertainty over the federal EA process was only one reason Cliffs decided to temporarily suspend work on the project. He noted that Ontario has still not approved Cliffs’ terms of reference for the provincial EA, and that a number of agreements with the provincial government remain unfinished.

Cliffs’ has also not been granted access to land it requires for an all-weather road to the mine site, another issue that has stalled the project. A land dispute between Cliffs and KWG Resources is currently awaiting ruling from Ontario’s mining commissioner.

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Cliffs should stop pointing fingers, check its corporate ego before resuming work on Ring of Fire – by Ramsey Hart (MiningWatch Canada – June 14, 2013)

http://www.miningwatch.ca/

On Wednesday, US mining company Cliffs Natural Resources announced that it was ceasing work on the environmental assessment process for its high profile chromite project in the area of northern Ontario dubbed the “Ring of Fire”.

Cliffs’ announcement poutedly pointed the finger at the province for not approving the terms of reference the company drafted for its environmental assessment and for not coming to unspecified agreements “critical to the projects economic viability”, i.e. hydro and infrastructure subsidies. The blame was shared with First Nations who are pursuing a legal challenge to the project’s federal environmental assessment and the provincial Mining Land Commissioner for not issuing a decision over a land rights dispute with fellow would-be Ring of Fire mining company KWG.

While the announcement got a fair bit of press including coverage by the Globe and Mail, Financial Post, Star, CBC and Sudbury Star none of the news reports that I’ve seen pointed to Cliffs’ own role in creating these delays.

Back when the project was entering into the environmental review process, Cliffs doggedly refused to support the reasonable and routine call (for a project of this size and complexity) of First Nations and NGOs (MiningWatch included) for a joint review panel assessment process.

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Have to get Ring of Fire right: Wynne – by Carl Clutchey (Thunder Bay Chronicle Journal – June 14, 2013)

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

While critics accused her government of “dropping the ball,” Premier Kathleen Wynne said Thursday she wasn’t rattled by this week’s announcement that Cliffs Natural Resources will stop working on its environmental assessment for its big Ring of Fire project.

In a conference call with Northern media outlets, Wynne dismissed a suggestion that Cliffs is upping the pressure on the province to get its chromite mine approved in a more timely manner.

“I’m not seeing it that way,” she said. “I’m seeing it as the natural course of things.” On Wednesday, Cliffs ferroalloys vice-president Bill Boor said the company is temporarily halting its work on its environmental assessment process because, after two years, the parties involved still can’t agree on what the project’s terms of reference should be.

Boor also cited “unfinished agreements with the government of Ontario that are critical to the project’s economic viability.” Wynne said Boor’s announcement “doesn’t change our position to see development in the Ring of Fire.”

The Ring of Fire mining belt, about 500 kilometres northeast of Thunder Bay, is a “complex” file “and we have to get it right,” said Wynne.

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NEWS RELEASE: OMA member plans to put graphite back into Ontario’s mineral mix

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.

Ontario Mining Association member Ontario Graphite is planning on putting its namesake substance back into the mineral mix of products being turned out by the province’s mining industry. Ellerton Castor, Chief Financial Office and Chief Administrative Officer of Ontario Graphite, expects production from the company’s Kearney Mine to begin before the end of the year. The mine anticipates producing 20,000 tonnes of large-flake, high-carbon graphite concentrate annually from the processing of about one million tonnes of ore.

All governmental permits have been approved and the company has the green light to begin operations. “The Ontario Ministry of the Environment’s decision to grant the remaining permits and approvals for this project marks a critical turning point towards beginning production at the Kearney Mine,” said Jerry Janik, General Manager for Ontario Graphite. “This milestone reflects our company’s strong commitment to the responsible re-commissioning of the mine site, with a particular focus on environmental sustainability.”

The mine will recycle 85% of the water from the mine in the milling stage. Also, non-graphite bearing rock on the property will be re-used as aggregate for construction projects by others in the region.

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NEWS RELEASE: NORONT ANNOUNCES RING OF FIRE STILL GOOD TO GO

TORONTO, ONTARIO–(Marketwired – June 12, 2013) – Noront Resources Ltd. (“Noront” or the “Company”) (TSX VENTURE:NOT) wishes to announce that its plans for the development of its deposits in the Ring of Fire have not changed in light of the announcement made by Cliffs Natural Resources Inc. to temporarily suspend their Environmental Assessment (EA) activities for its chromite project in the Ring of Fire. Noront has continuously developed alternative plans, including the use of an East-West corridor, if the planned North-South access route proposed by Cliffs did not materialize.

“In addition to supporting a North-South access route, Noront has always supported an East-West alternative approach for the development of the Ring of Fire that balances First Nations objectives, the environment and job growth. We’re confident this alternative will be attractive to each level of government, the local communities and the people who will benefit from this sensible approach to stimulating development in the Ring of Fire,” said Paul Parisotto, Noront’s Chairman and interim CEO. “We believe this offers a great opportunity for the private sector, First Nations and governments to work together to ensure the Ring of Fire can be developed in a responsible and timely way.”

The alternative route for an all-weather road to the Ring of Fire, which will include access for non-mine traffic from local communities, balances First Nation objectives, the environment and jobs in a responsible manner and will allow for the early development of the high grade nickel deposits in the Ring of Fire.

The proposed route, an East-West all-weather corridor, would build upon existing winter roads to minimize environmental impact and cost.

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Province optimistic development will go ahead – by Laura Stricker (Sudbury Star – June 14, 2013)

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

Cliffs Natural Resources’ work in the Ring of Fire may have come to a screeching halt, but the minister of Northern Development and Mines said he’s determined to see the project through.

“I do remain very optimistic about this project,” Michael Gravelle, who’s also the MPP for Thunder Bay, said on the phone. “I think it needs to be understood … that this is a very transformational, large project, in a part of the province that’s never seen development before.

“It’s important that we get this process right. Clearly there are a number of parts that are crucial to this before we can move for ward, and one of them is environmental assessment.”

On Wednesday, Cliffs announced it was temporarily suspending the $3.3-billion project, which includes a smelter in Capreol, until the provincial government takes action on the file. Bill Boor, senior vice-president of global ferroalloys for Cliffs, said Wednesday the company has done as much as it can and now needs to wait for the government to make a move.

“I’m keen to continue to sit down with Cliffs to finalize the arrangements that we’ve been in discussion with the company on,” said Gravelle. “Because of the size of this project … there are going to be challenges along the way, but we are still very confident that the project can move forward.”

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Let’s get on with it [Ring of Fire development] – Thunder Bay Chronicle-Journal Editorial (June 14, 2013)

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

HAS it really been three years? Has the Ring of Fire mining development been formally pursued for that long? Perhaps the time seems shorter because so little has been done. The potential salvation of the withering Northern Ontario economy has been mostly on hold over a series of delays around the inability of decision makers to make decisions.

A development commonly likened to the mighty Alberta oilsands in terms of economic impact is stalled while those who stand to benefit most stand in its way. Senior governments that would reap enormous tax benefits to apply to large budget deficits, and First Nations with the potential to finally climb out of unskilled poverty, have been unable or unwilling to approve even the processes to advance formal proceedings into the methods by which further exploration will continue, let alone how mines will be built.

No wonder the Ring of Fire’s major player, Cliffs Natural Resources, has just announced a halt to its environmental assessment activities for a chromite mine in the James Bay lowlands known to be brimming with mineral potential.

Cliffs appears to be stymied as to how to proceed because it cannot get a decision from either the provincial or federal governments on which EA processes will be applied. Cliffs may have thought it had an agreement to pursue one process but concerns by First Nations, environmental groups and federal agencies that it was not stringent enough have raised the possibility of tougher requirements.

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OMA NEWS RELEASE: Detour Gold cycling team raises $124,000 to fight cancer

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.

A team of cyclists from Ontario Mining Association member Detour Gold took a direct route in raising more than $124,000 in the sixth annual Ride to Conquer Cancer this past weekend. Twenty eight cyclists wore the Detour Gold colours on the 200 kilometre route from Toronto to Niagara Falls on June 8 and 9.

More than 5,000 cyclists participated in the event, which benefits the Princess Margaret Cancer Foundation. This participatory event raised more than $19 million to support personalized cancer medicine. The Princess Margaret facility in Toronto is one of the top five cancer research centres in the world.

Rachel Pineault, Detour Gold Vice President Human Resources and Northern Affairs, says this is the third year a company team has entered this charity event and the participation rate has grown every year. “I bought my bicycle last August and spent a year in preparation,” said Ms Pineault.

“The last time I was on a bike previously was 20 years ago and there was a baby seat on the back,” she added. This year, Rachel’s family joined her on the cycling expedition. “This fundraiser was a great effort and we will do it again.” The Pineault Family raised more than $21,000.

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More delays in the Ring of Fire mining project – Minister Michael Gravelle and Mining Analyst Stan Sudol (CBC News Sudbury/Morning North – June 13, 2013)

  Cliffs Natural Resources has put the brakes on environmental assessments around it chromite project in the Ring of Fire mineral deposit. We have reaction from the Minister of Northern Development and Mines and an industry analyst Stan Sudol. For Morning North Radio Interview click here: http://www.cbc.ca/video/news/audioplayer.html?clipid=2391133725

Sudbury smelter plans hinge on Cliffs’ stalled chromite project – CBC News Sudbury (June 13, 2013)

http://www.cbc.ca/sudbury/

Cliffs Natural Resources VP says proposed smelter will be located in Sudbury, but issues need to be resolved first

The future of a ferrochrome smelter in Sudbury is in question after some grim news from Cliffs Natural Resources. The company announced Wednesday it is temporarily suspending the environmental assessment on its northwestern Ontario chromite project in the James Bay lowlands’ Ring of Fire.

Cliffs points to unfinished agreements with the province and unresolved land rights issues as two of the reasons for the delay. The vice president of Cliffs Natural Resources overseeing the project said he’s frustrated with the lack of progress on the chromite project, which directly affects plans for the smelter.

“When we get the momentum back we’ll be moving back again and the furnace will be located in Sudbury,” Bill Boor said.

“[But] none of that’s settled before we advance beyond these issues.”

Sudbury Mayor Marianne Matichuk said she’s not surprised Cliffs’ environmental assessment has been put on hold, but said she’s not worried about the impact this may have on the local economy or jobs.

“There’s other plans in place, there are other mines that are opening, there’s a lot of activity,” she said. “It’s the cycle of mining, that’s what mining’s all about.”

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Cliffs delays Ring of Fire project – by Sebastien Perth (Sudbury Star – June 13, 2013)

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

Its ambitious US$3.4-billion plan to open a mine in northwestern Ontario and a smelter in Sudbury by the middle of the decade is in tatters, Cliffs Chromite Ontario Inc. announced Wednesday.

The company is temporarily suspending its environmental assessment activities in the Ring of Fire. With the delay comes the loss of close to 1,000 new jobs, including 400 to 500 at a chromite smelter that was to be built near Capreol.

Cliffs Chromite Ontario — a subsidiary of Cleveland-based Cliffs Natural Resources — cited difficulty in resolving a number of issues with the provincial government for the delay.

Bill Boor, senior vice president of global ferroalloys for Cliffs, said the company has done as much as it can and it’s now up to the Ontario government to get the project going again.

“What we did this morning was acknowledge where we are in the process,” Boor said. “It’s a lot less a decision on the part of Cliffs than an acknowledgment that we’ve run out of things that we can do without resolutions of these items.” The Ring of Fire is a mineral-rich area located in the James Bay Lowlands of Northern Ontario that is now being extensively explored.

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Chromite mine plans on hold – by Carl Clutchey (Thunder Bay Chronicle-Journal – June 13, 2013)

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

Though Cliffs Natural Resources spooked a lot of Ring of Fire watchers Wednesday with its surprise announcement to temporarily stop work on an environmental assessment for the project, the company emphasized that it’s not pulling out.

“That is the furthest from our minds,” Cliffs global ferroalloys vice–president Bill Boor said Wednesday from the company’s Cleveland headquarters. “The bottom line is that we still very much believe in the project, and strategically, it remains as important to the company as it ever has been.”

Boor said 2017 remains the target for the chromite mine to begin production 500 kilometres northeast of Thunder Bay.
When a Sudbury smelter is factored in, the $3.3-billion project is slated to create about 1,200 direct jobs over a 30-year mine life.

Despite his assurances, some believed the project was in jeopardy Wednesday when Boor formally expressed the company’s frustration with the environmental assessment process.

He said the company has hit a roadblock on being able reach an agreement with the province about what the assessment’s terms of references should be.

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Cliffs Natural Resources puts Ring of Fire project on hold, cites unresolved issues – by Peter Koven (June 13, 2013)

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

The message from Cliffs Natural Resources Inc. couldn’t be any clearer: until crucial issues involving Queen’s Park and First Nations groups are resolved, development of the Ring of Fire is not going anywhere.

The Cleveland-based miner halted all environmental assessment (EA) work on the mega-project on Wednesday, saying it cannot go any farther because of delays that are outside its control.

“It feels like the only thing we can do,” Bill Boor, Cliffs’ senior vice president of ferroalloys, said in an interview. “The company can only drive the project so far without other people keeping up with us.”

Cliffs wants to build the first of what could be many mines in the Ring of Fire, a vast resource in Ontario’s James Bay Lowlands that could hold as much as $50-billion of minerals. Both the provincial and federal governments have stressed that developing the region is a priority.

But Cliffs cited a number of unresolved issues that forced it to suspend environmental work. They include a delay in provincial approval for the EA process, an ongoing judicial challenge to the process by First Nations groups, unresolved land surface rights covering a proposed road to the project, and the lack of definitive agreements with the Ontario government.

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U.S. miner suspends environmental assessment work in Ring of Fire — for now – by John Spears (Toronto Star – June 13, 2013)

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 giant Ring of Fire chromite mining venture in northwestern Ontario has bogged down, with one of the mine developers calling a halt to its environmental assessment.

Cliffs Natural Resources gave a laundry list of unresolved issues with both provincial and federal governments as the reason for suspending the work on the $3.3 billion project.

One mining industry insider said failure to nail down a long-term electricity price is one of the big stumbling blocks.
A smelter for the mine would be among the biggest users of electricity in the province. Cliffs has been planning a $1.85 billion processing facility in Capreol, near Sudbury.

Quebec and Manitoba, with abundant hydro-electric power, can both offer lower rates that Ontario for the smelter.
Another sticking point may be negotiating royalty payments to the province. Chromite is the ore used to produce chromium, a component used in stainless steel, and for plating items such as auto parts and appliances.

Bill Boor, senior vice president of Cliffs, said in an interview that project “is still a very important part of Cliffs’ strategy; that hasn’t changed.”

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UPDATE 2-Cliffs chromite project halt dims Canada Ring of Fire hopes – by Allison Martell (Reuters U.S. – June 12, 2013)

http://www.reuters.com/

June 12 (Reuters) – Cliffs Natural Resources Inc said on Wednesday it is “temporarily suspending” work on its $3.3 billion chromite-mining project in northwestern Ontario, casting doubt on development hopes for the region’s mineral-rich Ring of Fire.

Cliffs blamed the delay on stalled talks with the Ontario provincial government and on other political and regulatory
problems. But it’s far from clear that the company will be able to revive the project, called Black Thor, given the low iron ore prices that have put its operations elsewhere under pressure. “It’s hard to see why Cliffs would undertake a project of this magnitude when its core business, the source of all of its cash flow, is withering,” said Morningstar analyst Daniel Rohr.

He said Cliffs would likely not have had the capital to go ahead with Black Thor even if infrastructure and regulatory issues had been resolved.

The Ring of Fire, about 1,500 km (1,000 miles) northwest of Toronto, is a large cluster of mineral deposits that Canadian political leaders say could bring economic development to northern Ontario much as the oil sands have to northern Alberta.

There are no rail lines, highways or reliable power sources in the region, and Cliffs’ plan for Black Thor includes a $600 million highway that could open the zone to smaller mining companies such as Noront Resources Ltd that are developing projects or have claims there.

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