Ontario’s Ring of Fire Mineral Discovery – Page 124

Cliffs’ Sudbury smelter location not final – by Jody Porter (CBC Radio Sudbury – October 11, 2012)

October 11, 2012

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

Documents reveal the company is still looking for a deal on energy costs

CBC News has learned Cliffs Natural Resources is not locked into its decision to build a smelter near Sudbury. Documents obtained through Freedom of Information reveal the American company’s plans to shop around for the best deal on electricity prices and tax rates.

In an e-mail to his colleagues, Bill Thornton with the Ministry of Northern Development and Mines recapped some “confidential highlights” from a 2011 meeting with Cliffs. “Not mentioned in the document [Cliffs’ base case] is the fact that Cliffs will also examine whether other jurisdictions outside of Ontario offer better costs (sic) advantages for locating their ferrochrome production facility.”

A slide from a Minister’s office briefing from Dec. 16, 2011 labelled “confidential draft for discussion” said: “Cliffs base case scenario has identified a potential site north of Sudbury (Capreol) but intelligence suggests that Quebec has been aggressively lobbying for a site near Becancour where there is an existing industrial complex supporting aluminum production.”

Environmental group starts Ring of Fire campaign – by Shawn Bell (Wawatay News – October 3, 2012)

October 6, 2012

Northern Ontario’s First Nations Voice: http://wawataynews.ca/

The environmental organization CPAWS Wildlands League is hoping pressure from people across Canada will convince the Ontario government to refocus its involvement in the Ring of Fire.

CPAWS kicked off its latest campaign in Toronto in September with a series of media advertisements geared at the Ring of Fire.

The goal is to convince Ontario to create a regional plan for development in northern Ontario’s mining sector, said CPAWS spokesperson Anna Baggio.

“For many years now we’ve been hoping (the government) would do some sort of regional planning in regards to the Ring of Fire,” Baggio said. “We’re very worried – I don’t think they have a plan for the region. Instead, the development is happening in a piecemeal way, where everyone’s got their own little part of it.”

Baggio said CPAWS is concerned that ecosystems are being put at risk, endangered species like woodland caribou are being ignored and First Nations communities are being left on the sidelines as the government pushes forward with the massive mining development.

[Sudbury] ‘Pro-Cliffs’ group worried – by Carol Mulligan (Sudbury Star – October 5, 2012)

October 5, 2012

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

A group of concerned citizens, comprised of people who are all “pro-Cliffs,” will hold a public meeting Oct. 15 in Capreol to strike a formal committee to hold the company’s and government’s feet to the fire on the issue of environmental health and safety.

Retired mining health and safety activist Homer Seguin said half a dozen citizens, including former longtime New Democrat MPP Elie Martel, have been meeting to discuss Cliffs Natural Resources’ plan to build a ferrochrome processing plant north of Capreol.

“We’re pro-Cliffs,” said Seguin, “because the jobs are welcome. But first and foremost comes safety.” Cliffs announced in May it plans to build a $1.8-billion smelter at the former Moose Mountain Mine site to process chromite ore the Clevelandbased company will mine in the Ring of Fire.

The committee’s support will come with the condition that the plant be built and operated so as not to adversely affect the health of its employees, and the air and water in the city, said Seguin. Little is known about chromite processing, said Seguin, and that’s something at which a formalized committee would examine.

Connecting First Nations with billion-dollar transmission line – by Shawn Bell (Wawatay News – October 3, 2012)

October 3, 2012

Northern Ontario’s First Nations Voice: http://wawataynews.ca/

Planning for a northern transmission line that will connect remote First Nations of northwestern Ontario to the southern electricity grid took a big step forward last week, as the steering committee of Wataynikaneyap Power met with the Ontario government and released its Environmental Assessment notice.

The meeting between Wataynikaneyap and three provincial ministers marked a milestone in the estimated $1.1 billion project, as Phase 1 – upgrading the existing transmission line to Pickle Lake and running a line to the Musselwhite mine – gets closer to reality.

“It’s not going to happen overnight, there are lots of logistics and regulatory requirements, but this (transmission line) has been a priority determined by the communities that want their energy issues addressed,” said steering committee member Margaret Kenequenash.

Wataynikaneyap plans to be a 100 percent First Nations owned and operated company, with revenue from the transmission line going back to the communities that are part owners of the company. So far 13 First Nations have joined the company.

[Ring of Fire’s] Black Thor deposit delayed – by Carol Mulligan (Sudbury Star – October 1, 2012)

October 1, 2012

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

Cliffs Natural Resources has moved the production start date for its Black Thor chromite deposit in the Ring of Fire back a year to 2016, because discussions about the location of Cliffs’ ferrochrome processing plant took longer than expected.

Cliffs spokeswoman Patricia Persico said “that’s fine” because the talks were about “necessary and important topics” such as the building of an all-weather road to the site, 540 kilometres north of Thunder Bay, as well as electricity prices.

Those discussions are continuing, said Perscico. The company has said all along its timelines to develop the project are estimates, she said. Cliffs is promoting a north-south road in its talks with the government of Ontario, said Persico. What that will mean in terms of shared capital is still being discussed.

Cliffs announced in early May it had selected a brown-field site north of Capreol, at the old Moose Mountain Mine, as its choice of location for the ferrochrome smelter.

That announcement moved development of Black Thor into the feasibility stage, “which allows us to really get deeper ” into the project’s scope and move the environmental assessment project forward, said Persico.

A good look at new mining – Thunder Bay Chronicle-Journal Editorial (September 28, 2012)

September 28, 2012

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

THE Ring of Fire is on many minds these days. As miners prepare to dig into the James Bay lowlands, Northern Ontario communities jockey to provide services and employees. But the North’s new mining boom extends well beyond the Ring. A new analysis, commissioned by Ambassadors Northwest, showcases stunning opportunities that will transform the region. Billions of dollars are at stake. Communities will share handsomely if governments do what they must do to make it happen.

Conducted by university and college professors, the study looks at nine mining projects underway in the Northwest. It does not include existing mines. The Ring of Fire’s two biggies — Cliff’s Natural Resources’ Black Thor and Noront Resources’ Eagles Nest — are familiar. But seven other projects are similarly mature or near development with the potential to become producing mines in five years.

They are: Bending Lake Iron Property surrounded by Atikokan, Ignace and Dryden; Goldcorp’s Bruce Channel and Cochenour projects and Rubicon Minerals’ Phoenix Gold project in the famed Red Lake gold field; Osisko Mining’s Hammond Reef project near Atikokan; Rainy River Resources’ gold project; Stillwater Mining’s copper and paladium operation near Marathon; and Treasury Metals’ Goliath gold project in the Wabigoon and Dryden area.

The dollar value, employment and tax revenue potential of these projects is “substantial,” the study says. That’s an understatement. The total value of unmined metals and minerals is estimated to be $135 billion based on June commodity prices.

Will Ontario get it right in northern Ring of Fire? – by Janet Sumner and Anna Baggio (Toronto Star – September 28, 2012)

September 28, 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.

Janet Sumner is executive director and Anna Baggio is director, conservation planning, for CPAWS Wildlands League.

As with most mining finds, the rich mineral deposits and metals discovered within Ontario’s far northern “Ring of Fire” have generated a lot of hype and optimism. It’s been called one of the “most promising mineral development opportunities in Ontario in almost a century”. In a recent letter to the federal government, Premier Dalton McGuinty was quoted as writing that this area has the potential to “rival Alberta’s oilsands”.

Well it might. We just don’t know because so far we have very few facts to go on. Much work remains to be done. While Ontario might dream of the dollars developing the Ring of Fire will bring, what about the costs we will all bear?

Scientists have long warned that poorly-placed infrastructure in the Far North will cause irreversible harm to aquatic systems and wildlife. In the meantime, the first major Ring of Fire mining proposal is barrelling ahead.

A U.S. owned company called Cliffs Natural Resources has received the go-ahead from Ontario to route a new 350 km all-weather road along a north-south alignment so that it can extract and process chromite ore and transport the concentrate to a smelter in Capreol, Ontario or to Asia.

Road versus rail in the Ring of Fire – by Shawn Bell (Wawatay News – September 27, 2012)

September 28, 2012

Northern Ontario’s First Nations Voice: http://wawataynews.ca/

With the Ontario government now acknowledging that the north-south access road into the Ring of Fire is solely going to be for industrial users – “for developers to go in and get ore and minerals back out”, as a government spokesperson said – it is time to look at whether a road is actually in the best interests of the north.

The debate over which way a Ring of Fire road should go, either north-south or east-west, framed much of the transportation conversation around the development over the past few years. Certain First Nations chiefs expressed their skepticism that any road would ever be accessible for local people anyways, but their voices were generally ignored amid all the optimism around connecting communities to the highway system.

Then, earlier this year, the east-west road corridor that was proposed to connect Webequie, Wunnumin, Nibinamik and Neskantaga to Pickle Lake via a highway was blown out of the water. Ontario came out in support of Cliffs’ north-south road proposal, seemingly without any debate over the merits of choosing north-south rather than east-west, but in reality with a decision based solely on cost. The east-west road’s main proponent, Noront Resources, changed its tune and decided that the north-south road is fine for its purposes too. Lost in the hubbub were the voices of the chiefs who had called for the east-west road to connect their communities. Ontario had showed clearly that it was much more interested in doing what was best for its big American mining ally than it was in helping First Nations meet their needs.

Correction – Noront Resources Environmental Assessment NOT on hold – by Shawn Bell (Wawatay News – September 17, 2012)

November 3, 2015September 17, 2012

Northern Ontario’s First Nations Voice: http://wawataynews.ca/

The environmental assessment (EA) for Noront Resources’ Eagle’s Nest Ring of Fire project is nearing completion of its Terms of Reference.

In a Wawatay News article (Ring of Fire judicial review hits more delays, Sept. 13) it was reported that Noront’s EA has been put on hold. That is incorrect. In fact, the company is close to completing its Terms of Reference for the EA.

Noront President and CEO Wes Hanson submitted the following statement to Wawatay News following publication of the article:

“The Environmental Assessment for it’s flagship Eagle’s Nest project is in fact underway and NOT delayed due to the change in the road route proposed by Cliffs and the Ontario Government. The Company is currently completing the final copy of the Terms of Reference, which outlines the work that needs to be done in order to complete the Environmental Assessment.

Aboriginal consultant is key Ring of Fire point man – by Donna Faye (Northern Ontario Business – September 2012)

September 17, 2012September 17, 2012

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.

After nearly a year in his role as Ring of Fire senior director for Webequie First Nation, Michael Fox says he is encouraged by the progress of the emerging mineral development project.

It has been more than two years since the Ontario government announced it would be opening up the large chromite deposit in the James Bay lowlands to development. “The lesson that I’ve learned is that there is always going to be politics,” he said.

“You have to deal with the politics, then the process, and then the project.” Fox’s job is not an easy task. He is responsible for consulting with the community closest to the discovery areas in the Ring of Fire with respect to the potential opportunities its members stand to gain.

Webequie First Nation is a remote, fly-in community of 600, situated 540 km north of Thunder Bay. It is west of where Cliffs Natural Resources wants to build a mine at its Black Thor chromite deposit, the largest of its kind in the world. With a 2015 production startup date, hundreds of construction, mining and transportation jobs will be created.

Ring of Fire sparks Chinese interest in mining – by CBC News Thunder Bay (September 17, 2012)

September 17, 2012

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

Chinese company Sinocan expected to start drilling near Webequie next month

Chinese diplomats are intent on building trust with northern Ontario First Nations to further their mining interests, according to a Chinese-Canadian business man.

Peng You, a Thunder Bay resident with ties to China, helped facilitate a recent visit by China’s Consulate-General to Webequie First Nation. He said the arrival of one of China’s top diplomats in Canada is significant.

“I think that part is very important. It’s not just for one company. In future, more companies [will] invest in northwest Ontario, especially in [the] mining industry.” Webequie is one of the First Nations closest to a promising chromite deposit in the James Bay lowlands.

For months, US-company Cliffs Natural Resources has been the focus of discussions about development in the Ring of Fire. But the Chinese company Sinocan is expected to start drilling near Webequie next month. Peng You said soon chiefs and elders from northwestern Ontario could be on their way to China to talk about the Ring of Fire as part of a diplomatic exchange.

Greenstone excited to be Ring of Fire ‘gateway’ – by Bryan Meadows (Thunder Bay Chronicle-Journal – September 16, 2012)

September 16, 2012

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

The Municipality of Greenstone is going to be busy place over the next couple of decades, its Mayor Renald Beaulieu predicts. “More and more it is becoming clear that the municipality is emerging as the gateway to the Ring of Fire,” Beaulieu said Friday.

He cited Noront Resources Ltd.’s release last week of its updated feasibility study, and talk of a new power transmission route east of Lake Nipigon as reasons for his optimism. Beaulieu noted that Noront’s “base case” for its Eagle’s Nest mining project is predicated on transporting Ring of Fire ore using the proposed north-south corridor, with a southern terminus in Greenstone’s Nakina ward.

“For decades, Nakina was viewed as the end of the road, but,” he said, “increasingly it seems that Nakina, a proud part of Greenstone, will soon be seen as the start of the road.” A second development that has the mayor excited is that the Ontario Power Authority is now considering an east of Lake Nipigon transmission corridor.

OPA has informed the Northwest Ontario First Nations Transmission Planning Committee that it is now studying the transmission line route, Beaulieu said. The proposed transmission line would supply the Ring of Fire and bring grid-connected electricity to First Nations such as Marten Falls.

Opening Up The Ring Of Fire: Wes Hanson Discusses Noront’s Nickel-Copper-PGM Feasibility Study – by Kevin Michael Grace (Resourceswire.com – September 11, 2012)

November 3, 2015September 15, 2012

http://resourceswire.com/

Noront Resources Ltd V.NOT announced September 5 the results of a 43-101 feasibility study of its Eagle’s Nest nickel-copper-PGM mine at McFaulds Lake in the Ring of Fire, northern Ontario. Based on metals prices of $9.43 per pound copper, $3.60 per pound copper, $1,600 per ounce platinum, $599 per ounce palladium and $1,415 per ounce gold, the study forecasts an aftertax net present value (NPV) of $543 million (at an 8% discount rate), a 28% aftertax internal rate of return (IRR), a $609-million initial CAPEX, plus a $160-million life-of-mine sustaining CAPEX and a three-year payback period.

Eagle’s Nest contains proven and probable resources of 11.1 million tonnes grading 1.68% nickel, 0.87% copper, 0.89 grams per tonne platinum and 3.09 g/t palladium. The mine is forecast to produce one million tonnes per year, producing 150,000 tonnes of nickel-copper concentrate annually over 11 years, at $97 per tonne or $2.34 per pound of nickel equivalent.

Noront President/CEO Wes Hanson spoke to Kevin Michael Grace September 5, 2012.

RW: What’s your path to production?

WH: In addition to the technical and social risks associated with building any mining project, on top of it for the juniors you always have a challenge of how you’re going to finance construction. We are fortunate enough that the capital costs aren’t overly onerous. We’re only looking at a range of $600 million.

Building a mining ‘hub:’ Is Thunder Bay ready for the big rush? – by Stephen Lindley and John Mason (Thunder Bay Chronicle-Journal – September 15, 2012)

September 15, 2012

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

With the establishment of a chromite processing facility, currently planned for location
in Sudbury, Ontario’s production capacity could rival that of the top three global
producers, namely South Africa, Kazakhstan and India, making it one of the most
important sources of chromium in the world. (John Mason and Stephen Lindley)

John Mason leads the mining readiness strategy and is project manager of mining services at the Thunder Bay Community Economic Commission (CEDC). Stephen Lindley is project manager and vice-president of aboriginal and northern affairs with SNC-Lavalin in Toronto.

The City of Thunder Bay, the Thunder Bay Community Economic Development Commission (CEDC) and the Fort William First Nation (FWFN) have recently initiated a Mining Readiness Strategy — An Integrated Regional Economic Development Plan. Scheduled for completion in January 2013, with implementation throughout 2013-15 and beyond, the region of Thunder Bay is taking the necessary steps to develop a nationally and internationally acclaimed “hub” for mineral exploration, production and related economic activity in Northwestern Ontario.

Mining and its associated industries is an important sector of the global economy and Canada is recognized as a world leader. Ontario leads all provinces in mineral production, at over $10 billion annually. Growth rates in gold exploration alone, in Ontario, are quickly outpacing those of the historic global leaders such as South Africa, Peru and Russia.