Republic of Mining

PDAC 2006 – The Academy Awards of the Global Mining Sector – by Stan Sudol

March 11, 2011June 2, 2010

This article was originally published in the March 12, 2006 edition of Northern Life – Sudbury’s Community Newspaper. It is being posted for archival purposes.

Stan Sudol is a Toronto-based communications consultant, who writes extensively about mining issues.(stan.sudol@republicofmining.com)

The Prospectors and Developers Association promotes the exploration and development sectors of the Canadian mineral industry

The 74th annual PDAC (Prospectors and Developers Association of Canada) convention that ran from last Sunday to Wednesday was a smashing success, the biggest ever. It is the mining world’s version of the “Academy Awards” but spread over four days and with just as much networking, deal making and partying. PDAC is the largest gathering of mineral explorationists, developers, investors, bankers, financiers, analysts and government representatives in the world.

Established in 1932, the PDAC is a national not-for-profit organization that supports and promotes the exploration and development sectors of the Canadian mineral industry. There are about 1200 mining companies in Canada and almost 700 that are actively exploring worldwide on 3,500 projects. Canada is a global powerhouse in the mining sector and our expertise in many facets of the industry is well respected and in demand internationally.

Toronto’s stock exchange helps raise almost half of global venture capital for exploration and mining projects while about 65% of the world’s mining companies are listed here.

Excerpt from Until the End – by Adelle Larmour (The Story of John Gagnon-Health and Safety Union Activist)

June 2, 2010

Adelle Larmour is a journalist at Northern Ontario Business and Sudbury Mining Solutions Journal. Contact her at untiltheend.larmour@gmail.com to order a copy of Until the End.

Chapter 4 – Mine Mill Union

Processes for extracting ore from the ground and, in turn, specific metals from the ore were still developing and very much at the experimental stage. The industrial revolution was gaining momentum, but the technology employed was crude at best. Harsh, dangerous working conditions were the norm, creating a breed of hard-bitten, tough labourers who produced the wealth for mining companies.

These very conditions, coupled with long strenuous work days, termination notices at the drop of a hat, job and race discrimination, and screaming tyrant bosses, created a stress-induced, unsafe environment leading to numerous fatalities. Consequently, attempts to organize workers into unions as a means of collective protection were initiated.

On May 5, 1893, the Western Federation of Miners (WFM) was born and brought into being in Butte, Montana, according to The International Union of Mine, Mill and Smelter Workers, CIO-CCL (Congress of Industrial Organizations-Canadian Congress of Labour). WFM organizers were sent to British Columbia in 1906. In that same year, organizers came to Northern Ontario, where Local 146, Cobalt Miners Union, was chartered a member of the Western Federation of Miners. Within ten years the union had spread to many of the northern gold mines.1

Regulating Aboriginal and Industry Relationships in Canada – by Juan Carlos Reyes

June 2, 2010

Juan Carlos Reyes is the organizer of the annual Learning Together conference and an aboriginal consultant with Efficiency.ca. He is passionate about human rights and works tirelessly to help improve the lives of Canadian aboriginal people.

At this year’s Learning Together conference in Vancouver, one of the presenters spoke of the increasing need for junior exploration and mining companies to build and strengthen solid relationships with regional Aboriginal communities. He referenced a recent taking place in the Ring of Fire. Due to poorly managed relationship building, exploration was halted during a recent blockade by the First Nation communities of Webequie and Marten Falls, and the flow of funding to these projects was stifled.

He went on to say that Bay Street is finally starting to realize the importance for companies to nurture strong Aboriginal alliances and partnerships. Another of our presenters, Learning Together Director Jack Blacksmith, focused on community engagement and social corporate responsibility. In short, these topics have never been more relevant.

The inflamatory and strained relationship between industry and Aboriginal communities might prompt government intervention. Governments will attempt to implement what they would see as a measured approach for relationship building, but the impacts of this could be detrimental for both Aboriginal communities and industry. Bill C-300, for example, currently making the rounds in parliament, has a lot of merit on the surface. However, when you stop and think about the thousands of other cases in which the relationships between communities and industry have been phenomenal, this new regulation might create unnecessary complications. Otherwise amicable relationships could be strained by giving more power to the naysayer.

Sudbury FNX and Vancouver Quadra Merger to Open Global Projects to Northern Firms – by Nick Stewart

December 9, 2010May 27, 2010

This article was orginally published in Northern Ontario Business on April 23, 2010. Established in 1980, Northern Ontario Business provides Canadians and international investers with relevant, current and insightful editorial content and business news information about Ontario’s vibrant and resource-rich North.

Copper production the focus of new company

Northern Ontario mining suppliers may be able to tap into global mining projects, including a $2-billion mine construction project in Chile, as a result of the recently announced merger between Sudbury miner FNX Mining Company Inc. and Vancouver-based Quadra Mining Inc.

“As part of the integration of the two companies, we’ll look at our purchasing systems and resource material and use our larger orders and larger demands in order to both save money and rationalize how we deal,” says Dave Constable, vice-president of investor relations with FNX.

“So I definitely think there will be opportunities for Sudbury suppliers, because they are global and already do supply to Chile. The new company will rationalize the purchasing systems and make opportunities available to suppliers for both companies to be competitive and bid on those things.”

Announced in late March, the merger of equals will create intermediate copper producer Quadra FNX, amalgamating FNX’s projects in the Sudbury Basin with Quadra’s projects in Nevada, Arizona and twin mining projects in Chile.

A Brief History of Unions in Sudbury – C. Anderson (August 1970)

May 27, 2010

Please note that this is a very short version of the union history in Sudbury. The subject of the Steelworker union raids on Mine Mill has only been briefly touched upon in this account and issues like the RCMP surveillance of union leadership were not know in 1970. Furthermore the Catholic Church consistently worked against the Mine Mill union due to communist influence – a significant issue in one of the largest Catholic cities outside of Quebec – and played a major role in the ultimate victory of the Steelworkers. – Stan Sudol

The Western Federation of Miners (WFM), Local 182 was formed at Garson Mine, operated by the Mond Nickel Company on March 9, 1913, but it was dissolved within one year. WFM, Local 183 was organized in Sudbury on April 18, 1913 and it managed to remain in existence until 1916.

WFM changed title to International Union of Mine, Mill and Smelter Workers. In 1919, Local 116 was formed at Coniston but it disappeared by 1920. Mine Workers Union of Canada attempted to organize Sudbury miners in 1933, but had dissolved by 1934. The name of E. Makela as secretary of the Sudbury local shows the support given to the left-wing movements by a section of the Finnish community in Sudbury.

In 1936, George W. “Scotty” Anderson, an organizer for Mine, Mill, came to Sudbury. In March, Local 239 was chartered and by May had 150 members. Mine Mill was now publishing “Union News”, a monthly information bulletin for the Northern Ontario locals.

Local 278 was chartered for the Falconbridge workers in July, 1937, but by the next6 year it had been dissolved. Local 239 dissolved in 1939, unable to maintain a paid-up membership of ten.

Aboriginal Traditional Knowledge Should Matter to Mining Industry – by Juan Carlos Reyes

May 25, 2010

Juan Carlos Reyes is the organizer of the annual Learning Together conference and an aboriginal consultant with Efficiency.ca. He is passionate about human rights and works tirelessly to help improve the lives of Canadian aboriginal people. This column was originally published February 16, 2010.

Canada needs to do more to protect the traditional lands that hold important cultural value for Aboriginal people. The potentially negative natural, social and economic impacts of any proposed project on areas surrounding traditional lands are usually only analyzed at the Environmental Assessment (EA) stage. Moreover, in most cases, EAs never go far enough in addressing permanent impacts on Aboriginal societies and traditional knowledge. Consequently, development is often permitted in areas far too sensitive to handle it, creating a negative view of specific projects and the industry as a whole.

What role should the government play in protecting traditional land? It should assume responsibility for identifying potential risks and maintaining traditional lands in their pristine state. Protecting these sites, even from regional Aboriginal power struggles and internal political discord, is critical, especially because the short-term financial benefits of mining are occasionally seen as a license to abandon long-term planning.

The struggle for long-term views in environmental planning is not uniquely Canadian. An issue faced by indigenous populations around the world, it was a key theme highlighted by the distinguished Canadian anthropologist Wade Davis in his CBC Massey Lecture entitled, “The Wayfinders: Why Ancient Wisdom Matters in the Modern World.” His insightful and inspiring views are paraphrased below.

Excerpt from Until the End – by Adelle Larmour (The Story of John Gagnon-Health and Safety Union Activist)

May 24, 2010

Adelle Larmour is a journalist at Northern Ontario Business and Sudbury Mining Solutions Journal. Contact her at untiltheend.larmour@gmail.com to order a copy of Until the End.

Chapter 3 – A Change of Heart

The months that followed John’s first day of work formed a period in his life he could not have anticipated, yet it was one he chose consciously, despite the odds stacked against him.

A good-natured, easy-going guy who always wore a smile on his face, John worked alone with his thoughts and the cacophony of machinery around him. The work was the same and the environment remained a nickel oxide dust-ridden death trap, particularly for those who chose not to wear their masks.

Sleepless nights began to take their toll as he continued to shovel the nickel oxide onto the conveyor along with some of the other fellows with whom he started. He would yawn and then automatically check his mask to make sure it was snug. As one of the few who wore breathing protection, he struggled to understand why more didn’t worry about the dose of nickel oxide ingested daily into their lungs.

None of it made sense, because it all seemed so obvious. Clearly something wasn’t adding up. Even the foremen who’d been there for many years were blinded to the inevitable. And then there were the guys who smoked on their breaks. Nothing like adding fuel to the hot burning flames.

Killing the Goose that Lays the Mineral Sector’s Golden Eggs – The Industry’s Bad Reputation – by Jean-Francois Minardi

May 24, 2010

Jean-Francois Minardi is a senior policy analyst with the Fraser Institute, www.FraserInsitute.org.

The mining industry is under attack everywhere in Canada, even in the country’s friendliest location, Quebec.

Gone are the days when activists offered constructive criticism that allowed the industry to improve its corporate social responsibility profile and improve environmental standards in mining projects. Today anti-mining activists advocate one thing: an outright destruction of the mining industry.

Nowhere is this attitude more prevalent than in a recent report from the Institute for Research and Socio-Economic Information (IRIS), an organization whose self-described purpose is “to provide an opposite point of view to the neoliberal view,” that suggested nothing less than an end to mining in Quebec. Their simplistic argument can be summed up as, “the economic, social and environmental costs of the mining industry seem to outweigh the benefits, and the economic prospects of the sector in the coming years are not promising.”

Yet, according to the mining associations of Quebec – the Association minière du Québec and the Association de l’exploration minière du Québec – the IRIS study is riddled with factual errors that undermine its conclusions.

FNX Mining Donates One Million Dollars to Laurentian’s Mining Programs – by Stan Sudol

March 11, 2011May 18, 2010

This article is also available on the websites of Northern Life and Northern Ontario Business.

Stan Sudol is a Toronto-based communications consultant, who writes extensively about mining issues.(stan.sudol@republicofmining.com)

Last Monday I attended a Laurentian University Next 50 Campaign event where two significant donations were made. Both FNX Mining Limited and Power Corporation of Canada each donated $1 million dollars to the university.

Power Corporation’s gift is earmarked towards graduate fellowships while FNX’s million dollars will be focused on mining programs.

In a press release, Terry MacGibbon, Chairman and CEO of FNX Mining Limited stated, “Laurentian is the go-to resource for research and employees for companies like FNX. This gift ensures Laurentian will be able to continue its tradition of training geologists and engineers with the knowledge and skills to hit the ground running when they enter the workforce.”

(L to R) Vern Baker, FNX Vice-President, Sudbury Operations; Edward Nelles, LU Graduate Student; Harold Gibson, LU Director of Mineral Exploration Research Centre - Earth Sciences Department (Photo by Marg Seregelyi) MacGibbon could not attend the event, however, Vern Baker, FNX Vice-President of Sudbury Operations was on hand to present the million dollar cheque. Baker said, “One of our strengths is our geology team, many members of which are proud Laurentian University graduates.

The Mining Industry has a PR Problem – by Liezel Hill

May 18, 2010

Ever since its founding in 1981, the mission of Creamer Media has been to provide accurate and comprehensive news and information about South Africa’s and Africa’s industrial and resources sectors. Engineering News and Mining Weekly aim to offer news that you can use to give you a competitive edge in your business endevours.

This article was originally published May 14, 2010

LICENCE TO OPERATE

TORONTO (www.miningweekly.com) – Mining companies based in the US and Canada find themselves in a strange situation.

With demand for commodities from China and India still red hot, and, as the rest of the world begins to clamber back from the Great Recession, most producers are cranking out all they can to take advantage of high prices and widening margins.

But, while bottom lines are thriving, the industry is having to defend its actions domestically and abroad to an increasingly hostile public.

The death of 29 coal miners at a West Virginia mine in April galvanised antimining sentiment in the US, and President Barrack Obama’s public criticism of the mine’s owner, Massey Energy, and attendance at the memorial service for the fallen men, has helped keep the tragedy in local and international headlines.

And in December last year, Canadian governor-general Michaëlle Jean was subjected to chants of ‘Canada go home’ on a visit to Mexico, where antimining protests took centre stage during her trip.

A month earlier, Canadian miners watched in frustration as environmental and human rights groups marched dozens of witnesses before Parliamentary committee hearings, to relate allegations – some nothing short of horrific – of Canada-based miners’ involvement in human rights and environmental crimes abroad.

The November 2009 hearings were held to discuss the contentious private members Bill C-300, which has proven a flashpoint for both miners and their opponents.

Canada’s Mining Sector Fails to Communicate with Media and General Population – by Stan Sudol

May 16, 2010

A version of this column was originally published in the June 2007 edition of Northern Ontario Business .

The mining sector is ignoring the green light at the end of the tunnel that is attached to a 100-tonne locomotive driven by the environmental movement.

The collision is going to be messy! It will impact the industry at a time when the voracious metal demands of China and India could bring enormous prosperity to isolated Aboriginal communities throughout northern Ontario.

This constant demonization of the mining sector by media-savvy NGOs is also affecting the recruitment of the next generation of workers the industry so desperately needs.

From the Academy award-winning documentary An Inconvenient Truth that stars Al Gore to Hollywood actor Leonardo DiCaprio posing on the cover of Vanity Fair – photographed in the Arctic with a cute polar bear cub to highlight global warming – there is no doubt that environmental issues dominate society’s cultural and political agendas.

Unfortunately, the mining sins of the father are certainly coming back to haunt the sons!

Past industry practices that were detrimental to the environment are still highlighted by the anti-mining crowd today.

Yet, the reality of mining in the 21st century is quite the opposite.

The Renaissance of Mining in British Columbia – by Pierre Gratton

May 16, 2010

This speech was given by Pierre Gratton, President and CEO of the Mining Association of British Columbia at the Vancouver Board of Trade Lunch on May 12, 2010.

Good afternoon.

Before I begin, I would like to acknowledge the Coast Salish First Nations whose traditional territory we are on today, and to thank the Vancouver Board of Trade for providing the Mining Association of British Columbia (MABC) with this opportunity to discuss the state of our province’s mining industry.

I wish to also thank my colleagues on the executive committee, board of directors and staff at MABC, who work tirelessly on behalf of the mining industry, along with friends and colleagues at AME BC and the Mining Suppliers Association of BC. Special thanks go to members of the Mining Week Committee for their hard work planning and organizing this week’s events.

Mining Week, a tradition for the past 103 years, celebrates the role this industry plays in making British Columbia a great place to live, work and play. This year we’ve partnered with the Canadian Institute of Mining, Metallurgy and Petroleum and its annual conference to reach out to a broader industry and public audience. We’ve also expanded our activities, with events taking place in many communities across the province.

Canada’s Mining Sector Losing the Public Relations Battle – by Stan Sudol

March 11, 2011May 16, 2010

This article was originally published in Northern Life on April 18, 2007

Stan Sudol is a Toronto-based communications consultant, who writes extensively about mining issues.(stan.sudol@republicofmining.com)

Sector fails at communicating aboriginal and green initiatives

The mining sector is ignoring the green light at the end of the tunnel that is attached to a 100-ton locomotive driven by the environmental movement. The collision is going to be messy. It will impact the industry at a time when the voracious metal demands of China and India could bring enormous prosperity to Canada’s northern and aboriginal communities as well as impoverished countries around the world.

There is no doubt that environmental issues dominate society’s cultural and political agendas.

On the political front, the new found commitment to environmentally green initiatives by the McGuinty and Harper governments spell enormous challenges for an industry that most urbanized Canadians still feel is a major source of habitat destruction and pollution.

Mining Sins

The mining sins of the father are certainly coming back to haunt the sons. Past industry practices that were detrimental to the environment are still highlighted by the anti-mining crowd. Yet, the reality of mining in the 21st century is quite the opposite.

The Reclamation of Sudbury: The Greening of a Moonscape (Part 2 of 2)

May 15, 2010May 14, 2010

This article was originally published in Viewpoint: Perspectives on Modern Mining, a publication of Caterpillar Global Mining (2008-Issue Four)

PERFECT TIMING

While mining companies were working on becoming better citizens of Sudbury, an effort was under way to begin turning around the community’s barren landscape.

The newly formed Regional Municipality of Sudbury created a “Technical Tree Planting Committee,” which in 1978 changed its name to the Vegetation Enhancement Technical Advisory Committee (VETAC). The organization is committed to the restoration and protection of Sudbury’s air, land and water.

At the same time, joint work between the Ministry of Natural Resources and Laurentian University was under way to create the “science” necessary to regreen Sudbury’s landscape.

As part of its reclamation efforts, Vale Inco had tried sowing grass seed—which would germinate, but the roots would wither as soon as they encountered the contaminated soil. After years of experimentation, Laurentian researchers—led by the late Keith Winterhalder, a Laurentian professor and former VETAC chairman—learned that an application of ground limestone could detoxify soil. They also learned that if a sparse grass cover could be established on a rocky hillside that had been treated with limestone and fertilizer, seeds from the few existing trees in the area would blow in, germinate and grow.