Republic of Mining

Ontario Mining Association Pre-Budget Submission – President Chris Hodgson

December 19, 2008

To: The Honourable Dwight Duncan
Minister of Finance
c/o Budget Secretariat
Frost Building North, 3rd floor
95 Grosvenor Street
Toronto, Ontario, M7A 1Z1

Dear Minister Duncan

The Ontario mining industry has enjoyed — until recently — one of the most prosperous and lengthiest periods of its history of making contributions to the society and economy of this province. However, the current economic circumstances which are dominating the news are providing challenges for individuals, companies, entire industries and governments alike.

Mining operates in the real world of global markets. When commodity prices fall, companies must reduce spending to be in line with existing market realities. That is why we have seen companies trimming budgets and capital expenditures and in some cases shutting down production. Junior mining exploration companies are finding it difficult – if not impossible – to raise capital as are mineral producers.

The mining industry in Ontario has gone from full speed ahead to produce and sell mineral products around the world to a moving forward by navigating more cautiously through changing economics and shifting markets. The precipitous fall in the prices of Ontario’s main mineral products illustrates this point.

Ontario Mining Association Pre-Budget Letter Advocates Strategic Government Investments

December 18, 2008

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.

The Ontario Mining Association´s pre-budget submission encourages the government at Queen´s Park to make strategic investments in the mineral sector to promote future economic development. “The Ontario mining industry has enjoyed — until recently — one of the most prosperous and lengthiest periods of its history of making contributions to the society and economy of the province,” said OMA President Chris Hodgson in a letter to Ontario Finance Minister Dwight Duncan. “However, the current economic circumstances which are dominating the news are providing challenges for individuals, companies, entire industries and governments alike.”

The letter outlined massive decreases in the market prices of Ontario´s key mineral commodities — nickel, gold, copper, zinc, silver and palladium — of between 50% and 80% over the past year. Companies have reacted to slides in the prices of their products with production cutbacks, temporary mine closures, workforce reductions and revised business plans. “Mining benefits all regions of Ontario and given this outlook of difficult economic times and harsh business climates, it is increasingly important for the industry to work with government to ensure that programs, regulation and legislation sustain mining investment and employment in the province,” said Mr. Hodgson.

“At this time, the OMA would like to encourage the government to make strategic investments in the mining sector to promote future economic development and take action to improve the competitive position of the industry in the world,” he said. The type of strategic investments the OMA is recommending include geological mapping, advancing human resource development and education, skills enhancement and training for Aboriginals, incentives for Research & Development, smarter regulatory systems, enhanced infrastructure development including the electricity system and exploration incentives.

A Short History of Sudbury Labour – by Mick Lowe

December 8, 2010December 18, 2008

Sudbury’s labour movement had its official birth on March 10, 1944, with the certification of Mine Mill Local 598, after a tumultuous gestation that was not without bloodshed. According to local labour lore, the triumph of union organizers after decades of failure stemmed directly from an equally historic and bitter defeat only a few years earlier: the crushing of the Mine Mill certification strike in the Kirkland Lake gold camp during the winter of 1941-42.

Several of the union’s key organizers headed south to Sudbury following the failure of the four month strike at the fabled Golden Mile in the hopes of snatching victory from the jaws of defeat, and, in the event, they succeeded beyond their wildest dreams.

The 11,000 hardrock miners, mill, smelter and refinery workers who became trade unionists that March were the newest members of a union with a long and storied history in the hardrock mining camps of North America. Founded originally as the Western Federation of miners in 1893, the union was renamed the International Union of Mine, Mill and Smelter Workers (IUMMSW) in 1916, but it was known to friend and foe alike as simply “The Mine Mill”.

Women Into Mining Jobs at Inco: Challenging the Gender Division of Labour – Jennifer Keck and Mary Powell (Part 5 of 5)

December 17, 2008

Submitted to the Inord Working Paper Series, June 30, 2000

Jennifer Keck, Ph.D. Associate Professor – School of Social Work

Mary Powell, Ph.D. Associate Professor – Department of Political Science

Laurentian University, Sudbury, Ontario

Getting Active in the Local ‘we were part of a generation that stood up for our rights’

Like most of the men they worked with, the majority of the women were not radical. They were prepared to challenge conventional gender prescriptions to earn a man’s wage but few of them considered themselves feminists or were interested in broader political struggles. Still, few of the women remained untouched by the militancy of mining work culture and the impact of women’s movement in the 1970s. It was not long before a small number of women emerged who were willing to hold the company and the union- to the original promise that they would be treated the ‘same as men’ and receive ‘equal treatment and opportunities.’

Women became active with the union under much the same conditions as new male workers. They were recruited early, often after complaining about conditions on the shop floor, and put on health and safety committees at the various plants. The first two women union stewards took office in 1975; women were also elected as delegates to the Ontario Federation of Labour convention the following year. While the union gave early support for the women to become active, there was generally more support for the women working on traditional union issues than there was for their attempt to challenge differences based on gender. This was probably not surprising given the large number of male workers and the union’s traditional support for the family wage.

A women’s committee was established in 1977 to address this problem. One of the organizers challenged the company and the union in an article that appeared in the union’s newsletter, The Searcher: “Over the last three years women have had to prove themselves to the company and the union. As women workers we share and support the concerns and struggles of our brothers… Now we want to be active so we can have a voice in our local… that is not our privilege, it is our right.’(22)

Women Into Mining Jobs at Inco: Challenging the Gender Division of Labour – Jennifer Keck and Mary Powell (Part 4 of 5)

December 17, 2008

Submitted to the Inord Working Paper Series, June 30, 2000

Jennifer Keck, Ph.D. Associate Professor – School of Social Work

Mary Powell, Ph.D. Associate Professor – Department of Political Science

Laurentian University, Sudbury, Ontario

While there was little publicity about the issue, sexual harassment was another reminder that the women were ‘different’ workers. Sexual harassment demonstrates the complex relationship between sexuality and the paid workplace and is one of the ways men used sexuality to maintain masculine dominance in the workplace. Harassment took many forms. Sometimes it involved foremen or shift bosses. One woman was assigned extra work shovelling asphalt after she refused the invitation to go to her foreman’s camp after work.

Another woman described a more threatening situation that involved a shift supervisor: “he would say to me, okay come with me and he would take another guy and bring us to this god forsaken place where no-one’s ever going to work there because it’s full of dust and muck and he’d say, oh, I forgot to get the tools and he’d send the guy down, then he’s left alone with me and he’d try rubbing his private area against my knee and I told him, if he appreciates talking in a deep tone he wouldn’t do it ever again. But then he tried calling me at home and asking me if I would meet him and I told him I’m not desperate for company and that I don’t sleep with a pig.”

While sexual harassment by supervisors was serious because management had more control over the women’s working conditions, women often found it difficult to deal with harassment by co-workers. This was a contentious issue with both men and women. Part of the problem was that masculine work culture was already highly sexualized before the women entered the workplace.

Women Into Mining Jobs at Inco: Challenging the Gender Division of Labour – Jennifer Keck and Mary Powell (Part 3 of 5)

December 17, 2008

Submitted to the The Institute of Northern Ontario Research and Development (INORD) Working Paper Series, June 30, 2000

Jennifer Keck, Ph.D. Associate Professor – School of Social Work

Mary Powell, Ph.D. Associate Professor – Department of Political Science

Laurentian University, Sudbury, Ontario
Getting Started: ‘You got dirty and tired but you showered… and the pay was good’

Like their male co-workers the women began as process labourers. The work involved shoveling, sweeping, hosing down dirty areas and in some cases painting and unloading supplies. The women responded to the first day with more than the usual apprehension.

“You have no idea what to expect… when we first walked in we saw these flotation cells and they’re all bubbling and its seems like it’s really hot, it was very scary… walking over the grating and looking down three floors…I had never seen this kind of machinery in my life.”

It took awhile to get used to the heavy machinery and the noise, dirt and smell of an industrial work environment.

“In the mill it was really dirty, from the time you walked in you were dirty. Like I got dirty just looking at it. There was a smell of lime, varsol and sometimes when the gas was coming in you’d have to sit in the lunch room. Lots of noise. It’s like nothing in your experience… it’s not like walking into an office cause everybody knows what an office looks like.”

Women Into Mining Jobs at Inco: Challenging the Gender Division of Labour – Jennifer Keck and Mary Powell (Part 2 of 5)

December 17, 2008

Submitted to the The Institute of Northern Ontario Research and Development (INORD)Working Paper Series, June 30, 2000

Jennifer Keck, Ph.D. Associate Professor – School of Social Work

Mary Powell, Ph.D. Associate Professor – Department of Political Science

Laurentian University, Sudbury, Ontario

The Women: ‘It was good money and I thought I could do the job’

It was just sort of a competition one day. Why don’t you go and apply and so I did. I just went at the beginning of the day and stood in line with all the men and all that. They would either say that we are hiring or we are not. … you would get some strange looks too. Here you are standing in this line with all these men… but actually there was quite a few women in the line.

While their hiring was of historical significance few of the women who applied in 1974 were interested in being the first women to break new ground for women in mining. Like the men, they were motivated first and foremost by the prospect of a ‘good job’ at Inco and its promise of better pay, benefits, and job security.

The women heard about the jobs from family, friends and the media. News that Inco was willing to hire women was widespread: ‘I don’t know anyone in that small community who hadn’t heard that Inco was hiring.’ While some women thought they would be the only ones interested in such work, they were surprised to find that there were hundreds of applicants.

Everyone seemed to be talking about the fact that Inco was going to open their doors and I thought here I am almost 5’8″ a 160 pounds strong and I’ll just go and apply… the woman behind the counter said I suppose you think you are one of the first… then she preceded to show me file cabinets full of applications… hundreds and hundreds… I would have imagined thousands of applications were in.

Women Into Mining Jobs at Inco: Challenging the Gender Division of Labour – Jennifer Keck and Mary Powell (Part 1 of 5)

December 17, 2008

Submitted to the The Institute of Northern Ontario Research and Development (INORD) Working Paper Series, June 30, 2000

Jennifer Keck, Ph.D. Associate Professor – School of Social Work

Mary Powell, Ph.D. Associate Professor – Department of Political Science

Laurentian University, Sudbury, Ontario

Introduction

In 1974 Sue Benoit was a single mother with a five year old daughter living in Levack, a small mining community located outside of Sudbury, Ontario. After leaving an abusive marriage she was living with her parents and working as a cashier at the local grocery story. She worked long hours for low pay: “That was rough because the total pay to take home was seventy dollars a week and I had to pay $25 for the babysitter and $25 for rent. You’d have to be there at eight and the store didn’t close until six and then you’d usually have to balance the tills… by the time you got home it was seven o’clock. It was hard, really hard with a baby.” When she heard that Inco was hiring women for hourly rated blue collar jobs at the Levack mill for the first time since WWII: “it was just like heaven.”

It was an historic occasion when Benoit and other women were hired as blue collar workers at Inco. While the women were not the first generation of women to enter the mining industry, they were the first to enter as permanent workers. With the exception of a brief period during WWII, it was illegal in Ontario for mining companies to hire women at surface operations. The law was changed in 1970.(2)

Between 1974 and 1976 the company hired 100 women for hourly rated jobs at the company’s surface mining operations in Sudbury. The company’s decision was significant because it opened up highly paid, unionized jobs in an industry that was historically closed to women. Access to these jobs had a particular significance for women in a local economy dominated by a single industry- mining- and a labour market shaped by the hiring practices of two multinational mining companies. At the time Inco was the community’s largest and most prestigious industrial employer and its workers earned one of the highest industrial wages in the country.

Three Mining Moguls support Women in Mining initiative in South Africa

December 17, 2008December 15, 2008

Three well-known Canadian mining financiers and philanthropists have agreed to donate their time and support to the latest Canadian mining industry social cause. In a “Dragon’s Den meets The Apprentice” format, Frank Giustra, Rob McEwen and Eric Sprott have agreed to meet with the winners of a MEET THE MINING MOGUL contest being organized by the WOMEN IN MINING to support a CDN$250,000 fundraiser for microlending in South Africa. (See biographies below.)

Rob McEwen, who is CEO of US GOLD, comments about his reason for supporting this fundraiser: “I believe in the concept of instilling confidence, causing people to believe in themselves and to strive towards financial independence. Microlending exists for that purpose.” Contest winners will be announced during the International Women in Mining Reception on March 3, 2009, at the Prospectors & Developers Association of Canada Convention in Toronto.

The major initiative, launched today by the Women in Mining (WIM) networks (www.women-in-mining.com) in Toronto and Vancouver, aims to raise $250,000 by March 2009 to benefit impoverished people in South Africa. WIM’s latest corporate social responsibility initiative builds on its successful fundraising campaign for breast cancer research, raising over $232,000 in 2007 primarily from private donations and companies in the mining industry.

The 600 members of WIM are seeking donations to The Townships Project, a registered Canadian charity that supports microfinance institutions (MFIs) in township areas in South Africa.

Outlook 2009 – Sudbury – When the Dust Settles Speech Prepared for the Sudbury Chamber of Commerce – David Robinson

April 5, 2015December 15, 2008

Laurentian Economics Professor, Dr. David Robinson is Sudbury’s answer to Toronto’s high profile Dr. Richard Florida – the famous American urban theorist who garners media headlines and currently teaches at the University of Toronto. Robinson is recognized as the “Godfather” of Sudbury’s Mining Supply and Services cluster highlighting the importance of this dynamic sector in the early part of the decade. He was instrumental in spearheading the plan for the School of Architecture at Laurentian which is garnering public and political support and continues to help change public policy on a wide variety of economic initiatives affecting Northern Ontario.

The Institute of Northern Ontario Research and Development (INORD)

Copper Cliff, Ontario
December 4, 2008

HOW I GOT INTO THIS

Let me start by telling how this speech got its title. A few months ago I was asked what I would talk about. We had a stock market commotion going on, a Canadian election underway, and an American election too. So I said I could either use the speech that I used two years ago, or I could wait until the dust settled.

I obviously made the wrong choice. I had no ideas of the interesting and surprising twists that that a parliamentary system can provide. We have a temporary resolution as of 11:45 this morning that seems to tell us the government is likely to abandon the contractionary policies announced last week by Finance Minister Flaherty. The government will be forced to adopt a program much closer to that proposed by the opposition parties that make up the “Coalition.” That is good news for Sudbury, I would argue, and it brings Canadian policy in line with our industrialized partners.

When I came through the door today I had not yet heard of the reorganization announced by the city’s largest employer. Vale confirmed it will close its Copper Cliff South mine for an “undetermined period.” The company’s Voisey’s Bay mine in Newfoundland, which ships nickel to facilities in Sudbury for processing, will be shut down during the entire month of July. The company also put off the development of its Copper Cliff Deep project, deferring the expenditure of $138-million (U.S.) for at least a year.

Vale had announced on Wednesday it is laying off 1,300 workers and putting 5,500 more on paid leave. Layoffs by Vale, one of Brazil’s two leading companies along with state oil company Petrobras are being taken as evidence that emerging markets have not ”decoupled” from the US as some economists hoped.

Institute of Northern Ontario Research and Development (INORD)

May 15, 2010December 14, 2008

The Institute of Northern Ontario Research and Development (INORD) was established in 1986 by Laurentian University to promote research in the social sciences and related disciplines on a broad range of issues facing Northern Ontario. It has become a “think-tank” for Northern Ontario issues. The Institute has three main activities: 1. INORD Facilitates independent academic research …

The Future of Northern Resource Development in Canada – Optimism or Pessimism? – by Paul Stothart

December 9, 2010December 14, 2008

Paul Stothart is vice president, economic affairs of the Mining Association of Canada. He is responsible for advancing the industry’s interests regarding federal tax, trade, investment, transport and energy issues.

For a number of reasons, natural resource development in the Canadian North is emerging as one of our country’s most exciting economic policy issues. Climate change, the human resources gap, high mineral prices, potential economic benefits to aboriginal groups, northern sovereignty, and the efficiency of environmental review processes are among those national issues that are closely integrated with northern resources and that will influence the pace of development.

The relationship between natural resources and northern development has been hit and miss throughout Canada’s history. It presently remains very unclear whether the necessary array of variables will fall into place, leading to a sustained boom in northern economic development, or whether key pieces will go missing and the full long-term economic potential will again be missed. In this sense, one could logically have either an optimistic or pessimistic take on future developments.

On the positive side, there are three general variables that should lend an air of optimism. First, the level of mineral exploration spending underway in northern Canada can best be described as staggering. Driven by historically high global mineral price levels, companies will spend some $440 million in the three northern territories on mineral exploration and deposit appraisal in 2007, up from $160 million five years earlier. Approximately one of every 20 dollars in mineral exploration worldwide is being spent in the three Canadian territories. Companies are seeking potential developments in uranium, diamonds, gold, and other minerals in northern Canada.

Dramatic Economic Times Impact Mining Sector – by David Robinson

April 5, 2015December 14, 2008

Dr. David Robinson is an economist at Laurentian University in Sudbury, Canada. His column was originally published in Sudbury Mining Solutions Journal a magazine that showcases the mining expertise of North Bay, Timmins and Sudbury.

drobinson@laurentian.ca

For an economist, these are interesting times. The accumulating American triple deficit – on trade, the government budget and household spending – finally caught up with the people who live by lending. We get to see the most vehemently capitalist governments nationalizing banks and supporting the value of vast pools of imaginary assets. We even get to watch executives leaping off tall buildings with their golden parachutes.

For the mining industry and industry suppliers, the times are more than just interesting. Economic growth is utterly dependent on what the mining sector produces, and good times in the mining sector depend on economic growth.

The question on everybody’s mind as this column goes to press is whether the lunatics in the financial sector have actually pushed the world economy off the tracks. They have done it before.

The most common view out in the infosphere is that a world recession is almost inevitable. The majority of guesses say it could last six months to two years. There are a few who think the world will end, and a few who think that unprecedented co-operation among governments will have unprecedented results.

No one really believes that the long run story has changed. The BRIC nations – Brazil, Russia, India and China – still have the population, the potential and the momentum they had when Goldman Sachs identified them in 2001. They have been driving world growth, with help from the American consumer. Those BRIC consumers are just getting going.

Rio Tinto chief executive Tom Albanese reminded shareholders in October that China’s economy is driven far more by industrialization and urbanization than by exports to the USA. The company expects demand in China to strengthen across a range of Rio Tinto products.

1995 PDAC Prospector of the Year Award Winners – Albert E. Chislett and Chris L. Verbiski

December 7, 2008

The Prospectors and Developers Association of Canada (PDAC) represents the interests of the Canadian mineral exploration and development industry. The association was established in 1932 in response to a proposed government regulation that threatened the livelihood of Ontario prospectors. The William (Bill) W. Dennis Prospector of the Year Award is presented to individuals or groups who have made a significant mineral discovery, offered noteworthy contributions to the PDAC, or have been involved in some important service or technological invention or innovation that helped improve the Canadian prospecting and exploration industry.

Originally looking for diamonds, in 1993, Albert Chislett and Chris Verbiski instead, discovered one of the world’s major nickel sulphide deposits near Nain, Labrador. The deposit was eventually bought by Inco Limited and most experts confirm the deposit will be a major source of nickel and regional prosperity for generations to come.

Mr. Chislett was born in Islington, Trinity Bay, Newfoundland in 1949. After studying business administration at Ryerson Polytechnical Institute in Toronto, and working in the accounting department at Swift Premium in Ontario for five years, he established a successful construction company in St. John’s and operated it for 15 years.

His interest in geology and mineral exploration began in the late 1980s, stemming in part from his love of the outdoors. In 1988 he started operating an independent mineral exploration company and began prospecting full time. He was soon one of the most active prospectors in the province, and was the first to receive a provincial Prospector’s Assistance Program grant.

1992 PDAC Prospector of the Year Award Winner – Charles E. Fipke

December 7, 2008

The Prospectors and Developers Association of Canada (PDAC) represents the interests of the Canadian mineral exploration and development industry. The association was established in 1932 in response to a proposed government regulation that threatened the livelihood of Ontario prospectors. The William (Bill) W. Dennis Prospector of the Year Award is presented to individuals or groups who have made a significant mineral discovery, offered noteworthy contributions to the PDAC, or have been involved in some important service or technological invention or innovation that helped improve the Canadian prospecting and exploration industry.

Charles E. Fipke discovered Canada’s first diamond mine in the Northwest Territories about 300 kilometers northwest of Yellowknife.

Mr. Fipke is recognized as a leader in the diamond indicator mineral industry and has published a number of papers and articles that are widely used in the industry. In 1983, he founded Dia Met Minerals Ltd. The company went public the following year with the help of many local Kelowna investers.

As founder of the company, Mr. Fipke is credited with the original discovery of the Point Lake diamondiferous kimberlite pipe, where diamonds, including those of gem quality, were returned from drilling and bulk sampling program. The discovery was made after more than ten years of tenacious field exploration.

Mr. Fipke was born in Edmonton and received a bachelor of science degree (honours) in geology from the University of British Columbia. In the early part of his career, he worked as a geologist for Kennecott Copper Company in New Guinea; for Samedoan Oil Company in North Queensland, Australia; and for Johnesburg Consolidated Investments, in Barberton, South Africa.