Peat Fuel for Ring of Fire and Aboriginal Communities: Economic and Environmental Benefits – by Stan Sudol (June 27, 2013)

One of the biggest issues with the Ring of Fire development and the surrounding Aboriginal communities is the lack of competitively priced electricity and the enormously high cost – about one billion dollars – of connecting the region to Ontario’s power grid.

Currently, isolated First Nations depend on very expensive diesel fuel that must be supplied by trucks on winter roads or flown in. The proposed mining operations are projected to need about 30 megawatts (MW) of power.

Amazingly, most of the swampy lowlands and many parts of the Canadian Shield throughout northern Ontario contain a source of energy that has been used for centuries in Europe – peat fuel.

This slowly renewing bio-mass energy source – distinct from fossil fuel – is formed from the partial decomposition of plants under very wet and acidic conditions. It is usually made up of two separate layers, the top being lighter in colour, less decomposed and used primarily for horticultural applications while the dark dense lower layers are excellent for fuel. Peatlands can be described as a wet spongy “floating carpet” of land and are often known as bogs, fens, mires, moors, or in Canada, muskeg.

Peat can be processed into fuel-grade material with energy values equivalent to coal but with only ten per cent of the black rock’s sulphur content, virtually no mercury and produces less ash waste and dust emissions. Canada has the world’s largest area of peat lands, estimated to be 41 per cent of the world’s total, half of which is located in northern Ontario.

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Mining Interrupted: CBC Thunder Bay’s Lisa Laco interviews Northern Miner’s John Cummings about Ring of Fire (June 26, 2013)

http://www.cbc.ca/superiormorning/ Host Lisa Laco’s morning radio show Superior Morning highlights what’s happening now in Thunder Bay and Northwestern Ontario. We’ll find out what a mining analyst John Cumming, editor of the Northern Miner, has to say about Cliff’s announcement that it’s suspending work on its Ring of Fire project. And why he thinks the perceived …

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Rae in great position to influence Ring of Fire – by John R. Hunt (Sudbury Star – June 26, 2013)

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

Bob Rae is quitting federal politics, but in his new role he may exercise considerable influence upon the future of Northern Ontario. His resignation as MP has sparked a flood of superlatives.

Rae has been called the best prime minister Canada never had and the worst Ontario premier the province ever had. He remains untouched by personal scandal. A political celebrity with friendly contacts in many powerful places.

He is giving up a lot to become a negotiator for the First Nations in the Ring of Fire mining region. According to some reports, he will be negotiating on behalf of as many as nine First Nations. Presumably, native peoples will want a share of the wealth generated by new mines and as many jobs as possible.

Usually, politicians are only influenced by votes or potential votes. Rae will be representing a miniscule percentage of the Ontario population, but he will have both moral authority and a large degree of public support.

The residential schools scandal and the deplorable conditions reported on many reserves have given Canadians a collective guilty conscience that will demand a square deal for the natives in the Ring of Fire.

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Bob Rae jumps into Ring of Fire – by Gloria Galloway (Globe and Mail – June 24, 2013)

Globe and Mail is Canada’s national newspaper with the second largest broadsheet circulation in the country. It has enormous influence on Canada’s political and business elite.

OTTAWA — Bob Rae has had a few tough assignments in his life, but the job he faces as he departs his federal political career could be one of the most challenging.

Mr. Rae will represent nine different native governments as chief negotiator for the Matawa First Nations in talks with the Ontario government about the opening of their land to the massive Ring of Fire mineral development. There are varying ideas about how to proceed, and even about what his role should be.

The huge impact the mining projects in the remote northwest part of the province could have on the native communities’ environment, social welfare and long-term prosperity means there is an imperative to get it right – to ensure that the First Nations walk away from the negotiations with deals that will leave them richer, not poorer.

Mr. Rae, who has been interim leader of the federal Liberals for the past two years, says he recognizes the potential harms and benefits that could befall the people who have trusted him to fight on their behalf.

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Noront pushing east-west road corridor again – by Shawn Bell (Wawatay News – June 22, 2013)

http://www.wawataynews.ca/

Following news that Cliffs has suspended its environmental assessment for its Ring of Fire chromite mine, Noront announced that it is once again looking at the east-west road corridor into the mining development. The company also stated that its plans for development in the Ring of Fire have not changed in light of Cliffs’ announcement.

“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,” said Paul Parisotto, Noront’s chairman and interim CEO in a press release.

“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,” Parisotto added.

The east-west corridor was originally proposed by Noront as a transportation corridor linking the Ring of Fire to the existing highway system at Pickle Lake. A similar route was proposed by four Matawa communities – Neskantaga, Nibinamik, Eabametoong and Webequie – as a way to connect their communities to the southern highway grid through the development.

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Ring of Fire delay not a bad thing – by Shawn Bell (Wawatay News – June 22, 2013)

http://www.wawataynews.ca/

There has been a lot of teeth gnashing and finger pointing since Cliffs announced it put its Ring of Fire mine environmental assessment on hold. Opposition parties have put the blame on the provincial government. And First Nations, specifically Matawa First Nations, were implicated for holding up the process with a judicial review.

Following the announcement, it was like the sky was falling. Ontario’s once bright mining future was being painted with dark clouds overhead.

But there’s no reason to cry. A delay in Cliffs’ project is not the end of the world. It may actually be the best-case scenario.

First Nations have long argued that they are not ready for the Ring of Fire. More time is needed to prepare the communities, train members for the jobs that will become available and ensure all the necessary agreements with governments and companies are in place. And while governments and industry acknowledged those needs, work seemed to continue unabated while discussions with First Nations were ongoing.

During a media tour in 2012, the chiefs of both Webequie and Marten Falls – two communities that in many ways are at the forefront of working with governments and industry – argued that the Ring of Fire was coming too fast.

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CBC Thunder Bay’s Lisa Laco interviews Republic Of Mining’s Stan Sudol about Ring of Fire (CBC News – June 17, 2013)

                              Is it the boom-bust cycle of mining, or is Cliffs Natural Resources playing political poker? Up next, a mining analyst Stan Sudol makes sense of the latest Ring of Fire developments. Click here: http://www.cbc.ca/superiormorning/episodes/2013/06/17/republic-of-mining/

Higher expectations [for Ring of Fire] – by Jeff Labine (tbnewswatch.com – June 21, 2013)

http://www.tbnewswatch.com/

Ontario has hired a secretariat for the lead negotiator of the Ring of Fire, even though the province still doesn’t actually have a lead negotiator.

Christine Kaszycki took on the job of being province’s Ring of Fire secretariat back in 2010. Since then, Matawa First Nation engaged former MP Bob Rae to act as a mediator with the province during the negotiations.

Rae announced that he would be retiring from politics in order to focus on his responsibilities as Matawa’s Ring of Fire negotiator.

MPP Bill Mauro (Lib. Thunder Bay – Atikokan) said Rae stepping down has put more pressure on the province to find its lead negotiator. “It certainly heightened expectations,” he said. “There’s a commitment from the province that we appoint someone as well who can have a similar role.”

Mauro said the negotiator wouldn’t just work with Matawa, but with all areas impacted by the Ring of Fire development. That includes the private interests. While the secretariat does negotiate, Mauro said there are high expectations for the province to do more and to have more focused approached.

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Challenges ahead [Thunder Bay mining forum] – by Jeff Labine (tbnewswatch.com – June 20, 2013)

http://www.tbnewswatch.com/

Mike Metatawabin says he’s disappointed that there wasn’t more First Nation representation at this year’s provincial mining conference.

Metatawabin, the president of Five Nations Energy Inc., joined about 50 other participants at the third annual Ontario Mining Forum at the Valhalla Inn. The two-day mining forum, which started Thursday, promised keynote speakers such as Ontario’s Ring of Fire Secretariat Christine Kaszycki but did not deliver.

Instead, the forum heard from various speakers including politicians and the city’s Community Economic Development Commission on the mining industry in the region.

The cost to attend the event averaged out to be about $2,000 per person. Some participants speculated that that price kept more people, including First Nation officials, from attending. With major projects like the Ring of Fire being discussed, Metatawabin believes it’s crucial First Nation organizations and chiefs attend these conferences.

“During the course of these conferences that I’ve attended, these presentations bring a lot of hope and a lot of inspiration to what we need in the North,” he said. “I think our leadership needs to hear this and be a part of these conferences. We need to sit down, set aside the politics and maybe engage our business people. There’s so much potential here.”

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Ontario Mining Minister Michael Gravelle’s “Insight Mining Conference” Speech (Thunder Bay – June 20, 2013)

Ontario Premier Kathleen Wynne and Northern Development and Mines Minister Michael Gravelle at the March PDAC 2013

CHECK AGAINST DELIVERY

Thank you, Mike, for your kind introduction. I would like to begin by commending the organizers for putting together this third annual conference promoting mineral development in Ontario.

Conferences like this provide a tremendous opportunity to exchange ideas on how to better drive mineral development across our great province.

As both the Minister of Northern Development and Mines and a passionate northerner, my top priority continues to be promoting a strong northern Ontario economy and helping to develop vibrant mining and mining supply & services sectors across the province.

With a good part of this conference proceedings focused on the Ring of Fire, I would like to take the opportunity today to comment on the evolution of this historic undertaking.

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First Nations delighted to have Bob Rae negotiating for them on mining development (Vancouver Sun – June 19, 2013)

http://www.vancouversun.com/index.html

The negotiating power of northern Ontario’s First Nations just got a huge boost. When former interim Liberal leader Bob Rae announced that he was resigning as a member of Parliament, he said it was in order to focus on his other job: chief negotiator for the Matawa First Nations communities as they lock swords with the Ontario government over resource development on lands traditionally used by aboriginal people.

“It’s good news for us,” said Allan Towegishig, chief of the Long Lake #58 First Nation. “If he’s going to be a part-time parliamentarian he’ll have lots of work over there and with him resigning he’ll have more time to focus on our issues.”

Rae officially took the new position in May and has spent the last few weeks juggling both jobs. But in an official statement released Wednesday, he said “the full scope of the negotiator’s job is no longer compatible” with his MP responsibilities.

With a single job now as a negotiator, Rae represents nine First Nation groups in discussions with the Ontario government about ongoing mineral development in the resource-rich area known as the “Ring of Fire,” about 500 kilometres north of Thunder Bay. Two proposed projects – the Black Thor chromite mine being undertaken by Cliffs Natural Resources, and the Eagle’s Nest nickel and copper mine being undertaken by Noront resources – are in the early stages of development. That means now is the time for First Nations groups to try to influence how the projects proceed.

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Editorial: Dousing the Ring of Fire – by John Cumming (Northern Miner – June 19, 2013)

The Northern Miner, first published in 1915, during the Cobalt Silver Rush, is considered Canada’s leading authority on the mining industry. Editor John Cumming MSc (Geol) is one of the country’s most well respected mining journalists. jcumming@northernminer.com

In these times of economic and political turmoil, boring has become the new exciting.

One of the surprises of the year that in some ways isn’t such a big shocker is Cliffs Natural Resources’ announcement this past week that it is suspending work at its $3.3-billion Black Thor chromite project in northern Ontario’s Ring of Fire camp.

The Cleveland-based iron ore and met-coal giant says it’s suspending environmental assessment (EA) activities for the project “due to delays related to the environmental assessment process, land surface rights and negotiations with the Province of Ontario.”

Cliffs goes out of its way to point out that it believes support for the project is somewhat lacking in the province, stating that “certain critical elements of the project’s future are not solely within our control and require the active support and participation by other interested parties.”

The sticking points the company lists are: delayed approval of the terms of reference for the provincial EA process; uncertainty regarding the federal EA process due to a judicial challenge by impacted First Nations; unresolved surface rights issues following a February 2013 Mining and Lands Commissioner hearing; and unfinished agreements with the Ontario government.

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Bob Rae quits as MP in ‘very emotional’ decision [Ring of Fire First Nations negotiator] – CBC News Sudbury (June 19, 2013)

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

The former interim Liberal leader says he wants to devote his time to First Nations issues

Bob Rae, who served as interim Liberal leader following the party’s disastrous showing in the 2011 election, is stepping down as an MP, CBC News has learned.

Rae told his Liberal colleagues of his decision during Wednesday’s party caucus meeting, an announcement that was met with tears and applause, according to sources.

Rae recently accepted the role of chief negotiator for First Nations in talks with the Ontario government about development of the Ring of Fire, and is to tour the nine Matawa communities in the mining and resource-rich area of Northern Ontario this summer. Rae is a former NDP premier of the province.

At a news conference with Liberal Leader Justin Trudeau in the foyer of the House of Commons, Rae said that work as a lawyer and mediator was taking more and more of his time and he felt he needed to focus on his role with the First Nations. He didn’t say when his resignation would be effective.

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Delay may cause fundamental rethinking [Ring of Fire] – by John R. Hunt (Sudbury Star – June 19, 2013)

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

The mine supply business is an important segment of the Northern Ontario economy. The news that Cliffs Natural Resources has temporarily halted its environmental assessment work in the Ring of Fire will not spread any joy.

Some analysts say Cliffs is just playing a card in a complicated poker game. The environmental assessment work is being done in compliance with both federal and provincial assessment acts. The company may be trying to cut through some of the tangled red tape that government departments inevitably create.

According to its website, Cliffs was hoping to get into production by 2016, which means that an incredible amount of work must be done within a comparatively short time.

Nipissing MPP Vic Fedeli pointed out recently other mining companies are certainly interested in the Ring of Fire region, so if Cliffs does not do something, others will.

Cliffs and the provincial government must come to an agreement with one or more First Nations in the region who may not be very pleased with the prospect of losing some of their traditional hunting grounds.

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NEWS RLEASE: KWG Comments On Ring Of Fire Developments

Montreal, Canada – June 17, 2013 – KWG Resources Inc. (TSXV: KWG) wishes to update stakeholders on its position concerning the development of its interests in the Ring of Fire.

Chromite development: KWG is studying the feasibility of utilizing low cost natural gas with the Ring of Fire’s high-grade chromite to facilitate the production of direct-reduction iron and ferro-chrome products for export. A sufficient export market share would enable the achievement and maintenance of profitable mining production rates.

Road vs. Railroad: KWG declined a previous proposal from Cliffs Natural Resources Inc. (“Cliffs”) for consent to an easement over the mineral claims held for the construction of a railroad from Nakina to the Big Daddy deposit, because the easement was desired for the construction of a roadway to mine the Black Thor deposit. KWG has a 30% interest in the Big Daddy deposit, but no interest in the Black Thor deposit. Cliffs then made application to the Mining and Lands Commissioner for an Order that the easement be granted without KWG’s consent. A two-week trial concluded on February 12, 2013 and the Commissioner’s decision has not yet been rendered.

ONR “New Deal”: After the Province’s announcement of the proposed liquidation of the Ontario Northland Transportation Commission, the leadership of its unionized employees developed a plan to avert the divestiture of the ONTC by extending the ONR railroad network to serve the development of the Ring of Fire (the “New Deal”). KWG responded with indicative terms on which its railroad right-of-way might be transferred under such a plan.

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