An American firm is expected to sink $3.3 billion into developing the resource-rich Ring of Fire, the Ontario government announced Monday.
Cliffs Natural Resources, an international mining company based in Cleveland, will use the money to haul and process chromite — the key ingredient used to make stainless steel — out of the Hudson Bay Lowlands.
The Ring of Fire, located 500 kilometres northeast of Thunder Bay, is said to contain one of the world’s largest chromite deposits. International mining companies have staked nearly 9,000 claims in the ring and both the federal and provincial government wants to hasten development of the area to bring much needed jobs to the struggling north.
The ring is a 5,000-square-kilometre area of pristine wilderness that is also one of the world’s last untouched ecosystems.
Ontario has been locked in a battle with Quebec to keep Cliffs’ smelter plant located here in the province. High hydro rates in Ontario have been a major stumbling block.
However, Cliffs has decided to build a $1.85-billion chromite processing facility in Capreol, near Sudbury, said Northern Development Minister Rick Bartolucci.
“This is very, very important not only for Sudbury but for the entire province,” he said in a live-stream web announcement from Sudbury.
Hydro rates, processing and several other items are still being discussed with Cliffs, said Bartolucci. “Once an agreement has been reached the details of that agreement will be made known,” he said.
The $3.3-billion investment encompasses the mine, the smelter and a transportation corridor — roads and bridges — to ship the ore south for processing in Capreol.
Prospectors also say a treasure trove of platinum and diamonds lie underneath the swampy land that is extremely difficult to mine due to its remote location.
First Nations groups have pleaded for more involvement in the signing of this deal. Bartolucci said to that end, the federal government must become involved.
“Our federal government must come to the table in a real and tangible way,” he said.
The smelter is expected to bring 900 new jobs to the Sudbury area — about 450 construction jobs and another 450 when the plant is in operation, Bartolucci said. The smelter will process chromite into ferrochrome to meet demand across North America and Asia.
The mine in the Far North will create nearly 700 direct jobs, he added.
“This massive opportunity that the Ring of Fire provides must be approached in a responsible and inclusive manner,” Bartolucci said. “We must ensure we are environmentally responsible, that we meet our duty to consult with the appropriate First Nations and that any undertaking must bring long-term prosperity to those communities through appropriate engagement and resources.”
However, environmentalists are already condemning the plan to construct a transportation corridor through precious wilderness.
CPAWS Wildlands League, a leading provincial conservation group, accuses the government of striking a “back room deal” that sacrifices ecosystems by deciding on a 350-kilometre road based on the needs of single mining company.
The all-weather road is estimated to cost nearly $600 million and will run along what Cliffs has called a north-south route that cuts through the Albany River area, company said in a statement.
“We are pleased Sudbury won the smelter. The location of the smelter is of lower relative environmental impact in a project like the Ring of Fire,” said Janet Sumner, executive director of CPAWS Wildlands League.
“The most important decision is the location of infrastructure. Where, how much and what? These are the questions we needed Ontario to ask,” said Sumner.
She decried what she called a lack of a proper environmental assessment and comprehensive review of what development will do to the area.
“We expected more from this government. We expected Ontario to get it right. In the absence of information, no substantive internal environmental review they can point to or any external process to weigh the pros and cons on access routes, this government picked a winner based on a business deal,” said Sumner.
Original Article
Source: Star
Author: Tanya Talaga
Cliffs Natural Resources, an international mining company based in Cleveland, will use the money to haul and process chromite — the key ingredient used to make stainless steel — out of the Hudson Bay Lowlands.
The Ring of Fire, located 500 kilometres northeast of Thunder Bay, is said to contain one of the world’s largest chromite deposits. International mining companies have staked nearly 9,000 claims in the ring and both the federal and provincial government wants to hasten development of the area to bring much needed jobs to the struggling north.
The ring is a 5,000-square-kilometre area of pristine wilderness that is also one of the world’s last untouched ecosystems.
Ontario has been locked in a battle with Quebec to keep Cliffs’ smelter plant located here in the province. High hydro rates in Ontario have been a major stumbling block.
However, Cliffs has decided to build a $1.85-billion chromite processing facility in Capreol, near Sudbury, said Northern Development Minister Rick Bartolucci.
“This is very, very important not only for Sudbury but for the entire province,” he said in a live-stream web announcement from Sudbury.
Hydro rates, processing and several other items are still being discussed with Cliffs, said Bartolucci. “Once an agreement has been reached the details of that agreement will be made known,” he said.
The $3.3-billion investment encompasses the mine, the smelter and a transportation corridor — roads and bridges — to ship the ore south for processing in Capreol.
Prospectors also say a treasure trove of platinum and diamonds lie underneath the swampy land that is extremely difficult to mine due to its remote location.
First Nations groups have pleaded for more involvement in the signing of this deal. Bartolucci said to that end, the federal government must become involved.
“Our federal government must come to the table in a real and tangible way,” he said.
The smelter is expected to bring 900 new jobs to the Sudbury area — about 450 construction jobs and another 450 when the plant is in operation, Bartolucci said. The smelter will process chromite into ferrochrome to meet demand across North America and Asia.
The mine in the Far North will create nearly 700 direct jobs, he added.
“This massive opportunity that the Ring of Fire provides must be approached in a responsible and inclusive manner,” Bartolucci said. “We must ensure we are environmentally responsible, that we meet our duty to consult with the appropriate First Nations and that any undertaking must bring long-term prosperity to those communities through appropriate engagement and resources.”
However, environmentalists are already condemning the plan to construct a transportation corridor through precious wilderness.
CPAWS Wildlands League, a leading provincial conservation group, accuses the government of striking a “back room deal” that sacrifices ecosystems by deciding on a 350-kilometre road based on the needs of single mining company.
The all-weather road is estimated to cost nearly $600 million and will run along what Cliffs has called a north-south route that cuts through the Albany River area, company said in a statement.
“We are pleased Sudbury won the smelter. The location of the smelter is of lower relative environmental impact in a project like the Ring of Fire,” said Janet Sumner, executive director of CPAWS Wildlands League.
“The most important decision is the location of infrastructure. Where, how much and what? These are the questions we needed Ontario to ask,” said Sumner.
She decried what she called a lack of a proper environmental assessment and comprehensive review of what development will do to the area.
“We expected more from this government. We expected Ontario to get it right. In the absence of information, no substantive internal environmental review they can point to or any external process to weigh the pros and cons on access routes, this government picked a winner based on a business deal,” said Sumner.
Original Article
Source: Star
Author: Tanya Talaga
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