Taseko Prosperity Mine Environmental Study Predicts Death Of Fish Lake

VANCOUVER - Shares of Taseko Mines Ltd. fell Friday as First Nations groups called on Ottawa to reject the company's New Prosperity mine proposal in British Columbia after a new study raised environmental concerns.

Taseko shares were down 33 cents at $2.23 in trading on the Toronto Stock Exchange.

The First Nations Summit, which represents dozens of B.C. aboriginal groups within the treaty process, called on Ottawa to reject the project following the report by the Canadian Environmental Assessment Agency.

Prosperity Mine: Review Underway For Another Environmentally Controversial B.C. Project

WILLIAMS LAKE, B.C. - With all eyes on hearings for the controversial Northern Gateway pipeline that would link Alberta's oil sands to tankers on the B.C. coast, a federal environmental review of another contentious B.C. project is quietly getting underway.

The Canadian Environmental Assessment Agency has released guidelines and terms of reference that will form the framework for an environmental review of Taseko Mines Ltd.'s (TSX:TKO) proposed Prosperity gold and copper mine in the B.C. Interior.

The agency is seeking comments on the documents until Feb. 22.

But the approach of Prime Minister Stephen Harper's government toward the federal hearings on the Northern Gateway doesn't give First Nations opponents much faith in the environmental review of the mine.

"We feel the writing's on the wall," Chief Joe Alphonse, leader of the Tsilqhot'in National Government, said in an interview.

"Mr. Harper is making statements around the Enbridge project that anyone opposing the project is an enemy of Canada. That's the same situation."

Alphonse said he fears that approval of the Prosperity Mine, 125 kilometres southwest of Williams Lake, B.C., is a foregone conclusion.