and the Mining Sector

Transcription

1 A Case History on Ross River Kaska and the Mining Sector Presentation at CBERN S Mapping Ethical Issues Workshop, Vancouver, Nov 20, 2009 By Bruce McKnight

2 Background RR area in southeastern Yukon has good mineral endowment and a history of mineral development, not all positive There were very few other community development opportunities besides mining In 2003 RRDC recognized a new mining boom was coming and wanted to prepare They hired me to work with the community and help develop a community plan to improve on the past mining experience

3 Background Awareness of PDAC s e3 Plus Principles 1. Adopt responsible governance and management 2. Apply ethical business practices 3. Respect human rights 4. Commit to project due diligence and risk assessment 5. Engage host communities and other affected parties 6. Contribute to community development and social wellbeing 7. Protect the environment 8. Safeguard the health and safety of workers and the local population

4 1st Step: A Mining Strategy Key Community Drivers Councillor Gordon Peter Etzel EDO John Chief Jack Etzel Caesar

5 1st Step: A Mining Strategy..Rationale RR area has good mineral endowment Benefits available if managed properly But - negative impacts likely if not Strategy needed to recognize the realities of the business in order for RR to generate opportunities and capitalize on them Minerals are only valuable if discovered

6 Kaska Dena Traditional Territory Realizing Value from concealed mineral deposits

7 Mineral Potential Map Kaska Dena Traditional Territory MacPass Relative Regional Mineral Potential Highest Anvil Camp Howards Pass Lowest Ketza River Finlayson Camp Sa Dena Hess

8 Planning Process Beliefs Issues Lessons of History Assumptions Expectations Vision & Mission SWOT Strengths Weaknesses Opportunities Threats Goals Objectives Strategies

9 Vision In one decade, Ross River will be a healthy, unified, sustainable, community participating actively in mining decisions, and benefiting socially, economically, and culturally from environmentally sound mining-related activities in RRDC Traditional Territory.

10 Mission & Slogan Mission: To build capacity of Ross River in all appropriate respects to be able to fully participate and benefit, socially, economically and culturally from environmentally sound mining-related activities in RRDC Traditional Territory. Slogan: The test of a good project should be: can we benefit from it? Slogan:

11 Mining Strategy fit with RR Economic Development Strategy Had to be considered Consider multiple sectors, mining, tourism, guide outfitting, forestry, petroleum, utilities, etc. Not all eggs in one basket Consider transferable skills and businesses to help adjust to cycles Generic comments on Community Development

12 Strategic Issues Compiled from LOH, SWOT, etc Socio-economic Environmental Assessment of Projects Community Capacity Social Problems (Related to Mining?) Community Infrastructure General Sustainability

13 Strategic Issues Compiled from LOH, SWOT, etc Socio-Econ Econ-Environ. Environ. Assess of Projects : Ross River should be involved all the way, from day one, in another Anvil Need improved environmental performance and better reclamation plan Concern of wildlife impact by mining operations or by hauling of ore/concentrates Fear of major environmental damage, including chemical, fuel and concentrate spills, acid rock drainage, leaking tailings ponds, etc.

14 Strategic Issues Compiled from LOH, SWOT, etc Socio-Econ Econ-Environ. Environ. Assess of Projects: Premature closure and inadequately funded reclamation liabilities Failure to incorporate TEK in past permitting First Nation people have learned to be distrustful of industry and government. RR should be involved in YESAA implementation

15 Strategic Issues Compiled from LOH, SWOT, etc Socio-Econ Econ-Environ. Environ. Assess of Projects: The largest project risk to a community appeared to be lack of technical capacity to fully understand the project impacts and potential risks and the corresponding opportunities and benefits which might arise. The largest risk from a project component or company is to fail to develop a close relationship with the community in order to understand the community issues and concerns and be able to properly respond

16 Goals: SEA of Projects RR to have a meaningful influence on project decision- making. RR to achieve a high level of understanding of projects and potential impacts (economic, environmental, social and cultural) Requires intimate RR involvement in environmental, cultural, heritage assessment and mapping of TEK RR to be involved in finalizing YESAA RR to keep entire community and other Kaska Nations fully informed on project status Requires financing for RR participation in project assessment

17 Objectives: SEA of Projects RR to develop template MOU s and SEPA s, which are checklists of items to include in agreements, The sample MOU s and SEPA s would vary depending on the project stage (grassroots or advanced) Mine developments are individually unique and so SEPA s would need to be tailored to each project.

18 Strategic Plan Products

19 Strategic Plan Products Kaska expect all Mining and Exploration projects on Kaska Land should be subject of an MOU, at least, and also a SEPA if project advances A Template MOU and SEPA are provided in The Snow that Eats the Snow and available to all mining industry people who are interested in working on Kaska Land The actual MOUs and SEPAs would vary depending on the project stage (grassroots or advanced) Mine developments are individually unique and so SEPAs would need to be tailored to each project.

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22 RRDC Progress on MOUs & SEPAs Since 1995 have negotiated MOU and/or SEPA agreements with: 1. Teck Cominco 2. Yukon Zinc 3. Yukon Nevada Gold Corp. 4. True North Gems, and 5. ongoing discussions with: Selwyn Resources, North American Tungsten and others

23 MOU & SEPA with Yukon Zinc: Terms Pref. Hire and Contracting terms Aboriginal Liaison Person Management Advisory Committee EA process Involvement Company to address Kaska concerns Scholarships, Educ.. And Training Active reduction of employment barriers Encourage Kaska business J.V. s Contract flexibility and unbundling

24 Signing a Resource Funding Agreement with Yukon Zinc Harlan Meade Chief Jack Caesar

25 MOU & SEPA with Yukon Zinc: Monetary Resource access funding Scholarships Land Use Interruption Payments Economic Initiatives Fund Community Devel Loan Production Payments Over a 10 year period could exceed $3 million These do not include monetary value of contracting and employment benefits

26 MOU & SEPA with Yukon Zinc: Benefits Mining 101 Course for 29 Kaska Members On-the the-job Training Programs covering: 1. Safety 2. Environmental Awareness 3. Equipment Operation 4. Camp Catering & Kitchen

27 Yukon Zinc s Wolverine Lake Camp

28 MOU & SEPA with Yukon Zinc: benefits Arctic Construction JV: road to Wolverine Project Tu Lidlini Petroleum: Fuel Supply to project Dena General Store: Groceries for project ESS Compass JV: Negotiating camp and catering Kaska Employees 10 direct employees and growing 7-88 contractor employees

29 MOU & SEPA with Yukon Zinc Installing a culvert, Wolverine Access Road

30 MOU with True North Gems on the Tsa-daglisza Project Similar to Yukon Zinc for hiring, contracting, training, fees, No production without IBA (SEPA) All permit applications to Kaska 1 st Kaska right to inspect site Name Change at Kaska request TNG to have rights to use in marketing

31 Negotiating an MOU with True North Gems on the Tsa-daglisza Project

32 True N Gems Tsa-Daglisza Site

33 MOU with Yukon Nevada Gold Corp. (Ketza( River) Similar provisions as Yukon Zinc for hiring, contracting, training, fees RFA negotiated Agreement to negotiate SEPA before production - negotiation is currently nearing completion Kaska Benefits, 13 employees on site and all purchases from Tu Lidlini Petroleum and Dena General Store

34 Summary of Benefits: Direct & Indirect Employment Teck Cominco: none current, many past (KZK, SDH, GPF4) Yukon Zinc: YNGC (Ketza( R): 13 TNG: none currently, <20 in past Selwyn Res: 14 (7 RR, 7 LFN) NA Tungsten: on Mac Pass Overland Res: during summer Faro Reclam: : Others: 3-63 Total Kaska: : 60-80

35 Summary of Benefits: Involvement in EA Process Resources to participate Funds to retain experts Funds to retain Kaska YESAA and TK specialists and environ monitors More meaningful participation TK protocol template developed Social and cultural issues addressed as part of most SEPAs

36 Summary of Benefits: Community Spinoffs Larger volume purchasing of Petroleum and groceries providing lower pricing in RR Extra Business spurring expanded storage and refrigeration/freezer capacity Dena Store introduced cellular phone sales and service into Ross River/Faro area SEPA Community Development features will support selected RR projects Employee Role Models for Youth Developing transferable skills

37 Conclusions: RR Progress Community Led Chief, Council and EDO, John M Etzel,, major role Raised RR profile in Vancouver visiting Roundup and mining cos interested in RR territory RR Mining committee of about 20 people provided much input on the strategy Consultants provided technical support Governments and Companies Funded All new cos in RR talk to John RR Mining Brochure helps Still many issues to work on

38 Mussi Cho!! Arthur John Robert Etzel