Mineral Development Agreement. Canada-British Columbia

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1 Mineral Development Agreement Canada-British Columbia

2 Mining in British Columbia Employment (thousands) Over people are directly employ in B.C/s mining industry. Another are indirectly employed in supply, transportation and service industries. Over $3 billion in revenue annually for the B.C. economy. Many communities throughout B.C. depend on the mining industry. For instance, in 1989 revenues of $1.3 billion were generated in the Kootenay region. Mineral products are 22 per cent of B.C/s total exports. products 5% ^ Electricity, Oil & Gas 2% Roberts Bank, one of the world's leading coal ports, ships over 17 million tonnes per year. Wood products 56% Other 15% Lead, Zinc, Molybdenum., Industrial minerols Structural. materials Precious metals Copper Coal and copper are B.C/s most importa minerals. B.C. is the world's leading exporter of copper concentrate. Recent technological breakthroughs in the fields of medicine, aerospace engineering, electronics, computers and superconductors are now also creating opportunities for "high technology" metals in B.C.

3 The Mineral Development Agreement MDA Funding of this $10 million program was cost-shared equally between the federal and provincial governments through the five-year agreement, April 1,1985 to March 31,1990. MDA co-ordinated federal and provincial efforts to strengthen and diversify B.C/s mineral industry. The Canada/British Columbia Mineral Development Agreement (MDA) was one of eight subsidiary agreements developed under the Canada/British Columbia Economic and Regional Development Agreement (ERDA) ; Five Years of Achievement 25 to 30 per cent of exploration companies surveyed stated that the MDA had a significant impact on their exploration decisions. 75 per cent of these companies found that MDA projects improved their cost-effectiveness. At least $5.6 million in new exploration investments resulted from the MDA.

4 Strengthening and Diversifying B.C/s Mining Industry I Over 60 geological survey projects added new understanding of the province's mineral potential. This led to increased exploration activity and better targeting of exploration and development programs. Significant mineral occurrences have been discovered and information made available to the mining public. The opportunities presented by industrial minerals, such as talc, gypsum and feldspar, are now attracting industry's imagination and involvement. Marketing studies under the MDA aimed to diversify the industry and find local processing and export opportunities for B.C/s jade, gypsum, feldspar, talc, dimension stone, barium carbonate and garnet. Feasibility studies were targeted at improving health, safety and efficiency, cutting waste, reducing environmental impacts and enhancing recovery of coal and metals. The studies were cost-shared with industry, who have been quick to adopt the new techniques. Economic studies have guided government policy and decision-making. Support for university research programs increased knowledge of our bountiful mineral resources. Information about the social responsibilities of mining in our province such as: mine closure, regional impacts, native participation, equitable taxation and financial incentives for sound environmentally-aware reclamation have also been promoted.

5 A Cleaner and Safer Environment The environmental challenges posed by mining received particular Studies of cyanide management, coal mine waste dump stability and rock drains produced far-reaching impacts. High-profile joint government/industry initiatives to resolve critical acid mine drainage issues received global attention and recognition. A team of consultants prepared a state-of-the-art manual addressing acid rock drainage. Long-term reclamation strategies to protect environmentally sensitive areas were examined. Mining is BX/s safest heavy industry. MDA projects help to keep it t Several projects looked at ways to improve worker safety: Developing a portable safety chamber for underground mine safety. Pioneering study underway on health and safety aspects of extended underground shift work. ; Auditing electrical standards for open pit mines. This study is leading to new, higher safety standards.: MDA/industry joint initiative for sponsoring safety training for mineral exploration.

6 Financial Assistance for Mine Development Infrastructure for six potential mines helped bring some of B.C/s remote ore bodies into production. These studies integrated p environmental protection measures into the technical design an of mine access roads. As a result, regional development oppor have been enhanced and new jobs have been created: Nickel Plate gold/silver mine created 173 new jobs. Lawyers gold/silver mine produced $30 million of gold and silver in Golden Bear gold /silver mine resolved environmental problems, preserved fish and wildlife, and generated much needed employment for local residents. Iskut River road currently under review to access the Johnny Mountain, Snip and Eskay Creek precious metal properties. Windy Craggy copper/cobalt/gold/silver project a comprehensive road study was undertaken and the new mine proposal is under assessment through the Mine Development Review Process. Mount Klappan coal project road studies were completed for this property.

7 MDA Projects in British Columbia

8 The Mineral Development Agreement For further information contact: Greg McKillop, Manager Mineral Development Agreement Ministry of Energy, Mines and Petroleum Resources 525 Superior Street Victoria, B.C. V8V 1X4 Telephone (604) Mike McMullen Regional and Intergovernmental Affairs Mineral Policy Sector Energy, Mines and Resources Canada 460 O'Connor Street Ottawa, Ontario K1S 5H3 Telephone (613) Sharing the Results MDA studies and publications arc publicly available at Crown Publications, gi.c. & Yukon Chamber of Mines, and various libraries. There has also been "active participation in a number of workshops and conferences throughout the province with a staffed MDA information booth. Canada BCi QP #87636