Joint government panel rules against Kemess North mine expansion

A joint panel created by the governments of British Columbia and Canada has ruled against the Kemess North copper-gold mine project as currently proposed by Northgate Minerals Corp., saying the project would not be in the public's interest, B.C. officials announced Sept. 17.

"In the panel's view, the economic and social benefits provided by the project, on balance, are outweighed by the risks of significant adverse environmental, social and cultural effects, some of which may not emerge until many years after mining operations cease," said the panel in a 299-page report.

The panel also provided 32 recommendations to "manage and minimize" adverse effects of the proposed project, if Canadian ministers decide to approve the project despite its warning.

The Kemess North copper and gold deposit is about 155 miles northeast of Smithers, B.C., and 279 miles northwest of Prince George, B.C.

Regulatory review of the project has experienced a string of delays since last year to allow for additional public hearings and participation from local First Nations organizations.

Northgate is a gold and copper mining company, and its principal asset is the Kemess South mine, the second-largest metal mine in British Columbia with annual production of 16.4 million tonnes of gold and copper concentrate. It is adjacent to the Kemess North deposit and the Young-Davidson property in northern Ontario.

Northgate proposed to extend the life of the Kemess mining operation by developing the lower grade, higher sulfide copper-gold deposit about 3 miles to the north. The venture could deliver another 14 years of mine life. Northgate would produce 85,000 to 100,000 metric tons per day of copper-gold concentrate from estimated ore reserves in the Kemess North deposit, the company said.

But the proposal hinges on Northgate's plan to dispose of waste rock in nearby Duncan Lake and Attacelley Creek. Unlike Kemess South, the Kemess North deposit is in mountainous terrain, which makes construction of a separate tailings disposal structure uneconomic, according to Northgate.

Duncan Lake (also known as Amazay Lake) is a deep, steep-sided, low-nutrient, headwater-lake with a drainage area of about 15 square miles and an overall surface area of 88,440 acres. The lake supports rainbow trout, Dolly Varden char and mountain whitefish.

Four First Nations, the Gitxsan House of Nii Kyap, Kwadacha First Nation, Takla Lake First Nation and Tsay Keh Dene First Nation that traditionally use the area around Duncan Lake and Attacelley Creek as well as others have expressed concern about Northgate's plan.