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Wednesday, August 07, 2024

BC

Locals mark 10 years since Mount Polley disaster

By Lauren Stallone
Posted August 5, 2024 

It’s been 10 years since the worst mine waste disaster in Canada’s history.

On Aug. 4, 2014, a massive tailings dam at the Mount Polley copper and gold mine in B.C.’s Interior collapsed. The incident about 56 kilometres northeast of Williams Lake sent over 20 million cubic metres of wastewater into nearby Quesnel Lake, Polley Lake, Hazeltine Creek, and surrounding waterways.

Despite a decade having passed, residents in nearby Likely, B.C., say they’re still struggling with unresolved emotions about what happened and should be held accountable.

“The quality of the lake and the water have been and are continuing to deteriorate,” said Doug Watt, an area resident. “Frankly it’s a very strong feeling of frustration.”


Watt was there when disaster struck, and recalls the moments vividly.

“I was asleep and got a call around 6 o’clock in the morning from Likely Fire and Rescue and they told me that the dam had burst,” he told CityNews.

An aerial view shows the damage caused by a tailings pond breach near the town of Likely, B.C. Tuesday, August, 5, 2014, after the Mount Polley mine disaster a day prior. THE CANADIAN PRESS/Jonathan Hayward

“I could hear it just like Niagara Falls from seven or eight kilometres down the lake.”

Watt says some residents have lived by the lake for over 50 years and are devastated to see what has happened since the collapse.

“The water’s cloudy, there’s algae bloom that never occurred before, there’s slime on the rocks,” he described.

He says many locals have opted to no longer drink the water from Quesnel Lake, which was their main water source. Despite these concerns, the government says the water meets drinking standards.

However, residents aren’t buying it.

“They’re polluting the lake, we are not going to drink it anymore,” said Watt.


Related articles:

Regulator fines engineers 8 years after Mount Polley disaster in B.C.
Mount Polley mine disaster five years later; emotions, accountability unresolved
Mount Polley mine disaster could happen again if laws don’t change: report

In a statement to CityNews, Minister of Energy, Mines, and Low Carbon Innovation Josie Osborne says “the government has taken significant steps to ensure the company responsible continues restoring and monitoring the impacted areas.”

“They have reformed B.C.’s regulations to establish what they say are some of the world’s most stringent safety and environmental standards,” Osborne continued.

The statement goes on to say “it was clear that B.C. had allowed a regulatory framework to exist that did not adequately protect the environment or people.”

“Economic development cannot happen without responsible management of industry, and we must maintain a world-class regulatory system to bring peace of mind to the mining sector and British Columbians,” Osborne’s statement concluded.

But even with the improvements made, the residents affected by the Mount Polley disaster are wary of the potential for things to go wrong.

“There are many mines in B.C. with very, very large tailings ponds. Every one of them is a liability,” said Watts.



 British Columbia

Residents worry about waterways 10 years after Mount Polley spill

'We're still picking up levels of metals like copper flowing down Quesnel River,' researcher says

Murky sludge leaches into blue waters
A aerial view shows the debris going into Quesnel Lake caused by a tailings pond breach near the town of Likely, B.C., on Aug. 5, 2014. (The Canadian Press)

The local fire department was on the line when Doug Watt reached for his phone the morning of Aug. 4, 2014.  

"The lady at fire and rescue said that there's been an accident at the mine, the dam is broken, it's pouring into the lake, nobody knows what's happening so get your boat out of the water, don't drink the water and be prepared to evacuate because you don't know whether the lake is going to flood or not," he recalled. 

After he got off the phone with the fire department, Watt stepped outside and heard the roar of the dam breach about seven kilometres away from his home in Likely, B.C.

"It was quite disconcerting," he said.

The tailings dam at the Mount Polley mine, about 231 kilometres north of Kamloops, B.C., failed that day, sending toxic mine waste into nearby lakes and streams. It is widely regarded as one of the worst — if not the worst — mine disasters in Canadian history. 

A murky looking creek
Hazeltine Creek, B.C., on Aug. 27, 2014, three weeks after the Mount Polley Mine tailings spill. (Kieran Oudshoorn/CBC)

Mount Polley mine records filed with Environment Canada reported that hundreds of tonnes of arsenic, lead, copper and nickel flowed out in the sludge. 

On the 10-year anniversary of the spill, residents worry not enough has been done to remediate the site and prevent future disasters. 

WATCH | Perfect storm of problems, engineer says: 

Why the Mount Polley tailings pond breached

10 years ago
Duration2:25
Designers overlooked or dismissed test results

10 years later

Researcher Phil Owens said about 25 million cubic metres of tailings material ended up in Hazeltine Creek and Quesnel Lake — the equivalent of 10,000 Olympic-sized swimming pools, he said. 

And most of that is still sitting at the bottom of the lake, researchers have found. 

"This was an instantaneous catastrophic failure ... and yet still 10 years later, we're still picking up levels of metals like copper flowing down Quesnel River and getting into the water column of the lake," he said. "That is quite surprising."

WATCH | Fishers worry about salmon following Mount Polley spill: 

Mount Polley spill salmon concerns

10 years ago
Duration2:19
Fraser River fishermen say they're worried

Copper, he added, has been detected in zooplankton, a key food source for salmon and trout in the river.

"I would be concerned about eating the fish, particularly those fish that live in the system for a long time because it's now been 10 years," Owens said.

Watt, who used to work in mining, said that while he still supports the industry, he believes the environment needs to be the top priority. 

"It's certainly opened my eyes to the immediate effect that a mine can have locally," he said.

WATCH | Residents raise concerns days after Mount Polley dam breach: 

Mount Polley: residents speak out

10 years ago
Duration2:26
People living near tailings pond aren't convinced it's safe

In 2014, B.C.'s environment ministry said it had repeatedly warned mining company Imperial Metals about the level of wastewater in the tailings pond at its Mount Polley mine prior to the breach, and then-NDP leader John Horgan said a previous report on Mount Polley's tailings pond noted a tension crack in the earthen dam.

A scathing auditor general report was released in May 2016, calling for an independent compliance and enforcement unit for the mining industry that would protect the environment from future disasters. 

Changes

Likely resident and biologist Richard Holmes said that shortly after the spill, he had high hopes for remediation and change in B.C.'s mining industry. But 10 years later, he said there's been little action. 

According to Imperial Metals, it has spent $70 million to clean up the Mount Polley spill site, which has gone toward removal of tailings and rebuilding the Hazeltine and lower Edney creeks, and building a new fish spawning and rearing habitat in Hazeltine Creek.

A sign reads "Restricted acces, area closed to public" and explains safety hazards and rehabilitation work in the area
Mount Polley spill remediation work as seen from a back road near Quesnel Lake in August 2021. (Betsy Trumpener/CBC)

The company also says it repaired the Quesnel Lake shoreline, planted native trees and shrubs in the area and built an on-site rainbow trout hatchery to raise more trout for Polley Lake.

In 2021, two engineers were disciplined for actions that led to the breach. Engineers and Geoscientists B.C., the regulatory body that oversees engineers in the province, found that both had demonstrated unprofessional conduct. 

Last week, Minister of Energy, Mines and Low-Carbon Innovation Josie Osborne released a statement explaining what the province has done following the Mount Polley breach. 

Osborne said the province has created a chief auditor role, Mines Audit Unit and a Mines Investigation Unit. It has also established financial penalties for companies and, Osborne said, the province has reformed B.C.'s mining regulations

"For many people, that day 10 years ago is hard to forget," Osborne said in her statement, adding that the NDP government will continue to strengthen mining regulations and oversight. 

Murky sludge leeches into blue waters
Damage caused by a tailings pond breach near the town of Likely, B.C., Tuesday, Aug. 5, 2014. (Jonathan Hayward/Canadian Press)

But residents of the central B.C. community of about 350 people have watched Quesnel Lake continue to deteriorate in the years since the spill, Watt said. 

"People that have been here for 25 or 50 years can see that and lots of concern and very much frustration with the fact that the [province] is not listening to what we see out here."

Holmes said he would like the province to give legal standing to rivers and streams in B.C., similar to Magpie River in Quebec, which was granted legal personhood in 2021 for protection. 

Holmes also thinks provincial funding should be made available for independent research.

"Very little has changed as a result of this disaster and certainly not enough has changed, that's for sure."

Thursday, August 11, 2022

Imperial Metals records $29.3M net loss in Q2 as it works to reopen Mount Polley

Jackson Chen | August 9, 2022 |

A feasibility study for the Red Chris underground is expected early next year. 
Credit: Imperial Metals

Imperial Metals (TSX: III) racked up further losses during the second quarter of 2022, recording an adjusted net loss of $29.3 million compared with $5.1 million for the 2021 comparative quarter. This was despite a slight revenue increase of $2.2 million from the second quarter 2021.


Contributors to the higher net loss include a $1.4 million decline in mine operations income, over $30 million of spending on the Mount Polley mine restart, a $4.6 million rise in idle mine costs, and an additional $3.5 million in tax recovery. Capital expenditures including leases also rose to $39.6 million in the June 2022 quarter, up from $23.8 million in the 2021 comparative quarter.

Imperial’s mining operations, specifically the Red Chris mine that is 70% owned by Newcrest Mining, helped to lift up the company’s revenue in the second quarter 2022. Metal production from the northwest B.C. mine totalled 22 million lb. of copper and 19,540 oz. of gold, which respectively were 25.2% and 26.5% higher than the 2021 quarter.

Exploration drilling at Red Chris remains underway, with up to eight drills in operation during the second quarter, focusing on expanding the East Ridge zone and gathering geotechnical information for infrastructure related to the development of a block cave. The exploration decline had advanced 1,717 metres as of July 20, 2022. Work on the block cave feasibility study is ongoing and is targeted to be released in the first half of 2023.

At Mount Polley, Imperial first began the required work to reopen the copper-gold mine during the fourth quarter of 2021. Initial mill commissioning and operations began on June 25, 2022. Commissioning work continues into the third quarter, with six of the eight mills in the grinding circuit now in operation. During the second quarter, 62,775 tonnes were milled and 6.3 million tonnes were mined, achieving a day rate of 69,013 t/d. By the end of the second quarter, approximately 1.3 million tonnes had been stockpiled for future milling.

The restart of the facilities took approximately three months longer than planned due to difficulties in hiring operating personnel, certain supply chain challenges and unanticipated electrical and mechanical work that needed to be completed in order to get the plant operating. Also, the failure of a key electrical component two weeks after the restart of mill operations caused a 10-day delay in the ramp up of mill operations. As a result, Imperial has sought additional funding for the Mount Polley restart budget.

Additional information about the Mount Polley mine restart is posted on www.ImperialMetals.com.



Imperial Metals’ Mount Polley restart facing budget shortfall

Staff Writer | August 8, 2022 |

Credit: Imperial Metals

Imperial Metals (TSX: III) said it intends to secure additional financing for the restart of its Mount Polley mine by way of a convertible debenture financing totalling C$45 million ($35m).


The Mount Polley mine, which has been on care and maintenance since 2019, is currently operating at targeted production rates. The company had previously aimed to reopen the mine operation by the end of June.

However, the mine restart took longer than planned due to difficulties in hiring operating personnel, supply chain challenges and unanticipated electrical and mechanical work. This, together with lower copper prices, caused a shortfall in revenues compared to budget. In addition, Imperial Metals’ previously announced rights offering was not fully subscribed, resulting in a shortfall in budgeted equity financing. Due to these reasons, the company is now seeking additional funding via debt financing.

The convertible debentures will have a five-year term ending August 31, 2027. Each C$3.20 of the principal amount will be convertible into one common share of Imperial Metals. Up to 14.06 million common shares are expected to be issued if all the convertible debentures issuable were converted.

Murray Edwards, the company’s largest shareholder, has advised that he intends to purchase between C$30 million and C$35 million of the debentures.

Located about 56 km northeast of Williams Lake in south-central British Columbia, the Mount Polley copper-gold underground mine was first shut down in 2014 after a massive tailings pond collapse. Imperial Metals had to rebuild the mine’s tailings and spent more than C$70 million in environmental rehabilitation. Operations resumed two years later, but was halted again in 2019 due to a slump in copper prices.


Aiming to restart the operation once again, Imperial Metals has spent around C$22.4 million in one year, dating back to the end of the March 2021 quarter. This includes C$21.7 million in operating costs and C$700,000 in depreciation expense. Exploration, development and capital expenditures on Mount Polley rose by C$2 million in the March 2022 quarter in comparison to the 2021 quarter.

In the week following the repair of a key electrical component on July 27, the concentrator at Mount Polley produced concentrate containing approximately 336,000 lb. of copper and 550 oz. of gold against the budget for the initial week following start-up of 188,403 lb. of copper and 495 oz. of gold.

Wednesday, December 11, 2024

'Are they going to walk away?': Charges 10 years after B.C.'s Mount Polley disaster

Doug Watt won't forget the sound of a tailings pond collapsing at the Mount Polley Mine more than 10 years ago, sending millions of cubic metres of waste into waterways in the British Columbia Interior. “I went outside, and you could hear the roar.

Nono Shen and Darryl Greer, The Canadian Press
12/10/2024
Contents from a tailings pond is pictured going down the Hazeltine Creek into Quesnel Lake near the town of Likely, B.C. on August, 5, 2014. Charges under the federal Fisheries Act have been laid against Imperial Metals Corp. more than 10 years after a tailings pond collapsed the Mount Polley mine, spilling more than 20 million cubic metres of waste water into B.C. Interior waterways. 
THE CANADIAN PRESS/Jonathan Hayward


Doug Watt won't forget the sound of a tailings pond collapsing at the Mount Polley Mine more than 10 years ago, sending millions of cubic metres of waste into waterways in the British Columbia Interior.

“I went outside, and you could hear the roar. It was like standing close to Niagara Falls,” the 74-year-old said in an interview Tuesday.

Fifteen federal Fisheries Act charges have been laid against Imperial Metals Corp. and two other firms after the dam collapse at the gold and copper mine in what would become one of the largest environmental disasters in provincial history.

Watt said he and other residents in Likely, B.C., the closest community to the dam, are pleased charges have been laid and now “only time will tell whether they actually get found guilty or not.”

“We're always wondering all the time, are they going to walk away with no accountability for what happened?" he said.

The earthen dam gave way at 1 a.m. on Aug. 4, 2014, sending about 25 million cubic meters of mining waste, including tailings and other materials, into nearby waterways.

A statement from the B.C. Conservation Officer Service issued Tuesday said it worked with the Department of Fisheries and Environment and Climate Change Canada to investigate possible contraventions of the act.

The indictment filed in B.C. Supreme Court on Dec. 6 outlines the charges against Imperial Metals, its subsidiary, Mount Polley Mining and Wood Canada Ltd., an engineering firm.

The indictment alleges the companies allowed a "deleterious substance" from the mine's tailings pond into several bodies of water "frequented by fish," including Polley Lake, Hazeltine Creek, Bootjack Creek, Edney Creek and Quesnel Lake.

It alleges the companies' work "resulted in serious harm to fish that are part of a commercial, recreational or Aboriginal fishery … namely the death of fish or any permanent alteration to, or destruction of, fish habitat.”


Imperial Metals said in a statement the company received the indictment this week, and as the matter is before the courts it won't be making further comment.

A report from an independent expert panel released in 2015 concluded the key reason for the dam's failure was its design.

It said the engineers didn't take into account the complexity of the geological environment in relation to the dam embankment foundation.

It said engineers failed to recognize that the dam was "susceptible to undrained failure" when subject to the stresses associated with the embankment.

A three-year deadline for provincial charges in the case passed in 2017.

A spokesman for B.C.'s Ministry of Environment referred questions to the Conservation Officer Service's statement and said there would be no further comment "as it’s before the courts."



In 2022, Engineers and Geoscientists B.C., the provincial regulatory and licensing body, fined two former project engineers a combined $226,500, while a third was temporarily suspended and ordered to complete additional training.

A post from August on the Mount Polley Mine website says more than $70 million has been invested in environmental repair and clean-up efforts, "demonstrating a strong commitment to restoring the affected areas."

In September 2023, the Mount Polley Mining Corp. was awarded the Jake McDonald Reclamation Award for its habitat remediation work in Hazeltine Creek and adjacent areas.

The company said in its post that ongoing environmental monitoring has shown steady recovery, and its efforts will ensure the long-term health of the ecosystem in the area.

Jamie Kneen, a spokesman with Mining Watch Canada, said the Mount Polley spill left “devastating environmental impacts,” including potential damage to the salmon runs in the Fraser River.

“There's the physical destruction of 25 million cubic meters of material ripping down Hazelton Creek and into Quesnel Lake,” said Kneen.

He said there are still many questions left unanswered, such as whether contamination from the spill is still active in Quesnel Lake.

“Aside from seeing these charges actually brought forward, our major concern is still the ongoing contamination,” said Kneen.

“What we don't know — and there isn't really enough study being done on it — is what the consequences are for the fisheries, or for the salmon runs, and part of that is that those are very complicated systems to study. But also there's not that much investigation being done to try and sort that out."

Even 10 years later, Watt said he doesn't drink the lake water because he has safety concerns.

“We've lived here for like 27 years or more, and we knew what the lake was like before this accident happened, and we see that it deteriorated,” he said.

The offences under the Fisheries Act listed in the indictment carry fines between $500,000 and $6,000,000.

Individuals guilty of an offence under the act can be imprisoned for up to three years if they are convicted for a second time, however only companies face charges in connection to the dam's collapse.

The Conservation Officer Service said Mount Polley Mining Corp. and Wood Canada Ltd. face the same charges and all three companies are due to make a court appearance on Dec. 18.

This report by The Canadian Press was first published Dec. 10, 2024.

Nono Shen and Darryl Greer, The Canadian Press

Saturday, April 27, 2024

Copper juniors converge in British Columbia, Yukon Territories

Rick Mills - Ahead of the Herd | April 26, 2024 | 

Mount Robson Provincial Park. British Columbia, Canada. 
Credit: Don Paulson / Adobe Stock.

A junior resource company’s place in the mining food chain is to acquire projects, make discoveries and hopefully advance them to the point when a larger mining company takes it over. Discoveries won’t be made if juniors aren’t out in the bush looking at rocks.


Few exploration companies have the money or technical expertise to “go mining”. For many, the goal is to hit upon a deposit that’s good enough to attract a major that will acquire the asset. Another pathway is for the junior to partner with a larger company. An option or joint venture (JV) agreement is a way for juniors to gain access to the financial and technical resources needed to build the mine.

Juniors are extremely important to major mining companies because they are the firms finding the deposits that will become the next mines. In this way, juniors help the majors to replace the ore that they are constantly depleting in their operating mines.
Where to look? BC and the Yukon

The mining industry is on the hunt for large copper deposits that have favorable grades and are in locations amenable to mine developments.

Over 80% of the world’s copper production comes from large-scale open-pit porphyry copper mines.

In Canada, British Columbia enjoys the lion’s share of porphyry copper/ gold mineralization. These deposits contain the largest resources of copper, significant molybdenum and 50% of the gold in the province.

Lured by copper, major miners drawn to Quesnel Trough and Golden Triangle – Richard Mills

In the table below by GlobalData, via Mining Technology, we note that of 10 major operating copper mines in Canada, six are in BC.

The province accounted for just over half (53%) of Canada’s copper production in 2022.

Eight mines currently produce copper in BC: Newmont and Imperial Metals’ Red Chris, Imperial’s Mount Polley, Taseko Mines’ Gibraltar, New Gold’s New Afton, Teck Resources’ Highland Valley, Hudbay Minerals’ Copper Mountain, Centerra Gold’s Mount Milligan, and Myra Falls on Vancouver Island.Source: Natural Resources Canada

BC focused companies in 2022 nearly doubled the amount of money spent on copper exploration. According to a study by accounting firm EY, the BC government and the Association for Mineral Exploration British Columbia (AMEBC), spending that year jumped to $235 million, an 85% increase over 2021.
Upswing in exploration in British Columbia

With so much geological potential throughout BC and the Yukon, it’s not surprising to see so many exploration companies setting up camps, hoping to make the next big discovery.

We see a coming huge upswing in new copper (and gold and silver), focused exploration in British Columbia, encompassing the Quesnel Trough/ Golden Triangle, a considerable increase in interest in the carbonate replacement deposits (CRDs) near the BC-Yukon border, and extending into the Yukon, home to the legendary Keno Hill silver district.

When new discoveries are made in a mining camp, the odds significantly improve on neighboring properties where similar mineral deposition has occurred. Companies that are holding ground on trend of the discovery, or even just located in the same mining camp, suddenly have access to funding for their exploration programs.

We think interest in exploration and/or development focused juniors operating within BC and the Yukon will get a lot hotter due to the region’s prevalence of red metal. The way the copper market is going, with structural deficits appearing that we’ve been warning about for years, and prices at +$4.40/lb, we believe we’re in for a resurgence of British Columbia and Yukon exploration, development, M&A’s and mining. That is why in our last article we looked at the majors buying copper mines and developing projects in BC, and why in this article, we are focusing on the juniors.

Below is a list of 13 juniors, while obviously not exhaustive, it does present many styles of mineralization spanning much of BC and the Yukon.
NorthWest Copper Corp (TSXV:NWST, OTC Pink:NWCCF)

Northwest Copper has three projects in BC, bookended by the Mount Milligan mine and the Kemess project, both owned by Centerra Gold.

The combined Kwanika-Stardust deposits potentially combine multiple mining centers from each deposit to feed a central processing facility. NorthWest plans to drill-test the “high-conviction” Kwanika Transfer and Kwanika Andesite Breccia targets.

Lorraine is a high-grade alkalic porphyry mineralized system. The Lorraine/Top Cat area is dominated by the Hogem intrusive complex, which hosts numerous alkaline and calc-alkaline porphyry Cu-Au occurrences. Other successful alkalic systems include Galore Creek, New Afton, and Mount Milligan. NorthWest plans to drill-test the Boundary target and a suite of other targets with historical data.

In 2021, NorthWest drilled the East Niv property for the first time, resulting in discovery of a new copper-gold porphyry system. The plan is to complete geological mapping, induced polarization geophysical surveys, and geochemical sampling programs over the 4 x 5-km Southwest target to define initial copper-gold porphyry drill targets.
Ascot Resources (TSX:AOT, OTCQX:AOTVF)

Ascot Resources has two projects in the Golden Triangle, Premier Gold and Red Mountain. The company plans to restart the past-producing Premier mine, which has three main deposits: Premier, Silver Coin and Big Missouri. A 2019 resource update shows 4.669 million ounces of silver and 1.099Moz of gold in the indicated category. A 2020 feasibility study outlines a restart plan to feed the Premier mill at 2,500 tonnes per day to produce approximately 1.1Moz of gold and 3Moz of silver over eight years. Ascot poured first gold at Premier in April 2024.

The nearby Red Mountain project was advanced by IDM Mining between 2014 and 2019. A substantial deposit of high-grade gold has been delineated, primarily in the measured and indicated categories, and is accessed by 2,000 meters of underground workings. With an average thickness of 15 meters and up to 40 meters in areas, the deposit is amenable to low-cost longhole stoping.
Scottie Resources Corp (TSXV:SCOT, OTCQB:SCTSF)

Scottie Resources has exploration rights to over 59,000 hectares in the southern part of the Golden Triangle. The Scottie Gold Mine project is located 20 km north of the Premier gold mine, 27 km south of the Brucejack mine, and 15 km east of the past-producing Granduc mine. It includes the Scottie gold mine that operated from 1981 to 1985, producing 95,426 oz gold at an average grade of 16.2 g/t, as well as other key targets, including Blueberry, Domino and the Bend Vein.

The Cambria project situated just outside of Stewart is bordered to the north by Newmont’s Brucejack mine, to the west by Ascot’s Premier gold project, and to the east by Ascot’s Red Mountain project.

The Georgia high-grade gold project is anchored by the Georgia River mine, which last operated in 1939 with a head grade of 22.6 g/t gold. According to Scottie, only a small part of this hydrothermal system was explored by the past-producing underground mine or drill tested.
Tudor Gold (TSX:TUD, USOTC:TDRRF)

Tudor Gold is focused on the Treaty Creek copper-gold project, which

borders the KSM property to the southwest and the Brucejack mine to the south. The past-producing Eskay Creek mine is 12 km to the west. The project hosts the Goldstorm deposit, which according to Tudor, is one of the largest gold discoveries of the past three decades.

A recent (April 2024) resource estimate for the Goldstorm deposit shows an indicated mineral resource containing 21.66Moz of gold at 0.92 g/t, 128.73Moz of silver at 5.45 g/t, and 2.87 billion pounds of copper at 0.18%.

Tudor says the deposit’s initial resource represents a large, structurally controlled gold-silver-copper porphyry mineralizing system that is open to further expansion with drilling. The Treaty Creek property also includes additional zones and showings of hydrothermal alteration and gold with or without base metals that have formed in porphyry and epithermal settings. The Eureka, Calm Before the Storm (CBS) and Perfectstorm zones are considered to be early- to advanced-stage exploration targets.
Enduro Metals (TSXV:ENDR, OTC:ENDMF)

Enduro Metals holds one of the largest land positions in the Golden Triangle, including the 688 square-km Newmont Lake property, which contains at least four mineralized systems with district-scale potential all starting from surface: Burgundy, McLymont, North Toe and Chachi.

A 2021 discovery hole at Burgundy Ridge intersected 331 meters of 0.71% copper-equivalent from surface. 2022 exploration focused on expanding the mineralized footprint at Burgundy, aiming to demonstrate an alkalic porphyry system with size and grade rivaling Galore Creek to the northwest. Field crews last summer were dispatched to conduct geophysical, geochemical, and geological mapping surveys at the flagship, Newmont Lake.

North Toe is a copper-gold porphyry target previously covered by a retreating glacier. North Toe is around 8 km northeast of Burgundy Ridge, and is believed to be part of a 20-km structural corridor controlling copper-gold mineralization known as the Copperline.
Kodiak Copper Corp (TSXV:KDK, OTCQB:KDKCF)

Kodiak Copper’s MPD copper-gold porphyry project consolidated four properties: Man, Prime, Dillard and Axe. MPD is located near Merritt, southcentral BC, in the Quesnel Trough. It is also midway between the operating Copper Mountain and Highland Valley mines.

Claudia Tornquist, President & CEO of Kodiak said, “Kodiak’s 2023 exploration program was a resounding success. We set out to demonstrate the potential of MPD beyond our initial discovery at the Gate Zone, and our drilling has now proven multiple kilometre-scale mineralized porphyry centres across the property. Importantly, 2023 results include high-grade intercepts and mineralization right from surface. The discovery of an entirely new porphyry centre at 1516 is a particularly positive development which we will certainly follow up on.”
Dolly Varden Silver (TSXV:DV, OTCQX:DOLLF)

Dolly Varden’s Kitsault Valley project is located at the southern end of the Golden Triangle. It represents the amalgamation of its original namesake silver property and its Homestake Ridge gold-silver property.

This 163-square-kilometer land package hosts one of the largest undeveloped high-grade precious metals projects in Western Canada.

Results from Dolly’s 2023 51,500m drill program contained some spectacular, “jewelry-box” silver grades. The highlight of a grouping of holes from the Wolf Vein was hole DV23-368, which intersected 1,898 g/t over 1.00m within 381 g/t Ag over 29.34m core length.

In February, Dolly announced that 2023 step-out drilling encountered a new gold-rich zone to the northwest of the Homestake Silver deposit.

In December, Dolly said it was acquiring the southern portion of the Big Bulk project from Libero Copper & Gold.

When combined with Dolly’s northern portion, it doubles the size of the Big Bulk project to approximately 6,000 hectares. The option gives Dolly a consolidated copper-gold porphyry project in the Golden Triangle.
Goliath Resources (TSXV:GOT, OTCQB:GOTRF)

Goliath’s Golddigger property covers 61,685 hectares of the Eskay Rift within the Golden Triangle; it is within 3 km of the Red Line. Over 65,000 meters of drilling at the newly discovered Surebet Zone has confirmed 1.8-square kilometers of multiple highly mineralized stacked zones containing bonanza gold grades that remain open.

In January, Goliath reported discovery of the new high-grade gold- copper Treasure Island target. The target contains channel samples that assayed up to 28.08 grams per tonne gold-equivalent, and grab samples up to 11.08 g/t AuEq. Treasure Island is located 36 km north of the Surebet discovery, 6 km to the east of, and on trend with, the Porter Idaho mine, and 9 km east of Stewart. The target has recently been exposed because of glacial retreat and will be drill-tested for the first time during the 2024 field season.

Goliath’s updated model at Surebet confirms six new gold veins for a total of 10, increasing the tonnage potential to 78-97 million tonnes.
Silver North Resources (TSXV:SNAG, OTCQB:TARSF)

Silver North’s underexplored Haldane project demonstrates high-grade, high-width potential akin to the veins being mined at the Yukon Territory’s Keno Hill, one of the most prolific silver districts in Canada.

In 2021, Silver North announced a new discovery at the West Fault Zone, where drilling intersected 311 g/t silver over 8.7 meters (true width), This was followed by 3.14m of 1,315 g/t silver.

According to Silver North, this new zone has been traced over a 100- by 90-meter area with room to expand along strike and at depth.

South of Haldane, Silver North is working with partner Coeur Mining to develop the Tim carbonate replacement deposit (CRD) property, located on the Yukon side of the Yukon-British Columbia border.

Silver North has an option agreement with Coeur Mining, which can earn 80% ownership in the project by spending $3.5 million on exploration over five years, making $575,000 cash payments and completing a feasibility study within eight years.

Coeur is funding a minimum $700,000 drill program of about 2,000 meters, expected to start in June.
Core Assets (CSE:CC, OTCQB:CCOOF)

Core Asset’s Blue property is in the last unexplored area of British Columbia’s Stikine Terrane. It consists of three projects with a combined 11 exploration targets. These targets span several mineral deposit types including Mo-Cu-bearing porphyries with associated with copper or copper-zinc-silver rich skarn deposits, silver-lead-zinc-copper rich massive sulfide carbonate replacement deposits (CRDs), and distal base metal-gold-silver vein assemblages.

At the center of the Blue property, the Silver Lime project contains one of the largest and highest-grade surface expressions of any early-stage CRD project. Silver Lime contains copper, molybdenum, silver, zinc, lead, and gold-bearing ore styles that span the full porphyry-skarn-carbonate replacement spectrum.

In 2023, Core Assets completed 4,245m of shallow, exploratory diamond drilling over 21 drill holes; 14.4 line-kilometers of a high-resolution 3D-DCIP geophysical survey over the high-grade Pete’s-Sulphide City-Gally Trend; and collected 89 surficial rock samples across the Silver Lime CRD-porphyry project footprint.
Skeena Resources (TSX:SKE)

Skeena is revitalizing the Eskay Creek and Snip projects, two past-producing mines located in the Golden Triangle.

Discovered in 1988, the former Eskay Creek mine produced about 3.3 million ounces of gold and 160 million ounces of silver at average grades of 45 g/t Au and 2,224 g/t Ag. It was once the world’s highest-grade gold mine and fifth-largest silver mine by volume.

The company completed a definitive feasibility study for Eskay Creek in November 2023 which highlighted high-grade, pit-constrained reserves of 4.6Moz AuEq at an average grade of 3.6 g/t AuEq. Skeena is aggressively advancing Eskay Creek toward production, with construction activities continuing in 2024.

Skeena acquired the past-producing Snip mine from Barrick Gold in July 2017. The property consists of one mining lease and eight mineral claims totaling approximately 4,546 hectares in the Liard Mining Division. The Snip mine produced approximately 1 million ounces of gold from 1991-99 at an average grade of 27.5 g/t.
Eskay Mining (TSXV:ESK, OTCQX:ESKYF)

Eskay Mining’s ESKAY-Corey property hosts several volcanogenic massive sulfide (VMS) targets and has the potential to host nickel-copper massive sulfide and several occurrences of vein-style mineralization. Main VMS target areas on the property include the SIB-Lulu, TV-Jeff, C10, GFJ and Spearhead zones.

A new model of the Eskay Mining District suggests the flanks of each of three anticlines are prospective for Eskay Creek-style VMS mineralization where favorable strata (rock layers) are exposed.

Precious metal-rich volcanogenic massive sulfide deposits are the focus of Eskay’s exploration.

Eskay says it received encouraging assay results from its 2023 diamond drill and exploration campaign. Drill intercepts of 6.28 g/t AuEq over 15m, 2.96 g/t AuEq over 22.52m, 2 g/t AuEq over 61.23m and 1.39 g/t AuEq over 45.67m were encountered at the Cumberland showing.

Rock chip samples of 37.23, 23.34, 20.34 and 20.23 g/t AuEq were taken from Scarlet Knob.
Decade Resources (TSXV:DEC)

Decade Resources has a 65% interest in the Red Cliff property, a former copper-gold producer from the early 1900s in the Golden Triangle.

Decade has identified four gold-bearing zones called Red Cliff, Upper Montrose, Lower Montrose and Waterpump within eight Crown-granted claims along Lydden Creek.

Six mineralization types have been identified: extremely fine grained pyrite in host rocks that have been pervasively altered to a mixture of sericite and quartz; a stockwork of quartz veinlets carrying coarse-grained pyrite and chalcopyrite plus or minus visible gold; a stockwork of fine pale yellow-brown sphalerite-galena with plus or minus chalcopyrite and plus or minus visible gold; massive pyrite veins with variable amounts of chalcopyrite and quartz with generally low to significant gold values; massive hematite veinlets with coarse cube pyrite along wide stockwork zones; and intensely silicified rocks, possibly intrusive with strong epidote and chlorite associated with quartz veins up to 5 meters wide, containing up to 25% coarse pyrite and local minor chalcopyrite.


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Tuesday, March 16, 2021

POLLUTER PAY? NO WAY!
Over a hundred known, potentially contaminated mine waste sites in British Columbia – NGOs

Valentina Ruiz Leotaud | March 14, 2021 

Aerial view of Mount Polley tailings dam breach in August 2014. 
(Image courtesy of Business in Vancouver).

Two maps produced by SkeenaWild Conservation Trust and the BC Mining Law Reform Network show that there are over a hundred known and potentially contaminated mine waste sites that threaten to pollute waters, fish habitat and communities across the western Canadian province of British Columbia.


In detail, the maps display 173 coal and metal mines across BC, including all major mines as well as historic mines where over 300,000 tonnes of ore were extracted, if production ceased before 1985, or over 10,000 tonnes if production ceased during or after 1985.

The maps also show whether mines are proposed (16), operating (17), in care and maintenance (17), closed/abandoned (84), or historic sites that are being redeveloped for further mining (39).

After gathering the information that makes up the maps, SkeenaWild and the BC Mining Law Reform Network noticed that only two of the 173 sites analyzed are demonstrated to pose no current water contamination threat.

Meanwhile, the data show that 116 of the sites have either already contaminated the surrounding environment, or have the known potential to do so. Acid mine drainage is a concern at 71 sites, many of which will still encounter water contamination issues even if acidic drainage is mitigated.

According to the NGOs, even though 55 of the sites have no publicly available information about their contamination risk, many seem likely to have some contamination concern, given their location and deposit geology.


CLICK ON TO EXPAND
One of the maps produced by SkeenaWild and the BC Mining Law Reform Network.

“Mining poses risks of water contamination from acid mine drainage and heavy metal and pollutant leaching,” the organizations said in a media statement. “At times, this can result in the need for water treatment in perpetuity which can cost taxpayers millions, as with the Britannia Mine that has cost $40 million for clean-up to date and an additional $3 million annually to reduce acid mine drainage and heavy metals from entering Howe Sound.”

An example of the mines depicted on the maps is the closed Tulsequah Chief mine, owned by Chieftain Metals, and which has been leaking acid mine drainage into the Taku watershed near the British Columbia-Alaska border for over 60 years.

ONLY TWO OF THE 173 SITES ON THE MAPS ARE DEMONSTRATED TO POSE NO CURRENT WATER CONTAMINATION THREAT

“As well as being highly acidic, the contaminated water includes copper and zinc, among other contaminants, at levels far exceeding BC Water Quality standards,” the press brief states. “The BC remediation plan was released in 2020 with three different options for controlling and addressing the water contamination issues.”

The estimated cost of dealing with the problem is close to $60 million, with annual costs of over a million. Yet, SkeenaWild and the BCMLRN said the provincial government has collected just over a $1 million reclamation bond for Tulsequah Chief.

Other examples

Other cases highlighted are those of Imperial Metals’ Mount Polley mine, which is under care and maintenance after its tailings pond collapsed on August 4, 2014, spilling 24 million cubic metres of solid and liquid mine wastes into Hazeltine Creek and Quesnel Lake; and Copper Mountain and Mitsubishi’s operating Copper Mountain mine, where seepage from the West dam is currently discharging directly into the Similkameen River at 60 litres/second or 5.2 million litres per day.

Glencore Canada’s Bell and Granisle copper mines, which are closed, have acid rock drainage potential and discharge wastewater directly into the Babine Lake, are also shown on the maps. In the view of the NGOs, this water can contain copper concentrations up to 20x greater than provincial water quality guidelines, as well as a number of other elevated contaminants.

Finally, another case presented on the maps is that of the Elk Valley Watershed, where selenium pollution has been detected from Teck Resources’ mountain-top removal coal mines in the Rocky Mountains, which flows into the Elk River and then into the Kootenay River, hundreds of kilometres downstream through Montana, Idaho and back into BC.

Tuesday, May 30, 2023

B.C.'s 'dirty dozen' mines called out in new report

As Canada aims to ramp up extraction of critical minerals, a new report calls out several B.C. mines for their environmental records and risky operations.
elk-valley-01_272174271
An aerial view of Teck Resources Ltd.'s Elk Valley Coal mine in the east Kootenay region. Selenium pollution from 120 years of mining has left a legacy of impacts. HANDOUT

A coal mine run by Teck Resources Ltd. — the same company whose board former premier John Horgan joined this year — tops the list of nearly a dozen mining projects called out for their risky operations or environmental records.

The report from BC Mining Law Reform, titled Dirty Dozen 2023: B.C.’s top polluting and risky mines, called out 11 mines and the province’s free-entry mining system as standing in the way of a responsible mining industry in the province.

Evidence in the report includes a 2022 peer-reviewed study that found more than 40 per cent of the amendments B.C. mines requested under the the province's environmental assessment process were approved even though they were “likely to have negative impacts on” effluent discharge, lead to the extraction of more water, or degrade fish habitat.

“We’re talking about a systematic problem,” said Nikki Skuce, co-chair of the BC Mining Law Reform Network.

Industry and the government have a culture of believing that we have the best environmental standards when it comes to mining. But that’s just themselves proclaiming.”

Michael Goehring, president and CEO of the Mining Association of British Columbia, pushed back on the group's findings, saying they contain “inaccuracies and misleading and selective information” that fail to offer “a balanced and unbiased perspective on B.C.’s mining industry.”

“B.C.’s mines adhere to some of the toughest regulatory standards globally when it comes to environmental assessment, operational permitting, compliance and enforcement, and post-closure monitoring and reclamation,” he said in a statement to Glacier Media.

Goehring added the province has made “substantial reforms to mining laws in recent years,” improved regulations around health, safety and mine reclamation, and updated guidelines around water quality and mine tailings storage facilities.

One of North America's 'most serious pollution problems'

The first on its list, Teck’s Elk Valley Coal mine sits a few kilometres east of Fernie. The open-pit mine, which produces coal used in the production of steel and is in the process of being spun off as a separate entity, is described in the report as “one of the most serious pollution problems in North America.”

Since the mid-1990s, the mine has repeatedly released selenium into nearby rivers, contaminating it for people and fish. The report points to a recently released provincial water quality hub, which indicates the mine's water quality limits have faced multiple cases of non-compliance.

Between 2015 and 2022, 55 inspections led to 19 warnings and 13 referrals for administrative penalties, including a nearly $16-million fine issued earlier this year.

The province is still actively investigating referrals for another six administrative penalties.

“Teck has definitely been polluting the longest and the most,” Skuce said.

“Maybe those penalties need to be higher.”

Tailings ponds put environment and at least 3,000 lives at risk, says group

The report also lists the Gibraltar copper and molybdenum mine, North America’s fourth largest open-pit mine, as among several mines in the province with tailings ponds that would lead to “extreme” consequences if they failed.

2022 report conducted by international mining expert Steven Emerman on behalf of BC Mining Law Reform and SkeenaWild Conservation Trust found nearly half of B.C.’s existing mine sites with tailings storage facilities are likely to have high, very high, or extreme consequences in the event of dam failure. 

Emerman said that puts a minimum of 3,000 lives at risk over the coming decades — largely because, in addition to the 172 tailings dams already built in B.C., a mining boom means new dams are getting bigger and taller, rivalling some of the largest in the world.  

“We're moving into a very scary future where tailings dams are getting riskier and riskier,” he said at the time.

Tailings dams indefinitely store vast pools of waste left over from mining. They contain toxic heavy metals like selenium, and other toxins such as arsenic and cyanide. 

In B.C., public data suggests there are about 2.5 million cubic metres of such liquid mine waste held back from pouring into watersheds and impacting communities. It’s a volume of waste that could fill BC Place stadium 943 times. 

Other mines on the group’s “dirty dozen” list include Copper Mountain near Princeton, which has discharged wastewater directly to the Similkameen River, damaging fish habitat, and the Quintette coal mine in B.C.’s Peace region, where cleanup and reclamation are on pause 23 years after it was shut.

And then there's Mount Polley, an open-pit gold and copper mine north of Williams Lake where the 2014 failure of a tailings dam led to the release of 25 billion litres of contaminated water in the largest environmental disaster of its kind in Canadian history.

Skuce, who co-authored the latest report, said the B.C. government has made a number of positive steps over the past year, including publishing projected mining reclamation costs expected to fall to the province.

But she says big gaps remain. Many of the recommendations made after the Mount Polley disaster have yet to been enacted, and Skuce says there is still no industry pooled fund set up to respond if such disaster happens again.

'Free miner's certificate' circumvents Indigenous consent, says report

The final target on the group’s list is not a hole in the ground, but B.C.’s free-entry system that allows companies to stake claims without consulting First Nations. A “free miner’s certificate” can be obtained for $25 for an individual and $500 for a corporation.

“With this certificate, a miner can go online to stake an area of interest for $1.75 per hectare, granting them the right of free entry to explore for minerals in more than 76% of the province without permission or consent from Indigenous nations, private landowners or municipalities,” the report says.

The report points to ongoing litigation filed by the GitxaaÅ‚a and Ehattesaht First Nations as they challenge more than 30 mining claims in their territory.

In his statement, Goehring said B.C.'s mining industry has a “strong track record” in promoting economic reconciliation with Indigenous peoples and that the group supports the modernization of the Mineral Tenure Act, which governs the free-entry system.

The report comes as the federal governments looks to promote its critical minerals strategy, meant to jump-start mining of key ingredients needed in batteries.

“There’s increasing pressure to mine more as we move to transition to a low-carbon future. I think B.C. still has risks and shortcomings,” Skuce said.

“There are solutions and reforms that need to happen.”