Debates of February 19, 2013 (day 9)

Date
February
19
2013
Session
17th Assembly, 4th Session
Day
9
Speaker
Members Present
Hon. Glen Abernethy, Hon. Tom Beaulieu, Ms. Bisaro, Mr. Blake, Mr. Bouchard, Mr. Bromley, Mr. Dolynny, Mrs. Groenewegen, Mr. Hawkins, Hon. Jackie Jacobson, Hon. Jackson Lafferty, Hon. Bob McLeod, Hon. Robert McLeod, Mr. Menicoche, Hon. Michael Miltenberger, Mr. Moses, Mr. Nadli, Hon. David Ramsay, Mr. Yakeleya
Topics
Statements

QUESTION 97-17(4): AVALON RARE MINERALS THOR LAKE PROJECT

Thank you, Mr. Speaker. As I indicated, I’m making a presentation to Avalon public hearings today. My questions today are for the Minister of ITI related to that project. Has the Department of ITI begun to create a socio-economic agreement for this project and this company? Thank you.

Speaker: MR. SPEAKER

Thank you, Mr. Bouchard. The Minister of Industry, Tourism and Investment, Mr. Ramsay.

Thank you, Mr. Speaker. We’ve been discussing, with Avalon, their plans for the development of a mine at Thor Lake for a number of years now. Last October Cabinet gave us the mandate at ITI to look at the establishment of a socio-economic agreement with Avalon. We are currently in negotiations with Avalon on a socio-economic agreement and we hope to see that agreement put in place within the next several months. Thank you.

Thank you. As I indicated in my Member’s statement, we’re excited to see this project in the South Slave and I’m just wondering what the Department of ITI is doing to support Avalon in their ventures to complete this project.

Thank you. We’ve done a number of things. In the South Slave ITI office, we’ve looked at a feasibility study for a limestone quarry in the south part of the Northwest Territories that would help in supplying limestone to the potential hydromet facility at the old Pine Point mine site. We continue negotiations, as I mentioned, on a socio-economic agreement. We’re looking at the establishment of a special economic zone in the old Pine Point mine site. I know the Mackenzie Valley Pipeline preparedness office or petroleum planning office now in Hay River has also done a preliminary examination on the potential models and associated management of such a specialized economic zone at the old Pine Point site.

So we’re doing a number of things, and just yesterday I appeared at the EA for Avalon here in Yellowknife and provided comments, and I’d be happy to share those comments with the Members, as well, on behalf of all the government. Thank you.

The Minister indicated the special economic zone for industrial areas set up for the old Pine Point site. I’m just wondering if the Minister can elaborate on when the department will be able to formalize the industrial area to take advantage of the potentially lower power in that area.

As plans for the establishment of that mine move forward and it gets through the regulatory process, we will certainly be ramping up discussions on that specialized economic zone. We are also looking at the possibility of putting wholesale power into that area, as well, to make it more economical to have a hydro facility and the jobs coming to the South Slave region. So we continue those discussions. We want to see the regulatory process play itself out. Again, we do look forward to the jobs and the opportunities that such a development would bring.

Speaker: MR. SPEAKER

Thank you, Mr. Ramsay. Final, short supplementary, Mr. Bouchard.

Thank you, Mr. Speaker. What is the department doing to maximize the economic benefit impact for Northerners, workers and northern companies to take advantage of this project?

Avalon has gone out. I know they have an IBA in place with the community of Fort Resolution. For us, it’s through the socio-economic agreements and, again, we are negotiating an agreement with Avalon that would see maximized benefits for local businesses and people on jobs and business opportunities associated with both the operation at Thor Lake, the mine itself, and the hydromet facility south of the lake. We’re working on that and we will continue to try to get the best deal for Northerners. Thank you.

Speaker: MR. SPEAKER

Thank you, Mr. Ramsay. The honourable Member for Yellowknife Centre, Mr. Hawkins.