SUDBURY, ON, Oct. 9, 2024 /CNW/ - The Government of Canada is working to seize the generational opportunity presented by critical minerals while ensuring that Indigenous Peoples and communities share in those benefits. Canada is well positioned to be a global leader and first-class producer of a wide variety of critical minerals that are essential to power the clean economy — including nickel and copper — and, in turn, create good jobs and support economic opportunities across critical mineral value chains — from mining to processing, manufacturing and recycling.
Today, the Honourable Jonathan Wilkinson, Canada's Minister of Energy and Natural Resources, announced funding to support the further development of critical minerals in Sudbury and the surrounding region.
Minister Wilkinson announced up to $8.4 million in conditionally approved funding provided through the Critical Minerals Infrastructure Fund (CMIF), pending final due diligence from Natural Resources Canada, for five critical mineral infrastructure development projects in the Sudbury and Timmins regions. This investment would include:
- Up to $6.8 million for the Crawford Nickel Sulphide Project to inform the mine's electrification and connection to the Ontario electricity grid. This includes:
- Up to $2.4 million for Transmission Infrastructure Partnerships 1 Limited to advance a transmission line connecting the Crawford Nickel Sulphide Project to the Ontario power grid.
- Up to $4.4 million for Canada Nickel Company Ltd. to conduct studies to inform the Crawford Nickel Sulphide Project's electrification plan. When in production, the Project is expected to create over 1,500 high-paying jobs, according to Canada Nickel, and its electrification will reduce greenhouse gas emissions by 60 percent compared with diesel-powered operations.
- Up to $1.6 million for Magna Mining Inc. to support pre-construction activities to help power the Shakespeare and Crean Hill mines with clean electricity and connect the Shakespeare mine to the Ontario highway system. These mines will produce nickel and copper and help meet demand for these critical minerals as demand for use in clean technologies increases. The Crean Hill project is restarting an existing mine to meet this demand.
Also, with $2.7 million from Natural Resources Canada, Giyak Mishkawzid Shkagmikwe Inc. (GMS) and Taighwenini Technical Services Corporation (TTS), the economic development corporations of Atikameksheng Anishnawbek and Wahnapitae First Nation respectively, will purchase two production mining drills. These drills will be leased out to support First Nations training opportunities, wealth generation and participation in the clean economy. This purchase will help Indigenous partners participate in the revitalization at Vale's Stobie mine, which is a nearly $1-billion joint project of Vale, Thiess, United Steel Workers and local First Nations, to produce more nickel and copper. The historic Stobie Pit, which ceased operations in 2017 after 100 years, will be restarted to continue providing good jobs for the people of Sudbury, and production is expected to ramp up in the coming years.
Minister Wilkinson made the announcement while visiting the Vale Stobie mine site in Sudbury. The Minister was in Sudbury to participate in the Conference of Mining Regions and Cities hosted by the Organisation for Economic Cooperation and Development.
Critical minerals are essential components in products used for clean energy technologies such as electric vehicles, electrical transmission lines and batteries. Canada's mining sector provides many of the building blocks of clean technologies, including nickel and copper, needed to fight climate change and build a clean economy.
Across the country, clean energy solutions are providing enormous economic opportunity for Canada. The critical mineral sector is already highly valuable to our economy. In 2022, the minerals and metals sector directly employed 420,000 people and contributed $109 billion of Canada's total gross domestic product (GDP). Since 2020, automotive and battery manufacturers have announced investments of over $40 billion in electric vehicle production and the battery supply chain. With government support and with demand for critical minerals expected to double by 2024, these sectors will only grow. Today's investments in mining and critical minerals will help deliver jobs and economic opportunities for Northern Ontario, along with Indigenous partners and communities.
"Today's investments are about fostering Northern Ontario's mining expertise to create more jobs and drive economic growth. It is our priority that Indigenous partners have a part to play in the development of natural resources on our way to a clean energy future. The mining industry is one of the top employers for Indigenous communities across Canada, and we want to continue to encourage collaboration between mining and Indigenous communities."
The Honourable Jonathan Wilkinson
Minister of Energy and Natural Resources
"Canada is a mining nation and a leader in sustainable resource management. In Northern Ontario, particularly in Nickel Belt, our strong environmental, social and governance standards will be crucial as demand for critical minerals rises. By partnering with Indigenous communities and local mining partners, we ensure responsible sourcing of essential materials while protecting our planet and economy."
Marc G. Serré, MP for Nickel Belt, Parliamentary Secretary to the Minister of Energy and Natural Resources and Parliamentary Secretary to the Minister of Official Languages
"Investing in critical minerals in Northern Ontario is vital for both our economic prosperity and future sustainability. Investing in our Indigenous communities is also fundamental to ensuring economic reconciliation. Northern Ontario has the key ingredients and partners to transition to a clean economy, and we know the right support is needed. These investments demonstrate our government's commitment to supporting Indigenous communities and the mining and mining supply industry."
Viviane Lapointe
Member of Parliament, Sudbury
"With our traditional territories spanning one of Canada's key mining basins, it is critical that we take an active role in local mining activities. By owning and renting these drills, our communities will reap significant benefits, both economically and through the creation of meaningful employment opportunities."
Craig Nootchtai
Gimaa (Chief), Atikameksheng Anishnawbek.
"This marks the beginning of an exciting new venture for us. I believe this is a great example of how we, as First Nation communities, can support mining on our traditional territories when it is carried out in a way that respects and strengthens Indigenous Peoples, as well as our culture and history."
Larry Roque
Chief, Wahnapitae First Nation
"Canada Nickel is pleased to receive this contribution from the Government of Canada for the development of our clean energy infrastructure. With the CMIF's support and meaningful Indigenous partnerships, Canada Nickel can integrate low-carbon grid power as we advance our Crawford Nickel Sulphide Project toward construction. Our flagship Project, anticipated to be Canada's largest nickel mine, is expected to contribute a significant amount of nickel, cobalt and chromium to advance the Canadian Critical Minerals Strategy. Together, we are contributing to a future where resource development aligns with environmental stewardship and reconciliation."
Mark Selby
CEO, Canada Nickel Company
"These proposed investments from the Critical Minerals Infrastructure Fund will make a significant contribution toward the success of Magna Mining's Crean Hill and Shakespeare Projects in Sudbury. We expect that these projects will benefit many stakeholders in the Sudbury region over the coming years, including the Indigenous communities and Indigenous-owned businesses that will play key roles in the development of these mines. We look forward to continued collaboration with the Government of Canada as we bring multiple new critical mineral mines into production in Sudbury."
Paul Fowler
Senior Vice President, Magna Mining Inc.
- Stainless steel is the largest end use for nickel, accounting for just under two-thirds of total consumption. Nickel is used as an alloying agent in the manufacture of both metal products that contain iron and those that do not. It is also used in electroplating, in which a thin layer of nickel is coated onto a metal object as a decorative feature or to provide resistance to corrosion and wear. While nickel is well known as a component in the manufacture of nickel-cadmium batteries, an important evolving use is in production of lithium-ion batteries for EVs.
- In 2022, Canada produced 143,266 tonnes of nickel in concentrate. Ontario produced 50 percent of Canada's mined nickel.
- Ontario-based Electra Battery Materials is developing a cobalt and nickel sulfate production plant and a lithium-ion battery recycling plant north of Toronto.
- The mining industry is the top private-sector industrial employer for Indigenous people in Canada.
- Canada has developed its own critical minerals strategy with the aim of advancing the development of these resources and related value chains to drive the transition to a low-carbon economy and support advanced technology and manufacturing.
- The Canadian Critical Minerals Strategy addresses five core objectives:
- supporting economic growth, competitiveness and job creation;
- promoting climate action and strong environmental management;
- enhancing global security and partnerships with allies;
- advancing reconciliation with Indigenous peoples; and
- fostering diverse and inclusive workforces and communities.
- Canada's whole-of-government approach to critical mineral development is collaborative, forward-looking, iterative, adaptive and long-term. The initiatives presented in the Strategy will be implemented and refined in collaboration with provincial, territorial, Indigenous, industry and other Canadian and international partners.
- Budget 2022 allocated $100 million over five years starting in 2022–23, to renew and expand the Indigenous Partnerships Office (IPO) and the INRP Program to make it a national natural resource sector-wide program.
- At least $25 million of the $80 million in INRP contribution funding is to be dedicated to early engagement and Indigenous communities' capacity building to support their participation in the Critical Minerals Strategy.
- The CMIF is a key program under the Strategy to support enabling clean energy and transportation infrastructure projects necessary to increase Canada's supply of responsibly sourced critical minerals.
- The CMIF supports strategic priorities such as decarbonizing industrial mining operations, strengthening supply chains through transportation infrastructure and advancing economic reconciliation by supporting the participation of Indigenous Peoples in infrastructure and critical minerals projects.
- In addition, the federal government is helping to develop Canada's abundant critical minerals through NRCan's Regional Energy and Resource Tables. These regional tables are joint partnerships with individual provinces and territories — in collaboration with Indigenous partners and with the input of key stakeholders — to identify and accelerate shared economic priorities for a low-carbon future in the energy and resource sectors.
- Project Funding Backgrounder: Indigenous Natural Resource Partnerships Program - Canada.ca
- Indigenous Natural Resource Partnerships
- Critical Minerals in Canada
- Canadian Critical Minerals Strategy
- Government of Canada Launches $1.5-Billion Critical Minerals Infrastructure Fund
- Canada and B.C. Invest in Infrastructure Upgrades to Support Critical Minerals Development in Northwest B.C. and Create Jobs Across the Province
- Canada Announces Significant Funding to Unlock More Critical Minerals Development in Northern British Columbia and the Yukon
- Programs and funding for critical minerals projects
- Regional Energy and Resource Tables
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SOURCE Natural Resources Canada
Contacts: Natural Resources Canada, Media Relations, 343-292-6100, [email protected]; Cindy Caturao, Press Secretary, Office of the Minister of Energy and Natural Resources, 613-795-5638, [email protected]
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