NIRB: We won’t rubber-stamp Baffinland’s Milne Inlet expansion plan

The camp at Milne Inlet, as seen in the summer of 2014. Baffinland Iron Mines Corp. is applying to the Nunavut Impact Review Board for changes to its terms and conditions that would allow the shipping of up to 12 million metric tons through Milne Inlet for about 10 months of the year, from June to March, well beyond the ice-free season. (PHOTO COURTESY OF BAFFINLAND)

The Nunavut Impact Review Board hinted this week that it’s possible an amended project proposal submitted by Baffinland for the Mary River iron mine in North Baffin might require an updated final environmental impact statement, community meetings, technical sessions and either written or oral public hearings.

“The timelines associated with the reconsideration of the terms and conditions of a NIRB Project Certificate are significantly shorter than for the original review of the Project, however, the Board still requires that sufficient opportunity for public notice and participation be provided,” said a Nov. 6 NIRB news release.

Baffinland surprised many stakeholders Oct. 29 by announcing that the company wishes to further delay construction of a planned railroad from the mine site to a proposed port at Steensby Inlet and instead continue shipping ore, nearly year-round, out of Milne Inlet.

Up until now, the company was continuing with its “early revenue phase” or ERP, which focused on shipping small amounts of ore out of Milne Inlet and only during open water season.

Now Baffinland wants the NIRB to approve, among other things, a plan to increase annual shipments from 4.2 million metric tons of iron ore per year to 12 million metric tonnes per year and to extend the shipping season to between June and March each year with the help of “ice management vessels.”

Because Baffinland is seeking many comprehensive changes to its already amended project certificate — not the least being beefed up industrial activity planned for Milne Inlet and shipping for 10 months per year — the NIRB is warning the company that public input will be necessary.

After “assessing the ecosystemic and socio-economic effects” of the company’s current proposal, the review board says it will first decide whether it should proceed at all — and then whether amendments or additions to the project certificate are required.

Any changes to the project certificate that the NIRB might impose would have to be approved by the federal minister of Aboriginal Affairs and Northern Development.

If approved, new terms and conditions would be added to Mary River’s project certificate, the news release says. If not approved, then Baffinland would be free to continue operating under its existing plan.

Baffinland wants to ship greater volumes of iron ore out of Mary River in an apparent attempt to increase revenues in the face of falling iron ore prices.

The company says the port railway phase will cost more than $5 billion, and that raising revenue is necessary for future financing.

The Mary River iron mine is located about 160 km south of Pond Inlet.