High-purity iron’s addition to critical minerals list potential boon for Nunavut: mining experts
Federal government adds high-purity iron like that produced by Baffinland to its list of critical minerals
Baffinland Iron Mines Corp.’s Mary River mine may get a financial boost after the high-purity iron the mine produces was added to Canada’s critical minerals list last week. (File photo)
Baffinland Iron Mines Corp. and other advocates for Nunavut’s mining sector are applauding the federal government’s inclusion of high-purity iron on Canada’s critical minerals list.
“The addition of high-purity iron ore to the critical minerals list will open up additional investment sources for Baffinland, both from the public and private sector,” said Peter Akman, a spokesperson for the Oakville, Ont.-based mining company.
The company runs the Mary River iron mine on Baffin Island.
Mining accounts for about one-quarter of Nunavut’s economic activity.
Federal Natural Resources Minister Jonathan Wilkinson announced the addition of high-purity iron, as well as phosphorus and silicon metal, to Canada’s 34-mineral list on June 10.
Traditionally, critical minerals have been considered to be metals like lithium, copper and zinc that are used in the generation of electricity. As the world turns to electricity to reduce greenhouse gas emissions, those minerals are becoming increasingly important in that transition.
They are used in electric batteries, wind turbines and other green energy sources.
The government added high-purity iron to the list because it can be used to make steel with less impact on the environment. Traditionally, steel production has used large quantities of coal.
Baffinland’s high-purity iron is about 67 per cent pure, Akman said, meaning it requires less burning of coal to turn it into steel.
“The announcement confirms what we have always said — Nunavut’s high-grade iron ore is a critical ingredient in the global green economic and energy transition. It is also critical to the future production of low-carbon green steel,” Akman said.
Dennis Patterson, a retired senator who represented Nunavut, said the inclusion of high-purity iron on the government’s list should benefit the territory.
“I think this is great news for the Inuit, who own the resource, and great news for Nunavut,” he said.
Baffinland’s Mary River Mine is on Inuit-owned land and is leased to the company.
As nations move toward their commitment to reduce greenhouse gas emissions, “green steel has become prized and sought after in Europe,” Patterson said, noting Baffinland has inked three agreements with European steel manufacturers to help produce green steel.
Canada’s critical minerals list was first published in 2021 as part of the federal government’s critical minerals strategy. The government reviews the list every three years to determine whether minerals should be added or removed.
Karen Costello, executive director of the NWT & Nunavut Chamber of Mines, said her organization was “happy” to see the government consider input from various parties as part of its recent review.
The critical minerals are also considered a priority from a geo-political standpoint. Canada, the U.S. and other western nations believe critical minerals to be of strategic importance.
Nations such as China and Russia, which are increasingly seen as hostile toward the west, control and produce large quantities of critical minerals.
Western nations are seeking to develop supply chains independent of potential future hostile actors.
“As the world’s economies shift toward low-carbon energy, China controls much of the critical mineral supply chain needed to power that shift,” Tom Hoefer, a former executive director of the NWT & Nunavut Chamber of Mines, said in a news story last year.
This IS good news. we must preserve our culture, just as much in the same way we must prepare for the future. Inuit must take advantage of the jobs, or else other people WILL!
Others already have been getting jobs.
For the last few decades.
Education and experience may have something to do with it.
Time to catch up Nunavut.
This is great news but lets hope it doesn’t confuse the folks at Baffinland who figured they could do whatever they wanted to do on the Inuit owned land without the consideration of the environment, to many ego’s like Peter and Mr. Penny who think they are entitled. Respect the land and its people.
Great comment from NWT/NU Chamber of Mines. Really Karen. This should be the NU Chamber of Mines, Way to long have this group used funding dollars from NU to line their pockets without real investment in Nunavut.
Time to take it back Nunavut. Taima.
I think you might be surprised. No company or government has done more research on Baffin Island environment or culture than Baffinland (both IQ and scientific based knowledge). That is a fact. The documentation/contributions that Baffinland has funded to the overall understanding of environment and traditional knowledge on Baffin Island is immense. This includes the marine environment, land based research and socio-economic. That is an incredible amount of respect. That isn’t a group that thinks they are entitled, that is a group that has done their homework. Big difference.
Like a former provincial Premier said…”The environment is already shot. Build them all…”
Mines and pipelines.
I find it quite concerning that Karen transitioned directly from her role as Executive Director at NIRB to the Chamber of Mines a defacto lobby/advocacy group without any cooling-off period.
It sounds like you think NIRB’s job is to stop mining when in fact it is a group that encourages applications for mining but is tasked with ensuring all stakeholders input is considered and that it is done responsibly. NIRB and the Chamber of Mines actually have the same desired outcome.
NIRB Mandate is “to assess the potential impacts of proposed development in the Nunavut Settlement Area prior to approval of the required project authorizations. Using both traditional knowledge and recognized scientific methods, the NIRB assesses the potential biophysical and socio-economic impact of proposals and will make recommendations and decisions about which projects may proceed.”
I never said that NIRB was anti-industry; you are pushing that narrative. My point is that NIRB, as a regulator, should be a neutral party. Consequently, its staff and board members should maintain neutrality as a quasi-judicial body. For the Executive Director to so quickly and eagerly join an industry lobby group that NIRB regulates raises questions and public distrust regarding the regulator’s impartiality and neutrality.
Cooling-off periods are commonly implemented for regulators and senior government officials before transitioning to private industry or lobbying groups. These periods are designed to prevent conflicts of interest and ensure that decisions made while in public institutions are not influenced by the prospect of future employment.
Win Win
Really – the NWT/NU Chamber of Mines is a concern for taking money from NU and lining their pockets? Have you looked at the state of the NU government, NTI, IPGs (NIRB/Waterboard/Planning Commission)? It’s time for Nunavut to step up. The tools are in place – its leadership is not.
Correct me if I am wrong, but as I understand it the mine is on IOL therefore whatever royalties are negotiated will go to the RIO (Qikiqtaaluk Inuit Association). Unfortunately this means the GN will reap little revenue from this.
Really good news, for resources development, USA, Europe, need these critical minerals and there is a clause in every country’s constitution to protect national interest, and the world leaders just declared nuclear power is the next move away from fossil fuels. Canada will be leading the world in Uranium production very soon,
Yee-Haw!!!
I hear tell there’s some uranium along the Thelon River.🥳
That’s good. GN would most likely squander the plunder on nonsense.🤣🤪
Well good for Baffinland. Hopefully this will unlock more investment and a quicker move to Steensby. Baffinland operates on Inuit owned lands. A significant amount of royalties go to QIA. QIA set up a legacy fund with these monies, and has done nothing with those funds. Even after reaching the investment threshold. QIA needs to start spending the interest to actually support Inuit in the communities. Baffinland does so much for these communities, and has to fight with QIA every step of the way. QIA is not a partner, they are an opponent. Baffinland accounts for a significant amount of the annual GDP in Nunavut, there should be more support. Oh by the way the GN and the Federal Government benefit from Baffinaldn as well. Don’t forget the continued Nunavut Payroll Tax that Baffinland pays on every single Nunavut based employee. That equals millions in the GN coffers. Good luck to Baffinland. Mining is the only thing that will provide jobs and a future for young Inuit. We need to support.
” A significant amount of royalties go to QIA. QIA set up a legacy fund with these monies, and has done nothing with those funds.”
The thing to understand about the Inuit orgs is that they are much more comfortable spending grotesque amounts of money on staff, admin and board perks than they are at making meaningful strategic investments to move Inuit forward.
As with our KIA. Only line their pockets up with federal monies that should actually help its beneficiaries instead. Our inuit designated orgs have only southern ppl