South African mining giant invests in Nunavut

Gold Fields, the giant South African gold mining firm, has earned a 55 per cent share in the promising Committee Bay gold exploration project northeast of Baker Lake.

A Vancouver-based company called Committee Bay Resources Ltd. holds exploration rights to about 2.8 million acres of land in the area. Though not as well-known as other Nunavut mineral projects, exploration work this year has produced rock samples containing extremely high grades of ore.

Gold Fields has contributed $7.1 million to the cost of the exploration project this year in exchange for their 55 per cent share, and could earn a 65 per cent share if it spends more in the future.

Despite its promise, the project is still at an early stage, and the development partners are not ready to produce a feasibility study on a mine.