Report of Environmental Assessment and Reasons for Decision

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Report of Environmental Assessment and Reasons for Decision Report of Environmental Assessment And Reasons for Decision Dominion Diamond Ekati Corp. Jay Project EA1314-01 February 1, 2016 List of Abbreviations AANDC Aboriginal Affairs and Northern Development Canada AEMP Aquatic Effects Management Plan AQEMMP Air Quality Emissions Monitoring and Management Plan CRMP Caribou Road Mitigation Plan DAR Developer’s Assessment Report DDEC Dominion Diamond Ekati Corp. DDMI Diavik Diamond Mines Inc. DKFN Deninu Kue First Nation DFO Department of Fisheries and Oceans Canada EA Environmental Assessment EC Environment Canada ENR Department of Environment and Natural Resources, GNWT EPZ Enhanced Permeability Zone FRMC Fort Resolution Metis Council GNWT Government of the Northwest Territories ICRP Interim Closure and Reclamation Plan IEMA Independent Environmental Monitoring Agency KIA Kitikmeot Inuit Association LKDFN Lutsel K’e Dene First Nation LLCF Long Lake Containment Facility MVRMA Mackenzie Valley Resource Management Act MVEIRB Mackenzie Valley Environmental Impact Review Board NIRB Nunavut Impact Review Board NPMO Northern Projects Management Office NRCan Natural Resources Canada NSMA North Slave Metis Alliance NWT Northwest Territories PR Public registry REA Report of Environmental Assessment SSWQOs Site specific water quality objectives TC Transport Canada TDS Total Dissolved Solids TG TłĮcho Government TK Traditional Knowledge WEMP Wildlife Effects Monitoring Program WLWB Wek’èezhìi Land and Water Board WRRB Wek’èezhìi Renewable Resources Board YKDFN Yellowknives Dene First Nation ZOI Zone of Influence EA1314-01: Dominion Diamond Ekati Corp., Jay Project Report of Environmental Assessment and Reasons for Decision Review Board decision To make its decision in this environmental assessment, the Mackenzie Valley Environmental Impact Review Board (Review Board) has considered all the evidence on the Public Record and made its decision under section 128 of the Mackenzie Valley Resource Management Act. Based on the evidence and submissions on the public record, the Review Board finds that the proposed Jay Project is likely to cause significant adverse impacts on the environment. This includes cumulative impacts from the potential effects of the Jay Project, combined with the effects of other activities. The Review Board also finds there is significant public concern related to these impacts. The Review Board has recommended measures to mitigate these impacts. Specifically, it requires the Jay Project: be designed and operated in a manner that reduces impacts to caribou, particularly from roads and dust manage surface waters so the area is useful for Aboriginal traditional uses after the Jay Project closes better manage social impacts, with more community engagement offset remaining impacts to caribou from the Jay Project on other areas of the Ekati Mine site fund an Elders group to advise on constructing, operating and monitoring the Jay road ensure clean surface waters on the Jay and Misery pits after closure create an independent dike review panel to help design and operate the dike safely prevent impacts to the Narrows improve the strategy to employ women use Traditional Knowledge appropriately to design and operate the Jay Project create a cultural camp follow up monitoring and reporting on implementing these measures and their effectiveness The Review Board finds that applying these measures will mitigate the causes of public concern. The Review Board recommends, under subparagraph 128(1)(b)(ii) of the Mackenzie Valley Resource Management Act, that the Project be approved subject to the measures described in this report, which are necessary to prevent significant adverse impacts on the environment. _____________________________ February 1, 2016 JoAnne Deneron Chairperson Mackenzie Valley Environmental Impact Review Board EA1314-01: Dominion Diamond Ekati Corp., Jay Project Report of Environmental Assessment and Reasons for Decision Contents Review Board decision ..................................................................................................................... i Executive summary ......................................................................................................................... i 1 Introduction ........................................................................................................................ 1 1.1 Requirements of the Mackenzie Valley Resource Management Act ............................... 4 1.1.1 Changes to the Mackenzie Valley Resource Management Act ........................................ 4 1.2 Development and regulatory history of the Ekati Mine .................................................. 4 1.2.1 The Jay Project ................................................................................................................. 5 1.3 Environmental Setting and Traditional Use ..................................................................... 6 1.3.1 Environmental setting ...................................................................................................... 6 1.3.2 Cultural Setting and Traditional Use ................................................................................ 9 1.4 Development description ............................................................................................... 11 2 Environmental assessment process .................................................................................. 23 2.1 Participation in the environmental assessment ............................................................ 23 2.2 Environmental assessment phases ................................................................................ 25 2.2.1 Development of work plan and terms of reference ...................................................... 25 2.2.2 Developer’s Assessment Report .................................................................................... 26 2.2.3 Adequacy review ............................................................................................................ 26 2.2.4 Information requests and technical sessions ................................................................. 27 2.2.5 Pre-hearing conference .................................................................................................. 27 2.2.6 Public hearings ............................................................................................................... 27 2.2.7 Hearing follow-up, final submissions and closure of the public record ......................... 28 2.2.8 Environmental assessment decision .............................................................................. 28 2.3 Scope of development ................................................................................................... 28 2.4 Scope of assessment ...................................................................................................... 31 2.4.1 Issues prioritization ........................................................................................................ 32 2.4.2 Other scope of assessment considerations ................................................................... 33 2.5 Decisions on significance ................................................................................................ 34 2.6 Statutory requirements .................................................................................................. 35 2.7 Transboundary effects assessment ................................................................................ 36 2.8 Traditional Knowledge ................................................................................................... 37 3 Analysis of alternative means ........................................................................................... 39 3.1 Evidence from the developer and parties ...................................................................... 39 3.1.1 Project mining method alternatives .............................................................................. 39 3.1.2 Alternative routes for the Jay road ................................................................................ 41 3.1.3 Energy sources and conservation alternatives .............................................................. 41 3.2 Review Board conclusions .............................................................................................. 42 4 Impacts to Water .............................................................................................................. 43 4.1 Impacts to water quality ................................................................................................ 43 4.1.1 Summary of the Review Board’s findings ...................................................................... 43 4.1.2 Evidence from the developer ......................................................................................... 43 4.1.3 Evidence from parties .................................................................................................... 48 EA1314-01: Dominion Diamond Ekati Corp., Jay Project Report of Environmental Assessment and Reasons for Decision 4.1.4 Review Board analysis .................................................................................................... 51 4.1.5 Review Board Conclusions ............................................................................................. 54 4.1.6 Measures and Suggestion .............................................................................................. 54 4.2 Managing fine-processed
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