Benefits from Northern Mining 2017 Summary

Benefits from Northern Mining 2017 Summary Mining in Northern Saskatchewan Saskatchewan uses the mineral The northern half of Saskatchewan is a land of lakes, surface lease agreement to help forests, mineral resources, and natural beauty. It is residents of Saskatchewan’s North home to about 40,000 people. The predominant benefit from mining operations in cultures in the region are Cree, Dené, and Métis. their region. After 30 years, the Mining is the major private industry in the north. In outcomes are: an increase in local 2017, six operations employed 2,400 workers in skilled workers; competitive local mining, milling, and maintenance. Uranium suppliers; and better-informed operations included the McArthur River mine/Key communities. Lake mill, Cigar Lake mine/McClean Lake mill, and Rabbit Lake operation (in care and maintenance). Seabee operation mined and milled gold. Six more operations no longer have employees: Midwest Project, La Ronge Gold Project, Cluff Lake, Each year, the mining operations report to the Beaverlodge, Konuto, and Parks Lake. province on their efforts in meeting their socio- economic commitments under these agreements. Agreements in effect This document is a summary of their reports for 2017. The owners of these 12 operations entered into two agreements with the province for each site before operations began. These are the mineral surface lease agreement and the human resource development agreement. The Ministries of Environment and Government Relations each administer sections of the mineral surface lease agreements. The main purpose of these agreements is long-term rental of Crown land for mining in Northern Saskatchewan. The surface lease agreements also contain commitments for environmental protection, occupational health and safety, and socio-economic benefits for residents of Saskatchewan’s North. Each lease also requires the mining operator to have a human resource development agreement, administered by the Ministry of Immigration and Native plant species used in reclamation and restoration at Career Training. These focus on opportunities for Rabbit Lake operation. northern training, employment, and job advancement. saskatchewan.ca Partners’ commitments In 2017, the mining industry in Northern Saskatchewan: The parties to each mineral surface lease agreement • Gave preferential consideration in all job make commitments for socio-economic benefits for openings to northerners, particularly those Saskatchewan’s North. The province commits to a from priority recruitment communities spirit of cooperation with industry and to use best located nearest to the mine/mill sites. efforts in providing literacy and basic education. • Focused on contracting with service The mining companies commit to their best efforts suppliers who employed northerners. in maximizing opportunities in four areas: • Maintained seven offices and satellite employment, training, business, and compensation offices in six northern communities – La to previous permit or leaseholders. Ronge, Pinehouse, English River, Black Lake, Hatchet Lake, and Fond du Lac. Uranium mining companies make four additional • Employed three liaison staff in the commitments for employee services, education Athabasca Basin to assist the seven promotion, community vitality monitoring, and Athabasca communities in recruitment, public involvement. training, community investment, and engagement. Camsell Uranium City • Provided air transportation for workers to Portage Beaverlodge Fond-du-Lac mine sites from 10 northern communities Stony Rapids N Black Lake as well as Prince Albert and Saskatoon. • Advertised jobs broadly on company Cluff Lake Mine Midwest Deposit McClean Lake Mine websites, social media, radio stations, Points North Landing Rabbit Lake Mine Cigar Lake Mine Wollaston Lake provincial papers, northern publications, Parks Lake Mine McArthur River Mine and television scrolls. Descharme Key Lake Mine Kinoosao • Assisted northern employees and other site Lake workers with applications and interviews La Loche Turnor Lake for internal career opportunities to help Southend Garson Lake Bear Creek La Ronge Patuanak Brabant Lake them advance their careers. Michel Village Dillon Gold Mine Buffalo Seabee • St. George's Narrows Mine Sandy Maintained union agreements that give Hill MissinipeGrand- Ba y PinehouseNemeiben mother's Bay Ile a la Crosse Rive r preference to northern and Indigenous Canoe Narrows Hall Lake Stanley Mission Pelican La Ronge Cole Bay Beauval Narrows workers in jobs, apprenticeships, recalls, Jans Air Ronge Creighton Ba y Deschambault Dore Lake Flin Flon and retention during workforce reductions. Lake Konuto Sled Lake Denare Beach Green Lake We ya kwin Sturgeon Landing Timber Bay Montreal Lake Cumberland House Definition of a “Resident of Saskatchewan’s Uranium North” Operating/ Developing Not Operating Precious & Base Metals For recruitment purposes, a “Resident of Operating/ Developing Not Operating Saskatchewan’s North” is defined as: Twelve mineral surface lease agreements are in effect for • A person who has resided in mine/mill operations in Northern Saskatchewan Saskatchewan's North for a period of 10 Administration District. years or one-half his or her age, whichever is less. A person retains “northern status” if 1) Employment commitment he or she: All mining operations commit to work with the o needed to relocate outside of province, other mining operators, and other Saskatchewan’s North for education; agencies to use their best efforts to maximize o resided outside of Saskatchewan’s northern employment. Uranium companies make North for less than five years; or an additional commitment to work towards a long- o moved back to the North. term goal of 67 per cent northern participation in Or their northern labour force. • A northerner who is transferred to another northern mine, or re-employed by a mine within the year and met the above criteria at the time of recruitment. 2017 Summary 2 Government Relations Employment statistics In early 2018, about 800 workers at Key Lake and The northern workforce has grown in numbers and McArthur River operations were laid off temporarily in abilities over the years – an outcome of the for about 10 months, leaving a care and mining industry’s commitment to maximizing maintenance workforce of about 200. The operator northern employment and advancement plans to supplement Employment Insurance up to 75 opportunities. per cent of regular pay for its direct employees and consider secondments or transfers to other sites as The industry workforce, however, has declined by opportunities arise. Rabbit Lake mine continues in 1,500 total jobs since a peak in 2012. The decline is care and maintenance with a small workforce. Cigar the result of completion of construction projects Lake, McClean Lake, and Seabee operations plan to and, since 2016, layoffs in response to a weak maintain their production and employment levels. uranium market worldwide. The mining operations report they will recruit for about 50 jobs, mostly to replace turnover – these are What is the long-term employment trend at listed in the table below. As well, there will be about mines in northern Saskatchewan? 30 summer jobs available. 4000 Other Contract Employees 3500 Other Mine Employees Job Recruitment Forecast for 2018 3000 Northern Contractors Supervisory Technical/Professional 2500 Northern Mine Employees Mill shift supervisor Environmental trainee 2000 Safety officer 1500 Entry Level/Operations Trades 1000 Housekeeping Heavy duty mechanic 500 Kitchen Plumber 0 Mill labourer/entry level Service/general 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 maintenance operator As of December 31, 2017, the industry: Truck/ heavy equipment operator • Employed 2,423 people at mine sites in Underground miner direct and contract jobs (400 less than a year ago). • Maintained a high rate of northern Where were the 1,159 northern mine employment – 48 per cent. Of the 1,159 employees and contract workers hired northerners, 825 were employed by the from? mining operators and 334 by their long- North Central, term contractors (in catering, janitorial, 441, 38% security, construction, and underground Athabasca Other 203, 18% Areas, 21, mining). Northwest 2% • Achieved an Aboriginal participation rate of 397, 34% 41 per cent - one of the highest rates of Northeast, Indigenous employment in Canada. 97, 8% • Employed 362 females – they made up 15 And where do they live as of Dec. 31, 2017? per cent of the workforce. One-third worked in technical and professional jobs. North Central, • Reported 69 per cent of northern workers Athabasca 319, 28% continue to reside in the northern region. 127, 11% Other Areas, 365, 31% Job forecast for 2018 North- Northeast west, 291, Employment opportunities at the northern 57, 5% operations will be limited in 2018 because of 25% continued weak uranium markets. 2017 Summary 3 Government Relations 2) Employee education and training What types of jobs are at mining operations and how many people work commitment in them? As of Dec. 31, 2017 All mining operations commit to use their best efforts to maximize training and job advancement Professional 25 191 Northern opportunities for northerners. Administration Support 40 25 Workers External partnerships Management/ Supervisory 79 191 Non-Northern Workers As partners in multi-party initiatives, mining Technical 100 178 companies help build a trained labour force in the Trades 145 399 North

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