Chamber of Mines News Briefs – August 22, 2012 [Note: News headlines are hyperlinked to their stories in this document.] News ...... 1 Nunavut scores high credit in first-ever credit report ...... 1 Flight 6560 risked mid-air crash due to air traffic control problems: TSB ...... 2 NWT News...... 4 PM Harper tours North, opens new park ...... 4 Resource Development and Energy News ...... 5 NWT cabinet group visits Prairie Creek mine site ...... 5 NWT/SK mineral project optioned off ...... 6 Diavik pit re-opens after slide ...... 6 Tyhee Gold projects 20 per cent rate of return ...... 7 Tyhee upbeat about feasibility study ...... 8 Mining for information ...... 9 Nation’s future is in the North, PM says ...... 10 Resource development will relieve social woes across the north ...... 11

NUNAVUT NEWS

Nunavut scores high credit in first-ever credit report “An important step in the GN’s fiscal development” DAVID MURPHY The credit rating agency Moody’s Investors Service has produced the Government of Nunavut first-ever credit report, giving the territorial government the second highest possible score in a 21-step ranking system. Moody’s gave Nunavut an Aa1, or “stable” rating, Aug. 21, which means Nunavut “provides a stable, predictable source of revenue,” a Moody’s press release said. The GN hired Moody’s to assess Nunavut’s financial stability and produce a credit rating, which is described as a “report card grade that shows how likely it is than an organization will repay its debts.” “Receiving this credit rating marks an important step in the GN’s fiscal development,” Nunavut finance minister Keith Peterson said in an Aug. 21 news release. This also gives a fair comparison with other Canadian jurisdictions, and helps smooth the way for more public-private partnerships by instilling confidence within private companies and investors. The and Ontario are rated the same as Nunavut at Aa1, whereas Quebec has a lower rating than Nunavut, at Aa2. British Columbia has the highest possible rating at Aaa. “We are committed to strengthening our fiscal management practices and policies as we develop our self-reliance,” Peterson said. The GN thinks the rating will help the government borrow money at cheaper interest rates. This, however, does not change the amount of long-term debt that Nunavut can carry at any given time. The territory’s debt cap, raised recently by the federal government, is now $400-million. Moody’s described Nunavut’s debt, which is measured at 11.8 per cent of total revenues as of March 31, 2011, as “modest” but is expecting that ratio rise as a number of infrastructure projects go forward.

Chamber News Briefs 1 Moody’s also praised Nunavut for good fiscal management practices that produce surpluses, a low debt burden, and stable revenue, as well as stable revenue streams from the federal government that gives the territory predictable revenues each year. Nunavut will receive $1.3 billion in transfers from the federal government in 2012-2013 — nearly all of its budget. These transfer payments play an important role in the Aa1 ranking because Nunavut’s own-source revenue, mostly based on taxes, is described as “volatile” by Moody’s. Moody’s also criticized how the federal government collects natural resource royalties for Nunavut. “As Nunavut’s economic potential is tied to natural resources, Nunavut will need to rely on other methods of collecting revenue from this sector, such as the existing payroll tax, to generate higher own- source revenue over time,” the Moody’s news release stated. The higher cost of delivering programs in Nunavut is also a negative, according to Moody’s. “Nunavut’s small population and geographical conditions add fiscal challenges not seen in Canadian provinces, but the rating reflects the strengths from the institutional framework and commitment to budgetary balance,” the assistant vice-president analyst at Moody’s Inc., Michael Yake, said in the Aug. 21 press release. “Given the higher costs of delivering services in the north, Nunavut faces slightly more rigid expenditures than seen in the provinces. With changes to federal funding formulas, it will be important for Nunavut to remain vigilant on cost controls given their low level of own-source revenue,” he said. The GN agrees that these constraints, make it “harder for the GN to meet its financial obligations” and that “these points simply reflect the realities of operating a government in Nunavut, and will likely be true of the GN for many years to come.” Moody’s determined its rating based on a number qualitative and quantitative factors, including: • financial performance; • existing debt levels; • sources of revenue; • expenditures; • laws, regulations and policy that guide spending decisions; • current global financial and economic climates; • strengths and weaknesses of Nunavut’s economy; • relationship with the Government of Canada; • discussions with the GN officials; and, • analysis on GN budget documents and financial statements. The rating can go up or down in the future based on the economy and Nunavut’s own-source revenue, or a reduction in federal transfer payments. However, in the “medium-term” Moody’s said a change is unlikely.

Flight 6560 risked mid-air crash due to air traffic control problems: TSB Transportation Safety Board also found problems with the First Air jet's flight data recorder Nunatsiaq News - August 21, 2012 JANE GEORGE One year after the Aug. 20, 2011 crashed near Resolute Bay, the Transportation Safety Board says it continues to investigate the causes of the crash.

Chamber News Briefs 2 While the TSB report isn’t expected until 2013, the director of its air investigations branch has already issued two safety warnings. These suggest changes to procedures and regulations intended to improve air transportation safety. First Air Flight 6560 risked a near miss with another aircraft, says a letter that Mark Clitsome, director of the TSB’s air investigations branch, wrote this past Feb. 8 to Major-General J.A.J. Parent at the Canadian Air Division headquarters in Winnipeg. “Had the First Air flight not hit the ground there could have been a risk of a mid-air collision,” Clitsome said in the letter, which details procedural gaps that affected the safety of the airport air traffic on Aug. 20, 2011, The letter relates how on that day, the Boeing 737-210C was flying from to Resolute Bay, when at 11:42 a.m., during its approach to Runway 35T, the jet collided with a hill about one nautical mile east of the airport, killing 12 people and injuring three. That took place during the Operation Nanook military sovereignty exercise, when the Canadian Forces had set up a temporary “Class D” control zone in Resolute Bay to handle increased air traffic and provide training within its air traffic management program. At 11:39 a.m. a second aircraft operating under instrument flight rules entered the control zone without “appropriate” separation, Clitsome noted. When in Class D air space, aircraft must be equipped with radios able to communicate with air traffic control, receive permission to enter the airspace and not fly too close to any other aircraft in the same airspace. The letter notes that the military radar equipment brought there for Operation Nanook was not ”useable at the time of the accident as a flight check had not been performed to verify radar accuracy.” The military air controllers didn’t have all procedures in place and the “separation standards” were not applied, Clitsome said. The operation in Resolute Bay was to be the first “complete airfield operation in a civil environment,” he said. But it didn’t have a contingency plan to provide instrument flight rules services “in a non-radar environments” and if these weren’t provided, the results could be “catastrophic.” If future such operations don’t include a provision for all the air traffic services required, “this risk will persist,” Clitsome said. A second letter from Clitsome sent in April to Martin Eley, Transport Canada’s director general of civil aviation, noted that the in-flight data recorder on board the First Air jet recorded contained “invalid data” for the first 29 minutes of the flight. “Had the accident occurred during this period, data vital to the investigation would be missing,” Clitsome said. The problems with the data recorder, which were found later, couldn’t be detected with the current review standards, so there may be “unserviceable” flight data recording systems installed on operating transport aircraft, he suggested. Clitsome, who also suggested the current standards provide “insufficent data,” said he was providing that the information for appropriate “follow-up actions.” The TSB progress report notes that when the crew initiated the go-around just before impact, the aircraft’s landing gear was down and locked, the plane’s speed was 157 knots and the final landing checklist was complete.

Chamber News Briefs 3 The final TSB report will look at the causes and contributing factors that led the crash, but its purpose is not to assign fault.

NWT NEWS

PM Harper tours North, opens new park Northern Journal – August 21, 2012 Jack Danylchuk Prime Minister Stephen Harper is on a whirlwind four-day tour of half of Canada this week, taking him from Ottawa to , Norman Wells, and Churchill. According to an itinerary released Friday by the prime minister's office, Harper was scheduled to overnight in Norman Wells on Tuesday, after opening Naatsi'ihch'oh, a new federal park reserve at the headwaters of the Nahanni River. Some media outlets reported the prime minister would also drop in on Operation Nanook, a military exercise scheduled for this week in Inuvik and Tuktoyaktuk, but official scheduling made no mention of that. Meagan Holsapple, a spokesperson for Premier Bob McLeod's office, did not know if the NWT leader would get a chance to meet with the prime minister. Harper said in a press release that the purpose of the tour is to "make announcements in support of the economic and social development of Canada's North. "Canada's North is a fundamental part of our heritage and our national identity and a region with unlimited potential," he said. "Our government continues to work hand-in-hand with Northerners to help the Arctic become a prosperous region within a strong and sovereign country." "This year's tour reflects the priorities set out in Canada's Northern strategy: exercising our Arctic sovereignty; protecting our environmental heritage; promoting social and economic development; and improving and devolving Northern governance," the release stated. Norman Wells buzzed all last week with rumours of the prime minister's visit, and Mayor Dudley Johnson hopes for an opportunity to bend Harper's ear with two pressing issues. "We need permanent road access and help converting Norman Wells to green energy," Johnson said. The town sits atop one of the richest developing oil plays in the North, but will run out of local supplies of gas for community heating in 2014. "We're up against it," said Johnson. "The cost of conversion is around $38 million and there is no way that we as a tax-based community can cover that cost. We need help." Johnson pointed to the Enbridge pipeline that has been pumping oil from the region to southern markets since 1985, and the promise of much more oil to come from new fields. "The federal government has been getting at least $25 million a year from that project, and has put nothing into Norman Wells," said Johnson. Five companies are intensifying their search for oil and gas in the region, following rumours that "Husky struck it big, really big," said Johnson. Husky is building a $24 million permanent road to its property and 700 workers have flooded into the community. More are expected this winter when three to five new exploratory wells will be drilled. Andy Short, a territorial government worker, hoped the prime minister would find time to visit local grocery stores, "and see how much we pay for food." The opposition NDP says the Conservatives haven't gone far enough when it comes to helping the North cope with the cost of living and resource development. "They have yet to deal with many of the issues that have been in front of the North for a long time," said the NDP's Dennis Bevington, MP for Western

Chamber News Briefs 4 Arctic. "They're not giving us the tools we need to make a difference up here, and that's a problem as well." Bevington pointed to the escalating cost of food in the North as a major issue. Protests against the high price of food have been ongoing for months, including a Facebook group called Feeding my Family that includes a chart comparing the cost of foods in the North with the rest of Canada.

RESOURCE DEVELOPMENT AND ENERGY NEWS

NWT cabinet group visits Prairie Creek mine site Northern Journal – August 21, 2012 Meagan Wohlberg Coming away from his first visit to Canadian Zinc's Prairie Creek mine in the Mackenzie Mountains, Industry, Tourism and Investment (ITI) Minister David Ramsay is pleased with the project's development and number of local, Aboriginal people working to date. "It was quite impressive to get in and actually see what is on the ground there, and once the permits are realized, they'll be approximately eight months from getting into production, which is exciting for us," Ramsay told The Journal. "That region of our territory desperately needs jobs. It's 220 jobs in a region that needs it, so we're hoping that it can be moved along." Ramsay, Premier Bob McLeod and Human Resources Minister Glen Abernethy visited the site on a tour of the Nahendeh region this month at the bequest of MLA Kevin Menicoche. They met with vice president of corporate affairs Joseph Lanzon, general manager Chris Reeves, community relations manager Wilber Antoine and Dehcho Grand Chief Herb Norwegian at Prairie Creek. While the mine site, originally developed in the '80s but never operated, awaits final permitting for water and land use, Ramsay said young, Aboriginal people from the Dehcho are currently on the ground cooking, drilling, taking core samples and performing other geological exercises, as well as maintaining the facilities. "There probably would have been about 24-25 people on site that I counted, maybe more, and a number of them were Aboriginal from local communities, as well, taking part in training exercises and programs," he said. Though mine training falls under the department of Education, Culture and Employment (ECE), Ramsay - who chairs the employment and economic development subcommittee of cabinet - said it is a particular need the government is paying close attention to as it attempts to expand the resource sector. "One of our biggest struggles as a government has been to counter the high unemployment rates in the smaller Aboriginal communities across this territory, and mining and oil and gas are certainly two sectors of our economy that we have a lot of promise in, and we're going to continue to move in that direction," Ramsay said. The Prairie Creek mine has received a fair bit of scrutiny since it first entered the environmental assessment process a decade ago. Located in the heart of Nahanni National Park in the challenging geography of the Mackenzie Mountains, the mine site has been flagged as a danger to the surrounding environment and the traditional livelihoods of surrounding First Nations by organizations like the Canadian Parks and Wilderness Society NWT and Mining Watch Canada. Canadian Zinc, which has never operated a mine before, recently received a Failure to Comply Order from the federal government in relation to the mine's drilling program at Casket Creek, where it was determined the location was too close to water. The noncompliance issue has since been addressed. Ramsay said there were no challenges with development brought to his attention while he, the premier and Abernethy were on site. "I get a good impression of Canadian Zinc. I think they've done a great deal

Chamber News Briefs 5 of working with the local communities in the Dehcho," he said, adding that the company has worked closely with the Mine Training Society. Now, Ramsay said, the government and company anxiously await the necessary permitting and hope to see the project move forward on schedule. "For the past 15 or 17 years, the Northwest Territories has rested a lot of its mining laurels on diamond mining, and it would be really nice to see a new mine go into production that's not diamonds," he said. "We have another diamond mine coming, but to diversify our mining portfolio is important as we continue to grow the economy here in the Northwest Territories."

NWT/SK mineral project optioned off Northern Journal – August 21, 2012 Stephan Burnett Strongbow Exploration Inc. has entered into an option agreement with North Arrow Minerals Inc. whereby North Arrow can earn a 50 per cent interest in Strongbow's Snowbird nickel project. The Snowbird project covers close to 16,000 hectares of land in northern Saskatchewan and the southeastern Northwest Territories. Exploration work completed by Strongbow includes airborne geophysical surveys, geochemical surveys, bedrock mapping and limited drilling. "The highest priority targets are located in the Opescal Lake area along the Saskatchewan/Northwest Territories border where a five kilometer-long linear magnetic anomaly coincides with several electromagnetic conductors," the company reported on August 7. The Opescal Lake targets have never been drilled and will be a priority for ground geophysical surveys and diamond drilling during the winter of 2013. Under terms of the option agreement and subject to North Arrow completing equity financing by Dec. 31, 2012, North Arrow can earn a 50 per cent interest in the Snowbird project by incurring $4 million in exploration expenditures prior to Dec. 31, 2016, including a firm commitment to spend $30,000 prior to Dec. 31, 2012. Modeling looks good on Nickel King North of the Snowbird play and situated entirely within the southeastern portion of the NWT, 145 kilometers northeast of Stony Rapids, SK, lies Strongbow's Nickel King mineral exploration play. Strongbow estimates between 10 and 27 million tonnes of potential mineral deposits lie within the area of the geological resource model. While there has been insufficient drilling to supply an inferred resource, Strongbow's early estimates are predicated on modeling based on pierce points from 23 proposed drill holes, representing 5,200 m of drilling and resource modeling. Mineralization has been traced over a total strike length of approximately 2,600 metres, but the company believes there is significant potential to increase the size of the Nickel King deposit. Strongbow chairman Gren Thomas is father to famous diamond explorer Eira Thomas.

Diavik pit re-opens after slide Warning systems prompt early evacuation, prevent damage: official Yellowknifer – August 22, 2012 Laura Busch A rock slide in the Diavik diamond mine's open pit could have been much worse, if not for advanced warning technology.

Chamber News Briefs 6 Only two employees were working on the rock bench near the bottom of the open pit the night of Aug. 4 when an alarm sounded for them to evacuate at about 10 p.m., said Corey McLachlan, acting manager, community and external relations. "We had an alarm go off in our open pit indicating that there was some movement of rocks," he said. The open pit portion of the mine is equipped with two separate safety systems, said McLachlan. The first alarm to sound is a radar system that constantly scans the pit walls, looking for any sort of rock movement. About an hour after the evacuation, the secondary safety system, called a total optical survey, also sent out an alert that detected moving rocks. The actual slide did not take place until about 3 a.m., said McLachlan, but when it came, it came with force. Roughly 5,000 tonnes of rock broke free from the side of the pit and fell about 10 to 12 metres to the shelf the workers had previously been working on, near the bottom of the pit. The amount of rocks that fell was significant and would classify as a fairly large rock slide, said McLachlan. However, because of the advanced warning, no people were endangered and no equipment was damaged during the event.

Tyhee Gold projects 20 per cent rate of return Northern Journal – August 21, 2012 Stephan Burnett On Aug. 15 Tyhee Gold Corporation announced it has released a feasibility study on its Yellowknife Gold Project (YGP) which has ascertained a 20 per cent internal rate of return on the development, based on an initial capital cost of $193 million. The feasibility study states: the project is expected to commence with final engineering and procurement in the fourth quarter of 2012 through 2013. Construction is pegged to begin in the first quarter of 2014, with production set to commence in the third quarter of 2015. Tyhee's has identified six separate gold deposits in the YGP, including Ormsby, Bruce Lake, Clan Lake, Nicholas Lake and Goodwin Lake. These areas have a combined Measured and Indicated resource estimated to total 1,715,000 ounces of gold contained within 27,115,000 tonnes of ore. Mining will include traditional open pit truck and shovel operations at Ormsby, Bruce Lake and Clan Lake combined with underground operations at Nicholas Lake and Ormsby, the feasibility study states. "The development of the YGP is expected to provide significant new employment and business benefits for indigenous people and regional communities. The YGP is located within the Chief John Drygeese traditional Territory of the Akaitcho Region, where the Yellowknives Dene First Nation (YKDFN) is one of the primary aboriginal groups with which Tyhee liaises. The North Slave Métis Alliance is another indigenous people that may benefit from the YG," the company reports. The development of the YGP is expected to provide significant new employment and business benefits, during its possible 15-year mine life. During operations, average personnel requirements are estimated at 220 people per year. It is estimated that up to 50 per cent of the workforce during the operations phase could come from the NWT. Comprehensive environmental baseline studies have been carried out by Tyhee and its consultants between 2004 and 2011. "In all cases, these studies have indicated that any potential adverse environmental effects can be satisfactorily mitigated, and that 'progressive reclamation' and closure activities will return the mine and processing site to a landscape comparable to the surrounding area," the company reports. Water management plans have been specifically designed

Chamber News Briefs 7 for the YGP site to contain potentially contaminated water within a controlled Tailings Containment Area (TCA). Water treatment facilities include: a potable water treatment plant, a sewage treatment plant, a cyanide detoxification plant and a TCA. These facilities are expected to produce water suitable for discharge into the downstream receiving water bodies, with the exception of the TCA where no discharge is expected. Although the YGP is located within the Bathurst caribou herd's winter range, it is outside known migration corridors and the YGP is not expected to affect the migratory routes of the Bathurst caribou. "I am very pleased with the results of the Feasibility Study. It is a dramatic improvement on the Prefeasibility Study and demonstrates that this project is operationally feasible and once in operation will generate a significant cash flow for the company, benefiting our shareholders," said Brian Briggs, P. Eng., president and CEO of Tyhee.

Tyhee upbeat about feasibility study Company looks for funding for $193-million Yellowknife Gold Project Yellowknifer – August 22, 2012 Thandiwe Vela A "dramatically improved" feasibility study for Tyhee Gold Corp.'s Yellowknife Gold Project has the junior resource company upbeat about getting the project into development. Tyhee aims to get the gold project -- comprised of a number of deposits including Ormsby, Bruce Lake, Clan Lake and Nicholas Lake -- located about 75 km northeast of the city, into production in 2015. The feasibility study for the $193-million project, released by the Vancouver-based company last week, factors in a 4,000-tonne-per-day processing plant, annual gold production of 104,000 ounces per year, and a mine life of 15 years -- more than double the seven-year mine life determined by the project's prefeasibility study. "I think the most exciting thing for me and really what makes you feel the best is when you can take a property that's just sitting out there in the middle of nowhere and extend the life," said Brian Briggs, president and CEO of Tyhee. "Nobody likes to start up a mine or an operation and have it shut down five to seven years later. We have to show people in the Yellowknife area, especially people that are going to be affected by this, that this is going to run a long time and it's going to have legs, and people are going to be employed." Construction and operations of the proposed gold mine would employ between 200 to 300 people. While the property's resource remained about the same from the prefeasibility study, the mine life was extended mainly because of a doubling of the project's reserves -- the resource that is economically feasible to mine, according to Briggs. The study also used a higher base-case gold price of $1,400 per ounce, but at the current gold price of about $1,600 per ounce, the company estimates the Yellowknife Gold Project would have a payback period of 30 months. While raising the $193 million in start-up costs for the project will not be an easy task in the current investment climate, the completion of the feasibility study is expected to help. "We ended up with a good, solid project and one that makes sense for people to come in and say 'This is a good project, it's going to have a good return on investment and we're willing to fund this project,'" Briggs said. "Right now, we're talking to financial groups that invest in mines like this and I've been very pleased with the responses we've got."

Chamber News Briefs 8 Tom Hoefer, executive director of the NWT and Nunavut Chamber of Mines, said the investment climate is more optimistic for advanced projects that are already in the environmental assessment process with feasibility studies complete because the risk of the project is reduced, as opposed to the more grassroots projects which have been struggling to raise funds. "This is a pretty volatile world right now economically, and the reality in our business is we're so linked to the global economy," Hoefer said. "What's happening is the junior companies aren't able to raise the money that they need for exploration. "My fear is that projects will either stop or be postponed, but what I'm hearing is that there will probably be some companies that won't survive this -- they will be bought out by somebody else. It's a period of transition that's going on here." The Yellowknife Gold Project is one of six projects the chamber is hoping will be successful in development that have feasibilities done, in addition to the Gahcho Kue project, Nechalacho, Pine Point, Canadian Zinc, and Fortune Mineral's Inc.'s NICO project. "Those are the ones that are next in line and we have higher optimism that things will go forward," Hoefer said. The Yellowknife Gold Project is continuing to go through the environmental assessment process, with technical sessions to take place later this year.

Mining for information University student partners with Rankin Inlet filmmaker to look at complex relationship between industry and communities Kivalliq News – August 22, 2012 Tim Edwards With so many interests at stake in Agnico-Eagle Mines Ltd.'s Meliadine project, a geography student and a Rankin Inlet resident have teamed up to take a look at the complexities surrounding Northern mining from an independent perspective. Masters of geography candidate Tara Cater, from Memorial University in St. John's, and Rankin filmmaker Pallulaaq Friesen just wrapped up 90 days of interviewing close to 75 community members, mine workers, and government and Agnico-Eagle officials, and researching the Rankin Inlet's history in mining. They'd originally aimed for about 25 interviews, but the issue is so complex and touches everybody, so that number quickly grew. "We've talked to some people who have no experience in mining at all who live in the community, because it will affect everybody," said Friesen. It's Cater's thesis project, and the interviews aim to look at how historical and contemporary encounters with mining have transformed the people and the landscape of the Kivalliq; how community members are adapting to living and working at mine sites on camp rotation schedules, the training and employment opportunities Meliadine will bring, and the nature of the relationship between Agnico- Eagle and communities in the region. "There's a shared risk," said Cater. Agnico-Eagle has "invested in the community, because they're putting millions of dollars in here ... and Agnico-Eagle is a really responsible company. It's trying to understand, but at the same time it's not their home, so there's tough questions from people trying to manage the risk and what it means to have a mine in their backyard, 25 km from town."

Chamber News Briefs 9 Friesen said there's been a "healthy mixture" of support and opposition to the project from the interviewees, and Cater added even the support has been tinged with trepidation. People recognize the needs for jobs and money in the region, but are also worried about the changes to the land and the health risks associated with mine's operation and closure. "I don't think there has been one interview where we've sat with people and they've just talked for the whole time about how amazing the mine is going to be," Cater said. "They understand that mining is inherently blowing up the land. You can put it back, but it's going to be that process." She said many people in the community don't have much faith in the mining industry's dedication to remediating mine sites, and cite the example of the North Rankin Nickel Mine, which Rankin Inlet was built on, and its lingering impacts. Some say there are still bodies of water where one shouldn't eat the seafood, she added. "The North is no longer this place you can go and rape and pillage," Cater said. "It's now got very strong people that are protecting their homes and they have mediums in order to do this. Mining has to be different." Now that the fieldwork has ended, Cater and Friesen have a lot of information to sift through and are trying to be creative in how they will distribute it. "One of the first (projects) is to fix up the (nickel) mine site here in town, clean it up and make it a place where people can sit and check it out," said Friesen, adding that project is being done in conjunction with Kivalliq Tourism. They are also considering making a film or animation about mining impacts, and will be writing a chapter in a public document produced by the University of Calgary, titled Mining in Northern Communities. They're also considering writing blog posts to Mining Watch or Greenpeace, and Cater has been approached to write something for the Centre of the North. The thesis results will be provided back to the community after its defence, and Cater's intent is to create community record of the knowledge and history surrounding the effects mining has had on the hamlet. Her work will fill a niche, she said, that can often be left unfilled - that of an independent researcher, beholden to no one. "It means going out of your way to find funding because you don't want anyone to touch it," Cater said. "You don't want to speak back to anyone at the end of the day besides the community." Cater and Friesen are partnered with ArcticNet's research project Adaptation, Industrial Development, and Arctic Communities, and with the Memorial University geography department.

Nation’s future is in the North, PM says Whitehorse Star – August 21, 2012 Ainslie Cruickshank CARCROSS – Prime Minister Stephen Harper arrived in Whitehorse on Monday for the start of his seventh annual northern tour. The five-day trip kicked off with a barbecue for Conservative Party members at the Caribou Crossing Trading Post near Carcross. During a speech to the more than 300 people in attendance, the prime minister had only good things to say about MP Ryan Leef and Conservative Senator Dan Lang, calling them “the best MP-Senate team the Yukon has ever had.” Leef is the first Conservative MP to be elected in the Yukon since 1984, when the late Erik Nielsen won his final election under Brian Mulroney’s leadership.

Chamber News Briefs 10 The North, Harper said, is the future of Canada, adding that no other government has prioritized it like his has. And it will remain a priority for his government, “because that great national dream, the development of northern resources, no longer sleeps. “It is not happening down the road. It is happening right now,” he said, adding that more than 30 projects could be developed over the next 10 years in the North. “We see our task as standing on guard for the North ensuring that northerners receive every possible benefit from northern development, including an efficient, timely and comprehensive project review process that protects our northern environmental heritage,” he said. Many Canadians and organizations have decried a number of changes that were made to the Environmental Assessment Act brought in with the omnibus budget last March. Harper said his government is ensuring environmental reviews are comprehensive “and that they are also completed in a reasonable time frame, according to the principle of one project, one review.” The prime minister went on to list a number of legislative changes the Conservatives were able to push through after securing a majority government – many of which were controversial, including the omnibus crime bill. Changes to future spending on health and old age security have also received considerable scrutiny. Harper reiterated these changes were brought in to ensure the programs are sustainable, affordable and “guaranteed for hard-working Canadian families for many generations to come.” “Friends, not every one of these measures is easy or is popular with everybody. But they are all good for Canada,” he said. Canada’s economy was highlighted in the speech, as Harper noted that more people are working today than were working before the last recession. “I am determined that Canada will continue to outperform Europe, the United States and Japan. That we will not fall into the long-term difficulties those economies are facing. “That’s why we’ve acted so broadly and so decisively in Economic Action Plan 2012.” Throughout the speeches, the sound of drums could be heard from outside as members of the Carcross/Tagish First Nation drew attention to their ongoing battle with the federal government for a fair funding agreement. The First Nation’s Financial Transfer Agreement is set to expire Sept. 30. Yukoners’ warmth was on display earlier in the day when Harper and his wife visited with a group of sled dogs in training. The puppies frolicked about the Harpers as they petted them and quizzed the trainer about their upbringing. As a Golden Retriever ambled by, Harper joked that it didn’t look much like a sled dog. It isn’t, the handler admitted, but it does like the attention. Early this morning, Harper left Whitehorse to visit the Minto Mine (see coverage in tomorrow’s Star) before travelling on to the Northwest Territories. He will also visit northern Manitoba and Nunavut over the course of his tour.

Resource development will relieve social woes across the north Toronto Star – August 21, 2012 Bruce Campion-Smith

Chamber News Briefs 11 MINTO MINE, YUKON—The billions of dollars of benefits generated from resource projects across Canada’s north offer a solution to the serious social challenges confronting this isolated region, Prime Minister Stephen Harper says. And Harper is promising to streamline environmental reviews to help get those development projects across the north up and running faster. The prime minister made the comments Tuesday during a visit to a sprawling copper mine hailed as an example of the ability of resource projects to pump investments into the local community. He said the “great opportunity” of resource projects is that they are unfolding in areas where First Nations have lacked other economic opportunities. “I’m particularly pleased to see projects like these employing not just locals but aboriginal locals,” Harper said. “We want to make sure that those things are turned into opportunities for them. Obviously, for their communities to gain revenue to provide some of the services . . . but also that they gain employment and skills and expertise in these industries,” he said. “Does that mean there aren’t still enormous social challenges that need to be addressed? There are,” Harper said. “But look, those things become so much simpler if we can get economic development driving some wealth accumulation here.” Harper got backing for his vision from First Nations leaders who have reaped the benefits from this mine, owned by Vancouver-based Capstone Mining Corp., which is carving copper-laced ore from the landscape. The Selkirk First Nation holds the resource rights to the lands and collects royalties from company. The mine, which produces some 20,000 tonnes of copper a year, employs about 300 people — 52 per cent are from the Yukon and 24 per cent are First Nations. “If development happens in the north, it must be responsible, safe and include First Nation participation,” said Kevin McGinty, chief of the Selkirk First Nation Harper spent the second day of his northern tour again extolling the potential upside of resource development, saying the billions of dollars worth of projects will help Canada navigate the troubled world economy. “Responsible resource development is going to be key for many years to come, not just for the northern economy, but for Canada’s economy as a whole,” Harper said in a speech to mine workers. Over the next decade, more than 500 large new development projects will be proposed across the country, representing investments worth more than half a trillion dollars, he said. “This means jobs and growth . . . that Canada needs as we continue to navigate our way through a troubled global economy,” Harper said. “Such is the magnitude of the north’s resource wealth that we are only quite literally just scratching the surface,” Harper said. The prime minister also suggested that plans to streamline environmental reviews of projects in southern Canada — the idea of “one project, one review” — would be implemented for developments in the north as well. But he insisted that speedier reviews would not come at the expense of the environment. “This is a critical part of the puzzle here,” he said. “We want, in the end, economic development to leave us with lands and territories that will continue to support good human activity and human habitation for many centuries to come,” he said. As Harper touts resource development as key to Canada’s economic future, he was asked whether he’s comfortable seeing Canadian resource companies in the takeover crosshairs of Chinese firms.

Chamber News Briefs 12 He said that specific takeovers could be subject to review that “would address those very questions.” “Obviously, there is tremendous economic opportunity here and the fact we are attracting investment not just domestically but from around the globe I think speaks very highly to the great future our country has,” he said. During Tuesday’s event, Harper looked on as John Duncan, the federal minister of aboriginal affairs and northern development, signed a revised resource royalty sharing agreement with Yukon Premier Darrell Pasloski. The new deal will ensure territory residents benefit from the “boom” in mineral exploration and development over the coming decades, Harper said.

Chamber News Briefs 13