Bluejay Mining Plc Dundas Ilmenite Project Environmental Impact Assessment Draft February 2020 Environmental Impact Assessment – Main Report Bluejay Mining Plc ENVIRONMENTAL IMPACT ASSESSMENT Client Bluejay Mining Plc. 7-9 Swallow Street London W1B 4DE UK Consultant Orbicon A/S Linnés Allé 2 2630 Taastrup Project number 362170314 Project manager Morten Christensen Author Flemming Pagh Jensen QA Morten Christensen Revisions no. 03 Approved by Søren Hinge-Christensen Date 07-02-2020 Environmental Impact Assessment – Main Report TABLE OF CONTENTS 1. Non-technical summary and conclusions..................................................... 14 1.1. Project overview ...................................................................................... 14 1.2. The Local Population ............................................................................... 15 1.3. The mining project ................................................................................... 15 1.5. The structure of this EIA .......................................................................... 20 1.6. Physical environment .............................................................................. 20 1.6.1 Potential impacts ...................................................................... 20 1.7. Atmospheric setting ................................................................................. 21 1.7.1 Potential impacts ...................................................................... 21 1.8. Living environment .................................................................................. 22 1.8.1 Potential impacts ...................................................................... 23 1.9. Local Use ................................................................................................. 27 1.10. Archaeology ............................................................................................. 27 1.11. Environmental Management Plan ........................................................... 28 1.12. Closure plan............................................................................................. 28 1.13. Monitoring Plan ........................................................................................ 28 1.14. Conclusions ............................................................................................. 28 1.15. Summary of environmental impacts assessed ........................................ 30 2. Introduction ...................................................................................................... 34 2.1. The Mine Company and scope of document ........................................... 34 2.2. Project overview ...................................................................................... 34 2.3. Environmental Impact Assessment process ........................................... 35 2.4. Study area ............................................................................................... 36 3. Project description .......................................................................................... 38 3.1. Project setting .......................................................................................... 38 3.2. The mining project ................................................................................... 38 3.3. Local communities ................................................................................... 39 3.4. Project phases ......................................................................................... 39 3.6. Mining the mineral sand deposits ............................................................ 41 4 / 137 Environmental Impact Assessment – Main Report 3.7. Non-contact Water Management............................................................. 43 3.8. Contact Water Management .................................................................... 43 3.9. Processing ............................................................................................... 44 3.9.1 Wet Concentrator Plant ............................................................ 44 3.9.2 Dry Concentrator Plant ............................................................. 45 3.9.3 Mass Split Summary ................................................................ 45 3.10. Deposition of waste material ................................................................... 46 3.11. Product Storage Building ......................................................................... 46 3.13. Ship loading ............................................................................................. 47 3.14. Air strip ..................................................................................................... 47 3.16. Heating system ........................................................................................ 48 3.17. Water Management ................................................................................. 48 3.17.1 Water balance .......................................................................... 49 3.17.2 Water discharge ....................................................................... 49 3.18. Fuel storage ............................................................................................. 49 3.18.1 Diesel fuel storage design ........................................................ 49 3.18.2 Aviation Fuel Storage ............................................................... 50 3.19. Sewage system ....................................................................................... 51 3.20. Incinerator ................................................................................................ 51 3.21. Service and accommodation buildings .................................................... 51 3.21.1 Service buildings ...................................................................... 51 3.21.2 Accommodation Complex ........................................................ 52 3.21.3 Arctic corridors ......................................................................... 52 3.22.1 Industrial waste handling .......................................................... 52 3.22.2 Hazardous material handling ................................................... 52 3.22.3 Mining the mineral deposit below Moriusaq ............................. 53 4. Regulatory Framework .................................................................................... 54 4.1. Introduction .............................................................................................. 54 4.2. Greenland legislation ............................................................................... 54 4.3. The Mineral Resource Act ....................................................................... 54 4.4. International obligations ........................................................................... 55 4.5. Shipping regulations ................................................................................ 56 5 / 137 Environmental Impact Assessment – Main Report 5. Project alternatives .......................................................................................... 58 5.1. Not proceeding with Project ..................................................................... 58 5.2. Port location ............................................................................................. 58 5.3. Alternative depositions of undersize silt material .................................... 58 5.3.1 On land deposition of silt .......................................................... 59 5.3.2 Discharge of silt to the sea ....................................................... 59 5.3.3 Conclusion ................................................................................ 59 6. Environmental assessment Methodology ..................................................... 61 6.1. Introduction .............................................................................................. 61 6.2. Impact assessment methodology and structure ...................................... 61 6.3. Assessing the impact significance ........................................................... 62 6.3.1 Spatial scale ............................................................................. 62 6.3.2 Duration (reversibility) .............................................................. 62 6.3.3 Significance of the impact ........................................................ 63 7. Physical environment ...................................................................................... 65 7.1. Existing environment ............................................................................... 65 7.1.1 Climate ..................................................................................... 65 7.1.2 Topography .............................................................................. 65 7.1.3 Geology and soils ..................................................................... 65 7.2. Potential impacts ..................................................................................... 66 7.3. Assessing the impacts ............................................................................. 67 7.3.1 Landscape alterations and visual impact ................................. 67 7.3.1.1. Impact assessment .................................................................. 67 7.3.1.2. Mitigations ................................................................................ 67 7.3.1.3. Predicted outcomes ................................................................