Hudson Resources Inc. Environmental Impact Assessment (EIA): White Mountain Anorthosite Mining Project Property License 2002-06 August 2015 Inuplan Office Nuuk Issortarfimmut 13 Postboks 1024 DK-3900 Tel. + 299 343700 www.inuplan.gl Environmental Impact Assessment (EIA) - White Mountain Anorthosite Mining Project Table of Contents 1" Non&Technical"Summary"........................................................................................"1" 1.1" English"........................................................................................................................"1" 1.2" Greenlandic".............................................................................................................."10" 1.3" Danish"......................................................................................................................"21" 2" Introduction"........................................................................................................."31" 3" Regulatory"Framework"........................................................................................."32" 4" Description"of"the"White"Mountain"Project".........................................................."33" 4.1" Location"..................................................................................................................."34" 4.2" The"Material/Ore"....................................................................................................."35" 4.3" Mining"Operations"..................................................................................................."36" 4.3.1% Mining%Method%........................................................................................................%36% 4.3.2% Processing%Facility%....................................................................................................%36% 4.4" Infrastructure"..........................................................................................................."37" 4.4.1% Port%Facilities%and%Transport%....................................................................................%37% 4.4.2% Road%.........................................................................................................................%39% 4.5" Infrastructure"and"Camp"Complex"............................................................................"39" 4.5.1% Power%Source%...........................................................................................................%42% 4.5.2% Explosives%Storage%Facility%.......................................................................................%42% 4.5.3% Water%Supply%and%Treatment%...................................................................................%43% 4.5.4% Sewage%Treatment%and%Discharge%...........................................................................%44% 4.5.5% Solid%Waste%Disposal%................................................................................................%45% 4.5.6% Tailings%.....................................................................................................................%45% 4.6" Personnel"................................................................................................................."46" 4.7" European"Facility"......................................................................................................"47" 4.8" Alternatives"Considered"..........................................................................................."47" 4.8.1% Zero Alternative%.....................................................................................................%47% 4.8.2% Energy Supply Alternatives%..................................................................................%48% 4.8.3% Location of Port and Process Plant%....................................................................%48% 4.8.4% Deposition of Tailings Alternatives%......................................................................%49% 4.9" Closure"Plan"............................................................................................................."49" 5" Environmental"Baseline"(Description"of"the"area)"................................................."50" 5.1" Physical"Environment"..............................................................................................."50" 5.1.1% Terrestrial Topography%.........................................................................................%50% 5.1.2% River Continuum%....................................................................................................%51% 5.1.3% Lake Bottom Geology%...........................................................................................%54% 5.1.4% Bathymetry%.............................................................................................................%55% 5.1.5% Geology%...................................................................................................................%55% 5.1.6% Climate%....................................................................................................................%56% ii Environmental Impact Assessment (EIA) - White Mountain Anorthosite Mining Project 5.1.7% Noise%.......................................................................................................................%59% 5.1.8% Dust%.........................................................................................................................%59% 5.2" Terrestrial"Environment"..........................................................................................."59" 5.2.1% Vegetation%..............................................................................................................%59% 5.2.2% Terrestrial Wildlife%..................................................................................................%62% 5.2.3% Birds%........................................................................................................................%62% 5.2.4% Mammals%................................................................................................................%67% 5.3" Limnetic"(Open"Water)"Environment"........................................................................"72" 5.3.1% Water Quality%.........................................................................................................%72% 5.3.2% Vegetation%..............................................................................................................%77% 5.3.3% Fauna%......................................................................................................................%78% 5.3.4% Fish%..........................................................................................................................%79% 5.4" Marine"Environment"................................................................................................"82" 5.4.1% Water Quality%.........................................................................................................%82% 5.4.2% Marine Sediment%...................................................................................................%83% 5.4.3% Marine Flora%...........................................................................................................%83% 5.4.4% Marine Fauna%.........................................................................................................%84% 5.5" Areas"of"Interests/Conflicts"......................................................................................"87" 5.5.1% Cultural Sites%..........................................................................................................%87% 5.5.2% Local Hunting and Fishing%....................................................................................%87% 5.6" Sensitive"Areas"and"Protected"Areas"........................................................................"89" 5.7" Traffic"......................................................................................................................."90" 6" Methods"Used"for"Environmental"Impact"Assessment".........................................."91" 6.1" Purpose"and"Approach"............................................................................................."91" 7" Environmental"Impact"and"Mitigations"................................................................"94" 7.1" Mine"Site".................................................................................................................."95" 7.2" Infrastructure"(Roads,"Harbour,"Heliport)"................................................................."96" 7.3" Tailings"Disposal"......................................................................................................."98" 7.3.1% Tailings%Chemical%Composition%................................................................................%98% 7.3.2% Tailings%Lake%Description%..........................................................................................%98% 7.3.3% Tailings%Impact%on%Fresh%Water%.............................................................................%100% 7.4" Noise"......................................................................................................................"107" 7.5" Dust"......................................................................................................................."111" 7.6" Emissions"..............................................................................................................."112" 7.7" Impact"From"Waste"and"Wastewater"....................................................................."115"