Newmont Corporation (TSE: NGT) (NYSE: NEM) has run into some resistance in its attempt to revival the Pamour Mine outside of Timmins, Ontario.
The Taykwa Tagamou Nation (TTN), which is located southeast of Cochrane and over 100 kilometers east of Timmins, filed claim in the Ontario Superior Court of Justice last Wednesday to stop the gold giant from restarting the mine. Its assertion is that the provincial government has failed to consult with the First Nation, which is in direct violation of their Treaty 9 rights.
The Pamour mine, located northeast of Timmins’ city limits near the Hoyle Pond mine, has remained inactive since 2009. Various ownership groups operated the mine extensively from 1976 to 1999, with a brief revival in the mid-2000s. Newmont, which acquired the mine through its 2019 merger with Goldcorp, plans to extend operations until 2035, adding 1.6 million ounces of gold to its production.
“Our ancestors entered into Treaty No. 9 to protect our traditional way of life, and to ensure we all benefit from the bounty of our territory,” said Chief Bruce Archibald in a statement.
“That balance has not been upheld by our treaty partner. Meaningful consultation and sharing of resources are essential to uphold the promises made in the treaty and to ensure that our people can continue to live in harmony with the land and pass on our traditions to future generations.”
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First Nation calls for halt to all authorizations, permits, and approvals
The First Nation contends that industrial activities have historically disrupted their cultural practices and rights, with ongoing mining activities posing further threats.
Additionally, the First Nation has demanded a stay on all government authorizations, permits, and approvals related to the Pamour mine’s revival, emphasizing the broader issue of Indigenous rights and consultation in mining projects.
This legal action coincides with Newmont’s efforts to divest some of its non-core properties in the area, including the recent sale of the Musselwhite Mine to Orla Mining (NYSEAMERICAN: ORLA) (TSE: OLA).
TTN has urged Ontario to fulfill its duty by collaborating with community leadership to conduct a joint land-use planning exercise that will “regularize the system of approving permits under the Mining Act.” The First Nation is also pursuing damages exceeding $200,000.
The claim names the ministries of northern development and mines, natural resources and forestry, and environment, conservation and parks, as well as the attorney general, Newmont Corp., and Goldcorp Canada, a Newmont subsidiary, as defendants.
Pamour has remained inactive since 2009. Situated in the northeast end of Timmins’ city limits, the site lies 19 kilometres from downtown, one kilometre north of Highway 101, and adjacent to the Hoyle Pond mine.
Various ownership groups operated Pamour as an open-pit mine intermittently, with the most significant activity occurring between 1976 and 1999 across five separate pits. Mining resumed briefly in the mid-2000s before ceasing again in 2009.
Previously known as the Century Project under Goldcorp, Newmont now plans to extend Pamour’s mining life in the Timmins camp until 2035, projecting an addition of 1.6 million ounces of gold.
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Newmont offers no timeline for production resumption
Since 2003, companies have amended Pamour’s mine closure plan multiple times. The original plan, submitted to the province by a previous operator, intentionally left the possibility of future mining open, envisioning a single, large-scale open-pit mine.
Newmont has not provided a timeline for when gold production at Pamour might resume. However, in 2014, Goldcorp had signed a Resource Development Agreement with several local First Nations, which included a framework for consultation on regulatory permitting and outlined community benefits from mining activities. This current legal challenge by Taykwa Tagamou could set a precedent for how mining operations are conducted in treaty areas, emphasizing the need for thorough and genuine consultation with First Nations communities.
The First Nation states that it didn’t actually learn of Newmont’s plans until January of 2023. In the preceding months since the first nation discovered Newmont’s plans, the mines ministry had told the First Nation that the company planned to upgrade the nearby Dome site, including raising the tailings dam to accommodate future waste mine rock deposits.
The statement of claim and media reports state that Newmont plans to shift production to Pamour after the Hollinger Mine closes at the end of 2024.
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Mines ministry told Goldcorp consultation was unnecessary in 2021
The First Nation’s statement of claim says that in 2021, the mines ministry told Goldcorp that Aboriginal consultation was unnecessary because the proposed changes to Pamour lacked the potential to cause adverse impacts to Aboriginal and Treaty rights, and wouldn’t result in an increase in the project footprint or any new off-site impacts.
Furthermore, a Newmont spokesperson said the company has “engaged in good faith to reach a meaningful and fair agreement with TTN” over the past year. The spokesperson emphasized Newmont’s commitment to being responsible operators and making positive changes where possible.
The spokesperson also highlighted Newmont’s USD$160-million investment in building a water treatment plant at Pamour, which can return 13 million cubic metres of treated water to the Mattagami, Frederick House, and Upper Kapuskasing watersheds.
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joseph@mugglehead.com
