Noront Resources

High-grade Ni-Cu-Pt-Pd-Au-Ag-Rh-Cr-V discoveries in the "Ring of Fire" NI 43-101 Update (March 2011): 11.0 Mt @ 1.78% Ni, 0.98% Cu, 0.99 gpt Pt and 3.41 gpt Pd and 0.20 gpt Au (M&I) / 9.0 Mt @ 1.10% Ni, 1.14% Cu, 1.16 gpt Pt and 3.49 gpt Pd and 0.30 gpt Au (Inf.)
in response to Brewmac's message

I don't have a lot of detail but the basics are as follows (oversimplified for brevity):

  • Platinex, has a dismal relationship with both the Gov't of Ontario and the First Nations in the area. I don't know what started it, but from my experience, all three parties are equally capable of being obtuse and truculent enough to have had a part in the debacle.
  • I believe that they (Platinex) may have expected the Ontario Gov't to convince or coerce the First Nations into "allowing" them free and clear access into the area. Obviously, it is not within the powers of the Gov't to do so and this is something that all explorers and miners simply must pay attention to. In fact, the province has a fiduciary responsibility (proven in court many times now) to the First Nations to go through a significant process of consultation and involvement. Also, the industry must be involved in the process in order for it to work. Again it must be stressed that this is something that no mining company can afford to ignore. You will notice that Noront, for example, is working toward positive relationships with jointly signed MOU's with the surrounding First Nations and generally speaking, are moving ahead in a workman-like fashion. The importance of these relationships cannot be overemphasized and they have become the bane of miners' existance throughout the world for those who ignore them.
  • The courts proved this point once again by imposing a consultation protocal for all three parties. Essentially telling them all to work together or else.
  • Somewhere in all of this, Platinex sued the First Nation for 10 Billion (yes that is the correct number), I suppose to force the issue. Really though, it probably just inflamed matters at the time.
  • This is a very unfortunate mess, but one that might be avoided with the observance of appropriate protocals prior to imposing oneself on these communities (again, others such as Noront are managing, so it is possible).

Good luck to Platinex. However, they should probably have approached all of this very differently. FYI, the world's major mining companies consider this problem so important that they have established a globally resourced working group to try to come up with a common approach to keep their members out of trouble re: indigenous communities.

That is about all I know right now but it is a long way from being resolved as apparently the mediation process is just getting underway. I guess that the take home message is that proceeding with a mining operation means that there is more to do than just dig a hole. There is also a social contract of some sort that goes with virtually all mining operations these days no matter where in the world one might be operating. This, of course, is no different from other resource extraction industries who must also observe the social needs of the communities in which they work (eg. forestry, oil and gas, etc...). I know that some may voice extreme impatience with such things, but the issue is not unique to either Canada or to the Mining industry. It is common globally and must be considered way up front in the planning phase of any operation.

Hope this is helpful.

RHammer

Please login to post a reply
RHammer
City
Diamond City, Alberta
Rank
President
Activity Points
4911
Rating
Your Rating
Date Joined
11/08/2007
Social Links
Private Message
Noront Resources
Symbol
NOT
Exchange
TSX-V
Shares
326,029,076 As of Jan 17, 2017
Industry
Metals & Minerals
Create a Post