MABC Applauds the Signing of the First Mining Revenue Sharing Agreement in BC

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 24, 2010) - MABC was on hand to celebrate the signing of the first mining revenue sharing agreement between the Province of BC and the Stk'emlupsemc of the Secwepemc Nation (SSN).

After successfully implementing resource revenue sharing agreements in the forestry and oil and gas sectors across BC, in 2008 the province announced its intention to share new mineral tax revenues with First Nations closest to new mine developments or major expansions. "The Province is to be commended on its leadership and implementation of such progressive public policy," said Pierre Gratton, President and CEO of the Mining Association of BC. "BC is breaking new ground in Aboriginal and natural resources public policy, not just in Canada but internationally."

The agreement provides the local First Nations with a direct revenue stream from development in their territories to support their own economic ambitions. "This is a huge step in the right direction," said Mr. Gratton. "Companies commonly negotiate agreements with local First Nations that provide jobs, training and other community benefits, and the move of the Provincial government to share the economic rent collected from companies adds another dimension of benefits for local communities," he added.

"The participation agreement we have with the Stk'emlupsemc is the cornerstone of our relationship with them," said New Gold Vice President Operations Canada, Ron Allum. "In addition to wanting to see these communities as part of our successful business in Kamloops, we also support the move of the Province to share the mineral tax revenues so they can pursue their own success."

In addition to working collaboratively with New Gold, as partners in the Aboriginal Mine Training Association, and now as signatories to this historic agreement, the Skeetchetsn and Tk'emlups Chiefs are ensuring that their communities will directly benefit from this development in their territories. "We are excited to see these communities engaging with our sector and sharing in the benefits," added Gratton, "with the mining industry growing, we see lots of opportunities for similar success stories across BC."