Let's hope that the FN is appease with their status in the ROF and that this piece of bad news for Taseko doesn't give them a firing gun to ask for more.
This very rich open pit gold mine would have produced gold at "minus" $340/oz (due to copper byproducts). This is a mine which British Columbia banked on to rejuvenate its resource sector. This is similar to the Ontario Liberal dream for the "Ring of Fire".
Its monstrous size would have had a lifespan of 33 years.
This story will be huge around the world tomorrow.
UPDATE 2-Canada blocks development of Taseko mining project
* Says proposed mine would have damaged environment
* Taseko shares drop 25 percent in post-market trade (Adds company comment)
OTTAWA Nov 2 (Reuters) - The government of Canada has decided to block the development of Taseko Mines' (TKO.TO) controversial copper-gold mine in British Columbia, Environment Minister Jim Prentice said on Tuesday.
Ottawa's decision -- based on "concerns about the significant adverse environmental effects" -- overrules British Columbia's provincial government, which had granted permission for the Prosperity project to go ahead.
The news hammered shares of Taseko Mines, which fell 25 percent to $4.89 in after-market trade in the United States.
Steve Parsons an analyst with Wellington West said Ottawa's ruling is a major blow for Taseko that potentially diminishes the value of the company.
"I can tell you what's left in the company and the value of that we estimate is C$4.85 a share ... It (Taseko) could trade at a slight discount to that," said Parsons.
Prentice, saying the firm could submit a revised proposal, said he agreed with a federal review panel's report that said the proposed project would destroy a nearby lake and the local ecosystem.
"(The report) was scathing in its comments about the impact on the environment. It was, I would say, probably the most condemning report that I've seen," he told a hastily convened news conference in Ottawa.
Taseko said it plans to fully evaluate the federal government's decision on the project.
"We are extremely disappointed by this decision," Chief Executive Russell Hallbauer said in a statement.
"Our next steps will be discussions with both the federal and provincial governments to look at options so that this mining project can move forward and meet the criteria that the federal government deem appropriate."
Local aboriginal groups have opposed the mine, saying it would infringe on their rights.
"That would be good, if it's true," said chief Marilyn Baptiste of the Xeni Gwet'in First Nation when informed of Ottawa's decision.
The project, a conventional open-pit mine located about 125 km (80 miles) southwest of Williams Lake, British Columbia, was expected to have a 20-year operational life with a production capacity of 70,000 tonnes of mineral ore per day.
The provincial government gave its approval to the project in January, saying the mine would not have a significant adverse environment impact apart from the loss of a lake, which would be replaced with a newly built lake
