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By Shane Lasley
Mining News 

BC First Nations forge mining alliances

Tahltan, Nisga'a form partnership to be industry leaders in mining, exploration; elevate Northern BC ESG opportunities North of 60 Mining News - February 3, 2023

 

Last updated 3/2/2023 at 6:15pm

Closeup of highly mineralized half core from drilling at Eskay Creek in BC.

Skeena Resources Ltd.

High-grade mineralization in the core from a hole drilled at Skeena Resources' Eskay Creek gold-silver project in the Tahltan First Nation Territory of Northern British Columbia.

British Columbia's Golden Triangle is poised for a mining boom that raises the bar when it comes to achieving the higher environmental, social, and guidance expectations for companies that produce the gold, silver, copper, and other metals the world needs and wants.

While this mineral district in BC's northwest corner is famed for its rich stores of copper, gold, and silver – and to a lesser degree, nickel, cobalt, platinum group metals, and other critical minerals – the ESG advantages of delivering these metals to world markets is less talked about.

One of these advantages is the Northwest Transmission Line, which delivers industrial-grade hydroelectricity to the Golden Triangle. This means any mines developed in this world-class district can plug into affordable, reliable, and low-carbon power grid – a major advantage in terms of costs and ESG credentials.

The biggest ESG benefit the Northern BC mining district brings to the table, however, is on the social front – sophisticated and well-organized First Nations that are well-versed in mining.


"For thousands of years, our people prospected, mined, and utilized obsidian for tools, weaponry, and trade," said Chad Norman Day, president of the Tahltan Central Government, the administrative governing body of the Tahltan Nation in Northern BC. "More recently, Tahltans supported miners during the gold rush and have had operating mines in our homelands for multiple generations."

The Tahltan homelands cover 70% of what is now known as the Golden Triangle. The traditional territory of Nisga'a Nation, Tahltan's neighbor to the south, covers most of the rest. These First Nations, which have been proactive when it comes to both mining and protecting cultural heritage within their respective territories, have now forged a partnership that further strengthens them as industry leaders in mining and exploration.


"Through our partnership, we are creating a circle of certainty in the Golden Triangle that will attract investors to work with us in our territories," said Nisga'a Lisims Government President Eva Clayton.

Responsible mineral exploration and mining companies that respectfully engage with Nisga'a and Tahltan First Nations find themselves with strong partners that can help streamline permitting and put a capital "S" in ESG.

The most successful companies behind the coming Golden Triangle mining boom have developed strong working relationships with these allied First Nations.


Contango ORE is an Alaska gold exploration and mining company.

Strong partnership

When it comes to developing strong partnerships between Canadian First Nations and mining companies, there is likely no better example than the alliance that has been built between the Tahltan Nation and Skeena Resources Ltd.

Over the past five years, Skeena has been working toward permitting and developing a new era of mining at Eskay Creek, home to a past-producing gold-silver mine in Tahltan Territory.

This work culminated in a feasibility study finalized in September that details a financially robust open pit mine at Eskay Creek that will produce 2.42 million oz of gold and 66.7 million oz of silver over an initial nine years of mining.


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While carrying out the exploration and other work needed to ready Eskay Creek for permitting, Skeena was proactive in its engagement with the Tahltan and has steadily built a strong bond with the First Nation and its people.

"As an already developed mine site with existing road access, waste management facilities, nearby access to green power, and robust economics, gaining consent from the Tahltan Nation on whose unceded land Eskay Creek is located, is a crucial step in an efficient approval process for the project," said Skeena Resources Senior Vice President of External Affairs and Sustainability Justin Himmelright.

As part of its partnership-building endeavors, Skeena worked closely with Tahltan to create a conservancy that protects an area that harkens back to the roots of the First Nation's mining heritage.


KSM gold-copper project, Golden Triangle British Columbia, Courageous Lake gold, Northwest Territories

To create the 3,500-hectare (8,650 acres) Ice Mountain conservancy, Skeena relinquished mineral tenures covering its copper and gold enriched Spectrum project alongside the 230,000-hectare (568,300 acres) Mount Edziza Provincial Park.

"Mount Edziza and the surrounding area has always been sacred to the Tahltan Nation. The obsidian from this portion of our territory provided us with weaponry, tools and trading goods that ensured our Tahltan people could thrive for thousands of years," said Day. "Working alongside Skeena Resources, the Province, BC Parks Foundation, and the Nature Conservancy of Canada to provide further protection to this area is an initiative we can all take pride in."


Considering that the Tahltan Central Government invested C$5 million to gain an equity stake in Skeena, it is expected that the First Nation will continue to work alongside Skeena as the mining company seeks to revitalize a past producing mine in Tahltan Territory.

"In partnering with Skeena, the Tahltan Nation is evolving and taking significant steps forward by becoming meaningful equity partners in these projects," Day said upon the 2021 Tahltan investment. "Ownership provides the Tahltan Nation with a strong seat at the table as we continue our pursuit towards capacity building and economic independence for the Tahltan people."


Leaning into discomfort

While an investment by the governing body of the Tahltan Nation sent a strong signal of support for Skeena and its plans at Eskay Creek, a historic pact signed last year has even wider implications for the gold-silver project and mine permitting in BC.

Under an agreement signed in mid-2022, Eskay Creek will be the first mine in BC to have permits authorized by an indigenous government, marking a significant step toward incorporating the principles of the United Nations Declaration on the Rights of Indigenous Peoples, commonly referred to as UNDRIP, into the environmental assessment process.

"Reconciliation is not achieved with just one step. It requires ongoing innovation, collaboration and leaning into discomfort," said Day. "For the Tahltan people, strengthening and preserving our culture, values and independence is why we keep pushing forward on this journey."


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Tahltan Central Government insists that companies doing business within its homeland recognize Tahltan sovereignty as outlined in the 1910 Declaration of the Tahltan Tribe. This includes having a seat at the table on any resource decisions made within Tahltan Territory.

"The Tahltan Central Government has been clear on behalf of all Tahltan people that there will be no world-class mining jurisdiction in Tahltan Territory without robust Tahltan stewardship which must include world-class wildlife and fisheries management, strong environmental mitigation measures and recognition of our 1910 Declaration," Day added.

While the Tahltan have been generally supportive of mining in the Golden Triangle, they have also expressed strong opposition to destructive placer gold and jade mining practices, as well as hardrock mineral exploration projects that are disrespectful of heritage and environment.

"It is imperative that exploration and mining companies wishing to operate within Tahltan Territory do so in a respectful manner, as they are guests in Tahltan Territory with provincial permits, most of which were not granted with Tahltan support or consent," Tahltan Central Government penned in a statement.

Under the agreement between Tahltan, Skeena, and the provincial government, the revitalized Eskay Creek gold-silver mine will have both Tahltan support and consent.

Redefining mine permitting

BC officials say the agreement for consent-based permitting of the Eskay Creek Mine project recognizes Tahltan rights and title within its territory and honors the First Nations' jurisdiction when it comes to land management decisions there.

"This historic step shifts B.C.'s legal decision-making framework to respect First Nations jurisdiction, recognize the inherent rights of the Tahltan and provide a clear, stable and sustainable path for everyone to work together," said British Colombia Premier John Horgan. "The Tahltan Nation is a strong partner. By working together, we are delivering on the promise of reconciliation, supporting predictability for business and encouraging responsible investment in B.C."

The historic permitting agreement was followed up on Jan. 17 with a permitting process charter that adds even more certainty for permitting a mine at Eskay Creek.

A first-of-its-kind process charter between the Tahltan Nation, Skeena, and the provincial government establishes a work plan for all parties to collaborate on an efficient permitting process for Eskay Creek.

This includes a target of issuing an environmental assessment certificate for Eskay Creek in the second half of 2024 and final permits early in 2025.

"This document focuses on the details of regulatory processes related to the project. It is an example of how Skeena is continually working with the Tahltan Nation to redefine how project approval processes are carried out within our Territory," said Tahltan Central Government Lands Director Connor Pritty. "We are working together to effectively integrate Tahltan knowledge, process requirements and decision-making specific to Eskay Creek."

It is also likely to set a precedent that influences how other mining projects are approved across BC and potentially the rest of Canada.

Premier Nisga'a partnership

Even with the timelines laid out in the Tahltan-Skeena-BC process charter, Eskay Creek will likely not be the next Golden Triangle mine. That honor will go to Premier, an already permitted gold-silver mine project in Nisga'a Nation territory at the southern end of the world-class mining district.

Being advanced toward production by Ascot Resources Ltd., Premier is also home to a past-producing gold-silver mine.

Last operated in the 1990s, this historical mine near the town of Stewart already has much of the major infrastructure in place – mill, crushing and grinding circuits, tailings storage area, and hydroelectric grid power access – required to resume operations.

And Ascot has the permits in-hand for a modern mining operation at Premier and the nearby Red Mountain property.

A feasibility study completed in 2020 envisions four underground mines – Big Missouri, Silver Coin, Premier, and Red Mountain – providing ore to an updated version of the existing mill. At 2,500 metric tons per day, this operation is expected to produce roughly 1.1 million ounces of gold and 3 million oz of silver over the first eight years of operations.

Much like Skeena and the Tahltan Nation to the north, Ascot and Nisga'a Nation have forged a strong working relationship.

"I am very delighted to represent the Nisga'a Nation in our partnership with Ascot," Nisga'a Lisims Government President Eva Clayton said upon signing a renewed impacts agreement with the mineral exploration and development company in 2021. "Since the beginning, our relationship has been one based on the principle of mutual respect and a commitment to improving the quality of life of Nisg̱a'a citizens."

Under the terms of this comprehensive benefits agreement, Nisga'a Nation will provide ongoing support and continued consultation for the development and future operations of underground gold-silver mines at Premier and Red Mountain, emphasizing respect for the land, protection of the environment, understanding of cultural use and knowledge, as well as health and safety, on and off the worksite.

"As I look back at how far we have come in just a few short years, our partnership and relationship with Nisga'a Nation has been instrumental in the advancement of the projects," said Ascot Resources President and CEO Derek White upon the signing of the pact.

On Jan. 19, Ascot closed a C$200 million (US$150 million) financing package needed to complete development and begin producing gold and silver at the revamped Premier Mine by early 2024.

"With funding secured, we look forward to refocusing our efforts on project construction this year and becoming Canada's next gold producer," said White.

Tahltan-Nisga'a mining alliance

As influential as the Tahltan and Nisga'a nations are over mining in their respective territories, a new alliance forged between these Northern BC neighbors will strengthen their sway over, and maximize benefits from, a Golden Triangle mining boom.

The new partnership, which was unveiled on Jan. 26 at the Association for Minerals Exploration Roundup in Vancouver, was established to optimize the neighboring First Nations' participation in Seabridge Gold Inc.'s world-class KSM copper-gold-silver mine project.

A mid-2022 prefeasibility study detailed plans for developing an open pit mining operation at KSM capable of producing more than 1 million oz of gold, 3 million oz of silver, 178 million pounds of copper and 4.2 million lb of molybdenum annually for 33 years.

While this would be a world-class mine in its own right, it does not even consider an underground-focused mine capable of producing another 14.3 million oz of gold, 14.3 billion lb of copper, 68.2 million oz of silver, and 13.8 million lb of molybdenum over 39 years.

If mined in sequence, this would mean roughly seven decades of mining at this extraordinary project on the border of the Nisga'a and Tahltan territories.

To maximize the benefits for both nations and their people, Nisga'a and Tahltan have created the Treaty Creek Limited Partnership, an alliance that strengthens their leadership when it comes to mineral exploration and mining.

"There is so much potential to increase capacity with both Nations. Working together can only optimize participation in the industry while ensuring we are providing those capable with the support and tools to ensure they can build sustainable, life time careers in the industry," said Andrew Robinson, director appointed to the Treaty Creek Partnership by the Nisga'a Nation.

The centuries-long relationship between these neighboring First Nations includes putting their differences aside and coming to a mutual understanding on the boundaries of their traditional territories, which was acknowledged and settled at Treaty Creek in 1898.

Over the ensuing 125 years, the Tahltan and Nisga'a nations have continued to reaffirm and solidify their allegiance.

Under a 2016 memorandum of understanding, the neighboring nations agreed to elevate their enduring relationship, which was achieved with the creation of the Treaty Creek Partnership.

"Today we are bringing life to our long-standing relationship and historical memorandum of understanding by implementing those very provisions of the MOU that are intended to improve the quality of life of our Nisg̱a'a and Tahltan people," said Clayton.

The economic opportunities offered by KSM are enormous for both First Nations.

So far, Seabridge has invested more than C$650 million to prepare for the development of an environmentally responsible mine at KSM. This year, the company plans to spend more than C$225 million toward the completion of early-stage construction at the world-class project. In 2022 alone, the company awarded more than 30 major contracts totaling C$170 million dollars – C$125 million, of which was committed for indigenous-affiliated businesses.

"Our KSM project in the Golden Triangle of British Columbia has benefited greatly from the participation, advice, and support of the Tahltan and Nisga'a Nations," said Seabridge Gold Chairman and CEO Rudi Fronk. "We look forward to continued shared success as the project moves forward."

The Treaty Creek Partnership has been established through an equal partnership between the Tahltan Nation Development Corp. and Nisga'a Growth Corp.

"On behalf of both the Nisga'a Nation and the Tahltan Nation, I would like to acknowledge Seabridge for their support and encouragement for the creation of our Treaty Creek Limited Partnership, and their willingness to actively engage and work with our partnership on their KSM project, the world 's largest undeveloped gold project," said TNDC Chair Carol Danielson.

Golden ESG advantages

While the Treaty Creek Partnership was established specially to leverage economic opportunities offered by KSM, it is likely that the businesses, training, and human resource capacity developed under this alliance will likely be the go-to source for the goods, services, and employees needed by the other mining projects slated to add to the Golden Triangle mining boom.

This has the potential to offer major advantages in terms of local support for mining projects in Northern BC.

In addition to KSM, Premier, and Eskay Creek, a number of Northern BC mineral projects are nearing the permitting and development stages. This includes Teck Resources Ltd. and Newmont Corp.'s Galore Creek copper-gold, Teck and Copper Fox Metals Inc.'s Shaft Creek copper-gold, Coeur Mining Inc.'s Silvertip silver-zinc-lead, Giga Metals Corp.'s Turnagain nickel-cobalt, and Benchmark Metals Inc.'s Lawyers gold-silver projects in Tahltan Territory; as well as Hecla Mining Company's Kinskuch and Dolly Varden Silver Corp.'s Kitsault Valley silver-gold projects in Nisga'a Territory.

These are being followed by dozens of Golden Triangle exploration projects enriched with the minerals and metals essential to the transition to green energy and the economy.

Companies advancing mineral exploration, development, and mining projects have the pieces in place to tout strong ESG credentials – being in a Canadian jurisdiction wired with clean, industrial hydropower is a great start on the environmental front and having sophisticated First Nations that work alongside responsible and respectful mining companies goes a long way toward showing the societal benefits.

When it comes to governance, taking full advantage of the "E" and the "S", and carrying out business in the Golden Triangle in a way that continues to garner the support and respect of the First People, would be good indications that the board and management are taking care of the "G."

Large swath of freshly exposed orange- and green-stained rock at KSM project.

Seabridge Gold Inc.

Receding glaciers expose highly mineralized bedrock at KSM, a Northern BC project with enough reserves to produce more than 1 million oz gold, 3 million oz silver, 178 million lb copper and 4.2 million lb molybdenum annually for 33 years.

Author Bio

Shane Lasley, Publisher

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Over his more than 16 years of covering mining and mineral exploration, Shane has become renowned for his ability to report on the sector in a way that is technically sound enough to inform industry insiders while being easy to understand by a wider audience.

A crew of seven perched on large power pole on the Northern BC mountains.Map of mineral exploration projects in relation to Tahltan Territory.Lights shine out the windows of the Premier mill building on a BC winter day.Closeup of highly mineralized half core from drilling at Eskay Creek in BC.Large swath of freshly exposed orange- and green-stained rock at KSM project.
 

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