During the last several years, the vast majority of exploration and mining companies with properties in Ontario have been consulting with First Nation communities, hiring their members, purchasing supplies from them and signing agreements of one sort or another.
The consultation and accommodation process has become an accepted business practice. Most exploration and mining companies have reached out to First Nation communities and demonstrated good will, while most First Nations have been reasonable and more than happy to see the economic spinoffs from exploration activity in their traditional territories.
Last year, spending on exploration activity in Ontario surpassed $1 billion for the first time, so the duty to consult and accommodate First Nations has not sent exploration companies packing for other jurisdictions.
Until now, exploration companies have been engaging with First Nation communities in the absence of any legal or regulatory obligation, but beginning April 1, Ontario’s amended Mining Act and associated regulations take effect, enshrining the duty to consult and requiring exploration companies to file plans and apply for permits prior to conducting most exploration activities.
Exploration companies will have more forms to fill out and may have to adjust their planning to account for the 30 to 50 days it will take for their plans and permits to be approved but, otherwise, it will be business as usual.
Consultation will take place as it has until now, agreements will be reached and the approval of the plans and permits will be little more than a formality in most cases.
Unfortunately, greed, stubbornness, First Nation political rivalries and possibly even racism have conspired to muddy the waters in a few sensational cases that have ended up in blockades, court battles and even jailings.
Our story on the new regulations in this issue of Sudbury Mining Solutions Journal details one such case – that of Solid Gold and its impasse with the Wagoshig First Nation. (See Page 34)
By not consulting with Wagoshig First Nation prior to conducting its exploration activity, Solid Gold soured the relationship right from the start. If the new Mining Act regulations had been in place when the company began planning its exploration activities, it would have had to consult and both parties would have saved a lot of money on legal fees.
The entrenchment of the duty to consult clarifies the responsibilities of all parties. It cannot guarantee successful engagements in all cases, but it establishes a framework for consultation, sets the ground rules and provides for a dispute resolution process in cases where the parties are unable to reach agreement due to lack of good will or excessive and unreasonable demands.
Surely, we can continue to generate wealth from Ontario’s vast mineral resources while also sharing the benefits of the resulting economic activity with our First Nation neighbours. This is what the amended Mining Act and associated regulations strive to do.
Promoting an environment of fairness, harmony and good will is essential to maintaining Ontario’s reputation as an exploration-friendly jurisdiction.
