Mining company plans to make final investment decision on mine expansion this year
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The B.C. government’s approval of a multi-billion-dollar expansion of the Red Chris gold and copper mine sets owner Newmont Corp. up for a final investment decision later this year.
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The mine was on both the provincial and federal government’s fast-track project list, meant to boost production of critical minerals needed for the technology and clean energy sectors.
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Copper is considered a critical mineral and largely exported from B.C. to Asia.
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“The Red Chris Block Cave project represents a compelling long-term opportunity and (the) approvals mark a significant milestone in stage-gating, as Newmont progresses toward a final investment decision later this year,” said Natascha Viljoen, Newmont’s president and CEO.
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“With significant mineral endowment, availability of clean hydroelectric power, port access, supportive governments, and strong Indigenous economic leadership, northwest British Columbia is emerging as a world-class mining district.” said Viljoen.
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“We are proud to have advanced this project through a consent-based framework with the Tahltan Nation, reflecting our shared commitment to responsible resource development.”
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Company officials have said that the project’s cost is about $3 billion.
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Newmont is a global mining giant headquartered in Denver, Colorado, with mines in North America, including the Bruce Jack gold and silver mine in northern B.C., and others in South America, Australia, Africa and Papua New Guinea.
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It has a 70 per cent ownership in Red Chris, with Imperial Metals Corp. owning the other 30 per cent.
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The Red Chris mine in northern B.C. is already a large operating open pit mine.
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Newmont has proposed expanding production and increasing the life of Red Chris by using the block-cave method, where a large ore body is undercut, allowing it to collapse under its owns weight. The broken ore is then extracted from below.
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The project will extend the life of the mine by more than a decade and increase Canada’s annual copper production by more than 15 per cent.
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The project has the support of the Tahltan Nation and involved a shared-decision process with the First Nation. The mine is in the Nation’s traditional territory.
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“Some have questioned whether recognizing Indigenous rights would make it harder to advance major projects in British Columbia,” said Kerry Carlick, president of the Tahltan Central Government.
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“(This) announcement provides a clear answer. The approval of the Red Chris Block Cave Project, developed in partnership with the Tahltan Nation, the province, and Newmont, the world’s largest gold producer, shows that meaningful Indigenous involvement creates certainty, strengthens projects and delivers benefits that are shared by all British Columbians,” said Carlick.
