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Mining 101 Presentation OFNEDA 2013 Annual Conference Presented by: Jennifer David.

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Presentation on theme: "Mining 101 Presentation OFNEDA 2013 Annual Conference Presented by: Jennifer David."— Presentation transcript:

1 Mining 101 Presentation OFNEDA 2013 Annual Conference Presented by: Jennifer David

2 Background on Mining – Ontarios Mining Landscape – Odds of Finding a New Mine Mineral Exploration and Development Sequence 1.Prospecting and Staking 2.Grassroots Exploration 3.Advanced Exploration 4.Mine Development 5.Production/Mining 6.Closure and Reclamation The Mining Act Agenda

3 Lead the way in spending and production Half of worlds publicly traded mining companies Canadas biggest gold mine Ontarios mineral production in 2012 was 9.2 billion. Nearly half of all suppliers 23,000 jobs Ontarios Mining Landscape

4 35 operating mines (mostly gold or base metals) Jobs in and around Sudbury and northwestern Ontario $4 billion a year industry Mining is the largest industrial employer of Aboriginal peoples in Canada, 7.5% of the total labour force. Ontarios Mining Landscape

5 Odds of Finding a New Mine

6 The Mining Cycle

7 Step 1 Prospecting and Staking 1.Prospecting and Staking

8 Prospecting is looking for minerals and metals Anyone can do it Need a licence and small tools Staking is marking a section of land so you can come back and continue exploring Prospecting and Staking What is it and Who does it? STEP #1 IN MINING CYCLE

9 First Nations or on reserve members can be prospectors MNDM offers First Nation-specific prospectors course Communities or members may benefit from finding minerals Prospecting and Staking Links to Economic Development

10 Step 2 Grassroots Exploration 2. Grassroots Exploration

11 Often done by junior mining companies Low to moderate impact on the land Surveys (geological, geophysical, geochemical) Mechanical work (drilling, strip mining, channel mining) Possible bulk sample required Additional research What is it and Who does it? STEP #2 IN MINING CYCLE Grassroots Exploration

12 1.Contracting out services like line cutting, digging and trenching, and diamond drilling. 2.Catering and supply companies (food, fuel and possibly equipment rental). 3.A very good opportunity to begin to set up small businesses within the community. Grassroots Exploration Links to Economic Development

13 At the political level, this is when First Nations enter into agreements Memorandum of Understanding Impact Benefits Agreement Partnership Agreement Grassroots Exploration

14 Step 3 Advanced Exploration 3. Advanced Exploration

15 When a company believes it has discovered a sizeable deposit Done by junior or often major mining companies More impact on the land Triggers the need for closure plan What is it and Who does it? STEP #3 IN MINING CYCLE Advanced Exploration

16 Political discussions on comprehensive agreements Contracting for services Contracting for supplies Labourers Small business/joint venture opportunities Baseline Environmental Studies Advanced Exploration Links to Economic Development

17 Step 4 Mine Development 4. Mine Development

18 Done by the major mining company willing to invest Viable deposits found Evaluation, engineering reports done Site plan drawn up Construction Major impact on the land (open pit or underground) What is it and Who does it? STEP #4 IN MINING CYCLE Mine Development

19 Infrastructure Requirements – A mine site can be open pit or underground. Regardless, a mine site will require: A mill Support buildings Access to a mine shaft (underground mining) A space to store waste rock Tailing ponds Roads and power corridors Stripping and storing of soil and vegetation overburden Water treatment facilities Mine Development

20 IBA or Participation Agreements: Employment and training Access to business opportunities Financial considerations Contracting for services Camp services, supplies Employment in trades, administration, manual labourers, equipment operators and professionals Mine Development Links to Economic Development

21 Step 5 Mine Production 5.Mine Production/ Operation

22 The mine is in full operation Buildings and Infrastructure are in place Minerals are extracted, separated and sent for further refining Mine can operate between average 8 years (gold) and 50+ years (diamonds) and anywhere in between What is it and Who does it? STEP #5 IN MINING CYCLE Mine Production

23 Entry level, semi-skilled, skilled and professional jobs required. Businesses will continue to benefit by providing: Production/Mining Links to Economic Development Camp, catering and housekeeping services; Site services; Surveying; Ongoing construction services; Recycling services; Contract mining (underground and open pit); Supplying goods and equipment; Environmental services; and Trucking

24 Depending on skillset, education/training level or experience there is a role in mining. Large labour shortage in the mining field Over 120 different types of mining occupations Colleges and Universities offer mine-related training programs Companies will have recruitment standards (pre- employment, medical and security) Skill development, mentorship, job shadowing are common on-site Production/Mining

25 Education Requirements Production/Mining Entry Level (Gr. 12) Semi-skilled (Gr Exp). Skilled (College/Trades) Professional (University) Underground minerWarehouse technician TradesManagers Trades helpersAdministrativeSafety techniciansEngineers Heavy equip. operators TradesEnvironment techsGeologists Housekeeping services Scientists Accountants

26 Step 6 Closure and Reclamation 6.Closure and Reclamation

27 – It begins when the mining is finished – It includes: Removal of infrastructure (buildings, roads, power lines, etc.); Closing any openings in the ground; Returning the lands to as near natural state as possible; Ensuring physical and environmental safety is maintained; Monitoring the environment for years later; and Returning the lands to the Crown. What is it and Who does it? STEP #6 &7 IN MINING CYCLE Closure and Reclamation

28 – Limited number of jobs and opportunities during closure – Specialized business and employment required – Main jobs include: Trades people to dismantle equipment Equipment operators and mechanic Inspectors Security and first aid personnel Environmental monitoring personnel (water and ground sample) Site reclamation companies Tree planters Closure and Rehabilitation Links to Economic Development

29 Mining Act The Mining Act outlines rules and regulations that apply to mining in Ontario.

30 New Provisions in Mining Act Former Ontario Mining ActNew Ontario Mining Act Apply for a prospectors licence.Complete the MNDM online educational program before applying for a licence. Lands could be withdrawn from claims staking (i.e. protected), but this would be at the discretion of the government (i.e. no legislative or regulatory requirements). Lands that are sites of Aboriginal cultural significance can be protected from claim staking by a government Order in Council. Exploration Plans needed at grassroots exploration stage. No permits required to conduct early exploration activities. Exploration Plans or Permits are now needed to conduct early exploration activities. No requirement for Aboriginal consultation except when submitting a Mine Closure Plan. The Act must be implemented consistent with Aboriginal and treaty rights. Aboriginal consultation is required prior to submitting a Closure Plan, and prior to its filing by MNDM. Some mine sites were abandoned, and never reclaimed or rehabilitated. Anyone can apply to voluntarily rehabilitate a mine site without assuming liabilities.

31 New Provisions in Mining Act Former Ontario Mining ActChanges to the Act Prospectors must stake their claim and register it with the Ontario government. Prospectors must stake their claim and register it with the Ontario government and also include GPS data on the location of the claim. Mining companies paid expenses related to Aboriginal consultations as it was not included in assessment work/costs. MNDM now covers some eligible expenses for Aboriginal consultation as part of assessment work/costs as well as the cost for companies to submit GPS data. Few rules on applying for permission to test a bulk sample. New thresholds for what constitutes bulk sample, more rules and permits required, permission to dispose of material. Aboriginal consultation occurred after a Closure Plan was submitted and before the plan is filed with the government. Aboriginal consultation must occur prior to submitting a Closure Plan. Closure Plan must include a record of Aboriginal consultation.

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