update, Cliffs suspends plans foe chromite mine
plan to open a chromite mine in northwestern Ontario and ship the ore to a Capreol plant for processing has been put on hold.Cliffs Natural Resources Inc. announced Wednesday that its affiliate, Cliffs Chromite Ontario Inc., will suspend indefinitely its chromite project in Northern Ontario by the end of the fourth quarter.As a result, the company will not spend capital for the project, given what it calls “the uncertain timeline and risks associated with the development of necessary infrastructure to bring this project online.”In June, Cliffs suspended the environmental assessment activities because of pending issues impeding the progress of the project.“We continue to believe in the value of the mineral deposits and the potential of the Ring of Fire region for Northern Ontario,” Bill Boor, senior vice president, strategy & business development, said in a statement. “As we’ve assessed the current challenges in the region and the costs to continue on the current path, we decided to suspend the chromite project indefinitely.“Unfortunately, we will reduce the project team staffing and close our Thunder Bay and Toronto offices, as well as the exploration camp site. We understand this is a hardship for our employees and their families.During this transition, we will be working with this talented team of professionals to explore other opportunities at Cliffs."The mine in the so-called Ring of Fire would have created hundreds of jobs in northwestern Ontario and as many as 500 in Capreol.Michael Gravelle, Minister of Northern Development and Mines, responded to the news with a statment indicating that the Ring of Fire is about more than one company and that the province remains “committed to smart, sustainable, and collaborative development” of the site.“While I am disappointed with Cliffs’ decision, and certainly appreciate the company’s continued interest in the project, our commitment is clear,” said Gravelle. “The province is prepared to invest in vital infrastructure and create the right climate to support development in the region. We will work with key partners to realize these shared benefits.”He said there is no question that the Ring of Fire is a significant project that requires partners to come to the table,including the private sector, First Nations and the federal government. And Gravelle said the province is working to bring those partners together through its recently announced development corporation to drive infrastructure forward.“We are continuing our historic community driven process with Chiefs of the Matawa Tribal Council to address regional considerations. We continue to make key investments to ensure full participation by all communities in the economic benefits,” he said. A plan to open a chromite mine in northwestern Ontario and ship the ore to a Capreol plant for processing has been put on hold.