Reporting from Salt Lake City
Last weeks report by the Ontario Chamber of Commerce has given the ROF much exposure across North America
https://www.mineweb.com/mineweb/content/en/mineweb-editors?oid=230310&sn=Detail
Ring of Fire benefits extend ‘far beyond mining’ - OCC
Mining development in the Ring of Fire could generate up to C$9.4 billion in new economic activity in 10 years, says the Ontario Chamber of Commerce.
Author: Dorothy Kosich
Posted: Monday , 24 Feb 2014
SALT LAKE CITY (MINEWEB) -
A new Ontario Chamber of Commerce (OCC) report, Beneath the Surface; Uncovering the economic potential of Ontario’s Ring of Fire, estimates that mineral development in the Ring of Fire region could generate more than C$25 billion across numerous sectors in Ontario by 2047.
Within the first decade of development, the mineral-rich region could generate up to $2.6 billion for the province’s mining industry, sustain up to 5,500 jobs annually and generate nearly $2 billion in government revenue, divided between the federal, provincial and municipal governments.
In the forward to the report, Ontario Chamber of Commerce CEO, Allan O’Dette, notes, “Ontario already has critical mass in mining production, finance, technology and sustainability. We believe that the development of the Ring of Fire will secure Ontario’s position at the forefront of the global mining industry.”
However, there are growing concerns within Ontario’s business community about the glacial pace at which the Ring of Fire is undergoing development,” he adds. "Progress is slow and the realization of its potential is unproductive and gets us no closer to realizing the potential of the Ring of Fire.”
The report found that the Ring of Fire does not yet resonate in the consciousness of the broader public. “Throughout our consultations, this lack of awareness has been cited as a crucial variable slowing the development of the Ring of Fire.
Through the report, the chamber hopes to enhance public awareness of the economic potential of the region.
The chamber proposes a 13-step action plan for developing the Ring of Fire, including addressing the physical infrastructure deficit; capturing more value-added processes in Ontario, such as a special electricity incentive; and addressing aboriginal community and labor market needs.
The report suggests the Government of Ontario should ensure that smart environmental and regulatory safeguards are in place, adding Ontario is already a world leader in both environmental regulation and the application of cutting edge environmental mitigation strategies.
The chamber asserted that the federal government should make the Ring of Fire a national priority by taking an active role in its development by matching any provincial investments in Ring of Fire infrastructure.
The 13th step of the plan calls for a coordinated campaign aimed at educating the broader public about the far-reaching economic opportunities offered by development of the Ring of Fire.
The region is a large, mineral resource-rich area of 5,120 km located in the James Bay Lowlands region of Northern Ontario. The nearest road or rail line is roughly 330 km away in Nakina.
There are a number of First Nations communities in close proximity to the Ring of Fire.
Since the early 2000s, significant deposits of copper, zinc, nickel, platinum and vanadium and gold have been found in the region. The discovery believed to hold the most promise is the first commercial quantities of chromite in North America.
Cliffs Natural Resources estimates that the region holds at least 220 million tonnes of chromite. The majority of chromite production comes from South Africa, which accounts for 45% with substantial production also occurring in India, Kazakhstan, Russia and Turkey.
The Ring of Fire discovery has propelled Canada into fourth place in the world in terms of chromite deposits.
China is the biggest importer of chromite, which is used for stainless steel, consuming 85% of global demand. There is an estimated 9.2 billion tonnes of chromite reserves around the globe with South Africa accounting for 75% of global reserves at 6.9 billion tonnes.
Several mining experts estimate the true value of future mineral deposits in the Ring of Fire and the surrounding northwest region may double over the next 100 years of development.
Experts are confident that Cliffs will either reengage in the Black Thor Chromite Project or sell its assets to another company that will develop it.
In the report, the chamber suggests that the Raglan nickel and copper mine in Quebec, now operated by Glencore, is a success story that demonstrates the benefit of training and employing aboriginal peoples in mining.