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Encanto Potash Corp V.EPO.H

Alternate Symbol(s):  ENCTF

Encanto Potash Corp. is a Canada-based exploration and development company that is focused on potash properties in the Province of Saskatchewan. The Company is focused on the development of Muskowekwan First Nation (MFN) reserve lands located approximately 100 kilometers north of Regina, Saskatchewan. The Company's wholly owned subsidiaries include Encanto Resources Ltd and Encanto Trading Corp.


TSXV:EPO.H - Post by User

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Post by srpaton Jun 04, 2014 8:45pm
291 Views
Post# 22631504

New Muskowekwan Potash Article

New Muskowekwan Potash ArticleIn an effort to keep this board filled with useful information....
https://www.eaglefeathernews.com/business/index.php?page=5&detail=451 Muskowekwan First Nation - Building a Treaty Based Economy Dr. B. Kayseas and Dr. P.W. Moroz | May 21, 2014 Canadian on-reserve First Nations are now more than ever seeking to fully participate in the Canadian economic system. While there are a growing number of good stories that showcase how communities have successfully embraced an enterprising spirit, many barriers still exist. A 2013 report by the National Aboriginal Economic Development Board clearly stated the issues: "First Nations have been effectively legislated out of the mainstream economy through the imposition of laws, regulations and 'Indian policies' that were developed and imposed upon First Nations without their consultation or consent." The outcome of these long standing policies are plain to see: the people of contemporary First Nations communities are disproportionately ranked among the poorest in the nation. However, more and more First Nations are seeking to address the existing inequities within their communities by engaging in economic development. Across Saskatchewan, First Nations economic development projects have yielded a rich diversity of commercial enterprises. These ventures range from trucking, golf courses, hotels, gas stations, drilling services, commercial real estate, construction and retail to name just a few. Image A future potash mine could bring hundreds of jobs and big investment to the citizens of Muskowekwan. The current leadership of Muskowekwan is attempting to impact their economic prospects in a way not yet achieved by any other First Nation in Canada. The world has stood up and took notice. Recently, a story concerning the Muskowekwan First Nation appeared in the Wall Street Journal (WSJ). The Wall Street Journal is the biggest financial newspaper in the United States, in terms of its circulation. It is focused primarily on economic and business issues and often prints stories on some of the world’s most successful companies including Google, WalMart, and Verizon. So why the interest from one of the world's most prestigious newspapers on a rather sparsely populated First Nation located in central Saskatchewan? The answer is First Potash Ventures, the legal name of the joint venture between the Muskowekwan First Nation, Muskowekwan Resources Ltd. and Encanto Potash Corp. First Potash Ventures (FPV) seeks to develop the first ever potash mine on a reserve. Once operational, with a development cost of $3 billion, the mine will produce an estimated 2.8 million tonnes of potash a year, for 50-plus years. It is estimated that the benefits that the Muskowekwan First Nation (MFN) will realize are: •creation of approximately 1,000 jobs during construction and 340 full-time jobs during operation; •over the lifetime of the mine, approximately $3 billion in fees and taxes that will go directly to the MFN; •ongoing shared environmental monitoring of the mine site, ensuring safety of the MFN, its lands and water; •preferential service contracts and the creation of spinoff business to take up these contracts. Why is this project unique? The Muskowekwan First Nation’s joint venture with Encanto Potash has a number of unique elements to it. The first involves the recognition of Treaty #4 as the foundation for the "re-building" of the MFN. Within the natural resource extraction sector, land ownership and the rights to the resource are key factors for mining development. Having these rights is a key factor in fully participating in partnerships with industry. Chief Bellerose expressed his community's position, "We are focused on Treaty implementation...we do have underlying title...our forefathers who occupied the land passed us the inherent rights title. Our forefathers who signed Treaty #4 passed the Treaty." The MFN's pursuit of development on their lands is their choice and is an expression of their rights to the land. This leads to the second element that contributes to its unique nature: not having to negotiate or forward legal claims over issues of Aboriginal title is not a typical position for most First Nations to be in. Most First Nations must attempt to access benefits from mining developments in Canada through legislative measures such as the duty to consult or legal mechanisms such as impact and benefit agreements (IBA). In many other cases, First Nations and Aboriginal peoples have been ignored in the past and have had to involve the courts in injunctive processes to stop development, or force companies to negotiate, often leaving bitter feelings amongst both parties. The outright ownership of the resource offers an opportunity for Muskowekwan First Nation to be involved in decision-making rather than a negotiated role as in the case of a signatory to an IBA. The MFN has negotiated a joint venture that provides the partners with seats on the decision-making Management Committee. Chief Bellerose stated, "At many mining developments and mining projects around the world the indigenous people are kept outside of the fence with big wire, razor blades…to keep them out. And then the operators in the room make decisions on their land, on their lives, on their future...We're there!...I'm not going to stand outside while someone else determines my future in a room that's locked." Image Muskowekwan Chief Reg Bellerose believes a potash mine in his territory will reawaken the Saulteaux spirit and identity. Finally, there is also a strong cultural element to this project that involves the incorporation of MFN culture and Indigenous knowledge. The Muskowekwan project is subject to an environmental regulatory framework that goes beyond the legislated requirements of most environmental impact agreements (EIA). The environmental regulatory framework "will ensure the potential environmental and socio-economic effects of the development are well understood and managed." The work to date has involved a range of environmental, socio-economic and traditional land use studies. As owners the MFN has had the ability to incorporate their own cultural and traditional beliefs into the complex and often closed processes involved in mining development. "So in our model...we move Elders to where they're an expert just like an engineer." The Elders have been involved from the early days with advice and guidance as well as ceremony at early test sites. This element of the MFN "model" is an example of how First Nations as owners can infuse First Nation traditional values into projects that are often viewed as being detrimental to the environment. While much progress has been made, there are still many hurdles to overcome and a monumental task set out before them. A number of significant milestones must be met on the way to realizing this opportunity. The community has already voted in favor of the project through a number of land designation votes. However, investment of approximately $3 billion for the construction of the mine is needed. Only time will tell as to whether or not the Muskowekwan model can overcome the significant challenges to this project, a project with the potential to "reawaken the Saulteaux spirit and identity" (Chief Bellerose). Dreaming big has always been the way of all entrepreneurs. MFN's dream of independence, prosperity and well-being will no doubt be emulated. As First Nations communities in Saskatchewan continue to enter into the local, provincial and global economies, the values and traditions that constitute some of their greatest strengths will without doubt bring forth new models and partnerships. The entrepreneurial spirit, new ventures and projects will not only benefit First Nations peoples, but all treaty peoples across the province through shared growth and prosperity.
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