Report on KWG presentation in thunder Bay - Chronicle Journal
posted on
Feb 04, 2010 08:25AM
NI 43-101 Update (September 2012): 11.1 Mt @ 1.68% Ni, 0.87% Cu, 0.89 gpt Pt and 3.09 gpt Pd and 0.18 gpt Au (Proven & Probable Reserves) / 8.9 Mt @ 1.10% Ni, 1.14% Cu, 1.16 gpt Pt and 3.49 gpt Pd and 0.30 gpt Au (Inferred Resource)
There‘s a buzz in the air KAREN McKINLEY 02/04/2010 |
http://chroniclejournal.com/stories.php?id=241362">Email this article Send a Letter to the Editor Printer friendly page |
Change and hope for a lucrative mine project are fuelling the drive among Thunder Bay Chamber of Commerce members.
The hot topic of discussion at the chamber‘s annual meeting Wednesday was the prospect of a major chromite mine in the Ring of Fire, 500 kilometres northeast of the city. Frank C. Smeenk, president and CEO of KWG Resources, Inc. Canada, was the keynote speaker and he focused on the benefits city businesses could reap if a mine established.
Chromite is a key ingredient in making stainless steel. Up to 18 per cent of the weight of stainless steel is chrome. Smeenk said North American steel manufacturers have been importing chrome or recovering it from scrap. The deposit, which is calculated to have enough chromite for 100 years, could be a major source of revenue for the province, he said, adding Northwestern Ontario could enjoy major benefits through construction, mining, transport and value-added products.
Smeenk said the grade of the deposit KWG is exploring is high enough that it could be in a position to export feral chrome to global markets.
“Having a city 500 km from our mine site is a big plus for us,” he said in an interview. “It‘s very economical to come and go here with the Trans-Canada Highway, rail lines and all the facilities needed for construction.”
During the annual general meeting, a few members of the board retired and the new board chairman, Craig Urquhart, was introduced. He replaced Lisa Sticca, who closed her year as chairwoman with the time-honoured tradition of hosting the meeting.
“I‘m excited because of the large cross-section of businesses that heard (Smeenk‘s) speech and the potential this project could bring,” said chamber president Harold Wilson. “Everyone from those companies that deal directly with prospectors and geologists, to those who are not overtly involved, but rely on the circulation of dollars” could benefit, he said.
A railway is needed to get to the deposit, said Smeenk, adding KWG has been planning as much as it can in advance of an environmental assessment. The plan is to build a line from the existing CN Rail line out of Nakina to the deposit.
“We need to have the data in our hands ahead of time for when the decision for the go-ahead is made,” Smeenk said.
Wilson is among those who want mining companies to see Thunder Bay as a base of operations and a key supplier of services. He said businesses can‘t afford to sit back and wait for opportunities to come to them. There are others in neighbouring Manitoba and the United States who can deliver the goods and services, he added.
Wilson pointed to the municipality of Greenstone, which is reaping the benefits of being near mining exploration and having savvy businesses willing to advertise to those companies.
“More towns and cities like ours are becoming their home, and the dollars thay generate from finds are spent on the ground around the city,” he said. “The question is, how do we present ourselves as businesses? I wouldn‘t say be aggressive, but we must be competitive as we aren‘t the only community they can turn to.”
Development in the Fing of Fire is needed in the North, said Greenstone Mayor Michael Power.
He said it represents a chance for his municipality and area First Nations communities to be part of a success story.
“We‘ve seen it before when projects like this happen near our homes, the benefits are far-reaching,” Power said. “Young families move here, new ideas are generated and the community grows.
“We are already seeing it with the new gold mines. We are all going to benefit because the services mining companies will need will come from different communities.”