SAMSSA members 'well placed' to benefit from Ring of Fire

Noront CEO addresses Chamber of Commerce

By: Northern Ontario Business Staff

The executive director of the Sudbury Area Mining Supply and Service Association (SAMSSA) said he's cautiously optimistic about the opportunities his members may have through high-grade nickel-copper and chromite deposits in the James Bay region known as the “Ring of Fire.”

Dick DeStefano was among those who attended a speech by Wes Hanson, Noront Resources' president and CEO at a Greater Sudbury Chamber of Commerce luncheon in Copper Cliff Nov. 26.

We're trying to use as much northern expertise as we can get gather.

Wes Hanson,
Noront Resources president and CEO

Hanson outlined the junior mining company's preliminary plans for a massive underground mine and milling complex beneath the swamps of the James Bay Lowlands.

“Physically we're well placed (in Sudbury), and historically we're well placed,” DeStefano said. “It's the question of what materials and products and services (Noront) is looking for. That's not been identified. It could be at least three years before we know that.”

Sudbury suppliers will also likely face competition from firms spanning across North America, DeStefano said.

Hanson told those gathered at the Caruso Club event that it has put together a management and consulting team that includes North Bay mine builders Cementation and consulting engineers Golder Associates and Knight-Piesold; and automated mine expert Greg Baiden of Sudbury.

“We're trying to use as much northern expertise as we can get gather.”

With the mineral exploration potential in this region “absolutely huge,” Hanson said the opportunities for Sudbury mining supply companies can only grow.

McFauld's Lake and the James Bay region is a breadbasket of chromite, nickel, copper, gold, platinum and palladium. Noront is the largest landholder with 120,000 hectares, including its flagship Eagle's Nest deposit, located 300 kilometres west of DeBeers Canada's Victor diamond mine.

As a strictly fly-in, fly-out venture, the boggy terrain is challenging to explore and develop.

“It's not uncommon to see your diamond drilling contractor standing up their waists in water, finishing a hole,” said Hanson.

What's got industry and politicians excited is the discovery of chromite. The black mineral, which is processed into ferrochrome, is a key ingredient in the manufacturing of stainless steel. It's the first discovery of its kind in North America and could place Canada as a top three chromite miner.

But the infrastructure costs and power needs for the project will be huge, said Hanson.

“If we're going to produce ferrochrome in Canada, we're going to need lots of power, probably more than is currently available on the grid.”

For more on this story, check future editions of Northern Life.