Look no further

From left, Don Huff, president of Environmental Commutation Options; George Smitherman, consultant; and Larry Doran, president and CEO, Imperium Energy Inc., speak about a possible chromite refinery site, Tuesday morning at Thunder Bay’s Valhalla Inn. (Brent Linton)

The Township of Greenstone wants to be chosen as the site of a ferrochrome refinery as part of the Ring of Fire development.
George Smitherman, chairman of G&G Global Solutions, said during a presentation on Tuesday that Exton is the most viable site for the chromite refinery.
“At the heart of Exton’s strength is its proximity to the mine site and its relationship with First Nations,” Smitherman, a former provincial Energy minister, said in an interview following his presentation in Thunder Bay.
“What we were able to do is construct a resolution that is a benefit to so many players and brings more opportunities to First Nation communities and is the most environmentally sustainable.”
Exton is located on the CNR mainline between Nakina and the Aroland First Nation, and south of the Ring of Fire development.
G&G Global Solutions was contracted by Greenstone to create a proposal for bringing the refinery to Exton.
First Nation aspirations, energy supply and sustainability were the three keys in the proposal.

Greenstone Mayor Ron Beaulieu said a refinery at Exton would be positive for the municipality in terms of employment, potentially creating 500 jobs in the area.
“The area of Greenstone has been hit very hard by the lumber industry (downturn),” he said.
Other sites considered for the ferrochrome refinery include Thunder Bay, Timmins,and Sudbury. But what makes Exton so viable, said Smitherman, is its proximity to the Ring of Fire mining development.
“The key thing is Exton is way closer to the Ring of Fire mine site than any other proposals,” he said. “You can see in the company’s own analysis that transportation costs alone to Exton as opposed to the base case of Sudbury saves $28 million a year.”
Additionally, First Nations people will play a role in moving the project forward, he said.
Beaulieu said First Nations in the area have stated that if the minerals are being extracted from the area, they want them to be processed in the area as well.
“Right from the get-go we figured our community had the best chance, because of where we are strategically and working with our First Nations,” Beaulieu said.
“First Nations have always been in consultation with us. That is key for a lot of the players out there right now. We have to deal with what the First Nations are concerned about,” he said.
“They are a critical voice in determining how this will move forward,” Smitherman added.
“What this is about is meeting the needs of Greenstone and allowing the aspirations of First Nations for economic opportunity and for grid connection to be realized. That is part of the construct that we have and can be characterized as a win-win-win approach. It’s a kickstart for social and economic development in Northwestern Ontario.”
One of the barriers facing Exton is an inadequate supply of energy. A ferrochrome refinery uses large amounts of electricity and Exton would require an additional 300MW.
Larry Doran, president and CEO of Imperium Energy, said it is feasible to supply Exton with the required energy, which would not only allow Greenstone to be home to the refinery, but benefit the entire region.
“It’s both economically and sustainably positive and possible to provide the required power to build the refinery at Exton on the schedule that Cliff Natural Resources has requested,” Doran said.
“We’ve also found that it provides a base for a much better opening of the grid system in Northwestern Ontario for a variety of reasons.”
Doran examined several options for supplying Exton with adequate electricity, including constructing a gas plant in Exton or Geraldton, connecting Nipigon to Exton through a transmission line, or what he is calling the Northwest Kick-Start.
The Northwest Kick-Start option involves a V-shaped grid connecting Nipigon to Dryden or Ignace through Greenstone. Doran said it would create social and economic transformation in the region by providing service to a wide range of existing needs and the grid would be strengthened.
“It is the best option, because it meets the timeline with certainty,” he said. “That certainty is very important to the business.
“It also sets the stage for growth later,” said Doran.
Smitherman said G&G will continue to work with Greenstone to build support for the Exton site.
“What I like most about the proposal we brought forward is it’s not a win for Greenstone at the expense of others, but rather a made-in-Greenstone approach that helps many others to achieve their social and economic objectives as well,” Smitherman said.
The Ring of Fire, located in the James Bay Lowlands 535 kilometres northeast of Thunder Bay, is the location of a chromite deposit whose development is expected to cost $1.5 billion and create opportunities for Northern Ontario communities, First Nations and business.
Ontario has the potential to become the only North American supplier of chromite, which is used to produce stainless steel and other products. Mineral development in the Ring of Fire could mean thousands of jobs in construction and in mine operations, including significant economic opportunities for First Nations.

http://www.chroniclejournal.com/content/news/local/2011/09/21/look-no-further

http://www.republicofmining.com/2011/09/21/look-no-further-ring-of-fire-refinery-greenstone-special-to-the-thunder-bay-chronicle-journal-september-21-2011/