HIGH-GRADE NI-CU-PT-PD-ZN-CR-AU-V-TI DISCOVERIES IN THE "RING OF FIRE"

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)

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Message: Liberals hedge on Ring of Fire promise

Liberals hedge on Ring of Fire promise 11

By Carol Mulligan, Sudbury Star

Wednesday, July 16, 2014 12:52:48 EDT AM

REUTERS/Ontario Ministry of Northern Development and Mines/Handout Two mining exploration camps are pictured in the proposed Ring of Fire development area, approximately 500 kilometres northeast of Thunder Bay, Ontario in this undated handout photo obtained by Reuters March 28. Political leaders in Canada are bullish on the Ring of Fire, a chromite deposit in northern Ontario they say could support a century of mining.

Significant work is being done to establish a Ring of Fire development corporation and keep a campaign promise that it be done within 60 days of a Liberal government being elected.

But it's not clear when the clock began ticking on that 60-day guarantee, says Michael Gravelle, who was reappointed Northern Development and Mines minister by Premier Kathleen Wynne.

Nor is it clear what exactly is meant by "establishing" the development corporation.

Gravelle doesn't know if the 60 days started when he was sworn in June 24 or when his government delivered its Throne Speech on July 3.

And he and his staff are working to determine what exactly will be in put place during the 60-day commitment.

"We are not there yet in terms of determining exactly what form it will take other than that we are grateful to have the opportunity to move this project forward and to have this kind of a timeline in place," said Gravelle in a telephone interview Tuesday from Queen's Park.

What matters is that he and ministry staff are working hard to set up the development corporation, conscious of the fact people are eager to hear how it will operate.

"We're working on it, we've got a couple of models being worked on as we speak," he said.

The campaign promise is another step in his government's commitment to develop the chromite-rich Ring of Fire, said the minister.

It followed what he called the historic framework agreement between the province and the Matawa Council of Chiefs and the $1-billion commitment to build infrastructure to the Ring of Fire, about 540 kilometres northeast of Thunder Bay.

That $1-billion commitment was reaffirmed in Monday's provincial budget, a retread of the May 1 budget that triggered the election.

Gravelle announced the creation of the development corporation in 2013 — a partnership among industry, first nations and government to decide upon a transportation system in and out of the Ring of Fire and other infrastructure such as hydroelectricity.

In February, Gravelle announced that consulting firm Deloitte LLP had been hired to establish the development corporation.

Gravelle wouldn't reveal details of how the development corporation might operate or even what the government promise to establish the "devco" within 60 days means.

Whether his government will produce a document to guide how the development corporation will function or guide its decision-making isn't known.

He has been meeting with representatives of companies with claims in the Ring of Fire and has spoken with Federal Natural Resources Minister Greg Rickford, again trying to get a commitment from the Conservative government to match the province's $1 billion.

Rickford said he was open to more discussions, said Gravelle.

While provincial funding isn't contingent upon matching federal dollars, federal money is needed to connect communities to a main transportation corridor with all-seasons roads and to get them off diesel and on to hydro grids.

Most communities near the Ring of Fire are First Nations, which fall under federal jurisdiction.

To maximize the opportunities of the Ring of Fire, which is estimated to be worth $60 billion, it's necessary to have a federal commitment, said Gravelle.

Gravelle said it would be fair to say there would be more to report about the development corporation by the end of the summer.

carol.mulligan@sunmedia.ca

http://www.thesudburystar.com/2014/07/16/liberals-hedge-on-ring-of-fire-promise

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