Critical minerals represent a new opportunity for Ontario and Indigenous partners to work together. This includes sharing information, providing supports to facilitate greater Indigenous participation in development and expanding business opportunities with Indigenous partners across critical minerals supply chains.

https://www.ontario.ca/page/ontarios-critical-minerals-strategy-2022-2027-unlocking-potential-drive-economic-recovery-prosperity

5. Building economic development opportunities with Indigenous partners

Collaborating on resource development projects can advance reconciliation with Indigenous communities and people. Many resource development projects provide socio-economic benefits to Indigenous communities.

Did you know? According to the OMA’s Economic Report, as of 2020, there were 142 active agreements in place between Indigenous communities and mining companies across Ontario. These agreements formalize mutually beneficial relationships between Indigenous communities and the province’s mining industry.

Working together, Indigenous partners, industry and governments share in the benefits from local projects and broader regional initiatives. Ontario is supporting actions to increase the capacity of Indigenous communities and their members to participate in, and benefit from, resource development through skills training, business and economic development.

Sharing benefits from resource development

Ontario shares the economic benefits from resource development with Indigenous communities through Resource Revenue Sharing (RRS) agreements. Resource revenue sharing supports reconciliation with Indigenous people, as well as economic and resource development at the local level. Ontario currently has three RRS agreements in place with Grand Council Treaty #3, Wabun Tribal Council and Mushkegowuk Council, representing 35 First Nations. Since 2018, these agreements have resulted in Ontario sharing over $93 million from mining tax revenues and royalties and forestry stumpage revenues with participating First Nations.

Funding through these agreements is currently enhancing education and health care services in First Nation communities, creating new economic development opportunities that bring good-paying jobs to the region and supporting community and cultural priorities that help strengthen local planning and decision-making. First Nations have used the funding under the RRS agreements to hire new staff in their economic development department, install a new playground and build new lots for community housing. The funding has also been used to hire community coordinators to consult with members on governance, invest in economic development and build capacity by hiring new workers to help with their business corporation.

Ontario is committed to sharing the benefits of resource development under the existing RRS agreements. In fall 2021, Ontario engaged Indigenous organizations to expand RRS agreements to other Indigenous communities and add aggregate royalties to the list of revenues available for sharing under the agreements. This will further share Crown revenues from mining tax revenues and royalties, forestry stumpage and aggregate royalties.

Enhancing capacity and supporting Indigenous businesses

Critical minerals represent a new opportunity for Ontario and Indigenous partners to work together. This includes sharing information, providing supports to facilitate greater Indigenous participation in development and expanding business opportunities with Indigenous partners across critical minerals supply chains.

Ontario provides support through the Aboriginal Participation Fund (APF), a $4.7-million annual fund that supports the capacity of communities to participate in Aboriginal consultation, as well as education and relationship-building activities related to mineral exploration and development. The fund has three streams which support Mineral Development Advisors, values mapping projects and Indigenous-led technical and advisory tables. The APF is creating new opportunities to build and strengthen relationships among Indigenous communities, government and industry.

Indigenous people and communities across the province have developed businesses and corporations that provide services to the mining sector. There are many important contracting opportunities that flow from mineral exploration and mining projects and Indigenous businesses often secure these contracts for economic development. Many mining companies already have policies in place to create a diverse workforce. These policies support and promote the hiring of Indigenous people and prioritize opportunities for Indigenous-owned businesses. The Ontario government also procures goods and services from Indigenous-owned businesses and will continue to strengthen opportunities for these businesses to provide supplies and services in the province.

Through programs offered by NOHFC, Ontario is supporting the participation of Indigenous-owned businesses in delivering professional services to the mining sector. This is an important and continuing step in reconciliation and partnership.

While some Indigenous-owned businesses currently participate in and benefit from mineral exploration and development, more work is needed to expand opportunities. Ontario’s goal is to see more Indigenous-owned businesses participate in mineral exploration and development activities and critical minerals supply chains. To support this, Ontario is committed to:

• ensuring Ontario’s current funding programs include supporting critical minerals education and capacity building within Indigenous communities
• promoting programs that support Indigenous-owned business, workforce and skills development
• developing educational tools in collaboration with Indigenous partners to foster a better understanding of critical minerals opportunities and benefits
• strengthening relationship processes with Indigenous partners to ensure a continued critical minerals dialogue
• enhancing opportunities for Indigenous communities to prosper from resource development and supply chain opportunities

Measuring success:

• increase the number of Resource Revenue Sharing agreements in place
• increase opportunities for Indigenous businesses to participate in critical minerals exploration, development and supply chains