posted on Apr 30, 09 03:29PM

McGuinty Government To Introduce Innovative, Balanced Legislation For A

Sustainable Mining Future

Proposed changes to Ontario's Mining Act would see significant strides in

Aboriginal consultation, provide clear rules for industry and reduce the

impact of mineral exploration on the environment.

The proposed legislation, to be introduced later today, promotes balanced

development that benefits all Ontarians. If passed, it would modernize the way

companies stake and explore their claims to be more respectful of private land

owners and Aboriginal communities. At the same time, it would support a

vibrant minerals industry that would help many communities realize their

economic and social aspirations.

The proposed legislation includes a number of ground-breaking provisions,

which would make Ontario a national leader in mineral resource stewardship,

including:

- Incorporating Aboriginal consultation in mining legislation and

regulations

- Requiring awareness training to obtain a prospector's licence, and

- Introduction of a dispute-resolution process for Aboriginal-related

issues in mining.

If the legislation is passed, Ontario will begin putting new rules in

place later this year.

QUOTES

"This proposed legislation takes bold steps toward a modern, innovative

Mining Act that would balance all of our respective interests, benefit Ontario

communities and support a vibrant Ontario minerals industry."

- Michael Gravelle, Northern Development and Mines Minister

QUICK FACTS

- Mining is Canada's largest private sector employer of Aboriginal

people.

- Mining provides Ontario with a trade surplus of about $3.3 billion

annually.

- The 2009 Ontario Budget committed $40 million over three years for

initiatives to support Mining Act modernization.

LEARN MORE

About the modernization of Ontario's Mining Act

(http://www.mndm.gov.on.ca/miningact/...

About the mineral industry in Ontario

(http://webx.newswire.ca/click/?id=d1...

About Ontario's approach to Aboriginal affairs

(http://www.aboriginalaffairs.gov.on....

MODERNIZING ONTARIO'S MINING ACT

Proposed legislation to modernize Ontario's Mining Act builds on the

commitment announced last July - as part of the Far North Planning initiative

(http://webx.newswire.ca/click/?id=a1... to find new approaches to

mineral exploration that would be more respectful of Aboriginal communities

and private land holders.

During six months of consultations, more than 1,000 people and groups

participated in public and stakeholder sessions across the province. Input was

also received through the Environmental Bill of Rights Registry. The Ministry

of Northern Development and Mines also carried out comprehensive Aboriginal

consultations to ensure the broadest possible Aboriginal participation and

input. In total, approximately 100 First Nation communities, as well as

Aboriginal organizations participated in some manner.

If the legislation is passed, there would be additional opportunities for

input over the coming months as regulations are developed.

HIGHLIGHTS:

For Aboriginal Communities

Ontario would become the first jurisdiction in Canada to expressly

recognize Aboriginal and treaty rights in its mining legislation, and enable a

dispute resolution process for Aboriginal-related mining issues through

regulation.

Proposals would also address key concerns of Aboriginal communities. For

instance, Ontario's modernization approach would include:

- Provisions for withdrawing significant Aboriginal cultural sites from

claim staking;

- Notification of Aboriginal communities immediately after a claim is

staked;

- Requirements for prospectors and companies to notify Aboriginal

communities of plans for significant exploration activities within

their traditional lands;

- Provisions to enable restrictions on prescribed prospecting and

exploration activities;

- Introduction of a graduated approach to Aboriginal consultation, with

the scope and degree tied to impact of proposed exploration

activities. This approach would:

- Outline consultation requirements

- Require environmental rehabilitation

- Require exploration work plans or permits.

The ministry will invite further input from First Nation communities and

Aboriginal organizations as Ontario develops regulations and implements the

changes.

For Private Land Owners

The proposed legislation would address conflicts that have arisen between

mineral exploration companies and surface rights holders who do not hold the

mineral rights on their lands. For instance, Ontario would:

- Withdraw mining rights in southern Ontario where surface rights are

privately held, while respecting existing claims and leases. In

Northern Ontario, private land holders could apply for such

withdrawals but granting withdrawals would first consider criteria

such as mineral potential;

- Broaden the list of lands not open to staking;

- Require enhanced notification of private land owners, after claim-

staking and prior to exploration;

- Introduce new exploration provisions such as a graduated regulatory

regime for exploration;

- Introduce a map staking system that would eliminate the need for

prospectors to enter onto property to stake mining claims. Map staking

would be phased in beginning in southern Ontario.

In addition, owners of land originally patented for mining purposes, but

not currently being used for mining purposes, would be able to apply for an

exemption from mining land tax.

Lands with private surface rights and Crown mineral rights that are open

for staking comprise only 1.4 per cent of southern Ontario's landmass, and

only 0.4 per cent of Northern Ontario's landmass.

For the Mineral Industry

Ontario's proposed legislation would increase clarity for the mineral

industry by outlining requirements for consultation -- and accommodation as

appropriate -- with Aboriginal communities, while maintaining fair and

competitive access to mineral tenure.

It includes a graduated regulatory scheme for early exploration, with

exploration plans required for lower impact activities and exploration permits

required for activities with higher impact. Regulations would provide the

details for exploration plans and permits, including requirements for

rehabilitation; Aboriginal consultation and working on private surface rights.

The proposed legislation would increase certainty for the industry by

setting out a clear framework for the responsible management and sustainable

development of Ontario's mineral resources.

It would also foster early engagement and enhanced relationships between

Aboriginal communities and companies.

Ontario would be the first Canadian jurisdiction to enable a dispute

resolution process for Aboriginal-related mining issues in its mining

legislation.

Environmental Considerations

Proposed legislation responds to calls for greater consideration for the

environment.

It would reduce impacts to the environment by implementing a new

graduated regulatory scheme for early exploration activities to include

rehabilitation requirements.

It would embed in legislation that no new mine opening can occur in the

Far North unless there is an approved community-based land use plan.

The phased introduction of map staking across the province would

eliminate the minimal impact of ground staking.

Compliance with the new requirements would be encouraged through

increases to maximum penalties for offences against the Act.

SUPPORTIVE QUOTES

"Working together with our Aboriginal partners has helped contribute

significantly to improving the Mining Act. By listening to our partners we can

help build stronger Aboriginal communities, making for a stronger Ontario."

- Brad Duguid, Minister of Aboriginal Affairs

"Ontario's new collaborative approach to developing legislation and

public policy in Ontario is certainly innovative. It is respectful to the

recognition of First Nations rights and indicative of Ontario's commitment to

working with First Nations on a government-to-government basis."

- Grand Council Chief John Beaucage,

Leader of the 42-member First Nations of the Anishinabek Nation

"Industry and other stakeholders have worked together to suggest changes

to modernize the Mining Act. As explorationists we believe these changes will

provide certainty around access to land, which will allow us to attract

investment to Ontario."

- Garry Clark, Executive Director, Ontario Prospectors Association

"Goldcorp supports Minister Gravelle in his efforts to modernize

Ontario's Mining Act, and Government's support for a healthy, vibrant mining

industry in Ontario which Goldcorp believes is in the interests of all

Ontarians."

- George R. Burns, Vice-President, Canada and the United States, Goldcorp

Inc.

"The proposed legislation is an important step towards reconciling

long-standing conflicts between the interests of Aboriginal communities,

conservationists and the mining sector. It provides important tools for

proactive planning and dispute resolution that will help strike a balance

between ecological and cultural priorities and economic development."

- Larry Innes, Executive Director, Canadian Boreal Initiative

For further information: Anne-Marie Flanagan, MNDM Minister's Office,

(416) 327-0655