Money talks
Stakeholders pony up $700,000 to entice Miramar to sign

Dane Gibson
Northern News Services

Yellowknife (Nov 24/99) - A deal is in the works to give Miramar Mining Corp. $700,000 to buy Giant mine, Minister of Justice Stephen Kakfwi said Friday.

Kakfwi told Yellowknifer that major stakeholders concerned about Giant -- Miramar, the federal government, the GNWT, and City of Yellowknife -- met on Thursday.

"As a government, we've approved some funds to (put towards) Miramar," said Kakfwi.

"We feel it's a good investment because it will save between 50 and 60 jobs and avoids an exodus of people out of the North."

Last month, Miramar told the City of Yellowknife that a condition of the Giant deal be that they pay no taxes for the Giant property for two years -- which represents around $700,000.

Kakfwi said the federal government may throw money into the Miramar pot for exploration and may also pay the city for some of Miramar's taxes, as will the GNWT.

"We've said we'll do what we can to keep the mine operating in some capacity and we're doing that by working with Miramar, the federal government, and the city," said Kakfwi.

"We also made it clear that our primary focus is to deal with the environmental liability and in that regard, the federal government is moving towards accepting they'll have to clean up the arsenic. That's where things are right now."

Canadian Autoworkers Local 2304 president, Marc Danis, said while the move to offer up $700,000 to get Miramar to sign is positive, the recent Ontario Supreme Court ruling that said former Giant workers will not be receiving the severance they are owed can't be forgotten.

"It goes to show how the corporate people get whatever they want and the working man gets nothing," said Danis.

"The government's own severance laws are being violated, yet they're handing money over to the corporate citizen."

Danis added that they still want to see Miramar purchase Giant mine.

"We of course want Miramar to take over the mine and live up to their commitment to hire 50 to 60 guys like they said they would," said Danis.

"We want Miramar to honour their commitments but not at the expense of increased taxes or further loss to our members. (The governments) can give Miramar $700,000, but they should also look at making sure the former employees are given the severance they're due under the law."

Miramar senior vice-president of operations, Brian Labadie, said he is not willing to comment on the Giant deal.

"I have nothing to say," said Labadie.

"I'm not commenting on the deal. We'll continue to work with whoever we have to and if it gets done, it gets done."