Rankin Inlet (Apr 11/05) - With Nunavut in the middle of an exploration boom, a Nunavut Tunngavik Inc. official says Inuit need to see more economic benefits during the exploration process.

About $172 million was spent on exploration in 2004 and expenditures in the territory have more than doubled since 2002.

Stornoway Diamonds Corp. president Eira Thomas says it is difficult for exploration companies to offer jobs during exploration, but that the work contributes to a data base of geological survey information. - Brent Reaney/NNSL photo

Mines set to operate near or on Inuit-owned lands - such as Tahera's Jericho near Cambridge Bay - have Inuit Impact Benefit Agreements, but NTI vice-president James Eetoolook wants Inuit to see more done sooner.

"These dialogues need to take place at the earliest stage in the exploration process," said Eetoolook during a speech at the Nunavut Mining Symposium, April 2 in Rankin Inlet.

The next day, a number of companies addressed Eetoolook's comments during presentations outlining where exploration dollars are being spent.

The exploration stage may not create many jobs, said Eira Thomas of Stornoway Diamonds Corp., but it makes an important contribution to the territory's geological information database.

"Even if we aren't successful in finding a diamond deposit, the data that we've generated does get recorded," said Thomas, the company's president, during her presentation.

In Canada, unlike in the U.S., a company's mineral assessments eventually become public and help lower the risk for other exploration companies wanting to do work in the same area. Nunavut has the poorest geological survey information in the country.

Paying for individuals with specialized geological skills and for transportation services such as helicopter rentals - both of which are uncommon in Nunavut - makes up most of a company's exploration budget.

More of this money could be captured if the federal and territorial governments offered better training programs or if regional development organizations started companies able to provide helicopter rentals, Eetoolook said in an interview.

"There's benefit there, but I think the benefit can be larger," Eetoolook said.

Start small

Other companies pointed to money spent on supplies such as groceries and rental accommodations in Nunavut's communities as one way benefits are brought North.

"It's small dollars, but it's a start," said Ben Pezaro, who works on the ground with Kennecott Exploration.

While an exploration budget may be tight, if it does lead to production, "that's where the real substantial investments can be made in the communities," Pezaro said.