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Mine town idea a hard sell

Guy Quenneville
Northern News Services
Published Monday, July 20, 2009

NUNAVUT - Nuclear power isn't the only component of the plan that leaves some skeptical: the chamber of mines also suggests the creation of new mining towns at Lupin and Mary River.

"We would like to establish new town sites so workers can bring their families to the site," said Lou Covello, president of the NWT and Nunavut Chamber of Mines. "That means they go home every night at five o' clock. They don't have the problems that we're starting to see with some of the workers at Diavik, Snap Lake and Ekati, where they're reluctant to be away from their families for even two weeks at a time.

"We would also like to take the pressure off a lot of these other communities that have no economic raison d'etre and get these people to move into communities that are tax-based, that can provide schools, social services, recreational facilities - all of the things that go to make life normal for average Canadians everywhere else."

Hal Timar, executive director of the Baffin Regional Chamber of Commerce, said the chamber's plan doesn't balance the needs of the communities with those of mining companies.

"I don't know if it even addresses the communities at this point," said Timar. "Yes you avoid the fly in, fly out and people can live with their families, which you can't underestimate. But the biggest benefit is going to be to the mine itself, because they don't have those costs associated with fly in, fly out and they would be able to retain employees longer."

Developing a new town could potentially damage the economy of Pond Inlet, said Timar.

"What is the impact to Pond Inlet if 10 per cent of their population is working at the mine and decides to relocate to the new area? There's businesses that have been set up in anticipation of being able to service the mining industry and that would be gone if you put in another town.

"What you're doing is creating a new, artificial economic development environment potentially at the expense of an existing one."

Though Covello was adamant that no resident would ever be forced out of Pond Inlet, Timar said those who decided to stay behind would suffer one way or another.

"The whole idea of resettlement is a bit of a touchy subject with the Inuit," said Timar.

"And if they don't want to leave, then they're going to be left out of it."

Bill Mercer, vice-president of exploration for Avalon Rare Metals, said the economic opportunities flowing out of Baffinland, which the chamber predicts could have a mine life as long as 100 years, will be hard to pass up for Nunavummiut.

"Probably an Inuit town near Baffinland doesn't have an economic mainstay right now anyway," said Mercer. "If the people stay, they're not going to be any worse off than they are, because there's probably no jobs or anything."

Abraham Kublu, mayor of Pond Inlet, declined to comment for this story, saying he needed to discuss the chamber of mines' plan with the community's economic development officer in more detail.

Baffinland Iron Mines has stated it wants to draw workers not only from Pond Inlet but also Iglulik, Arctic Bay, Hall Beach, Iqaluit and Clyde River to operate mine, which will require between 650 and 700 employees.

Joavee Etuangat, chair of the Clyde River Hunters and Trappers Organization, said a mining town near Mary River would "probably" work, adding, "Some people, they've got no jobs. If it's open, they would go and work."

Asked if the creation of a new town could jeopardize the economic status of Pond Inlet, he replied, "(I'm) not worried about that."

Mike Vaydik, general manager of the chamber of mines, pointed to Yellowknife as a prime example of a mining town that grew into something more.

"The two mines closed and Yellowknife never even burped," said Vaydik. "Those two mines financed three generations of activity here. We grew as a transportation centre, as a government centre."