Underground work set to start at Prairie Creek
Canadian Zinc announces contract awarded to Procon Mining
Roxanna Thompson
Northern News Services
Published Thursday, October 9, 2014
DEH CHO
The Canadian Zinc Corporation is moving forward with underground work at Prairie Creek Mine.
Alan Taylor, right, the Canadian Zinc Corporation's chief operating officer, announces the commencement of underground work at Prairie Creek Mine during a community meeting in Nahanni Butte while Minister David Ramsay, Nahendeh MLA Kevin Menicoche and Mike Mageean, the regional superintendent for the Department of Industry, Tourism and Investment, look on. - photo courtesy of Wilbert Antoine
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On Oct. 6, company representatives announced in two Deh Cho communities that they have awarded a contract for the first phase of an underground program.
The first announcement was made in Nahanni Butte to approximately 30 people followed by a meeting with representatives of Liidlii Kue First Nation in Fort Simpson and a presentation to the Fort Simpson Chamber of Commerce in the evening.
The company has given the contract to Procon Mining based out of Burnaby, B.C. Procon has done work at the mine before between 2005 and 2007.
Phase one, which will start this month, includes reinstalling services including ventilation and electricity underground and pumping water out of the tunnels, said Alan Taylor, Canadian Zinc's chief operating officer and the vice-president of exploration. An underground drill will then be used to drill holes from the tunnel that was started in 2008, the last time underground work was done at the mine site.
The material will provide more detail about the mineral resources at the mine, Taylor said.
"We're excited that we can move forward with that," he said.
The work is expected to continue until February. It is being funded with a portion of the $15.8 million that the company raised from the sale of new shares this summer.
The information gathered from the drilling will be used in the feasibility study that Canadian Zinc expects to start in 2015. The study will detail all of the capital costs related to the mine and will be used by potential financial backers when making their decisions.
Although phase one is small, there is potential for larger contracts at the mine, said Jim Dales, the president of Procon, at the Fort Simpson Chamber of Commerce event.
Procon, which is a mining contractor, does the majority of its work in the North including at Ekati and Snape Lake.
"I think what it does is bode well for everyone and the potential for work, especially for people on this side of the Northwest Territories," Dales said.
David Ramsay, the minister of Industry, Tourism and Investment, also spoke about the potential Prairie Creek has for the region. Ramsay was present at the announcement in Nahanni Butte and at the chamber of commerce evening.
"I can't underscore the importance of getting a new mine open in the Northwest Territories," he said.
"We do need to diversify and see other mines open here in the NWT."
In Nahanni Butte community members were encouraged by the news that underground work is starting at the mine, said Taylor. Responding to questions, the company explained why it takes so long for different projects and phases to take place.
Canadian Zinc has always emphasized regional involvement in Prairie Creek.
"I think there is a wonderful opportunity out there for the region and it's already half built," Taylor said.
