QIKIQTAALUK/BAFFIN ISLAND
As 2016 came to an end, the future course for Baffinland Iron Mines Corp.'s Mary River Phase 2 was set - the project proposal goes back to the Nunavut Planning Commission (NPC) for a conformity review.

Baffinland is proposing to replace the existing tote road, pictured here, with a 110 km railway from the mine site to Milne Inlet in its Mary River Phase 2.

In a letter to Baffinland Dec. 19, the Nunavut Impact Review Board's (NIRB) chairperson Elizabeth Copland stated "the addition of the northern rail component and associated infrastructure constitutes a significant modification of the Phase 2 proposal."

That 100 km railway from the mine site to Milne Inlet includes: the installation of railway embankment and track, comprised of sub-ballast and ballast materials, with ties and steel rails; establishment of bridges and railway sidings at several locations; locomotives, ore rail cars, fuel cars and freight cars; the development of bungalows, or small sheds containing power switching systems; communication towers (estimated up to 15 structures); terminals with ore and freight loading/unloading facilities at the Mine Site and Milne Port; and, a railway maintenance workshop and yard at Milne Port.

The analysis of alternatives to the tote road, and a possible railway, were done at NIRB's request.

"As required by the amended guidelines for Phase 2, Baffinland has been undertaking an analysis to evaluate transport of ore by trucks and by rail to arrive at the preferred means of carrying out the terrestrial transportation component of Phase 2," states a Feb. 17 Baffinland letter to NIRB.

"By way of our alternatives assessment, Baffinland has determined the incorporation of a railway is an integral facet of the Phase 2 proposal due to a number of environmental, technical and economic benefits."

The commission's job will be to determine if the latest iteration of the proposal conforms with the North Baffin Regional Land Use Plan - currently the definitive guiding mechanism for the commission. Shipping by sea, now in a proposed six-month window rather than the controversial 10-month shipping period with icebreaking, is exempt from the review.

Pond Inlet mayor Charlie Inuarak has at least twice urged NIRB to move forward in recent months, and he has been clear about not wanting Baffinland to be made to "start over in the review process."

In his latest letter in early December, he wrote, "Delay or restart in the process would be detrimental to (the) project and to our community."

Copland recognizes this move may be seen as starting over, but says NIRB will do everything it can to ensure the process moves forward in a timely manner.

"In providing this guidance, the NIRB recognizes that it may appear to some parties that the requirement for Baffinland to submit an updated project proposal to the NPC is an indication that Baffinland is required to completely re-start the regulatory process for the modified Phase 2 Proposal; the NIRB emphasizes that it is committed to ensuring that all information received during the Board's consideration of the original Phase 2 Proposal to date will be brought forward into any future assessment of the modified Phase 2 Proposal," she wrote.

Baffinland thought the proposal was ready for environmental assessment.

"In the November 30, 2016 project update provided to the NIRB, Baffinland stated its position that the refinements to the proposal were positive and did not represent a significant change. It is evident that the NIRB did not agree," stated the company's vice-president of sustainable development Todd Burlingame in an e-mail to Nunavut News/North.

"The decision by the NIRB to send the Phase 2 proposal back to the Nunavut Planning Commission will result in a delay in the approvals process. However, Baffinland respects the board's decision and will continue to provide the information required by the board and the Nunavut Planning Commission in a comprehensive and timely fashion. It is Baffinland's hope that once these requirements are addressed, the Phase Two proposal will be allowed to proceed to the impact assessment process."

In the two years since Baffinland's first submission in late October 2014, the issues were stalled at the federal level for nine months and in the company's hands for at least five months.

The Nunavut regulators have strict timelines. For example, once the Phase 2 proposal is submitted to the planning commission - which Burlingame says it will do "as soon as possible" - it has 45 days to make its conformity decision.

"Once the land use planning provisions of the Nunavut Agreement and the NuPPAA (Nunavut Planning and Project Assessment Act) have been satisfied for the modified proposal, the NIRB will be ready to initiate its impact assessment process for the modified Phase 2 Proposal accordingly," stated Copland.

Moving forward with the process, Burlingame said the company would have a very comprehensive community engagement section.

"Probably in some ways unprecedented from other EAs (environmental assessments). Because that's how I've found, with other projects I've been on, that's how you can really identify the issues," he said. Burlingame is no stranger to the Northern regulatory process. He is a former chairperson of the Mackenzie Valley Environmental Impact Review Board and the Mackenzie Valley Land and Water Board, after which he served as served as vice-president of environment and permitting at Fortune Minerals Ltd.

Cuurently, Baffinland is working to improve safety, environmental performance and production at the mine site. "Baffinland continues to keep the door open to the QIA (Qikiqtani Inuit Association) to seek to resolve outstanding issues surrounding IIBA (Inuit Impact Benefit Agreement) implementation and other matters," said Burlingame.

"Subject to sustained market price improvement and the ability to advance approvals process to allow for increased production, Baffinland believes that 2017 will mark a turning point in operations and improved relationships with all parties."

Burlingame says since even before NIRB expressed concerns regarding environmental enforcement actions and the well-publicized deteriorating relationship between the company and QIA several months ago, the company had beefed up its sustainable development team.

"When I first started (seven months ago), there was one person left on the sustainability team and they quit within a few weeks. But, now, we have established in the last six months a team of over 20 people focused on everything from IIBA compliance to practices on site for environmental compliance, and all other regulatory aspects," he said.

"We've established in the last six months a new division - which is the Inuit, government and stakeholder relations division - and have that staffed up. We now have more capacity with respect to IIBA implementation, QIA relationships and environmental compliance than Baffinland has ever had."

And Burlingame notes the sustainability team is 40 per cent Inuit.

"We're going to make sure our obligations are met."