Manitoba government approves province's first potash development

The Manitoba government has approved the province’s first potash development.

Premier Heather Stefanson announced this approval on Tuesday at the Prospectors and Developers Association of Canada conference taking place in Toronto.

The premier said this announcement allows the Potash and Agri-Development Corporation of Manitoba (PADCOM) to start extraction and production in western Manitoba, near the community of Russell.

Stefanson added this is a step forward in the government’s commitment to make Manitoba a leader in sustainable mineral development.

“Our government is proud to announce PADCOM has received all required approvals to move Manitoba’s first potash mining operation into production,” she said in a news release.

“We are working with Indigenous leadership and communities to promote participation in the mineral resource sectors and to ensure communities share in the benefits that result from growth in these sectors.”

According to the province, PADCOM and Gambler First Nation have created a partnership, with the First Nations community taking part as a 20 per cent equity owner.

PADCOM will also present community benefit agreements to Indigenous communities in the area, as well as the Manitoba Metis Federation and the Municipality of Russell-Binscarth.

“We are pleased to partner with PADCOM on this landmark project, which will create jobs and help spark further economic development opportunities in our community,” said Chief David LeDoux of Gambler First Nation in a statement.

PADCOM has already finished the first part of the project, drilling two wells near the community of Harrowby. This was done to explore the local potash resource and determine feasibility.

The Manitoba government noted that PADCOM is authorized to move to the next phase of production after a recent Environment Act licence approval and the signing of a mineral lease agreement with the province.

Daymon Guillas, PADCOM’s president, said the operation will use a more environmentally-friendly mining process, noting it will use green Manitoba electricity as opposed to fossil fuels.

“We are excited to partner with Gambler First Nation to develop Manitoba’s first potash operation. This initiative will help support Manitoba’s economic recovery and plays a major role in making Manitoba a global leader in mining and mineral development,” Guillas said.