Proposed gold mine for Lynn Lake receives federal approval

An open-pit gold mine and metal mill proposed for development near Lynn Lake, Man. has received approval from the federal government, a move that a town administrator says could lead to hundreds of jobs and a much-needed economic boost.

In a news release Monday, Canada’s environment and climate change minister Steven Guilbeault said the mine and mill proposed by Alamos Gold were subject to a ‘robust federal review.’

“My decision to approve the Lynn Lake Gold Project was informed by a thorough federal environmental assessment based on scientific evidence and Indigenous knowledge. I am confident the strong legally-binding conditions established for the project will safeguard the environment and create a sustainable path forward,” Guillbeault said in the news release.

The proposed project would see the redevelopment of two previously operational mines in the area – the Gordon and MacLellan sites, which are expected to operate for 13 years.

In his decision statement on the project, the minister outlined 177 conditions that the company must comply with throughout the life of the project including annual reporting, implementing a plan to mitigate environmental effects on fish, migratory birds, and woodland caribou, measures to temper emissions of dust and other particles, and plans to protect the socioeconomic interests and health of affected Indigenous people.

Alamos Gold estimates over 400 jobs will be created during the construction of the mine and another 412 will come during operation.

The company said it has also received licenses for both sites through the province.

“Achieving both of these important regulatory milestones for the Lynn Lake Gold Project represents a multi-year, collaborative effort by our team and our commitment to environmental sustainability,” said Alamos Gold president and CEO John A. McCluskey in a statement.

“Lynn Lake is a significant opportunity to drive the future growth of our business in Canada, with the potential to increase our annual production to approximately 800,000 ounces of gold per year.”

TOWN HOPES MINE WILL BOOST POPULATION, ECONOMIC OPPORTUNITIES

Lynn Lake city administrative officer Bernardo Pasco said the approval is good news for the town as well, which hasn’t had an operational mine in decades.

“The population declined, and we have issues with aging infrastructure,” he told CTV News Winnipeg on Tuesday.

“With these mining operations that will be opening soon, we are anticipating an influx of people coming to work and to live here.”

He said the town is working with Alamos Gold to train residents in the technical skills needed for mining operations to staff the project when it opens.

The company has also partnered with Marcel Colomb First Nation to launch a youth development program to lead to possible careers in the mining sector.

The green light comes as the provincial government announced $1.7 million in funding on Monday for five projects, including Alamos Gold’s Lynn Lake project, as part of its Manitoba Mineral Development Fund.

"Strategic investments in mining, like in the MMDF, are key to a thriving provincial economy and placing Manitoba as a world leader for responsible mineral development,” said Jeff Wharton, the province’s investment and trade minister.

"The MMDF also enables us to foster strong partnerships with Indigenous communities in mineral development activities that benefit the economy and the province as a whole."

Next up, Alamos Gold said it must still obtain other project-related permits, and negotiate formal agreements with directly affected First Nations.