Dissident native group blocks access to coal property

Scott Simpson
Vancouver Sun
22-Jul-2005

sqwalk.com
COMMENT: This disruption of Fortune Minerals Mt. Klappan coal mining project by members of the Tahltan First Nation, comes on the heels of Shell Canada's decision to put on hold its coalbed methane development in the Klappan Coalfield, because of the same objections of Tahltan people that their rights have been infringed upon without their consent.

What Scott Simpson does not mention, is the internal governance dispute within the Tahltan community. Jerry Asp, the nominal chief of the Tahltan, and a strong pro-development force within the community, has had his legitimacy and authority undermined by Tahltan elders, the Iskut Band Council and the Dennis family.

Just two of the concerns:
1. the Tlabonatine area is still largely undisturbed by development, sits on the edge of the Spatsizi Plateau Wilderness Park, and is traditional and sacred territory for some Tahltan families. Shell's coalbed methane development and Fortune's Mt. Klappan coal mine will change all that and the Tahltan people most directly affected have never been consulted.
2. the entire area is beset with mining, coalbed methane, road, and transmission line project proposals. This is the result of high commodity prices and government policy encouraging this kind of development. Some Tahltan reason that these projects, if they are to proceed at all, should be developed over generations, so that a boom-bust effect does not happen, and the employment and economic impacts locally are continuous and sustainable. - Arthur Caldicott

sqwalk.com


A dissident group of Tahltan First Nation members has thrown Fortune Minerals Ltd. a curve by blocking access to the company's Mount Klappan coal property in northwest B.C.

Fortune acquired the Klappan property, considered one of the best potential coal reserves in the province, in 2002 and is hoping to open a mine there in 2007.

But those plans hit a snag last weekend when a five-truck convoy carrying trailers and equipment for an environmental assessment project found access blocked, said Fortune vice-president Julian Kemp.

The appearance of the blockade is a potential problem for the province's new image as a mining-friendly jurisdiction.

Unresolved treaty issues have been cited since the 1980s as one of the biggest deterrents to mining investment in B.C.

Provincial and federal requirements that resource-based companies consult fairly with local aboriginals before the commencement of activity in their traditional territories have eased the threat that exploration and development projects will be derailed. Last year investors responded by pouring more money into mineral exploration than B.C. has seen in over a decade.

Kemp said the Ontario-based junior mining company took numerous measures to ensure support of the Tahltan government before proceeding -- including contracting a Tahltan-owned company to carry out the environmental work.

The chief of the local Indian band concurred, noting that 90 per cent of the environmental contractors are of "Tahltan heritage."

The blockade continues even though another mining company with a property in the same area, NovaGold Resources, is operating without interference.

"We have been dealing with the elected officials of the Tahltan First Nation through the Tahltan Central Council," Kemp said. "I think we have been very communicative with them. We certainly feel that we are a victim in the situation."

Kemp said that if the company doesn't get onto the property soon, it could lose its entire summer program.

"I can't speak for other companies, but there is a risk that, I guess, the province and the first nations run. If they are perceived to be a problem jurisdiction, it adds to the cost, it adds to the risks of operating in that jurisdiction, and that's something that will be taken into consideration when companies are making their decisions."

According to a news release from the blockaders, a local family with a traditional claim to the area was not consulted when Fortune was "granted tenure" to the site.

Contacts listed on the release, Oscar Dennis and Lillian Moyer, could not be reached.

The release refers to a "breakdown in Tahltan leadership" that entitles blockade participants to directly negotiate with Fortune.

Tahltan Chief Jerry Asp, a strong proponent of mining as a means to economic development for first nations, attributed the blockaders' actions to political differences with the band's elected leaders.

He said Fortune has done everything expected in terms of proper consultation with First Nations, saying the issue is further confused by the involvement of environmental groups.

He agreed that creating uncertainty in the mining investment community could be costly for B.C. "People don't understand. Money is very transient. It goes where the action is the best."

Michael McPhie, president of the Mining Association of B.C., noted that additional mining activity would benefit the regional economy.

He said the blockade may be an isolated incident but could have a local impact.

"To the extent that it would send a chill to investors, I think it's probably localized," McPhie said.

ssimpson@png.canwest.com

Posted by Arthur Caldicott on 23 Jul 2005