Canadian Mining Journal

News

COAL: Federal government gives nod to Donkin project

NOVA SCOTIA – Just before this week's cabinet shuffle, former Minister of the Environment Peter Kent signed off on the Donkin coking coal project in Cape Breton. The official word is that "the project, taking into account the mitigation...



NOVA SCOTIA – Just before this week’s cabinet shuffle, former Minister of the Environment Peter Kent signed off on the Donkin coking coal project in Cape Breton. The official word is that “the project, taking into account the mitigation measures described in the comprehensive study report, is not likely to cause significant adverse environment effects; and the mitigation measures and follow-up program described in the comprehensive study report are appropriate for the project.”

That’s bureaucracy-speak meaning, “Okay, go ahead with your plans.”

The Minister referred the Donkin project back to Fisheries and Oceans Canada and Transport Canada to ensure the mitigation and follow-up measures are implemented.

The Donkin project is a joint venture. Glencore Xstrata holds 75% and is the operator. Before the amalgamation of the two global giants, Xstrata Coal had expressed its desire to sell its share. The remaining 25% interest is held by Morien Resources Corp., itself an amalgamation of original partner Erdene Resources Development and Advanced Primary Minerals.

Donkin is permitted for initial underground development at 2,000 t/d, and original estimates called for commercial production in 2014.

Visit MorienRes.com for the latest news.