The Yukon government and multiple businesses are taking Minto Metals Corp. to court.
The company abandoned the Minto mine site and its entire board of directors resigned in May. Court documents filed against Minto Metals Corp. outline a total of more than $19 million outstanding.
Furthermore, John Thompson, a communications analyst in the territorial mines department, said there are currently $42.2 million in liens registered against the mine by 25 separate applicants. A miner’s lien provides legal recourse for those who provided goods or services but have not been paid, according to the Yukon government website.
Compiling court records
The News has searched the civil courts registry and tallied what is shown by recent records filed with the Supreme Court of Yukon up to July 4. Nothing has been proven in court and Minto had not filed statements of defence in any case as of July 11.
A statement of claim filed by the Yukon’s Energy, Mines and Resources minister alleges Minto Metals Corp. hasn’t paid more than $2.42 million in royalties for 2021 or 2022. Per the document, the minister may sue to recover the unpaid money. The directors of the corporation at the deadline for payment, together with the corporation, are on the hook.
Under the Quartz Mining Act, mining royalties accrue on Jan. 1 each year for minerals mined the previous calendar year, and payment of the accrued royalties is due nine months later, according to Thompson. The Yukon government collects royalties from Minto mine on behalf of Selkirk First Nation.
Another court document outlines the Yukon Energy Corporation’s claims against Minto Metals Corp. The energy corporation claims the mining company owes $4.01 million plus interest in late and missed payments on electricity bills.
A third territorial government-related court filing suggests Minto Metals Corp. owes the The Yukon Workers’ Safety and Compensation Board close to $646,000 for assessments and penalties payable under the Workers’ Safety and Compensation Act.
Several businesses have also filed documents with the court outlining money they say they’re owed.
A court document indicates Cobalt Construction Inc. provided services related to ore and waste rock handling, mill feeding and rock breaking. The company claims the amount due is about $5.23 million.
Per another court filing, Kode Contracting Ltd. was contracted to provide crushing services and equipment. The company claims Minto Metals Corp. owes about $2.68 million plus interest.
Borealis Fuels & Logistics Ltd. provided services, equipment and liquefied petroleum gas to the Minto site, according to a court document. The company claims Minto Metals Corp. owes about $2.41 million plus interest.
A court document states Dyno Nobel Canada Inc. performed work and provided services and materials related to explosive products. The company claims Minto Metals Corp. has not paid the invoiced amounts for more than $838,000 including interest.
Per another court document, Thyssen Mining Construction of Canada Ltd. provided skilled mechanics who travelled to the Minto site for work. The document alleges Minto Metals Corp. owes close to $799,000 for services rendered.
A statement of claim filed by Stormtec Filtration Inc. alleges Minto Metals Corp. has refused or neglected to pay close to $299,000 in debt owed for pumps and dewatering equipment.
In a court filing, CANNEPP Boiler Room Technologies Ltd. claims Minto Metals Corp. owes about $55,000 including interest related to maintenance and equipment services.
Finally, a court document alleges Minto Metals Corp. owes close to $47,000 for unpaid hydrovac services provided by Arctic Backhoe Services Ltd.
Some former board members of Minto Metals Corp. could not be reached for comment.
The Yukon government jumped into caretaker mode following the company’s abrupt departure from the Minto mine site in May. The government quickly contracted JDS Mining to deal with treating and managing water stored on site by securing employees and infrastructure.
READ MORE:
Company that abandoned Minto mine owes $18M in securities to Yukon government
Contact Dana Hatherly at dana.hatherly@yukon-news.com