Selkirk First Nation has announced court approval of the first part of its deal to purchase the Minto Mine. Preventing the permanent closure of the mine is listed as a goal for the First Nation as it negotiates the next step of the acquisition.
The mine was abandoned by its owners in spring 2023 and placed under the authority of Pricewaterhouse Coopers, acting as receiver. The receiver marketed the mine, entertaining a trio of unsuccessful bids in an effort to pay those who were owed money by the mine’s previous owners. When a buyer could not be found, the receiver sought court approval to begin liquidating the mine’s assets.
On Sept. 5, Selkirk announced that it received approval from the court in its bid to acquire the mine’s “rolling and hard assets.” These include buildings, equipment and the mine’s mill.
“This decision effectively grants us ‘command and control’ over the site and supports our goal to prevent permanent closure of the mine site,” the Sept. 5 statement reads.
The statement emphasizes that the acquisition of the mine assets puts Selkirk in the position to make decisions about the mine’s future, including activities that align with Chapter 22 of its final agreement which deals with economic development and self-reliance.
In an interview with the News, Selkirk First Nation Chief Sharon Nelson called the block purchase of the site a strategic move with the potential to sustain the economic benefits of the mine. Nelson couldn’t discuss the purchase price but said Selkirk proceeded without partners on the bid for the rolling stock. She noted that some of the mine’s equipment is in use for government reclamation and closure work at the mine.
Negotiations are still ongoing for the possible purchase of Minto’s claims, licences and similar assets by Selkirk.
The Minto Mine is located on a block of Selkirk First Nation settlement land. Nelson said that Selkirk could be more involved with possible future mine operations if the purchase goes through. This would also carry opportunities for improved due diligence on the First Nation’s part, she said, adding that Selkirk wouldn’t sign off on any work at the mine site if it had poor planning for protecting the environment or if it was underfunded. She said that Selkirk has had the chance to collaborate on environmental practices with past owners of the Minto Mine but has never had complete say on business practices.
Whatever the future for the mine, Nelson said that Selkirk will continue to seek the highest environmental standards for the work. She added that any future work will be run by Selkirk’s citizens via a general assembly.
“This is a positive step as there is still economic potential to be explored at the site. However, considerable groundwork is still required before the site's future can be fully determined,“ Nelson said.
Yukon government remediation work is ongoing at the mine site. Information on the work provided by the Department of Energy, Mines and Resources states that earthworks going on since April are expected to be complete by the end of this month with similar work planned for next year. Waste rock dumps were regraded to make them flatter and more stable and then covered with soil to allow plant growth.
The information from the department notes that water treatment over the summer lowered water levels in the mine’s open pits allowing ore and waste stockpiles to be moved into open pits at the mine for long-term underwater storage. Per the department, this is consistent with environmental standards for mines around the world.
Reclamation of the mine’s underground areas was completed over the past winter and potentially hazardous assets owned by third parties were removed via an ice bridge.
The statement from the department notes that groundwater and surface water are monitored continuously at Minto.
According to the department, Selkirk will be closely involved with planning of future reclamation work at the mine.
Contact Jim Elliot at jim.elliot@yukon-news.com
