A Yukon mining company is getting roughly $35 million from the Canadian and United States governments to fund efforts at developing a deposit of tungsten and other critical minerals.
The beneficiary of the funds is Fireweed Metals. In total, $12.9 million is coming from Natural Resources Canada and $22.1 million is coming from the U.S. Department of Defense. This goes towards assisting the company’s work on the Mactung deposit located near the Yukon-N.W.T. border along the Canol Road.
According to a Dec. 13 press release from Natural Resources Canada, the Canadian government funds will support an infrastructure improvement project on the North Canol Road. The money will be used for design, studies and data collection and engagement and consultation with First Nations.
“These pre-development activities will focus on improvements of approximately 250 kilometres of road, upgrades to an existing transmission line between Faro and Ross River, and the construction of a new transmission line from Ross River to the Macmillan Pass site. This infrastructure will be key to the development of Fireweed’s Critical minerals projects in eastern Yukon,” the release reads.
The funds from the U.S. government will aid test work, feasibility studies and other work at the mine itself, according to the Canadian government release.
A U.S.Department of Defense press release from the same day explains that the American contribution to the project is drawn from a U.S. financial appropriation responding to Russia’s 2022 invasion of Ukraine.
Canada’s funding is drawn from a national critical minerals infrastructure fund. It is aimed at supporting clean energy, electrification and transportation projects.
A notice from Fireweed Metals states that the investment will help the project advance to a final investment decision while building up infrastructure that will assist other projects in the Macmillan Pass area. The statement from the company refers to Mactung as the “world’s largest high-grade tungsten deposit.” The statement notes that it is adjacent to the Macpass project, a large collection of zinc deposits.
Contact Jim Elliot at jim.elliot@yukon-news.com
