INTRODUCTION

From Labrador to the High Arctic and from northern Ontario to Yukon, First Nations, Innu, and Inuit are confronting the complex and diverse world of mining.

Mining and Aboriginal communities are not exactly a “natural” match. While harvesting from the land has declined in economic importance, the rhythms of the natural environment remain close to the heart of most communities. Even many of the Aboriginal people who now live in cities maintain a strong tie to “place” – to their traditional territory and culture.

Mining is essentially different. While the mine is in one particular place, the industry is driven by markets around the world. The money for mining comes from outside the region, from investors whose primary interest is profit. The oreOre: the naturally-occurring material (rock) from which minerals are extracted through breaking down and processing. extracted from a mine is usually shipped away for processing. Once it’s left, it’s gone for good; the industry is non-renewable. Our vast appetite for everything from gold rings to snow-mobiles drives mining corporations to roam the globe in search of a big find.

With their power, wealth, and influence, these corporations may simply appear threatening to Aboriginal communities. The reality is more complex. Some First Nations and Inuit are becoming very skilled at using their leverageLeverage: strategic advantage or the power to act effectively. In negotiation, leverage is a measure of which side, at any given moment, has a greater ability to influence the other side. to good effect. They are learning ways to reduce the risks that mining poses to the environment and to their communities. They are also learning ways to capture the benefits that mining can offer them

The prospect of Aboriginal communities gaining real benefits from mining is greater than it was 20 years ago. Working in their favour is a greater recognition of Aboriginal rights. In addition, a social and environmental consciousness is evolving in some parts of the mining industry. Modern mining may yet live down its historic reputation for callous profit-taking and dumps of toxic waste.

It will never live down its exposure to worldwide markets, however. In 2006 and 2007, prices for a wide range of minerals and metalsMetals: one of more than a 100 basic earth elements, grouped under minerals. Includes iron, lead, zinc, and copper. soared. In many parts of Canada, including Yukon, exploration companiesExploration Company: a company whose principal activity is that of exploration. spent millions of dollars looking for valuable ore bodies. (See Diagram Intro-1. Please note that values for 2009 are projected.) Then in late 2008, prices crashed. A financial crisis that started with home mortgages in the United States slashed the demand for all types of goods and services across the globe. The demand for many of the industrial raw materials produced in the mining sector fell off. As a result, exploration in Yukon and elsewhere has nose-dived.

Such are the markets for the global commodities produced by mining. The stakes are high. Big money is made and lost. Still, prices could rocket up again within a few years. This is not something Aboriginal communities can control, or mining companies for that matter.

But even when people’s intentions are good and mineral prices are high, it is neither simple nor straightforward to generate lasting benefits for local communities from a mine. That takes careful planning. It takes persistence, clarity about one’s goals, and research. It takes carefully-prepared and -conducted negotiations that capture the whole range of benefits: revenues, training and jobs, business opportunities, and management experience and ability. With good negotiation and good implementation, a mine can be made to generate benefits that outlive the mine itself, and build the community’s self-reliance. With poor negotiation or poor implementation, a mine can divide communities, weaken families, and degrade social and environmental conditions.

In short, mining offers no quick fix to the challenges faced by Aboriginal communities. The Aboriginal Mining Guide will help Aboriginal communities to decide if they can gain lasting benefits from mining. It also explains how to negotiate with mining companies in order to gain those benefits while protecting the environment and their quality of life.

Download this module as a PDF: