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Impact of Victor mine starts to trickle down

By ADELLE LARMOUR Far North – The Timmins and James Bay coastal regions are just beginning to experience the economic spin-offs of the De Beers Victor Mine project near Attawapiskat.

By ADELLE LARMOUR

Far North – The Timmins and James Bay coastal regions are just beginning to experience the economic spin-offs of the De Beers Victor Mine project near Attawapiskat. As the construction phase of the multi-billion dollar project is underway, businesses, social service sectors, educational facilities and communities will reap the benefits of this huge investment, according to the company.

Derek Teevan, manager of Aboriginal and government relations, says the economic impact during the life of the project will be approximately $6.7 billion. Of that, about $4.5 billion will affect Northern Ontario’s economy in the form of wages, contracting opportunities and transportation, to name a few. He adds they already have in excess of $66 million in joint ventures with Aboriginal commitments and businesses along the coast, including businesses in northeastern Ontario.

De Beers is in the process of spending $982 million to build the mine.

“It amounts to almost $1 million a day in terms of salary, procurement and capital equipment,” Teevan says. “The community will see a positive effect with that kind of expenditure.”

Presently, De Beers has a project office in Oakville, where an engineering company is designing the mine works. Its Timmins office oversees administrative services, human resources and procurement of the project. Teevan says it will become the muster point for all staff to go up to the mine when the construction phase is complete.

“It will be the right hand of the mining operation,” and will basically handle services not directly involved with the operation of the mine.

Northern College is also gaining some advantages with a training plan associated with the mine’s operation and construction.

As part of the Benefit Impact Agreement signed between First Nations and De Beers, a board called the James Bay Employment Training Committee (JBET) was developed. Five James Bay area First Nation representatives sit on the board, representing Moose Cree, Attawapiskat, Fort Albany, Kashechewan and Peawanuk First Nations.

Bob Mack, associate regional director for Northern College, says they sit on the board as an ex-officio member, acting as a resource in the development of the training plan.

He says the college will also be involved with some of the training associated with the project.

“There will be a range of opportunities from AZ-licence truck driving to office skills, apprenticeship programs to WHMIS – anything associated with the construction and operation of the mine.”

The plan, which is funded up to 75 per cent by Services Canada, will be in effect until March 2008.

The intended workforce during construction is approximately 600, with 350 workers during operations. Most of the training will be delivered in the communities.

“De Beers has built a training centre in Attawapiskat,” Mack says. “We’re hoping that centre will become the focus of the training in that area.”

However, Northern College also has facilities in Moosonee and Moose Factory, and will use the schools in Fort Albany and Kashechewan.

Timmins Airport has also seen an increase in charter flights. As the activity increases at the mine, airport manager Harley Nikkel anticipates regularly scheduled charter service to and from the mine. Presently, Thunder Air has the light air transportation contract with De Beers and Air Creebec was recently awarded the contract for freight and passengers.


Nikkel says initially they will start out small with approximately two flights per week and increase the flights as required.

“We’ve noticed an increase in the charter activity at the Timmins Airport and we’re fully prepared and anticipating more in the future,” he says.

Another area that is experiencing growth is the region’s real estate market.

Timmins Real Estate Board president Richard Leroux says the reason for the healthy market right now is due to the price of base and precious metals, but he anticipates De Beers “will have a tremendous impact.

“I anticipate the market will continue to be healthy because of De Beers,” he says.

In turn, the community of Timmins has embraced the project by awarding De Beers with the Timmins Chamber of Commerce President’s Award in recognition of business partnerships and contribution to the community.

“The business community is well behind the project,” Teevan says. “People are very accommodating. They want to see opportunities to work together.”

www.debeerscanada.com