Premier Simpson addresses concerns over mining industry challenges

After facing repeated calls by MLAs to declare a ‘red alert’ over the sagging mining industry, Premier R.J. Simpson issued a lengthy statement in which he acknowledges the difficulty of the current situation, and assures that safety nets and other support structures are being developed.

“Mining has been central to the Northwest Territories’ economy for generations, and our government shares the concern about the challenges the industry is facing,” he stated.

“At a time when there is concern about the future of the industry, what is needed most is steady leadership and action. Our focus is on supporting the people and communities that rely on this industry, and on creating the conditions for new projects to move forward.”

Simpson explained that some of the biggest challenges facing the NWT mining sector are global market shifts, rising costs, and the closing of mines that are coming to their natural ends.

He stated these forces create no small amount of uncertainty for the many workers across the territory who have made full careers in this industry. The GNWT is focused on finding ways to support these workers through this uncertain time.

“We are working closely with partners to make the regulatory system more efficient and predictable, support early-stage exploration through the Mining Incentive Program, finalize the Mineral Resources Act regulations to provide greater clarity and modern tools such as online map staking, and continue to advocate for a proposed North of 60 Mineral Exploration Tax Credit so the North can compete on a level playing field with the provinces,” he stated.

“We have also engaged with the federal government on options for tariff relief and measures to support the diamond sector to help protect Northern jobs, sustain Indigenous businesses, and strengthen communities during this transition.”

Simpson cited other major projects that are finally seeing progress as well. The Mackenzie Valley Highway, the Talston Hydro Expansion, and the Arctic Economic and Security Corridor have all seen recent support from Prime Minister Carney and other members of the Federal Government.

These projects are seen as ‘nation-building’ initiatives that could lead to substantial economic growth for the NWT.