ESG

Taseko hails court win as positive for mining industry

Taseko Mines (TSX: TKO) says the British Columbia Supreme Court decision to allow it to start “investigatory” work at its controversial New Prosperity gold-copper project will be helpful to the mining industry.

Staff reporter
 Taseko to pick up investigating New Prosperity

Taseko to pick up investigating New Prosperity

The company said the court decision last week was unequivocal and meant the government of British Columbia had the authority to approve resource development work even in the face of aboriginal opposition.

The project has twice been issued two federal rejections.

The Tŝilhqot'in National Government had sought to overturn Taseko's mining exploration permit, saying the work would destroy centuries of sacred and protected sites and it was now "reviewing all options to protect this critical cultural area".

"The Tŝilhqot'in Nation will not stand by as Taseko Mines moves forward with a drilling programme for a mine that was rejected twice by the federal government and cannot be built," chief Joe Alphonse said this week.

Taseko said its work was investigative and would gather hydrological and other data required for the mine permitting process, and would address "many of the concerns expressed by the local aboriginal group".

The work is said to include clearing 76km of new or modified roads, 122 drill holes and excavating 367 test pits.

Hallbauer said it was confident it would gain the evidence needed to satisfy key elements of the federal government's 2014 rejection.

This month's Supreme Court decision reaffirmed provincial government authority over mine development in the province and would be beneficial to the future of the New Prosperity gold-copper project and also helpful to the mining industry, in general, in British Columbia, Taseko said.

"The Crown's obligation is to consult with aboriginal people and to accommodate their interests where reasonable to do so," Taseko president and CEO Russell Hallbauer said in response to the court ruling.

"However, there is no duty or obligation to secure aboriginal support for the work being proposed."

 

The project contains a 5.3 billion pound copper and 13.3 million ounce gold resource and is forecast to produce 110 million pounds of copper and 234,000oz of gold annually over a 33-year mine life.

Taseko shares hit a 52-week low of C90c earlier this month after reporting an 84% drop in adjusted profit for June quarter.

The base metals miner's shares rose 1c yesterday to $1.03.

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