Three northeastern Ontario First Nations will have the inside track in bidding for construction contracts at Canada Nickel’s proposed Crawford mine project, north of Timmins.
The company chose the backdrop of PDAC mining week in Toronto to sign a contracting agreement with Mattagami, Matachewan, and Flying Post First Nation. Those communities and businesses within will be given preferential access to bid on and negotiate contracts for the estimated US$2.5-billion development.
Crawford is a proposed open-pit mine 40 kilometres north of Timmins that’s shaping up to be the second largest nickel reserve and resource in the world. It’s a low-grade, large tonnage deposit with first production expected in late 2026, early 2027.
The company has not yet made a decision to proceed with mine construction as it is still lining up financing and waiting on final government permits.
“Through an open-book negotiation process, Mattagami, Matachewan, and Flying Post First Nations’ businesses will have a competitive advantage in securing contracts related to the Crawford Nickel Sulphide Project,” said a Canada Nickel news release on March 3.
This pact establishes a framework for the communities to participate in early stage construction work while a more comprehensive impact benefits agreement (IBA) is being negotiated.
The three communities are members of the Wabun Tribal Council, one of the more progressive Indigenous organizations in Canada. The council has a templated negotiating process to draw up mutually beneficial agreements between mining companies and First Nation communities.
The communities themselves are well-versed in mining activity.
Matachewan has an IBA with Alamos Gold and its nearby Young-Davidson Mine as well as an agreement with Agnico Eagle regarding its Kirkland Lake mining assets.
Mattagami and Flying Post have an IBA agreement with IAMGOLD on the construction, servicing and job opportunities with the new Côté open pit mine between Sudbury and Timmins.
Some of the upcoming work, roughly scheduled between 2025 and 2029, includes construction of a 25-kilometre rail spur to connect the mine to the Ontario Northland Railway line, realigning a 25-kilometre section of Highway 655 around the mine, and erecting a temporary highway overpass for heavy mining truck haul trucks.
This infrastructure will connect the mine to a proposed nickel processing plant that company president Mark Selby claims will be the largest nickel processing plant in North America. First Nations will be a priority partner in construction, he said.
This agreement ”ensures that meaningful opportunities for First Nation business start now, not years down the road," Selby said.
Canada Nickel has been promoting Crawford as a mine of the future, an operation with a zero-carbon footprint. The company espouses having a socially responsible corporate philosophy that promotes First Nation partnerships and participation with nearby First Nation communities to create revenue-generating local business opportunities.
Last December, Taykwa Tagamou First Nation made a $20-million investment to become a stakeholder in the company, enough to earn them a seat on Canada Nickel’s board of directors.
Flying Post Chief Murray Ray was pleased that they’re partnering with a mine developer that puts “sustainability at the forefront of its operations.”
Matachewan Chief Alex ‘Sonny’ Batisse said this agreement provides a “genuine starting point” that gives them a say on addressing the impacts of mining on their traditional lands and ensures their rights are respected.
Mattagami Chief Jennifer Constant said the agreement recognizes their role as stewards of the land and reflects the community’s history of achieving “economic success through partnerships with proponents.”