Government of Ontario Launches Forest Biomass Funding Program

The Government of Ontario has created a new $19.6 million, application-based forest biomass program in order to fulfill the goals set in its Sustainable Growth: Ontario’s Forest Sector Strategy and provincial Forest Biomass Action Plan (FBAP).

The program aims to help develop untapped economic potential and environmental benefits offered by new and emerging uses of underutilized wood and mill by-products, known as forest biomass.

Funding will be awarded into four streams, which will position Ontario as a leader in the green circular economy. These include:

• The Indigenous bioeconomy partnerships stream, which aims to increase Indigenous participation in forest biomass opportunities and benefit from bioeconomy development.

• The exploring biomass pathways stream, which aims to improve public and private sector understanding of the technical, financial, scientific, and operational considerations for use of forest biomass.

• The innovative bioproduct manufacturing stream, which aims to deploy innovative bioproducts and facilitate the increased use of forest biomass as a feedstock in manufacturing, infrastructure, energy services, and resource extraction sectors.

• The modernization stream, which aims to support forest sector transformation, competitiveness, and participation in emerging bioeconomy opportunities through the use of forest biomass.

All projects selected for funding will contribute to advancing partnerships, innovation, diversification, and modernization of Ontario’s forest sector; and will encourage growth of the forest bioeconomy through new business opportunities and investments in the use of biomass, forest bioproducts, and related technologies

“I have seen firsthand the prosperity that comes with a robust forestry sector, as many Northern communities are centred around this vibrant industry,” says the Honorable Greg Rickford, Minister of Northern Development. “With sustainability and job creation top of mind, our government is building a resilient and cutting-edge sector where hardworking men and women can find meaningful employment.”

The program will accept applications from June until September 29, 2023 at 11:59 pm EDT, or until the program funding has been fully allocated, whichever happens first. For more information, visit www.ontario.ca/page/forest-biomass-program.

Frontier Lithium Proposes Processing Plant Near Nairn Centre 

In May, Frontier Lithium announced strong results found in a Pre-Feasibility Study (PFS) for a proposed mine-to-lithium hydroxide chemical/hydromet plant facility in the Great Lakes Region. The PFS investigated a hydromet plant that would convert spodumene concentrate feedstock sourced from a vertically integrated spodumene open-pit mining and milling facility at the company’s PAK Lithium project, located north of Red Lake. The PFS demonstrated pre-tax net present value of US$2.59 billion, discounted at 8%. The PFS also confirmed that the 100% owned project could be the continent’s largest and lowest-cost producer of lithium hydroxide able to supply the rapidly growing North American electric vehicle industry. 

“Surging global demand for unique premium low-iron spodumene concentrates and high-margin, low-cost lithium chemicals presents an opportunity for Frontier Lithium to establish itself as a leading producer,” said Trevor Walker, President and CEO of Frontier Lithium. “The outstanding PFS results further emphasize this, underscoring the project’s ability to meet the market’s needs. Building upon the PFS results, we are committed to further optimizing the project through definitive feasibility level work. We are confident that this milestone paves the way for strategic resource development and facilitates deeper discussions with potential offtake partners.”

According to a company press release, Frontier’s project is uniquely positioned to benefit from its highly favorable location in the Great Lakes Region of North America. Northern Ontario is gifted with exceptional infrastructure, a deep local talent pool, low-cost and low carbon energy, and proximity to an emerging local electric vehicle manufacturing market. The results from the PFS demonstrate the potential for Frontier Lithium to become a major North American lithium chemicals producer on a fully integrated spodumene mine to lithium hydroxide and carbonate chemical plant basis.

The company’s next steps include completing a Definitive Feasibility Study for Phase 1, continuing environmental baseline studies to enable and advance permitting, selecting a site for commercial chemical plant, completing community partnership agreements, completing the formal submission of announced federal and provincial critical minerals grants and tax breaks, and evaluating strategic partnership options and offtake agreements.

For more information about Frontier Lithium, visit www.frontierlithium.com. 

Resolute Completes Sale of Thunder Bay Pulp and Paper Mill

On August 1, Resolute Forest Products Inc., a subsidiary of Domtar Corporation and a part of the Paper Excellence Group, completed the sale of the Thunder Bay pulp and paper mill to an affiliate of Atlas Holdings.

According to a company press release, Resolute will continue to operate its sawmills and woodlands operations in northwestern Ontario. Moving forward, the two companies have entered into certain agreements, including a long-term woodchip and biomass supply agreement that means Resolute will continue to provide chips and biomass to the Thunder Bay mill.

The sale of the Thunder Bay pulp and paper mill was a requirement under the consent agreement entered into between Domtar Corporation and the Canadian Commissioner of Competition. It was also registered with the Canadian Competition Tribunal.

Resolute Forest Products is a leading producer of a diverse range of wood, pulp, tissue and paper products, which are marketed in 60 countries. The company operates some 40 facilities in the US and Canada and has third-party certified 100% of its managed woodlands to internationally recognized sustainable forest management standards. To learn more, visit www.resolutefp.com.

Canada and Ontario Establish Auto Pact to Secure Lithium Production Pipeline

Construction on the Stellantis and LG Energy Solution Gigafactory (known as NextStar Energy) has resumed in Windsor after the Government of Canada and Government of Ontario formed a deal with the companies this past July.

As part of the agreement, Canada and Ontario will provide up to $15 billion in performance incentives to the companies as they work on the joint venture. 

In a joint statement, the Honourable Chrystia Freeland, Canada’s Deputy Prime Minister and Minister of Finance, the Honourable François-Philippe Champagne, Canada’s Minister of Innovation, Science and Industry, the Honourable Doug Ford, Premier of Ontario, and the Honourable Vic Fedeli, Ontario’s Minister of Economic Development, Job Creation and Trade, said: “The governments of Canada and Ontario are partnering to attract once-in-a-generation projects that will anchor our auto manufacturing sector and keep good jobs in Canada. We already have fought for and secured the new NAFTA, and fought for and secured a carve-in for Canada in the US Inflation Reduction Act (IRA) electric vehicle incentives.

The statement estimated that providing these performance incentives will create and secure thousands of auto jobs and tens of thousands of indirect jobs across Canada, as well as generating a mine-to-factory EV metals pipeline. 

“Today’s announcement will protect and create thousands of good-paying jobs for workers, including unionized jobs, as we establish an end-to-end electric vehicle supply chain to strengthen the clean economy,” the joint statement said. “This step will spur further growth across Canada and Ontario’s auto manufacturing supply chains, and related sectors, benefitting workers and unions throughout the country.”

According to Mark Stewart, COO of Stellantis North America: “The IRA fundamentally changed the landscape for battery production in North America, making it challenging to produce competitively priced, state-of-the-art batteries in Canada without an equivalent level of support from government.” 

“It’s a good day not only for our joint venture, but also for Canada,” said Dong-Myung Kim, President and head of the Advanced Automotive Battery Division of LG Energy Solution. “We are happy to finally move forward with building the country’s first major battery plant and be a central part of the local battery ecosystem.”

NextStar Energy will be first large-scale, electric-vehicle battery plant in Canada, with production planned to launch in 2024 and an annual production capacity in excess of 45 gigawatt-hours. The companies plan to launch production in 2024, which will create an estimated 2,500 new jobs in Windsor and the surrounding area.

The incentive also extends to the project by Volkswagen Group and its subsidiary PowerCo SE to establish Volkswagen’s first overseas electric vehicle battery cell manufacturing plant in St. Thomas. Volkswagen could receive up to $13 billion in performance incentives.

In the joint statement, Freeland, Champange, Ford, and Fedeli added: “As the auto sector continues to move towards electric vehicles, Canada and Ontario remain ambitious and competitive, allowing us to attract projects that will ensure our automotive sector retains global leadership in critical parts of the value chain. Thanks to concerted efforts and collaboration between the federal and provincial governments, including Ontario and Quebec, Canada currently ranks second in the global electric vehicle and battery ecosystem.”

To view the original Government of Ontario press release, visit https://bit.ly/45nTAzK.

Magna Mining Completes Crean Hill Project PRELIMINARY ECONOMIC ASSESSMENT

Magna Mining Inc. has announced the results of its Preliminary Economic Assessment (PEA), done by Stantec on the company’s100% owned Crean Hill Nickel project in Sudbury, ON. According to the assessment, the project demonstrated base case 15-year mine life and significant potential synergies with the companies’ Shakespeare project, a past producing Nickel-Copper-PGM (platinum group metals) project located 70 km southwest of Sudbury.

In a press release, Magna Mining said the base case scenario for the PEA envisions a combination of open pit and underground mining, with life of mine potential mineable resource being sold to a third-party existing mill in Sudbury. Initial underground mining would be accessed from a new ramp developed from surface, prior to rehabilitation of the existing shaft to access and hoist from the lower elevations. Workers will mine, crush, and sample resources onsite, then transport them to the third-party mill for processing. An alternative milling scenario was studied comparing the economics of the base case with an alternative processing scenario through a future mill at the company’s Shakespeare project.

“This Preliminary Economic Assessment demonstrates why we think the Crean Hill Nickel project has the potential to be the next nickel producing mine in Canada,” said Jason Jessup, CEO of Magna Mining. “The results of the base case study show positive economics, a long mine life, modest upfront capital cost, and minimal permitting required before commencing advanced exploration development.” 

Magda Mining states that the current base case provides the basis to advance the Crean Hill project to the next stage of technical study. More detailed engineering and optimization of cut-off grade, underground development, stope design and scheduling are recommended. Additional studies will include waste rock geochemistry, additional metallurgical testing, and ore sorting.

Magna Mining is an exploration and development company focused on nickel, copper, and PGM projects in the Sudbury Region of Ontario. The company’s flagship assets are the past‑producing Shakespeare and Crean Hill mines. Learn more at www.magnamining.com.

Avalon Finds 20% Increase in Deposit Size at Separation Rapids Project

Avalon Advanced Materials Inc. recently published an updated Mineral Resource Estimate (MRE) for the Avalon-Sibelco joint venture lithium deposit at Separation Rapids. This updated MRE reports 10.08 million tonnes (Mt) averaging 1.35% of measured and indicated lithium oxide (Li₂O), a 20% increase compared to previous results. It is a finding consistent with Avalon’s dual-market strategy to supply both the global glass-ceramics market and North American EV battery manufacturing. The highlights of the new MRE state that: 

• The open pit with a measured and indicated category of 9.39Mt averaging 1.34% Li₂O with the start of an underground resource of 0.68 Mt averaging 1.43% Li₂O.

• 10.08 Mt averaging 1.35% Li₂O in measured and indicated, a 20% increase in size as compared to 2018 results.

• 2.81 Mt averaging 1.38% Li₂O in the inferred category, a 57% increase in size as compared to 2018 results.

• 136,000 tonnes of Li₂O in measured and indicated, a 15% increase in size as compared to 2018 results.

• 39,000 tonnes Li₂O in the inferred category, a 60% increase in size as compared to 2018 results.

• The potential of an additional 3 Mt to 6 Mt of resource, grading between 1.0% and 1.4% Li₂O which could relate to an increase in Li₂O by 30,000 to 80,000 tonnes, though more exploration is needed to confirm these suspicions. 

“This updated estimate reveals the quality and quantity of the resource at Separation Rapids, and underscores the rationale for the strategic partnership between Avalon and Sibelco,” said Scott Monteith, Avalon CEO. “It confirms that the deposit can deliver sufficient volumes of commercial-grade feedstock suitable for both the glass ceramics and lithium battery markets.” 

Avalon Advanced Materials Inc. is a Canadian mineral development company focused on vertically integrating the Ontario lithium supply chain. The company has two joint-venture projects: its Separation Rapids lithium deposit near Kenora and its Lilypad spodumene-cesium-tantalum project located near Fort Hope.

SCR-Sibelco NV is headquartered in Antwerp, Belgium. The company processes and sells specialty industrial minerals – particularly silica, clays, feldspathics and olivine – and is a leader in glass recycling. Sibelco’s solutions serve a diverse range of industries including semi-conductors, solar photovoltaic, glass, ceramics, construction, coatings, polymers and water purification. The Sibelco Group has production facilities in more than 30 countries and a team of more than 5,000 people worldwide.