Keno mine adits under observation

The president of United Keno Hill Mines (TSE) says the company is addressing Environment Canada concerns about pollution from two adits at the Elsa silver mine.

“We believe we’ve got a solution that will adequately mitigate and satisfy their concerns and we’re beginning implementation,” Stephen Powell said. He said he had constructive meetings with federal environmental officials on a recent trip to the Yukon and believes the company and the government can work together.

“There’s one (adit) that has an immediate concern,” said Vic Enns, the Yukon manager of pollution abatement with Environment Canada. “There’s one (adit) that we recognize needs more assessment.”

Enns gave the company until Oct. 25 to define and implement mitigation. The Fisheries Act provides for penalties of up to $300,000 a day for convictions under the Act.

The central Yukon mine of Keno has been closed since 1989, mainly because of low silver prices.

BLM Mines Inc. replaced Falconbridge Ltd. last year as the majority shareholder. Three employees remain for maintenance purposes at the mine, which Keno has operated since the late 1940s.

Enns said both adits are near Keno City and have been abandoned for some time. He said the adit of most concern, Galkeno 900, is releasing zinc into the water system.

“The effluent coming out of the Galkeno adit is highly toxic to fish,” Enns said.

Water from this adit flows into Christal Lake and Christal Creek and then into the South McQuesten River, he said.

Environment Canada must do more testing, he added, on the effects of discharge from the other adit (known as Onek).

Enns said an overall abandonment strategy is needed. Keno did submit a draft to the Yukon Territory Water Board in 1990. The Department of Northern Affairs reviewed it and raised some questions to be addressed. The water licence for the mine also ran out July 25.

Powell said the company is working on a new water licence application. He said he sees favorable price trends for silver but can’t say when the mine could reopen.

Environmental approvals needed to operate the mine would take at least nine months once a federal environmental assessment and review process is started, Powell said.