Platinex (PTX-V, PANXF-O) is suing the government of Ontario for more than $70 million, claiming it didn’t fulfill its duty to consult with a First Nation group before granting the junior exploration permits near Big Trout Lake, Ont.
As a result, a land access dispute between the Kitchenuhmaykoosib Inninuwug (KI) First Nation and Platinex has stretched on for nine years now.
KI is firmly against any exploration activity on its land, so much so, that six KI community leaders were sent to prison in March for contempt of court after refusing to allow Platinex to work on the contested property.
They were released conditionally on May 23 but could be back in jail as soon as May 29 following their court appearance to appeal their sentences.
Several First Nations groups gathered at Queen’s Park in Toronto recently for the four days leading up to the “National Day of Action” on May 29 to protest Ontario’s 135-year-old mining law and bring attention to the ongoing problems between First Nations groups and mining and exploration companies.
Both have blamed the dated legislation for their disputes and would like to see something clearer enacted.
KI says that the cost of 18 months of litigation left the community unable to appeal the last court order, which granted Platinex access to the disputed area.
Meanwhile, Platinex claims it has lost millions of dollars because it has not been able to gain access to the land it leased. President and CEO James Trusler says he felt the company had no choice but to file the lawsuit.
“Our exhaustive efforts in consultation with KI over nine years have been rejected by KI despite landmark Supreme Court rulings which have determined that a First Nation does not haveaveto,” Trusler said in a statement. “Our court-ordered access to the mining claims has not been enforced.”
The company is also suing KI for $10 million for disrupting its exploration program. Under the Ontario Mining Act, all Crown land, including land subject to aboriginal title claims, is open for staking, exploration and mining without extensive consultation with native groups.
The provincial Liberals have said they are committed to changing the act to require more consultation with First Nations. A 2004 Supreme Court of Canada ruling said that First Nations must be consulted before development occurs, but this has been interpreted to mean that companies must provide information to local aboriginal communities, discuss how to minimize the environmental impact and provide some compensation.
Many First Nations groups don’t agree this constitutes proper consultation, saying there needs to be the possibility that no exploration will occur.
Ontario First Nations have asked the government for a moratorium on exploration that doesn’t have their approval. Ontario’s regional chief, Angus Toulouse, with the Assembly of First Nations, says changing the province’s Mining Act should be a top priority of the government; otherwise, more serious conflicts could result.
In April, Robert Lovelace, leader of the Ardoch Algonquin First Nation, was sentenced to six months in prison for refusing to follow a court order to stop blockading Frontenac Venture’s uranium exploration property near Sharbot Lake, Ont. He recently began a hunger strike.
KI has proposed the creation of a joint panel to examine the disputes and make recommendations for preventing similar clashes in the future.
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