first nations engagement billmercer pdac 9march2010 0910am.ppt · 2010. 3. 30. · joint proposal...

NECHALACHOA recent case history in Aboriginal community engagement from the Northwest Territories, Canada: The Thor Lake rare metals projectCanada: The Thor Lake rare metals project

Bill Mercer, P.Geo., VP – Exploration

Toronto, 9 March 2010

…advancing green technology

www.avalonraremetals.comTSX:AVL 1TSX:AVL OTCQX:AVARF

Safe Harbour StatementSafe Harbour Statement

Forward looking informationg

Certain statements contained in or incorporated by reference into thispresentation constitute forward-looking statements. Such statementsreflect the current views of Avalon Rare Metals Inc with respect toreflect the current views of Avalon Rare Metals Inc. with respect tofuture events and are subject to certain risks, uncertainties andassumptions. Many factors could cause the actual results, performanceor achievements of Avalon Rare Metals Inc. that may be expressed oror achievements of Avalon Rare Metals Inc. that may be expressed orimplied by such forward-looking statements to vary from thosedescribed herein should one or more of these risks or uncertaintiesmaterialize. Avalon Rare Metals Inc. does not intend, and does notassume any obligation, to update these forward-looking statements.

TSX:AVLOTCQX:AVARF www.avalonraremetals.com 2

Avalon’s Approach to C it E tCommunity Engagement

Engage early and oftenEngage early and often

Continue engaging as the project progressesproject progresses

Gain a thorough understanding ofunderstanding of community needs, create opportunities for ppcommunity to benefit


Avalon’s Corporate Social R ibilitResponsibility

Open, honest and regular dialogue with p g glocal communities

Minimizing impacts on the land

Sustainability… beginning at the early stage and continuing through mine closure

The environment and workplace healthThe environment and workplace health and safety

Hiring local people & promoting training

Partnerships to provide lasting benefits

Adoption of PDAC E3 Plus Principles in project implementation


Adoption of PDAC E3 Plus Principles in project implementation

PDAC e3 Plus PRINCIPLES FOR RESPONSIBLE EXPLORATIONPRINCIPLES FOR RESPONSIBLE EXPLORATION

Adopt responsible governance and management

Apply ethical business practices

Respect human rights

Commit to project due diligence and risk assessment

Engage host communities and other affected and interested partiesinterested parties

Contribute to community development and well being

Protect the environmentProtect the environment

Safeguard the health and safety of workers and the local population


p p

Thor Lake: Project LocationThor Lake: Project Location

Akaitcho Dene

• Yellowknives Dene FN

• Lutsel k’e Dene FN

• Deninu Kue FN

Deh Cho

• Katlodeeche FN

Metis

• Hay River Metis Council

F t R l ti M ti• Fort Resolution MetisCouncil

• (Northwest Territory MetisNation)

N h Sl M i Alli


• North Slave Metis Alliance

Nechalacho REE Deposit:D l t PDevelopment Progress

2005: Property acquisition and initial letters and meetings with communitiescommunities.

2006: On going community engagement

2007: Scoping study, Land Use permit, drilling

2008: Delineation drilling, 43-101 resource, community engagement

2009: Definition drilling metallurgical, environmental & market studies

2010 P f ibilit t d b i EA MOU i i2010: Pre-feasibility study, begin EA, MOU, engineering

2014: Production


Nechalacho REE Deposit:CSR PCSR Progress

2005: Property acquisition and start of community visitsof community visits

2007: Hiring first Aboriginal employees from communities; community site visitscommunity site visits

2008: First Aid First responder training; environmental cleanup at sitesite

2009: Drill helper training; installation of wind test tower; project renaming; MOU discussionsMOU discussions

2010: Major contracts to FN business (ice road, airstrip); encourage contractors to JV with local FN

Nechalacho Renaming Ceremony


contractors to JV with local FN

Dene NationsDene Nations

The Dene include five main groups:

• Chipewyan (Denesoline), living east of Great Slave Lake

• Tlicho (Dogrib), living between Great Slave and Great Bear LakesBear Lakes

• Yellowknives (T'atsaot'ine), formerly living north of Great Slave Lake, and now absorbed into the Chipewyan

• Slavey (Deh Gah Got'ine or Deh Cho), living along the Mackenzie River (Deh Cho) southwest of Great Slave LakeLake

• Sahtu (Sahtúot’ine), including the Locheux, Nahanni, and Bear Lake peoples, in the central NWT.

TSX:AVLOTCQX:AVARF www.avalonraremetals.com 9Wikipedia

Dene NationsDene Nations

The word "Dene“ is broken down into two words "De" meaning flow andtwo words, De meaning flow and

"Ne" meaning Mother Earth. Thus the Dene view that they flow from MotherDene view that they flow from Mother

Earth and we are a people of the Creator and Creation.

TSX:AVLOTCQX:AVARF www.avalonraremetals.com 10Wikipedia

Akaitcho Dene NationsAkaitcho Dene Nations

Akaitcho (ca 1786-1838)Akaitcho (ca. 1786 1838) was a Copper Indian, and Chief of the Yellowknives:Chief of the Yellowknives:

His name means “Big-F t" "Bi F t"Foot" or "Big-Feet"; meaning: "like a wolf with bi h t lbig paws, he can travel long distances over snow"


Metis in the Northwest T it iTerritories

Northwest Territory Metis NationHay River Metis Council

Fort Resolution Metis CouncilFort Resolution Metis Council

Fort Smith Metis Council

North Slave Metis AllianceYellowknife

Kurt Bulmer, NSMA,


Kurt Bulmer, NSMA, Environmental Baseline Work at Nechalacho

Bathurst Inlet

First Nations Communities around N h l h Th L k P j tNUNAVUT

G r e a t B e a rL a k e

Nechalacho, Thor Lake Project

TL Thor Lake Location

N’Diloh:

Thor Lake Location

NWTLutsel k’e:

N Diloh:

Yellowknives Dene First Nation

Yellowknife: Lutsel k e:

Lutsel k’e First NationYellowknife:

North Slave Metis Alliance

TLFort Resolution:

Deninu Kue First NationS l a v e

G r e a t

Dettah:

Yellowknifes Dene First Nation

TL

L a k e

Hay River

Fort Resolution Metis Council:

First Nations LanguagesG t Sl L k AGreat Slave Lake Area

TLTL



Source: Government of NWT

Bathurst Inlet

Treaty 8 & 11 Territories in Present NWTS D t t f I di Aff i 1900NUNAVUT

G r e a t B e a rL a k e

Source: Department of Indian Affairs, 1900


Treaty 11 Lands Treaty 11 Area

NWTTreaty 11 Area

1921-22

YELLOWKNIFETL

Treaty 8 Lands

S l a v e

G r e a t Treaty 8 Area

1900

ChipewyanTL

Hay River

Fort ResolutionL a k e

9

Caribou Eaters

Bathurst InletBathurst InletTliCho Mowhi AreaTL Thor Lake Location

NUNAVUTG r e a t B e a r

L a k e Northwest

Territory

M tiAkaitcho Dene

Traditional Territory

Drygeese/Mowhi

Metis

NWTDrygeese/Mowhi

“Shared primary use area”

Chief Drygeese

TerritoryAboriginal

Akaitcho

Territory

YELLOWKNIFEYELLOWKNIFEYELLOWKNIFE

Aboriginal Lands Around Nechalacho TL

S l a v e

G r e a t

S l a v e

G r e a t

Interim

Land WithdrawalG r e a t

Nechalacho

Recognised/not recognisedNegotiated/Under negotiation

TL

Fort ResolutionL a k e

Hay River

L a k e

Hay River

Fort ResolutionNegotiated/Under negotiationClaimed traditional territory

Aboriginal People in NWT:S f Th i CSome of Their Concerns

The balance of traditional life and modern economyKeeping their cultureEconomic development

The environment Key element at the moment being caribouConcerns about pollution and threat to harvesting

Education for children, youthEducation for children, youthSchool dropout ratesSkills developmentAdvanced education

The challenge for industry:d a ced educat o

Social problems in communitiesSubstance abuse

yEnsuring that mining benefits communities


Nechalacho Deposit, Thor Lake ProjectCommunity EngagementCommunity Engagement

Renaming ceremonyg y

Community meetings

Site visitsSite visits

First Nations Training First Aid Driller Helper

Employment at site

Business developmentMajor contractors with Aboriginal ownership40% of individuals

employed at site of Aboriginal origin

ownership

Contracts for ice road haulage, airstrip


Wind power evaluation with YKDFN

Skills and Job Training IssuesSkills and Job Training Issues

First Nations youth often do not have necessary skills for higher paying jobshigher paying jobs

Not exposed to workplace conventionsNo bank accountHave not had to budgetNot used to rigid working hoursNot used to safety conventions in workplaceNegative influences in communities to overcome: substance abuse

Mineral companies need help from professionals in the specific training areaspecific training area

e.g. in NWT: the Mine Training Society

Exploration companies can help by giving a hand-up not a hand out!


hand-out!

Community DevelopmentM di l Fi t R d T i iMedical First Responder Training

Concept initiated by Avalon

Shortage of qualified medical first responders in NWT – people brought in from Newfoundland

Enhances employability salary and skills of FirstEnhances employability, salary and skills of First Nations people

May lead to more advanced training

In cooperation with St John and Mine Training Society

Avalon placed three people from Akaitcho DeneAvalon placed three people from Akaitcho Dene into training in January 2009

Three out of four graduates from Avalon

Graduating Class

Community DevelopmentDi d D ill H l T i iDiamond Drill Helper Training

Avalon initiated program to train First Nations people in drilling

Highly paid employment, relatively close to communities

First stage is drill helper training in 2009

Potential for employment at mines as trained driller and advancementPotential for employment at mines as trained driller and advancement to drill runner

JOINT PROPOSAL CONCEPTAvalon initiatedSupported by:

Mine Training SocietyA C ll

Ontario Common Core basedClassroom for 12 weeks with practical included6 th th j b t i iAurora College

Akaitcho communitiesDeton Cho CorpHelicopter companies, environmental

6 months on the job training

Helicopter companies, environmental companies, drilling companies

DRILLER HELPER TRAINING


EmploymentEmployment

Direct IndirectLabour at camp

Environmental cleanupAboriginal owned businesses

Driller helpers


Employment in Exploration PProgram

Average of 40% of gemployees have been Aboriginal

Initially camp labour

Now camp labour and d ill t idrill trainees

Hired through band council and through I&Dcouncil and through I&D Management (Aboriginal owned HR company)

Approximately $500,000 in salaries paid over three years from 2007 to 2009


years from 2007 to 2009

EMPLOYMENT OPPORTUNITIES & ENVIRONMENTAL CLEANUPENVIRONMENTAL CLEANUP

Before AfterBefore After

2009 Environmental Baseline PProgram

Environmental baselineEnvironmental baseline work creates opportunities for employment and p yengagement in work viewed positively by community members

Positive messages for company to community

Installing monitoring wells at Thor Lake in 2008


First Nations Owned or Joint V t d S liVentured Suppliers

Aircraft charterAircraft charterAir Tindi – Aboriginal owned,

20+ Aboriginal employees

ExpeditingExpeditingDiscovery Mining Services – JV with

Discovery Mining Services Aboriginal Employees

Denesoline (Lutsel K’eFN corporation),

8 Aboriginal employees

Avalon has spent approximately CND$1M 2007-2009 on businesses that are wholly


8 Aboriginal employeesor partially Aboriginal owned

Work with Suppliers to Create O t itOpportunity

Opportunities to create new economic activity for Ab i i l th h t tAboriginal groups through contractors:

Drilling contract - ForacoEnvironmental Baseline studies contract - Stantec


When Having Engagement Meetings,Some Things to Think Th o ghSome Things to Think Through

Cost of meetingsCost of meetingsHonoraria

Meal

Who are you meeting with? Are they the appropriate person/people?pp p p p p

Is the meeting a “consultation”? Who decides?

Keeping records is criticalKeeping records is critical

Are you prepared to answer the questions?


Community EngagementCommunity Engagement

Meetings Site visitsg

Commonly meeting Chief, Council, Environment

Site visits

Chance for company to demonstrate responsible

Committee and Elders

Presentation followed by ti d

pexploration

question and answer

Chance for community to air grievances aboutair grievances about historical relations between them and companies


Engagement with YouthEngagement with Youth

Open up children’s minds to opportunityp p pp y

Present alternatives to them


Involvement in Regional EventsInvolvement in Regional Events

Dene National Assemblyy


Renaming CeremonyRenaming Ceremony

Asked Chiefs of Yellowknives Dene for Dene name for projectname for project

“Nechalacho”“Big Channel”“R k P i ”“Rocky Point”


ConclusionsConclusions

Discussion around MOU leading gto IBAs just starting

Engagement is not a stage in exploration it is an on goingexploration – it is an on-going process, before, during and after

Learn about the people, listen to p pthe people, show respect

Strive to create win-win situations education businesssituations – education, business, social development

Seek and create common goals


Nechalacho 21 September 200921 September 2009


first nations engagement billmercer pdac 9march2010 0910am.ppt · 2010. 3. 30. · joint proposal...

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