Relations between Taseko Mines Ltd. (TSX:TKO) and B.C. First Nations hit rock bottom this year during the federal environmental review process for the company’s Prosperity project.
This week, in the second part of a four-part series taking a closer look at the Vancouver company’s massive copper-gold project, Business in Vancouver focuses on the relationship between Taseko and aboriginals in the run up to final decision on the project.
Last month, the federal government blocked the $800 million project, citing environmental concerns.
But weeks later, numerous questions remain about the project, such as the relationship former federal environment minister Jim Prentice had with First Nations and Taseko’s attempt to remove a federal panel member from hearings last year.
On November 2, Prentice rejected Taseko’s proposal for Prosperity, saying the “project cannot be justified as it is currently proposed” given its environmental effects.
Two days later, Prentice announced his resignation and left his post to take an executive position at the Canadian Imperial Bank of Commerce.
In media reports, Prentice said he was closing the door on his political life, a career that included portfolios such as Indian and Northern Affairs Canada and nearly a decade spent as commissioner of the Indian Claims Commission.
When asked if Prentice’s background in aboriginal politics played a role in his decision to reject Prosperity, former Conservative party insider and Earnscliffe Strategy Group principal Geoff Norquay said he believes Prentice made his decision based on the environmental report.
“The problem with this particular mine was that the environmental impacts were just too huge, and that decision reflected that reality,” Norquay said.
He added, however, that Prentice made significant political headway with First Nations in his government years and had a “close” relationship with many aboriginal communities and leaders.
Last year, Taseko representatives alleged federal review panel member Nalaine Morin should excuse herself because she served as THREAT manager for the Tahltan Central Council, a First Nations group located in northern B.C.
The company believed her council role made her biased because THREAT “works toward ensuring the habitat of local wildlife is preserved and protected to the fullest extent from the development of natural resources,” according to the Tahltan Council website.
Morin, a metallurgical technician with significant experience in the mining industry, refused to leave the panel.
On December 15, Taseko filed an application with a federal court to have her disqualified from the panel.
On January 12, the panel concluded Taseko’s concerns “did not raise a reasonable apprehension of bias.” Taseko accepted the decision on February 5 and discontinued the court action.
Check out this week’s edition of BIV for more about Prosperity and the relationship between Taseko and B.C. First Nations.