The Comox Valley area on Vancouver Island may see a lot more coal exploration activity in the future after two companies filed 18 new coal licence applications with Ministry of Forestry, Lands and Natural Resource Operations last month.
Of the 18 licences, 10 were filed by a company called Feisa Resources Canada Ltd. and eight were by submitted by Richmond-based Golden River Resource Inc.
Feisa Resources' applications cover more than 13,000 hectares, from Fanny Bay to Royston.
Golden River's eight licences cover more than 9,000 hectares, four near Oyster River and four near Anderson Lake.
John Snyder , president of CoalWatch Comox Valley Society, an anti-coal advocacy group based in the Comox Valley, told Business in Vancouver that he was surprised to learn two weeks ago that the new coal licences – applications to the provincial government to explore a specific area for a coal deposit – had been applied for without the community being given the chance to provide input.
After pushback from many in the area toward Compliance Energy Corporation's (TSX-V:CEC) controversial Raven Underground Coal Project proposed for Fanny Bay, Snyder expected that any potential coal mining activity in the Comox Valley would be discussed with residents before any applications were made.
"There was no public notice or no mechanism for the public to comment on the applications," said Snyder. "There really needs to be more transparency where coal is concerned."
Prior to the discovery of the new licences, the Raven project proposal had dominated the coal discussion in the Comox Valley.
According to Snyder, the Raven project – a proposed underground mine, expected to produce about 1 million tonnes of metallurgical coal per year over its 16-year lifespan – has "no social licence" to operate in the area.
"I know there are certain areas in the province where mines are supported by residents," said Snyder."But there is virtually no support for the Raven mine."
Steve Ellis, president and chief operating officer of Compliance Energy Corporation, acknowledged the resistance of some to the Raven project but said he receives just as many resumés from people across the province wanting to work in the mine.
Coal mining is a key sector in the B.C. economy. The industry pays substantial wages and contributes millions to provincial coffers, he added.
"The coal industry supports B.C. and we've got files thick of people who support it. For everyone who is against it, there is someone who is for it," Ellis said.
Compliance Energy is currently redrafting its application for an environmental assessment. The company had previously submitted an application to the province but was told by the BC Environmental Assessment Office the document did not adhere to formatting guidelines and needed to be redone.
Ellis said he anticipates Compliance Energy will resubmit the application in four to six months.
