A B.C. environmental assessment certificate has been issued to Osisko Development Corp. for the Cariboo Gold project near Barkerville, in central British Columbia. Two provincial ministers, George Heyman (Minister of Environment and Climate Change Strategy) and Josie Osborne (Minister of Energy, Mines and Low Carbon Innovation), made their decision after considering the three year long environmental assessment process conducted by B.C.'s Environmental Assessment Office (EAO). Osisko Development Corp. (NYSE: ODV, TSXV: ODV) has a 100% interest in the Cariboo Gold Project, a proposed underground gold mine in Wells. It was the first project entirely assessed under the new 2018 Environmental Assessment Act.
Under the 2018 Environmental Assessment Act, First Nations participating in the process have the opportunity to provide consent or lack of consent for the project. Reconciliation with First Nations was established as a key purpose of the EAO, supported through consensus-seeking at each phase of the assessment process, with a dispute-resolution mechanism if needed. The assessment process for the Cariboo Gold project began in May 2020 and concluded when the EA certificate was issued on Oct. 10, 2023.
All three Nations in whose territory project activities will occur participated in the environmental assessment. Lhtako Dené Nation and Williams Lake First Nation provided notices of consent pursuant to life-of-project agreements concluded with Osisko Development, and Xatśūll First Nation advised the ministers that they did not object to the project.
Lhtako Dené Nation Chief and Council remarked, "We are extremely proud of the relationship fostered with Osisko Development on the Cariboo Gold Project over the past several years. This relationship has been reciprocal from day one, and Lhtako Chief and Council look forward to many more years of partnership and collaboration. Recently, Lhtako and Osisko engaged in the EA process for the Company's Cariboo Gold Project. Environmental risks, as well as wildlife concerns, are top priorities for both Osisko Development and the Lhtako Dené Nation. With the EA process now complete, we are quite confident that all of our areas of concern have been addressed and mitigated throughout this process."
Chief Willie Sellars of the Williams Lake First Nation ("WLFN") noted, "This decision reflects the importance of meaningful collaboration between industry and Indigenous communities. This is a significant milestone in advancing sustainable mining practices within our traditional territory, particularly the QR Mill Site near Likely, BC. WLFN remains committed to monitoring the Project's progress to ensure it upholds the highest environmental and cultural standards. We look forward to continuing our positive partnership with Osisko Development."
Chief Rhonda Phillips of the Xatśūll First Nation added, "Xatśūll First Nation would like to congratulate the success of Osisko Development in being awarded approval for the Cariboo Gold Mine Project. We acknowledge the hard work, dedication and collaboration that went into getting the Project to this point. Working together to ensure resource development projects meet environmental sustainability targets and improve the socio-economic wellbeing of our communities is a high priority for Xatśūll First Nation. We look forward to continuing work with Osisko and other stakeholders to advance this Project."
The Cariboo Gold Project extends for approximately 77 kilometres from northwest to southeast. The Company's total land package consists of 415 mineral titles and covers an area of approximately 1,920 km2. As of December 30, 2022, the Project's probable reserves totalled 16.70 million tonnes ("Mt") grading 3.78 g/t gold for 2.031 million ounces ("Moz"), measured resources totalled 0.05 Mt grading 5.06 g/t gold for 0.008 Moz, indicated resources totalled 14.64 Mt grading 3.32 g/t gold for 1.564 Moz, and inferred resources totalled 15.47 Mt grading 3.44 g/t gold for 1.712 Moz. The estimated CapEx over the life of the project is estimated to be $1B+.
Osisko Development has been using our Vancouver office in this matter, and Fasken is advising them on all aspects of Indigenous engagement, negotiations, and environmental assessment with a team led by Kevin O'Callaghan and Zach Romano. The team's work on this highlights the significant work the Firm does for clients positioned at the interface of Indigenous rights and project development.
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