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	<title>Rivers Without Borders Archives - KSTK</title>
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		<title>Tulsequah Chief creditors denied unlimited time to find new buyer</title>
		<link>https://www.kstk.org/2020/11/03/tulsequah-chief-creditors-denied-unlimited-time-to-find-new-buyer/</link>
		
		<dc:creator><![CDATA[Jacob Resneck, CoastAlaska]]></dc:creator>
		<pubDate>Tue, 03 Nov 2020 21:41:51 +0000</pubDate>
				<category><![CDATA[Featured News]]></category>
		<category><![CDATA[Syndicated]]></category>
		<category><![CDATA[Chris Zimmer]]></category>
		<category><![CDATA[Rivers Without Borders]]></category>
		<category><![CDATA[Taku River]]></category>
		<category><![CDATA[transboundary mine]]></category>
		<category><![CDATA[transboundary mining]]></category>
		<category><![CDATA[Tulsequah Chief]]></category>
		<guid isPermaLink="false">https://www.kstk.org/?p=117887</guid>

					<description><![CDATA[<p>A judge in Ontario has ended receivership of the bankrupt owners of the polluting Tulsequah Chief Mine about 7 miles from the salmon-rich Taku River. That clears a major hurdle for the province to begin clean-up of the legacy mine.</p>
<p>The post <a href="https://www.kstk.org/2020/11/03/tulsequah-chief-creditors-denied-unlimited-time-to-find-new-buyer/">Tulsequah Chief creditors denied unlimited time to find new buyer</a> appeared first on <a href="https://www.kstk.org">KSTK</a>.</p>
]]></description>
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<div class="wp-block-image"><figure class="aligncenter size-large"><img fetchpriority="high" decoding="async" width="1250" height="938" src="https://www.kstk.org/wp-content/uploads/2020/08/tulsequah_mine_2016-scaled.jpg" alt="" class="wp-image-112464" srcset="https://www.kstk.org/wp-content/uploads/2020/08/tulsequah_mine_2016-scaled.jpg 1250w, https://www.kstk.org/wp-content/uploads/2020/08/tulsequah_mine_2016-scaled-627x471.jpg 627w, https://www.kstk.org/wp-content/uploads/2020/08/tulsequah_mine_2016-768x576.jpg 768w, https://www.kstk.org/wp-content/uploads/2020/08/tulsequah_mine_2016-1536x1152.jpg 1536w, https://www.kstk.org/wp-content/uploads/2020/08/tulsequah_mine_2016-2048x1536.jpg 2048w, https://www.kstk.org/wp-content/uploads/2020/08/tulsequah_mine_2016-1080x810.jpg 1080w" sizes="(max-width: 1250px) 100vw, 1250px" /><figcaption>A Tulsequah Chief Mine settling pond overflows at the site about 40 miles northeast of Juneau Sept. 26, 2016. (Photo courtesy of B.C. Ministry of Energy and Mines)</figcaption></figure></div>



<p>Efforts at cleaning up a long closed Canadian mine upstream from Southeast Alaska&#8217;s largest salmon producing system has taken another step forward. That&#8217;s following a judge&#8217;s order ending the <a href="https://www.kfsk.org/2016/09/15/transboundary-mine-developer-shutting-down/" target="_blank" rel="noreferrer noopener">receivership of bankrupt owners Chieftain Metals</a>.</p>



<figure class="wp-block-audio"><audio controls src="https://www.kstk.org/wp-content/uploads/2020/11/02CHIEFMINE.mp3"></audio></figure>



<p>The <a href="https://www.canlii.org/en/on/onsc/doc/2020/2020onsc5161/2020onsc5161.html" target="_blank" rel="noreferrer noopener">court ruling</a>&nbsp;eases the path for the province of British Columbia to start cleaning up the <a href="http://dnr.alaska.gov/commis/opmp/Canadian-Mines/tulsequah.htm" target="_blank" rel="noreferrer noopener">Tulsequah Chief Mine</a>. The former metals mine about 10 miles upstream from the border hasn’t been productive since the 1950s. But for decades it’s leeched acidic runoff into a watershed that drains into the salmon-rich Taku River.</p>



<p>The province of B.C. announced a nearly $37 million <a rel="noreferrer noopener" href="https://www.kstk.org/2020/08/12/b-c-releases-cleanup-plan-for-tulsequah-chief-mine/" target="_blank">cleanup plan</a> earlier this year. But its Toronto-based creditors have been trying to find a new buyer to recoup the nearly $47 million it says it&#8217;s owed by Chieftain Metals which unsuccessfully attempted to restart mining for copper, lead, zinc, silver and gold. </p>



<p><a href="https://www.westfacecapital.com/" target="_blank" rel="noreferrer noopener">West Face Capital</a> asked to be discharged from responsibility of paying legal bills and other costs while at the same time having unlimited time to resell the mine. The province objected, saying Canadian taxpayers shouldn’t foot the cleanup costs to enrich private investors.</p>



<p>The Ontario Superior Court of Justice ruled in B.C.’s favor. But it allowed a two-year window for the Toronto investment firm to come back to the court if it finds a new buyer to take over the mine.&nbsp;</p>



<p>“There are environmental concerns with the project which will have to be addressed,” Chief Justice Geoffrey B. Morawetz wrote in his October 8 decision.</p>



<p>Tribes and conservationists on both sides of the border welcome the judge’s ruling. The Taku River Tlingit First Nation has been seeking the mine’s cleanup without delay. </p>



<p>In Alaska, environmental groups have urged state officials to prod the province into taking concrete steps. </p>



<p><strong>&#8220;</strong>Hopefully B.C. can move aggressively towards cleanup and not look at this two-year process as some kind of delay or lull,&#8221; Chris Zimmer of <a href="https://riverswithoutborders.org/" target="_blank" rel="noreferrer noopener">Rivers Without Borders</a> told CoastAlaska.</p>



<p>Some first steps to getting the defunct mine cleaned up began this summer. </p>



<p>In a statement, <a href="https://www2.gov.bc.ca/gov/content/environment/air-land-water/site-permitting-compliance/tulsequah-mine" target="_blank" rel="noreferrer noopener">B.C.’s mining ministry says it plans to resume designing a long-term monitoring plan and conduct more surveys next spring</a>.&nbsp;It added it may install a temporary water treatment plant to stop pollution from flowing into the Tulsequah River. </p>



<p>&#8220;The ministry will continue to review and pursue relevant legislative options available to the province in the intervening period,&#8221; the agency wrote on its website. </p>



<p>A ministry spokesperson declined to elaborate.</p>
<p>The post <a href="https://www.kstk.org/2020/11/03/tulsequah-chief-creditors-denied-unlimited-time-to-find-new-buyer/">Tulsequah Chief creditors denied unlimited time to find new buyer</a> appeared first on <a href="https://www.kstk.org">KSTK</a>.</p>
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