Question Period Note: Baffinland Suspends SOP2 Proposal

• Our government is aware of Baffinland’s recent notice of request to suspend the Nunavut Impact Review Board’s assessment of the Mary River Sustaining Operations Proposal 2 (SOP2).
• The Government of Canada will be ready to re-engage in the assessment and to provide capacity support to participants when Baffinland decides to resume the process for the Sustaining Operations Proposal 2.
• In the meantime, our Government will continue to work with Baffinland as it seeks the necessary regulatory permits and authorizations to advance its Steensby operations.

In a letter dated October 3, 2024, to the Nunavut Impact Review Board (NIRB) and Crown-Indigenous Services Canada (CIRNAC), Baffinland has informed both parties that it is requesting a suspension of the NIRB’s review of the Sustaining Operations Proposal 2 (SOP2), in accordance with Section 143 of the Nunavut Planning and Project Assessment Act (NuPPAA).

Baffinland will advise the NIRB in due course when it wishes to resume the SOP2 review and anticipates that at that time, the NIRB will issue an updated process map which provides for the outstanding procedural steps (i.e., response to Baffinland information requests, technical comments, technical meeting, community roundtable(s), final written submissions, public hearing).
According to Baffinland, the Mary River project contributes significantly to the economy. Over the lifetime of the mine, it has contributed $30.7 billion to Canadian GDP and $19.3 billion to Nunavut GDP.
The company has invested over $3.5 billion into the project and total payments to governments and Inuit organizations are projected to exceed $4 billion over the next 21 years.
The Northern Projects Management Office (NPMO), housed within the Canadian Northern Economic Development Agency (CanNor), is responsible for coordinating federal participation in northern regulatory review processes.
NPMO acts as a convenor between businesses and various levels of government but does not act as a decision-making body.
NPMO acts as the Crown Consultation Coordinator for consultations on Baffinland’s Steensby Inlet railroad application. NPMO is responsible for ensuring logistics, and a coordinated, whole-of-government approach to consultations.
The Northern Affairs Minister is a decision maker for NIRB processes, and CIRNAC will be issuing permits and licences related to the Steensby railroad and port development proposal. CIRNAC also provides capacity funding to Inuit and other Northerners to enable meaningful participation in NIRB processes.

• As always, our government is in close coordination with partners, and we are actively monitoring this situation and its impact in Nunavut.
• Our government is aware of the important role the resource sector has in the economic development of the territories.
• CanNor, through the Northern Projects Management Office, will continue supporting resource development in the territories by helping partners and stakeholders navigate regulatory processes.
• Mining plays an important role in Nunavut’s economy, accounting for over 45% of the territory’s GDP in 2023.
• Currently, the Mary River mine employs over 900 Canadians, approximately 13 percent of the workforce is Inuit.
• According to Baffinland, the Mary River project contributes significantly to Nunavut’s economy, accounting for $19.3 billion to Nunavut GDP to date.