Question Period Note: Baffinland - Mary River Project

• Protecting the marine environment and marine mammals is a top priority, which is why we are ensuring projects are thoroughly assessed.
• Fisheries and Oceans Canada ensured that conditions are in place to protect the environment and marine mammals in Phase 1 of the project and is also participating in the Nunavut Impact Review Board’s review of the potential impacts of the Phase 2 Development proposal.
• DFO is working alongside other stakeholders and Inuit organizations and communities to better understand the potential impacts.

• The Nunavut Impact Review Board (NIRB) held Technical Meetings September 14 -18, 2020, for the Mary River Project. A pre-hearing conference was held the week of September 28, 2020. DFO attended by teleconference.
• During the Technical Meetings, DFO noted that narwhal around the community of Kugaaruk are likely influenced by the project shipping activities. Subsequently, the proponent issued a statement to the NIRB that they disagree with DFO’s statement regarding the movement of narwhal and asked that DFO provide data to support its conclusions.
• On September 22, 2020, the NIRB held an emergency meeting to determine if Kugaaruk should be added as an intervener to this hearing because of the potential impacts on the Somerset stock of narwhal. If it is decided they should be added, the hearings will be delayed.
• On September 22, 2020, the NIRB posted a letter on the registry indicating that they are unable to issue guidance regarding tentative timing for the resumption of the Public Hearing for a number of reasons, including time for parties to review the draft Commitment List, as well as upcoming community round tables and meetings to discuss resolved and unresolved issues.
• The NIRB decided to wait until after these next steps occur before issuing guidance on the tentative timing of the resumption of the Public Hearing associated with the Phase 2 Development Proposal of the Mary River Project. The NIRB anticipates issuing this guidance in the NIRB’s Pre-Hearing Conference Decision Report.
• Baffinland and the Qikiqtani Inuit Association signed an Inuit Certainty Agreement (ICA) on July 6, 2020. The ICA is a new multimillion-dollar benefits agreement that outlines direct community benefits, Inuit oversight of the project and expanded programming for the affected communities.
• On February 11, 2020, the Government of Greenland requested to participate in the environmental assessment of Phase 2 of the Mary River Project citing concerns about transboundary impacts on marine mammals, especially narwhal. On June 25, 2020, the Impact Assessment Agency of Canada responded, confirming the application of an international convention (the Espoo Convention) which enables the Government of Greenland to participate in the environmental assessment of Phase 2. DFO will continue to provide advice during the environmental assessment related to fish and fish habitat, including narwhal.
• On May 22, 2020, the Minister of Northern Affairs on behalf Responsible Ministers accepted the Nunavut Impact Review Board’s (NIRB) recommendation that the Extension Request to the Production Increase Proposal can proceed with revisions to specific Terms and Conditions. Term and Condition 183 was varied as proposed revisions weakened the original intent to address concerns around impacts to marine mammals.The extension would be valid until December 31, 2021 in order to allow for the completion of the Environmental Assessment of Phase 2 of the Project.
• On March 10, 2020, DFO published the most recent Canadian Science Advisory Secretariat Science Response report on its website based on materials provided after the previous reviews were completed.
• The original Production Increase Proposal, which was approved on September 30, 2018, permitted Baffinland (the Proponent) to increase the extraction limit of iron ore to 6Mt/year until December 31 2019.
• On February 6, 2020 DFO provided technical comments to the NIRB on the Phase 2 environmental assessment review.
• Based on a preliminary assessment of available information to date, DFO believes potential impacts on freshwater can be fully mitigated. However, ongoing concerns raised throughout the environmental assessment process remain including the potential impacts of: increased shipping traffic; shipping during the shoulder season; ice-breaking; acoustic noise on marine mammals; and, ballast water exchange.
• Phase 2 will include the construction and operation of a second ore dock capable of berthing Cape-size ore carriers, construction of the North Railway consisting of four bridges and 417 culverts, additional crossings along the Milne Inlet Tote Road, an increase up to 12 Mt/year of iron ore from the Project site and transportation of this ore via the North Railway to Milne Port and increased shipping activities through Milne Inlet to facilitate the transport of the increased ore.

On Narwhal Impacts
• DFO continues to provide advice regarding the potential impacts of the Phase 2 expansion project on narwhal.