Canada Nickel Company (TSX-V:CNC) has secured federal approval for its flagship Crawford Nickel Project in Ontario, clearing the way for project financing and planned construction next year.
The decision, issued on Friday by the Minister of Environment, Climate Change and Nature, makes Crawford the first mining project approved under Canada’s amended Impact Assessment Act since it came into force in 2019.
Canada Nickel CEO Mark Selby says the decision “recognises the strategic importance of responsibly developing Canada’s critical mineral resources in partnership with all levels of government and Indigenous Nations while maintaining rigorous environmental standards.”
Located about 40km north of Timmins, Crawford is expected to become the Western world’s largest nickel sulphide operation and North America’s only primary source of chromium, according to the company. The two metals are considered critical to supply chains supporting defence, aerospace, stainless steel, electric vehicle batteries, and advanced manufacturing.
The operation is expected to run for more than 40 years, producing approximately 1.6 million tonnes of nickel, 58 million tonnes of iron, and 2.8 million tonnes of chromium over its mine life.
An independent economic analysis estimates Crawford will contribute about C$70 billion ($71 billion) to Canada’s GDP over its operating life while supporting approximately 185,000 person-years of employment.
Recognising the project’s strategic importance, the Canadian government last year referred Crawford to the Major Projects Office to accelerate permitting. Ontario also selected it as one of the first projects to proceed under its One Project, One Process framework.
“The Crawford Nickel Project is an example of Canada’s global critical minerals leadership, and today’s approval is a testament to our government’s commitment to getting projects approved and streamlining our permitting processes,” Minister of Energy and Natural Resources Tim Hodgson says.
With federal approval secured, Canada Nickel will now focus on financing the project. A feasibility study estimates Crawford will cost US$3.5 billion to develop in two stages.
The company has secured C$2.5 billion in financing commitments to date, including C$500 million from Export Development Canada. Crawford has also attracted what Canada Nickel describes as the largest known Indigenous investment in a Canadian critical minerals project, with the Taykwa Tagamou Nation committing C$20 million.
As it advances additional financing, Canada Nickel will also move forward with detailed engineering and work to secure the remaining provincial and federal permits ahead of construction.
Canada Nickel Company is advancing the Crawford Nickel Project, located in the Timmins Nickel District in northeastern Ontario.
Write to Jackson Chen at Mining.com.au
Image: Canada Nickel
