Mystery Mineral Becoming More Clear

Additional information has been made available on the mystery mineral claims in southeastern Manitoba.

The 452 claims cover a vast 120,328 hectares of land in several municipalities including Hanover, La Broquerie, Springfield, Tache, and Ste. Anne (map of claim area can be seen below). Mineral Resources Assistant Deputy Minister Tim Friesen says the numbered Alberta company, 1993502 Alberta Ltd, has made a considerable effort in acquiring mining rights in the Southeast, adding they are still in the very early stages of the development process.

Friesen explains subsurface rights are owned by the Crown and available for lease by interested parties, though there are a few areas which are privately owned. He says there are two main forms of tenure including mineral exploration licenses, governed under the Mines and Minerals Act, and oil and gas, governed under the Oil and Gas Act. Friesen adds companies look for opportunities across the country based on geology, available data, and other factors they can identify for possible mineral, oil, or gas targets.

Friesen says companies who take out subsurface claims do have a schedule set out by the province as to when they need to either be doing work or be paying fees for the claims.

"Typically the first year there's no cost. The idea there is, once you make the claim, that [year] gives the proponent time to get organized, potentially raise some money, and decide exactly what targets they want to look at within the claim area. Then within the second year they're required to either do some work or to pay some money in lieu of doing some work. From the second to the tenth year of the claim the work requirement is $12.50 per hectare [per year], and from the eleventh year on it's $25.00 per year, per hectare."

He notes 1993502 Alberta Ltd is in the very early stages of the development process and actual exploratory work may only be seen as early as two or three years from now. He adds some companies wait a decade or two before starting work while some never proceed. Friesen says, though it may appear secretive, it's more about confidentiality to protect their interests.

"For a company like this, their concerns would be making sure they've captured the scope of land that is of interest to what they're doing. The concern would be that speculators may come in and try to take up some of the land that may prevent them from pursuing their interests in the future."

Friesen says the high level of confidentiality won't last forever.

"At some point in the future, when the work requirements kick in and after they've completed the mineral exploration work, there are requirements for companies to file assessment reports. So, basically summarizing what activity they conducted to fulfill their work requirements and what the findings of that activity is."

He adds 1993502 Alberta Ltd understands people are curious but says it's important that, at this time, their interests and desire for confidentiality are respected.

Friesen says the company is making an effort to accommodate residents who have been affected by a notice to freeze development. He notes there have been six specific requests related to the hold on subdivisions and future development, however, in each case the hold was removed without undue delay.

Friesen notes mineral claims such as these, especially to this magnitude, is new for southeastern Manitoba but says he is calling it an exciting opportunity.

"When there is resource extraction activity that occurs in any area there is typically a lot of capital expenditures, investing in infrastructure, to extract the minerals. So, that creates a lot of construction work, that creates a lot of good, high-paying infrastructure jobs. The activity can create a lot of employment long-term."

He adds it also creates economic activity for professional services such as legal and engineering as well as generate a lot of tax and royalty revenue for the province.

Friesen says the company is looking for ways to communicate, looking at when the best time would be to provide more information, while still protecting the confidentiality of their interests.

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