FWFN THUNDER BAY OPPORTUNITY! Noront Resources seeks a location - PowerPoint PPT Presentation

1 FWFN – THUNDER BAY OPPORTUNITY! Noront Resources seeks a location for a ferrochrome production facility in Northern Ontario to process Ring of Fire Chromite Ore

2 Ferrochrome Production Facility In 2012 Fort William First Nation (FWFN), City of Thunder Bay (CTB) and the Thunder Bay Community Economic Development Commission (CEDC) created a Mining Readiness Strategy (MRS) that has been a guide for our two communities

3 Ferrochrome Production Facility • Noront Resources is planning to develop a Ferrochrome Production Facility on a Brownfield site in Northern Ontario. • It is anticipated this facility could operate for many years. • Noront Resources are asking four communities (Timmins, Sudbury, Sault Ste. Marie, FWFN/Thunder Bay) to prepare a compelling case for locating the facility in their community.

4 Ferrochrome Production Facility The case or proposal should address the topics listed in the sixteen page RFP they sent us with sufficient information to express our case and to aid Noront to make an informed decision.

5 North America’s Next Mining District RING OF FIRE LOCATION COMMENTARY 2007 Discovered Eagle’s Nest Ni-Cu-PGE deposit • 2008 Blackbird Chromite discovery • 2012 Positive Feasibility Study on Eagle’s Nest • 2014 Ontario government committed C$1bn to Ring of Fire • infrastructure development 2015 Amended “Terms of Reference” approved by Ontario • Government 2015 Acquired Cliffs Chromite properties financed by • Franco-Nevada loan 2016 Acquired 75% interest in MacDonald Mines • 2017 Signed Exploration and Project Advancement Agreement • with Marten Falls First Nation 2017 Noront is currently advancing: • Updated trade-off studies • Regional infrastructure plan • Ferrochrome site selection • Agreements with First Nations • Eagle’s Nest timing • 2 years of engineering/environmental/permitting following firm infrastructure plan • 3 years of construction •

6 Regional Infrastructure Key to Development of the Ring of Fire • 2014: The Province of Ontario committed $1 billion for Ring of Fire infrastructure development • 2015-16 : The province, communities and industry collaborate on various studies and analysis • 2017: Announcement by Ontario of funding for community-led access roads : E-W road proposed by Webequie and Nibinamik FNs will connect Ring of Fire to paved highway near Pickle Lake • N-S road proposed by Marten Falls FN will access community and extend to the Ring of Fire to support chromite development • 2017-18 : Environmental Assessment and engineering work on routes • 2019 : Shovels in the ground

7 DEEP PROJECT PIPELINE A World-Class Nickel Deposit and Chromite Resource

8 Noront Ferrochrome Production Facility Plan

9 Benefits • Material mined in Northwestern Ontario should be processed in Northwestern Ontario to its maximum value added state. • Indigenous Employment (Matawa / Robinson Superior / Metis) – Mine / Transportation / Service & Supply / Repairs / Ferrochrome Processor. • According to the 2016 national census Thunder Bay has the largest proportion of Aboriginal residents among major Canadian cities at 12.7%. Thus having the ferrochrome processor in Thunder Bay creates the opportunity to have maximum involvement of Northwestern Ontario Aboriginal Peoples from start to finish.

10 Benefits (cont’d) • Employees Mine workers at Blackbird Chromite mine will need to live in local aboriginal communities and Thunder Bay. 300-500 employees Ferrochrome Processor in Thunder Bay will require the following number of employees Stage 1- 296 Stage 2- 198 Total 494 • This number includes all administrative and support staff as well as full maintenance and operational capability. Use of contractors for specific annual maintenance outages and special skills will be extra. Perfect opportunity to employ: Matawa, Robinson Superior, Metis from the area in the process

11 Benefits (cont’d) • Capital Cost Mine $200 million Ferrochrome Processor $800 million to $1 billion Construction workers required to build the Processor , around 1000 workers over a 3 year period • Increase the industrial tax base in Northwestern Ontario . • New industrial base to help with private sector contributions to Health Care and Social Projects.

12 Benefits (cont’d) • Training of workers at Confederation College and Lakehead University • Future Research projects at Lakehead University on mining of chromite and ferrochrome processor as no one is doing this in North America. • Entrepreneurial Spinoff- We have a good support system for start-up companies in all our communities, so involving local entrepreneurs and students from the College and University in the Ferrochrome Industry will lead to new companies and more efficient ways of doing things in this new industry.

13 Benefits (cont’d) • Expansion of Northwestern Ontario green power production and pumped storage capacity as the Northwestern Ontario ferrochrome industry is developed. Possibly use trucks and containers to haul biomass fuel back to communities from First Nation Forests for combined heat and power plants for communities and industries in the Ring of Fire. • Attract other future mineral processing plants in Northwestern Ontario for minerals resources including lithium. We will start to develop a processing cluster for Northwestern Ontario raw materials. • Attract more specialized contractors/engineers/scientists/researchers/service staff to service Northwestern Ontario’s ferrochrome industry.

14 Ferrochrome & Stainless Steel Growth Chromite Concept • Chromite ore (FeCr2O4) is mined and concentrated then processed into Ferrochrome (FeCr) • Ferrochrome is used in the manufacture of Stainless Steel (SS) • All Stainless Steel requires 12-18% Chrome (Cr) • Historic Stainless Steel growth from 1950 to 2015 has been 5.8% per annum • Projections of Stainless Steel growth estimated at 4-5% • Growth in Ferrochrome demand matches that of stainless steel • China is the major importer of Chrome ore and producer of Ferrochrome

15 What is stainless steel used for?

16 North American Stainless Steel (SS) Production Targeted by Noront Thunder Bay

17 Introduction • Timo Haimi, Senior Process Metallurgist • Outotec Finland, Ferroalloys • Outotec technology company, designing and building new metal processing plants • Here to help Thunder Bay CEDC in the technical details of the Noront smelter case • History in Outokumpu Finland, as their technology department

18 Chromite Mine Production > 40%

19 Block diagram of FeCr and Production Ferrochrome plant Slag Ferrochrome Electric Raw Preheating Kilns ARC Material Furnace

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22 Chromite FeCr 2 O 4 [ (Fe,Mg)(Cr,Al,Fe) 2 O 4 ] 800 °C Fe 2 O 3 + CO → 2 FeO + CO 2 1200 ° C FeO + C → Fe + CO 1400 ° C Cr 2 O 3 + 3C → 2 Cr + 3CO 1600 ° C SiO 2 + C → SiO + CO

23 Closed Submerged AC-Smelting Furnace

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25 Closed DC Smelting-Furnace

26 CO-Gas Utilization as a By-Product Power production Ferrochromium Preheating Kiln Central Heating Plant CO-Gas

27 FeCr- metal ground casting or shotting into solid granules

28 Inert FeCr Slag product used in road construction at City of Oulu, Finland

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30 Outokumpu The plant area and employment • The plant area of Tornio Site covers an area of 1500 acres. • Inside the plant area, there are 50 kilometers of roads and 10 km of pedestrian and bicycle routes. • There are 2150 employees in the integrated production chain of Kemi Mine and Tornio Site.

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32 Outokumpu Processing Plant Ferrochrome Processor

33 Outokumpu Processing Plant Ferrochrome Processor

34 A Google Maps image of the Tornio Site

35 Outokumpu / Tornio Site, Finland

36 Noront Ferrochrome Production Facility Plant

37 Noront Ferrochrome Production Facility Proposal

38 Hydro One Transmission Map Legend 230 KW Lines 115 KW Lines New East/West Tie 230 KW line

39 Environmental Assessment Process The Noront FPF is at a very early stage of this process and will use a professional and inclusive methodology for the establishment of the environmental baseline, impacts and mitigations. The process will ensure that the key environmental risks, issues and concerns are identified, managed and mitigated.

40 Environmental Assessment Process Physical Physical Biological Biological