Nunavut's Hope Bay mine celebrates commercial production with Inuit landowners

After decades of exploration, numerous owners and the complexlogistics of getting a gold mine up and running in the Arctic, Nunavut's Hope Bay mine is finally celebrating its ramp up toward full commercial production.

And they're throwing a party.

Fifty people, including Inuit landowners and mining executives, plan to fly to the remote site for a ceremony and tour.

"It's about being thankful for what we have been able to do there... [and to]recognize the people who have come before us, especially the Inuit," said Catharine Farrow, TMAC Resources CEO.

It's been more than a decade since there's been an operating mine in the mineral rich Kitikmeot region.

Hope Bay is about125 kilometres southwest of Cambridge Bay, encompassing about1,100 square kilometres.

Newmont Mining acquired the Hope Bay property in 2007, building anair strip, camps and ports.

The project employed roughly 150 Inuit from the Kitikmeot region, but in 2011 the company shut the mine down and put it into care and maintenance mode.

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"It was a blow for Inuit," recalls former KIA President, Charlie Evalik, from his home in Cambridge Bay.

In 2013 TMAC Resources acquired the property.Evalik helped negotiate the Inuit Impact benefit agreements for theHope Bay project.

He's hopeful Inuit employment numbers will rise again once the mine is in full production.

"It's positive. Employment for the communities, not just Cambridge Bay but for the whole Kitikmeot," he said. "I think Kitikmeot communities are open to development as long as it's done right."

Alex Buchan, TMAC's director of community relations,is swamped with resumes.

"[We've] got a lot of phone calls and e-mails coming it," Buchan said."People can't get through because both of our lines are busy."

Buchan said several dozen people are being considered for positions.

Of 385 people working at the site in March, 56 or14 per cent, were Inuit.

1stgold bar poured in February

The company poured its first gold bar in February and reached commercial production in early May. Once in full operation, themine will process 1,000tonnesof ore per day.

TheKitikmeotInuit Association gets 1 per cent royalty payments from all gold sold. It also owns 1.4 per cent ofTMACResources.

The first payment $70,000 arrived in April said Clark. Once the mine is in full production, that amount is expected to grow significantly. The company expects two other properties the Madrid and Boston properties to start production in 2020 and 2022, respectively.

"The project has been in the construction phase" with many highly technical and specialized workers on site said Geoffrey Clark,KIA'sdirector of lands, environment and resources.

"We anticipate that once the project moves to stable production and operations there will be more long term, steady employment available."

The Hope Bay project has proven and probable mineral reserves of approximately 3.5 million ounces of gold.