Nunavut's uncharted territory pose challenges for mining: insiders

Less than half of Nunavut is adequately covered by geological maps, posing challenges for the territory's mining industry, geologists and industry insiders say.

Geological maps point out where minerals can be found, paving the way for mining companies to explore and spend money in the northernterritory.

"We think right now there's probably about 40 per cent of the territory that's been done adequately to a scale of one to 250,000, so that still remains a significant part left to be done," Donald James, chief geologist at the Canada-Nunavut Geoscience Office, told CBC News.

Having so little of Nunavut geomapped makes it more difficult to attract exploration spending to the territory.

"I wonder how many people in Nunavut understand that only about 40 per cent of Nunavut is mapped to the standard as the rest of Canada," Mike Vaydik, general manager of the Nunavut-Northwest Territories Chamber of Mines, said at a recent miningforum in Iqaluit earlier this month.

James pointed out that two world-class mining companies are now taking a closer look at Southampton Island, not long after the geoscience office surveyed the land in the past year. Before that, not a single prospecting permit was issued for the island, he said.

$5 return from private sector

"For every $1 in investment at public geoscience, we know that we get initially, in the short term, about a $5 return from private-sector investments in mineral and energy exploration," he said.

James added that help is on the way: in August, Prime Minister Stephen Harper announced a five-year geomapping plan in Canada's North.

James said the $75-million plan has meant a busy summer ahead for his office, which will survey the Cumberland Peninsula around Pangnirtung.

"We're going to be looking at the geology of the Cumberland Peninsula, we'll be looking at the Melville Peninsula and focusing on metals and gold potential, and diamonds for both those areas," he said.

Work will also begin to map uranium deposits in the territory's Kivalliq region as well as oil and gas in the high Arctic.