Sio Silica keeps digging away, but failed mine still a long shot

Opinion

Sio Silica is quickly establishing itself as the Manitoba mining industry’s version of the “walking dead.”

Just six months ago, Sio Silica seemed as dead as dead could be. The Calgary-based company’s proposal to dig deep wells through the aquifer, near Vivian, east of Winnipeg, to pump out silica sand deposits drew enormous opposition. In February, Premier Wab Kinew refused to issue an environmental licence to Sio Silica after determining the proposed economic benefits did not outweigh potential environmental risks.

As it turns out, however, Sio Silica still had a pulse after Kinew crushed their hopes. On Sunday, the controversial mining company made a triumphant return to the Brokenhead First Nation to promote a “new” but unpublicized project for Manitoba.

Feisal Somji, president and CEO of Sio Silica. (John Woods / Free Press files)

Feisal Somji, president and CEO of Sio Silica. (John Woods / Free Press files)

The event was bizarre to say the least. Community members were invited via social media to attend a “major project meeting” that included a fish fry at the community centre, along with “door prizes and kid-friendly activities.” At the event, members were tempted with promises of jobs and university scholarships for their children.

What was the “major project” under discussion and why did the company curry favour with a First Nation? Not many people are talking about the details right now, including Feisal Somji, president and CEO of Sio Silica.

Somji told the Free Press that while his company was working on a new and “different” proposal that will address concerns raised during the first proposal, the exact details were still under development. “We truly believe this project and this deposit have a great economic benefit to First Nation communities and the province as a whole,” he said.

So what does it mean?

First and foremost, it appears Sio Silica cannot be killed by conventional political means.

Second, it appears inevitable now that some regulatory authority — it’s not entirely clear which one — will have to sort through another proposal, likely starting in the near future.

All in all, perhaps it’s not surprising that Sio Silica is back with a new plan. The company claimed to have spent a fair bit of money on its original proposal and walking away now would mean an enormous write-off.

As well, there were other, more subtle signs the company was going to rise from the dead.

On May 21, as part of Manitoba Minerals Week, the legislative building hosted “lobby day” with the Manitoba Prospectors and Developers Association. Lobby day allows industry representatives to visit elected officials to discuss mining projects and policy.

This year, the association decided the theme of Manitoba Minerals Week was a celebration of the province’s “high-purity silica sand.” It promoted that theme by giving every MLA a “custom-made vail gift box” featuring a sample of silica sand. The lobby team also met face-to-face with Premier Wab Kinew and Economic Development Minister Jamie Moses, among others.

Was Sio Silica the intended beneficiary of lobby day? A spokesman for Kinew said Sio Silica was not discussed in face-to-face meetings, but it would be hard to believe the sandy gifts are not part of an effort by the MPDA to throw its political weight behind Sio Silica.

What is extraordinary about the efforts Sio Silica has made to keep its Manitoba hopes alive is that none provides any solutions to the environmental concerns about using an unproven technology to mine silica sand. It also doesn’t explain why the company is so intent on wooing Brokenhead members.

It could be an effort to remedy a shortcoming of the original project. The previous Clean Environment Commission review found Sio Silica had not adequately consulted with First Nations the first time around.

It’s also worth noting that Sio Silica had raised the prospect of building an “advanced manufacturing facility” on Brokenhead land if it got environmental approval.

However, there is some cause for concern that Sio Silica is recruiting a First Nation partner to avoid a second provincial environmental assessment.

Hollow Water First Nation sought, and obtained, provincial environmental approval for an open pit sand mine on its land with little of the drama generated by Sio Silica. Of course, open pit extraction, while environmentally disruptive, is nowhere near as invasive as deep-well extraction.

Going by the strict letter of the law, if Sio Silica were to shift its extraction operations to First Nations land, it could seek to avoid going to the Clean Environment Commission by having its First Nations partner work in parallel with federal officials on an environmental review.

That wouldn’t seem to be much of a work-around given the long and serious list of unanswered questions about the impact of drilling through valuable aquifers to get to the sand deposits. Although environmentalists consider a federal assessment to be somewhat less demanding than a provincial review, Sio Silica would still have to show its new and unproven extraction technology would not ruin the water supply.

To date, all that environmentally conscious Manitobans have is proof of Sio Silica’s life and a long list of unanswered questions. In fact, the only thing we know for sure is that the company doesn’t appear ready to give up on Manitoba.

dan.lett@winnipegfreepress.com

Dan Lett

Dan Lett
Columnist

Dan Lett is a columnist for the Free Press, providing opinion and commentary on politics in Winnipeg and beyond. Born and raised in Toronto, Dan joined the Free Press in 1986.  Read more about Dan.

Dan’s columns are built on facts and reactions, but offer his personal views through arguments and analysis. The Free Press’ editing team reviews Dan’s columns before they are posted online or published in print — part of the our tradition, since 1872, of producing reliable independent journalism. Read more about Free Press’s history and mandate, and learn how our newsroom operates.

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