Agreement comes three years after MOU on iron ore project
Alderon Iron Ore Corp. and the Innu Nation have reached an agreement on compensation for the development of an iron ore project in Western Labrador.
Mark Morabito, executive chairman of Alderon Resources Corp.
The signing of an impacts and benefits agreements (IBA) with respect to the Kami Iron Ore Project was announced Thursday in a joint news release. The deal will result in a sharing of benefits from the mine for the duration of its development.
The deal was signed by the Innu Nation of Labrador and Kami Mine Limited Partnership. Alderon has a 75 per cent ownership stake in the Kami Project, with the remainder owned by the Chinese company Hebei Iron and Steel Group Co. Ltd.
According to the release, benefits for members of the Innu Nation include employment, training, business opportunities and financial compensation. The agreement also covers environmental and cultural heritage protection. An environmental monitoring committee will be established.
“We are pleased with this IBA as it gives financial benefits to the Innu people and opportunities for business contracts and jobs as well as environmental protection for Innu traditional pursuits,” said Innu Nation Grand Chief Prote Poker in the news release.
The two parties signed a memorandum of understanding in 2010 with respect to the project.
“This IBA is the result of over three years of consultation and negotiation and we look forward to a beneficial future for both parties as we continue to develop the Kami Project,” said Alderon executive chairman Mark Morabito in the news release.
The Innu Nation is still negotiating with the government of Canada and Newfoundland and Labrador on a land rights and self-government agreement.
Four producing iron ore mines surround the site of the Kami Project.