CANADA Law and Practice Contributed by: Darrell Podowski, Brian Dominique, Joel Matson and Christa Alvernaz, Cassels Brock & Blackwell LLP
6. Mining: Outlook and Trends 6.1 Two-Year Forecast for the Mining Sector Exploration and Investment Investor interest in the Canadian mining sector has been bolstered in recent years by: • higher commodity prices, particularly for precious and energy-related minerals and metals; • global demand for green energy-related min - erals and metals; and • traditional investment diversification during times of economic uncertainty. Precious metals accounted for 50% of total exploration spending in 2023, which is expected to decrease as funds are increasingly directed toward critical minerals projects. Exploration spending for uranium has also climbed signifi - cantly in recent years, and this trend is expected to continue. In 2023, Canada experienced a pullback in explo - ration spending as mining companies addressed rising costs flowing from inflation, geopolitical conflicts and other macroeconomic factors, including volatility affecting certain commodity prices. However, long-term forecasts suggest a return to growth for both junior and senior min - ing companies as demand strengthens for clean energy transition minerals. Reconciliation With Indigenous Peoples Haida Title Lands Agreement In April 2024, the Haida Nation and the Prov - ince of British Columbia entered the Haida Title
Lands Agreement, which is the first agreement to expressly recognise the existence of Abo - riginal title over privately owned lands (ie, the entirety of the Haida Gwaii archipelago). Moving forward, provincial land and resource manage - ment decisions will be made in accordance with Haida title, including decisions regarding inter - ests in land. The Haida Title Lands Agreement purports that private land interests, local gov - ernments and public service delivery will not be impacted, but it is currently unclear how such interests will be reconciled with Haida title. Juris - diction and laws on Haida Gwaii will be made consistent through a to-be-negotiated process, in which other existing interests such as Crown leases will continue for the duration of their term. However, there will be uncertainty concerning continuing interests in land that overlap with Haida title until this process is concluded. Indigenous ownership in projects Indigenous ownership in resource-based pro - jects is increasing throughout Canada. This trend provides Indigenous communities with independent and self-governing authority over resources overlapping their traditional territories and concurrently increases certainty for projects within such communities. For example, Nations Royalty Corp. is a publicly traded company that provides Indigenous communities with early benefits from mining projects while retaining roy - alty ownership. Governments are also facilitating Indigenous equity in projects (eg, the Province of Alberta may provide loan guarantees to Indig - enous-led projects). Such participation is seen as a form of economic reconciliation, allowing Indigenous communities to benefit directly from resource development on their territories.
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