First Canadian rare earth mine starts shipping concentrate from N.W.T.
First Canadian rare earth mine starts shipping concentrate from N.W.T.

Canada has begun supplying the world with minerals critical to a greener economy with the country's first rare earth mine delivering concentrated ore.
"Canada and its allies are gaining independence from the rare earth supply chain from China," said David Connelly of Cheetah Resources, which owns the Nechalacho Mine southeast of Yellowknife in the Northwest Territories.
Rare earths are a series of exotically named elements such as ytterbium, lanthanum and gadolinium. They are crucial to computers, LED displays, wind turbines, electric cars and many other products essential to a low-carbon world.
Some industry analysts predict the rare earth market will grow from $6.8 billion in 2021 to more than $12 billion by 2026.
Almost 60 per cent of the world's supply of these vital materials is produced in China and much of the rest is owned by Chinese companies. Until now.
"(Nechalacho) is the only rare earths mine in North America that doesn't supply China," Connelly said.
The deposit, which holds 15 different rare earth elements, was discovered in 1983. A proposal to develop the mine went before regulators more than a decade ago.
That project involved extensive water use and would have generated large tailings ponds. The N.W.T.'s environmental regulator approved the plan, but noted it would have created significant impacts requiring mitigation.
The new mine uses no water. Instead, raw ore is crushed to gravel-sized pieces and run past a sensor.
"It's a big X-ray machine on a conveyor belt and it separates the white quartz from the much heavier and denser rare earth ore," Connelly said.
That concentrate is then barged down Great Slave Lake to Hay River, N.W.T. From there, rail links take it to Saskatoon, where Vital Metals, the company that owns Cheetah, has built a facility to refine the concentrate for market.It's also where the provincial government is developing a rare earth refining and research hub. The first shipments are on their way and expected in June.
Nechalacho's refined product is going to a customer in Norway, where the individual minerals will be separated from each other and processed into metallic bars.
By 2025, Nechalacho hopes to be producing 25,000 tonnes of concentrate a year. There's enough ore there for decades to come, Connelly said.
"It's multiple generations."
At full production, Connelly said the mine is to employ about 150 people in the N.W.T. and another 40 in Saskatoon. Those aren't huge numbers in mining, but Connelly said they will make a big difference to the northern economy because most of the workers will be based there.
More than 40 of the mine's current 50 employees live in the North, said Connelly. About 70 per cent are Indigenous and Cheetah has contracted with the Yellowknives Dene First Nation to conduct the actual mining on the site.
Eventually, said Connelly, Cheetah hopes to work out an equity share for Indigenous groups in the area.
But Nechalacho isn't just important to the N.W.T., Connelly said.
A domestic source for minerals vital to electric motors would help preserve the country's auto sector, he said. It would make it easier for Canada to achieve its climate goals and increase national security by providing a secure source of crucial materials, he added.
Canada has 13 active rare earth projects, the federal government says. Most are in Saskatchewan and Quebec, where the only other mine near production -- the Kipawa project, owned by the same Australian company that owns Cheetah -- is located.
"Canada has some of the largest known reserves and resources (measured and indicated) of rare earths in the world," says a document from Natural Resources Canada.
This report by The Canadian Press was first published May 22, 2022.
YOUR FINANCES
Gas prices see long weekend drop in parts of Canada, but analysts say relief not likely to last
The Canada Day long weekend saw gas prices plummet in parts of the country, but the relief at the pumps may not stay for very long, analysts say. The decreases come after crude oil prices slid in June following the U.S. Federal Reserve's interest rate hikes, sparking fears of a recession.

Stocks are down, but here's why experts say you shouldn't panic
As stocks continue to slump, it can be easy to let your emotions take over if you've got money invested in the market. But experts agree that there's no need to panic if you're invested in the right type of portfolio with the right level of risk.

My landlord is increasing my rent – what should I do?
With increasing rent prices likely to be the reality for many Canadian tenants, some may be wondering how to navigate rising costs, or whether any course of action can be taken, if any. Legal experts across the country share their advice on how to handle a rent hike.

New clean fuel regulations to raise gas prices, affect low-income Canadians most
New federal regulations to force down the greenhouse gas emissions from gasoline and diesel will cost Canadians up to 13 cents more per litre at the pump by 2030.
OPINION | Should you still be saving money with inflation at 7.7 per cent?
With inflation reaching a 40-year high, many Canadians have been left in a state of worry. Not only about the rising prices of consumer goods, but whether or not they should continue to save money. It’s not such a simple question, and it depends greatly on your circumstances, contributor Christopher Liew explains in an exclusive column for CTVNews.ca.
Almost half of Canadians are doing worse financially than the previous year: survey
As inflation rates soar to the highest they've been in Canada in nearly forty years, nearly half of Canadians say that right now, they're doing worse financially than they were at this time last year.
Here's how to save on your next grocery order, according to Canadian couponers
As Canada’s inflation soars, two ‘extreme couponers’ offer their advice on how to save at the grocery store.
4 things Canadians can do to save money on their groceries during inflation
With Statistics Canada reporting a 9.7 per cent increase in food costs over the last year, Canadians are being pushed to find ways to pinch pennies at the grocery stores. Here are some ways to save.