Manitoba shipping company signs agreement with Hudbay Minerals to ship products through Port of Churchill

The closed rail line and Port of Churchill in Churchill, Man., Tuesday, July 3, 2018. THE CANADIAN PRESS/John Woods

An Indigenous-owned company in Manitoba has reached an agreement with a mining company to transport minerals to the Port of Churchill in order to access international markets.

Arctic Gateway Group announced Monday it reached an agreement with Hudbay Minerals Inc. to ship zinc concentrate through the port.

“It's a significant business for us, in that it's opening up the opportunities for shipping critical minerals, out of the Port of Churchill,” said Michael Woelcke, CEO of Arctic Gateway Group, “I believe this signals to the world that Churchill is open for business, and that we are a viable alternative to other means of transport or locations of transport.”

Woelcke said negotiations with the company had been ongoing for more than six months before the deal was reached. Railcars loaded with zinc concentrate Hudbay’s Lalor Mine near Snow Lake will be shipped to Flin Flon, and then to the Port of Churchill, according to the plan.

The Port of Churchill recently reopened to cruise ship traffic this summer and the rail line to the community has also seen repairs, which are continuing.

Woelcke said having the partnership will benefit communities in northern Manitoba.

“We are about 80 per cent Indigenous-owned, and this company is trying to build a positive business model,” he said. “We believe we will, which will be part of economic reconciliation, and which will bring jobs and financial prosperity to the communities that own our company.”

Woelcke said their goal is to have the agreement fully signed and shipping operational by mid-2024.