NORONT RESOURCES LTD.
ANNUAL INFORMATION FORM
For the Year Ended December 31, 2014
April 2, 2015
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TABLEOFCONTENTS
CAUTIONARY STATEMENT REGARDING FORWARD‐LOOKING INFORMATION ................................................................................................................ 9 NOTE TO US INVESTORS REGARDING MINERAL RESOURCE ESTIMATES ....................................................................................................................... 10 GENERAL MATTERS ..................................................................................................................................................................................................... 11 REFERENCES TO THE CORPORATION ............................................................................................................................................. 11 CURRENCY PRESENTATION ......................................................................................................................................................... 11 METRIC EQUIVALENTS ............................................................................................................................................................... 11 TECHNICAL INFORMATION .......................................................................................................................................................................................... 11 CORPORATION PROFILE AND CORPORATE STRUCTURE ............................................................................................................................................... 13 GENERAL DEVELOPMENT OF THE BUSINESS ................................................................................................................................................................ 13 THREE YEAR HISTORY.................................................................................................................................................................................................. 16 FISCAL 2013 ........................................................................................................................................................................... 16 FISCAL 2013 CHANGE IN YEAR‐END AND NEW REPORTING PERIOD ................................................................................................... 19 EIGHT MONTHS ENDED DECEMBER 31, 2013 ............................................................................................................................... 20 SUBSEQUENT EVENTS ................................................................................................................................................................ 22 MINERAL PROJECTS .................................................................................................................................................................................................... 25 MCFAULDS LAKE PROJECT, JAMES BAY LOWLANDS, NORTH‐EASTERN ONTARIO .................................................................................. 25 Property Description and Location ................................................................................................................................. 26 Socioeconomic Setting, Accessibility, Local Resources, and Infrastructure .................................................................... 29 Biophysical Setting, Climate, Physiography, and Flora‐Fauna ........................................................................................ 30 History ............................................................................................................................................................................ 32 GEOLOGICAL SETTING ............................................................................................................................................................... 33 Regional Geology ............................................................................................................................................................ 33 Local and Property Geology ............................................................................................................................................ 34 EXPLORATION AND DRILLING ...................................................................................................................................................... 35 Ground Gradient and Insight Section Array and Resistivity (IP) Surveys; 2011 and 2012 .............................................. 35 Drilling ............................................................................................................................................................................ 36 MINERALIZATION ..................................................................................................................................................................... 37 SAMPLING METHOD AND APPROACH ........................................................................................................................................... 39 SAMPLE PREPARATION, ANALYSES AND SECURITY ........................................................................................................................... 40 ALS Chemex .................................................................................................................................................................... 40 SGS Mineral Services ....................................................................................................................................................... 40 Actlabs ............................................................................................................................................................................ 41 DATA VERIFICATION .................................................................................................................................................................. 41 QUALITY CONTROL PROCEDURES ................................................................................................................................................. 42 MINERAL RESOURCE AND MINERAL RESERVE ESTIMATES ................................................................................................................. 43 EXPLORATION SIGNIFICANCE ....................................................................................................................................................... 45 EAGLE’S NEST DEVELOPMENT PROJECT ........................................................................................................................................ 45 INTRODUCTION ........................................................................................................................................................................ 45 DEVELOPMENT OVERVIEW ......................................................................................................................................................... 46 Mine Site ......................................................................................................................................................................... 46 Mining............................................................................................................................................................................. 47 Metallurgy and Processing ............................................................................................................................................. 49 Surface Infrastructure ..................................................................................................................................................... 50 Site Infrastructure ........................................................................................................................................................... 52 Site Layout ...................................................................................................................................................................... 53 Site Roads Route Selection.............................................................................................................................................. 53 Site Road and Pad Construction ..................................................................................................................................... 54 2
Site Road Drainage ......................................................................................................................................................... 54 Process Plant Design ....................................................................................................................................................... 54 Process Plant Building ..................................................................................................................................................... 54 Ancillary Buildings .......................................................................................................................................................... 55 Portal Facilities Location ................................................................................................................................................. 56 Permanent Surface Facilities .......................................................................................................................................... 56 Camp Facilities, Site Services and Schedule .................................................................................................................... 56 Camp Facility Location .................................................................................................................................................... 57 Camp Facilities ................................................................................................................................................................ 57 Airstrip ............................................................................................................................................................................ 58 Airstrip Construction ....................................................................................................................................................... 58 Fuel Storage and Distribution ......................................................................................................................................... 58 Power Supply and Distribution ....................................................................................................................................... 59 Waste Management ....................................................................................................................................................... 59 Containment Areas ......................................................................................................................................................... 59 Surface Water Management .......................................................................................................................................... 60 Diversion Ditches ............................................................................................................................................................ 60 Internal Drainage and Sediment Ponds .......................................................................................................................... 60 Surface Water Monitoring .............................................................................................................................................. 61 Water Intake ................................................................................................................................................................... 61 Water Treatment ............................................................................................................................................................ 61 Water Pumps .................................................................................................................................................................. 61 Water Storage Tanks ...................................................................................................................................................... 62 Aggregates ..................................................................................................................................................................... 62 Aggregate Stopes, Backfill and Tailings Disposal ........................................................................................................... 62 Aggregate Stopes, Backfill and Tailings Disposal – Design Concept ............................................................................... 63 Aggregate Stopes, Backfill and Tailings Disposal – Aggregate Stope Filling .................................................................. 63 Explosives Storage and Management ............................................................................................................................ 64 Communications ............................................................................................................................................................. 64 Emergency Response Facility .......................................................................................................................................... 64 Transportation Corridor .................................................................................................................................................. 64 East‐West Route ............................................................................................................................................................. 65 Trans‐Load Facility .......................................................................................................................................................... 66 PROJECT SCHEDULE AND PHASES ................................................................................................................................................. 66 Construction Phase ......................................................................................................................................................... 67 Operations Phase ............................................................................................................................................................ 68 Closure and Post‐Closure Phases .................................................................................................................................... 68 ENVIRONMENTAL ASSESSMENT AND ENVIRONMENTAL IMPACT STATEMENT ........................................................................................ 69 Introduction .................................................................................................................................................................... 69 Permits, Licenses, and Approvals .................................................................................................................................... 71 The Existing Environment ............................................................................................................................................... 73 PHYSICAL ENVIRONMENT ........................................................................................................................................................... 74 Climate ............................................................................................................................................................................ 74 Air Quality ....................................................................................................................................................................... 74 Noise ............................................................................................................................................................................... 74 Geology ........................................................................................................................................................................... 74 Geochemistry and Testing for Potential Acid‐Generating Rock ...................................................................................... 74 Surface Water Quality .................................................................................................................................................... 75 Surface Water Quantity .................................................................................................................................................. 75 Groundwater Quality ...................................................................................................................................................... 75 Groundwater Quantity ................................................................................................................................................... 76 Terrain and Soils ............................................................................................................................................................. 76 BIOLOGICAL ENVIRONMENT........................................................................................................................................................ 76 3
Vegetation ...................................................................................................................................................................... 76 Birds ................................................................................................................................................................................ 77 Mammals ........................................................................................................................................................................ 77 Aquatic ............................................................................................................................................................................ 77 SOCIO‐ECONOMIC ENVIRONMENT ............................................................................................................................................... 78 Overview ......................................................................................................................................................................... 78 Population Demographics .............................................................................................................................................. 80 Education, Training, Employment and Economy ............................................................................................................ 80 Human Health and Well‐being ....................................................................................................................................... 80 Community Infrastructure and Public Services ............................................................................................................... 81 Government Policies, Planning and Initiatives ............................................................................................................... 81 Land Use ......................................................................................................................................................................... 81 Archeological Assessment .............................................................................................................................................. 81 CONSULTATION ........................................................................................................................................................................ 82 Aboriginal Consultation .................................................................................................................................................. 82 Public Stakeholder Consultation ..................................................................................................................................... 84 Non‐Government Organizations Consultation ............................................................................................................... 84 Government Consultation ............................................................................................................................................... 85 Federal Government ....................................................................................................................................................... 85 Provincial Government ................................................................................................................................................... 85 Municipal Government ................................................................................................................................................... 86 BENEFITS OF THE PROJECT .......................................................................................................................................................... 86 Overview ......................................................................................................................................................................... 86 Maximizing Environmental Benefits and Supporting Sustainable Development ............................................................ 86 Aboriginal Consultation and Public Participation ........................................................................................................... 87 Technological Innovation ................................................................................................................................................ 88 Increases in Scientific Knowledge ................................................................................................................................... 88 Community and Social Benefits ...................................................................................................................................... 89 POTENTIAL EFFECTS OF THE PROJECT ............................................................................................................................................ 89 Assessment Methodology ............................................................................................................................................... 89 Selection of Valued Ecosystem Components (VECs) ....................................................................................................... 90 BIOPHYSICAL EFFECTS ................................................................................................................................................................ 91 Air Quality ....................................................................................................................................................................... 91 Ambient Light ................................................................................................................................................................. 91 Climate ............................................................................................................................................................................ 92 Sound .............................................................................................................................................................................. 92 Surface Water ................................................................................................................................................................. 92 Groundwater .................................................................................................................................................................. 92 Fish and Fish Habitat ...................................................................................................................................................... 92 Upland Ecosystems ......................................................................................................................................................... 92 Wetland Ecosystems ....................................................................................................................................................... 93 Rare Plants ...................................................................................................................................................................... 93 Invasive Plant Species ..................................................................................................................................................... 93 Birds of Conservation Concern ........................................................................................................................................ 94 Waterfowl ....................................................................................................................................................................... 94 Furbearers ...................................................................................................................................................................... 95 Carnivores ....................................................................................................................................................................... 96 Moose ............................................................................................................................................................................. 96 Wolverine ....................................................................................................................................................................... 97 Woodland Caribou .......................................................................................................................................................... 97 Wildlife Health ................................................................................................................................................................ 98 SOCIAL, ECONOMIC, AND CULTURAL EFFECTS ................................................................................................................................ 98 Community Dynamics ..................................................................................................................................................... 98 4
Human Health and Well‐being ....................................................................................................................................... 98 Training, Employment and Income ................................................................................................................................. 99 Local and Regional Economy ........................................................................................................................................ 100 Community Infrastructure and Public Services ............................................................................................................. 100 Cultural Resources ........................................................................................................................................................ 100 Aboriginal Resource and Land Use ............................................................................................................................... 101 Current Use of Crown Lands and Resources for Recreational Purposes ....................................................................... 101 Navigable Waters ......................................................................................................................................................... 101 CUMULATIVE EFFECTS ASSESSMENT ........................................................................................................................................... 101 ADDITIONAL EFFECTS .............................................................................................................................................................. 103 Effects of the Environment of the Project ..................................................................................................................... 103 Accidents and Malfunction ........................................................................................................................................... 104 ENVIRONMENTAL MANAGEMENT AND COMMITMENTS ................................................................................................................. 105 EA/EIS CONCLUSIONS ............................................................................................................................................................ 106 ECONOMIC EVALUATION.......................................................................................................................................................... 106 Capital Costs ................................................................................................................................................................. 106 Operating Costs ............................................................................................................................................................ 108 Economic Analysis ........................................................................................................................................................ 108 SENSITIVITY ANALYSES ............................................................................................................................................................. 112 Metal Price and Exchange Rate Assumptions ............................................................................................................... 112 Capital, Operating Costs and Revenue Sensitivity ........................................................................................................ 112 CONCLUSIONS ....................................................................................................................................................................... 113 RISKS AND OPPORTUNITIES ...................................................................................................................................................... 115 RECOMMENDATIONS .............................................................................................................................................................. 116 OTHER MINERAL PROPERTIES ................................................................................................................................................... 117 Burnt Hill, New Brunswick ............................................................................................................................................ 117 Garden Island, Québec ................................................................................................................................................. 117 DIVIDENDS ............................................................................................................................................................................................................... 117 CAPITAL STRUCTURE ................................................................................................................................................................................................. 118 COMMON SHARES .................................................................................................................................................................. 118 PRICE RANGE AND TRADING VOLUME OF SECURITIES ............................................................................................................................................... 118 PRIOR SALES ............................................................................................................................................................................................................. 120 DIRECTORS AND OFFICERS ........................................................................................................................................................................................ 120 CORPORATE CEASE TRADE ORDERS OR BANKRUPTCIES ............................................................................................................................................. 126 RISK FACTORS ........................................................................................................................................................................................................... 127 MINERAL EXPLORATION .......................................................................................................................................................... 127 ADDITIONAL FUNDING REQUIREMENTS AND POTENTIAL DILUTION ................................................................................................... 128 DEBT AND LIQUIDITY ............................................................................................................................................................... 128 CONTINUATION OF OPERATING LOSSES ...................................................................................................................................... 129 TITLE TO MINERAL PROPERTIES (OWNERSHIP RIGHTS) .................................................................................................................. 129 MINERAL RESOURCE AND MINERAL RESERVE ESTIMATES ............................................................................................................... 129 ADEQUATE INFRASTRUCTURE .................................................................................................................................................... 130 ECONOMIC............................................................................................................................................................................ 130 COMMODITY PRICE RISK .......................................................................................................................................................... 130 COMPETITION ........................................................................................................................................................................ 131 ENVIRONMENTAL ................................................................................................................................................................... 131 FIRST NATIONS ...................................................................................................................................................................... 132 GOVERNMENT REGULATIONS ................................................................................................................................................... 132 JOINT VENTURES AND OPTION AGREEMENTS ............................................................................................................................... 133 LITIGATION ........................................................................................................................................................................... 133 5
LEGAL .................................................................................................................................................................................. 133 UNINSURABLE RISKS ............................................................................................................................................................... 133 DEPENDENCE ON KEY EMPLOYEES, CONTRACTORS AND MANAGEMENT ............................................................................................ 134 LABOUR AND EMPLOYMENT ..................................................................................................................................................... 134 CONFLICT OF INTEREST ............................................................................................................................................................ 134 SHARE PRICE ......................................................................................................................................................................... 135 CURRENT GLOBAL FINANCIAL CONDITIONS ................................................................................................................................... 135 NO GUARANTEE OF POSITIVE RETURN ON INVESTMENT .................................................................................................................. 135 LEGAL PROCEEDINGS AND REGULATORY ACTIONS .................................................................................................................................................... 135 INTEREST OF MANAGEMENT AND OTHERS IN MATERIAL TRANSACTIONS ................................................................................................................. 136 AUDITORS, REGISTRAR AND TRANSFER AGENT ......................................................................................................................................................... 136 MATERIAL CONTRACTS ............................................................................................................................................................................................. 137 INTEREST OF EXPERTS ............................................................................................................................................................................................... 137 ADDITIONAL INFORMATION ..................................................................................................................................................................................... 138 6
CONTENT PAGE: TABLES TABLE 1: ANNUAL DRILLING SUMMARY AT RING OF FIRE ............................................................................................................................................ 36 TABLE 2: EAGLE'S NEST MINERAL RESOURCE ESTIMATE ............................................................................................................................................... 43 TABLE 3: EAGLE'S NEST MINERAL RESERVE ESTIMATE ................................................................................................................................................. 43 TABLE 4: BLACKBIRD MINERAL RESOURCE ESTIMATE .................................................................................................................................................. 44 TABLE 5: KEY FEDERAL PERMITS .................................................................................................................................................................................. 71 TABLE 6: KEY PROVINCIAL PERMITS ............................................................................................................................................................................ 72 TABLE 7: SELECTED VALUED ECOSYSTEM COMPONENTS ............................................................................................................................................. 90 TABLE 8: INITIAL CAPITAL COST SUMMARY ............................................................................................................................................................... 107 TABLE 9: LIFE OF MINE OPERATING COST ESTIMATE .................................................................................................................................................. 108 TABLE 10: FEASIBILITY STUDY PROJECT ECONOMICS…………………………………………………………………………………………………………………………….………………... 109 TABLE 11: LIFE OF MINE CASH FLOW SUMMARY ....................................................................................................................................................... 109 TABLE 12: BASE CASE CASH FLOW EVALUATION ........................................................................................................................................................ 111 TABLE 13: SUMMARY OF FEASIBILITY STUDY BASE CASE RESULTS……………………………………………………………………………………………………………………….….. 114 TABLE 14: EAGLE’S NEST PROJECT; RISK ASSESSMENT ............................................................................................................................................... 116 7
CONTENT PAGE: FIGURES
FIGURE 1: GENERAL LOCATION, MCFAULDS LAKE PROJECT, JAMES BAY LOWLANDS, ONTARIO .................................................................................... 27 FIGURE 2: SCHEMATIC SECTION OF THE UNDERGROUND INFRASTRUCTURE ................................................................................................................ 49 FIGURE 3: LIFE OF MINE CASH FLOWS ....................................................................................................................................................................... 110 FIGURE 4: SENSITIVITY TO METAL PRICES .................................................................................................................................................................. 111 FIGURE 5: SENSITIVITY TO CAPITAL, OPERATING COSTS AND REVENUE ..................................................................................................................... 112 8
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING
INFORMATION
This Annual Information Form (“AIF”) includes certain “forward-looking information” within the
meaning of applicable Canadian securities legislation. Forward-looking information is provided as of
the date of this AIF or, in the case of documents incorporated by reference herein, as of the date of such
documents.
Generally, forward-looking information can be identified by the use of forward-looking terminology
such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”,
“forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words
and phrases or statements that certain actions, events or results “may”, “could”, “would”, “might” or
“will be taken”, “occur” or “be achieved”. Examples of such forward-looking statements include
statements regarding financial results and expectations for fiscal year 2014, such as, but not limited to,
availability of financing, interpretation of drill results, the geology, grade and continuity of mineral
deposits and conclusions of economic evaluations (including those contained in the Eagle's Nest
Feasibility Study (as hereinafter defined)), metal prices, demand for metals, currency exchange rates,
cash operating margins, expenditures on property, plant and equipment, increases and decreases in
exploration activity, changes in project parameters, joint venture operations, mineral resources and
anticipated grades and recovery rates, information regarding planned infrastructure for the Ring of Fire
Region required for the development of the Eagle's Nest Project (as hereinafter defined) and
information regarding government support for such plan, approval of the Company's coordinated
EA/EIS (as hereinafter defined) application for the Eagle's Nest Project, the development of the Eagle's
Nest Project and the ability of the Company to transition such project from the development stage to
production, the estimated and anticipated economic impact of the Eagle's Nest Project, the anticipated
environmental impact of the Eagle's Nest Project, and are or may be based on assumptions and/or
estimates related to future economic, market and other factors and conditions. All information, other
than statements of historical facts, included in this AIF that addresses activities, events or developments
that the Company expects or anticipates will or may occur in the future, including such things as future
business strategy, competitive strengths, goals, expansion and growth of the Company’s businesses,
operations, plans and other such matters are forward-looking information.
Forward-looking information is based on reasonable assumptions that have been made by the Company
as at the date of such information and is subject to known and unknown risks, uncertainties and other
factors that may cause the actual results, level of activity, performance or achievements of the
Company to be materially different from those expressed or implied by such forward-looking
information, including but not limited to: the impact of general business and economic conditions; risks
related to government and environmental regulation; actual results of current exploration activities;
conclusions of economic evaluations and changes in project parameters as plans continue to be refined;
problems inherent to the marketability of base and precious metals; industry conditions, including
fluctuations in the price of base and precious metals, and fluctuations in interest rates; government
entities interpreting existing tax legislation or enacting new tax legislation in a way which adversely
affects the Company; stock market volatility; competition; risk factors disclosed on pages 128 - 135
herein under the heading “Risk Factors”; risk factors disclosed under the heading “Risks and
Uncertainties” in the Company’s most recent Management Discussion and Analysis (“MD&A”) dated
9
March 31, 2015 on pages 17 - 21, available electronically on SEDAR; and such other factors described
or referred to elsewhere herein, including unanticipated and/or unusual events. Many of such factors are
beyond Noront’s ability to control or predict.
Although the Company has attempted to identify important factors that could cause actual results to
differ materially, there may be other factors that cause results not to be as anticipated, estimated or
intended. There can be no assurance that such statements will prove to be accurate as actual results and
future events could differ materially from those reliant on forward-looking statements.
All of the forward-looking information given in this AIF is qualified by these cautionary statements and
readers of this AIF are cautioned not to put undue reliance on forward-looking information due to its
inherent uncertainty. Noront disclaims any intent or obligation to update any forward-looking
information, whether as a result of new information, future events or results or otherwise, except as
required by law. This forward-looking information should not be relied upon as representing the
Company’s views as of any date subsequent to the date of this AIF.
NOTE TO US INVESTORS REGARDING MINERAL RESOURCE ESTIMATES
All mineral resource estimates contained in this AIF have been prepared in accordance with National
Instrument 43-101 and the Canadian Institute of Mining, Metallurgy and Petroleum Classification
System in compliance with Canadian securities laws, which differ from the requirements of United
States securities laws. Without limiting the foregoing, this report uses the terms “measured mineral
resources”, “indicated mineral resources” and “inferred mineral resources”. Any U.S. Investors are
advised that, while such terms are recognized and required by Canadian securities laws, the U.S.
Securities and Exchange Commission (“SEC”) does not recognize them. Under U.S. standards,
mineralization may not be classified as a “mineral reserve” unless the determination has been made that
the mineralization could be economically and legally produced or extracted at the time the mineral
reserve determination is made. Any U.S. investors are cautioned not to assume that all or any part of
measured or indicated mineral resources will ever be converted into reserves. Further, inferred mineral
resources have a great amount of uncertainty as to their existence and as to whether they can be mined
legally or economically. It cannot be assumed that all or any part of the inferred mineral resources will
ever be upgraded to a higher category. Any U.S. investors are cautioned not to assume that all or any
part of the inferred mineral resources exists, or that they can be mined legally or economically.
Information concerning descriptions of mineralisation and mineral resources contained in this report
may not be comparable to information made public by U.S. companies subject to the reporting and
disclosure requirements of the SEC.
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GENERAL MATTERS
References to the Corporation
Unless otherwise indicated or the context otherwise indicates, use of the terms “Company”,
“Corporation” and “Noront” in this AIF refer to Noront Resources Ltd.
Currency Presentation
All dollar amounts referenced, unless otherwise indicated, are expressed in Canadian dollars.
Metric Equivalents
For ease of reference, the following factors for converting imperial measurements into metric
equivalents are provided:
To convert imperial
measurement units
Inches
Troy ounces
Acres
Pounds
Miles
Feet
Inches
Short tons
To metric measurement units
Centimetres
Grams
Hectares
Kilograms
Kilometres
Metres
Millimetres
Tonnes
Divide by
0.3937
0.03215
2.4711
2.2046
0.6214
3.2808
0.03937
1.1023
TECHNICAL INFORMATION
The scientific and technical information contained in this AIF relating to the McFaulds Lake Project is
supported by the following technical reports:

“Noront Resources Ltd., McFaulds Lake Property, Eagle’s Nest Project, Feasibility
Study” dated October 19, 2012 (effective date September 4, 2012) (the “Eagle’s Nest
Feasibility Study” or the “Feasibility Study”) prepared by Micon International Ltd.
(“Micon”); and

“Technical Report on the Updated Mineral Resource Estimate for the Blackbird Chrome
Deposits, McFaulds Lake Property, James Bay Lowlands, Ontario, Canada” dated May
4, 2012 (effective date December 31, 2011) (the “Blackbird Resource Update”) prepared
by Micon.
The technical reports listed above have been prepared by independent Qualified Person(s) as defined by
National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI-43-101”) and are
available on the System for Electronic Document Analysis and Retrieval (“SEDAR”) at
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www.sedar.com and the Company’s website at www.norontresources.com. The technical reports listed
above are not and shall not be deemed to be incorporated by reference in this AIF.
Paul Semple, P.Eng., Chief Operating Officer of Noront and a Qualified Person (“QP”) as defined by
NI 43-101 has reviewed and is responsible for the technical information contained in this AIF.
This information is current as of April 2, 2015.
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CORPORATION PROFILE AND CORPORATE STRUCTURE
Noront Resources Ltd. was incorporated on November 14, 1980 under the name “White Wing
Resources Inc.” by registration of Memorandum and Articles of Incorporation under the Company Act
(British Columbia). On July 21, 1983, Noront changed its name from “White Wing Resources Inc.” to
“Noront Resources Ltd.”, by way of Altered Memorandum. On November 26, 2004, Noront continued
into the province of Ontario, under the Business Corporations Act (Ontario) by way of Articles of
Continuance. Noront’s head office is located at 110 Yonge Street, Suite 400, Toronto, Ontario, M5C
1T4.
As at December 31, 2014, the corporate structure of Noront Resources Ltd. was as follows:
GENERAL DEVELOPMENT OF THE BUSINESS
The Company is engaged in the development, exploration and acquisition of properties prospective in
base and precious metals, including: nickel, copper, platinum group elements (“PGE’s”), chromite,
iron, titanium, vanadium, gold, and silver. The Company is currently focused on the development of its
100% owned Eagle’s Nest project (“Eagle's Nest” or the “Eagle's Nest Project”), a high grade nickel,
copper, platinum and palladium deposit located in the James Bay Lowlands of Ontario, within a
geological feature commonly referred to as the “Ring of Fire”. The Company released a feasibility
study dated October 19, 2012 demonstrating positive economic returns and in December 2013 released
a Federal/Provincial Environmental Impact Statement/Environmental Assessment Report on the
project. The Company also has a development stage chromite project known as “Blackbird”; two
nickel-copper-PGE discoveries known as “Eagle Two” and “AT12”; an iron-vanadium-titanium
discovery known as “Thunderbird”; and a zone of gold mineralization known as the “Triple J Gold
Zone”, all located in the same Ring of Fire area.
The currently known occurrences are summarized as follows:

Eagle’s Nest: a high grade nickel, copper sulphide deposit with associated platinum,
palladium, gold and silver. The deposit is a sub-vertically dipping body of massive
magmatic sulphide (pyrrhotite, pentlandite, chalcopyrite) in a pipe-like form
approximately 200 metres long, up to several tens of metres thick, and at least 1,600
metres deep. The Eagle’s Nest Pre-Feasibility Study supporting a mineral reserve
estimate was released in August 2011, and the Eagle’s Nest Feasibility Study, released
in September 2012, continued to support the mineral reserve estimate;
13

Eagle Two: a second nickel, copper sulphide occurrence located 2 kilometres southwest
of Eagle’s Nest. The mineralization occurs in a series of pyrrhotite – magnetite –
chalcopyrite – pentlandite-bearing massive sulphide veins;

AT12: a third nickel, copper sulphide occurrence located 9.5 kilometres northeast of
Eagle’s Nest containing pervasive, low grade nickel and copper occurring as finely
disseminated pyrrhotite, chalcopyrite and pentlandite constrained within an ultramafic
dike measuring on average 1,400 metres in length by 200 metres in width by 600 metres
in length and plunging to the south-southwest at 65 to 70 degrees;

Blackbird: a high grade chromite deposit with favourable chrome to iron ratios located
adjacent to Eagle Two approximately 2 kilometres southwest of Eagle’s Nest. The
Blackbird Resource Estimate was initially released in December 2009 and reproduced in
the McFaulds Lake Technical Report released in April 2010. The Blackbird Resource
Update was released in May 2012, updating the mineral resource estimate for drilling
completed during 2012;

Triple J Gold Zone: a zone of gold mineralization related to the sheared contact between
the talc-altered peridotite hosting the Blackbird and Eagle Two discoveries and the
hanging wall granodiorite. Triple J ranges in thickness from several centimetres to tens
of metres with a strike length currently defined at 1 kilometre and to a depth of 300
metres. The zone is interpreted as a large, low grade gold occurrence flanking the
Blackbird and Eagle Two deposits; and

Thunderbird: a potential large tonnage iron-vanadium-titanium deposit, currently
classified as an occurrence. The zone is located 12 kilometres northeast of the Eagle’s
Nest deposit, and 2 kilometres east of the AT12 occurrence. It is demarcated by a
magnetic high which trends north-south as part of a magnetic anomaly that is
7 kilometres long, and 3 kilometres wide.
As of December 31, 2014, Noront controls and has 100% mineral rights ownership of 257 claims of
approximately 57,840 hectares (142,926 acres) in the Ring of Fire area, making Noront the largest
claim holder in the region. In addition, the Company has 100% mining rights to a mining lease covering
4,100 hectares, including the surface rights to 3,510 hectares.
The Company views the Ring of Fire as an emerging mining camp and expects the Eagle’s Nest Project
to be the first of several mines developed in the area. In order to realize the benefits of the Ring of
Fire, management believes it is imperative to have a common vision for development between the
Company, government and local community stakeholders. The Company believes that infrastructure
should initially be developed to meet the needs of the local communities and of the most advanced
project (The Eagle’s Nest Project). The expansion of infrastructure should advance as other projects are
developed. The Company believes its proposal to develop the Eagle’s Nest Mine and associated EastWest Road in collaboration with First Nations and government is the logical first step in the
development of the Ring of Fire.
The Company’s objectives for fiscal 2015 are focused on unlocking value in the Ring of Fire,
specifically advancing the permitting of the Eagle’s Nest project. Key to the Company’s plans is to
14
obtain support from all stakeholders on a common vision for development which will result in the
finalization of the Terms of Reference for the Environmental Assessment of Eagle’s Nest and the allseason access road. As the permitting is advanced, the Company will continue to progress technical
work on the Eagle’s Nest deposit to optimize and de-risk the mine development plan.
Management also believes the large chromite deposits in the Ring of Fire represent a significant
opportunity and the Company plans to further evaluate these projects with the objective of
incorporating them into its development plans. Being the largest landholder in the Ring of Fire, the
Company is encouraged by the prospectivity of the area and is planning on conducting further regional
exploration work. This exploration activity, in addition to potentially leading to new discoveries, will
create near-term opportunities for local First Nations from employment and associated business
partnerships.
The Company’s primary objectives for fiscal 2015 are, therefore, to:

Obtain approval of the Company’s Federal Environmental Impact Statement (“EIS”) /
Provincial Environmental Assessment (“EA”) on the Eagle’s Nest Project and associated
transportation corridor;

Obtain a formal commitment from the provincial / federal government on the Company’s
infrastructure plan;

Update the Eagle’s Nest Feasibility study incorporating the results of optimization studies and
input from the constructors engaged on the project;

Initiate formal impact benefit agreement negotiations with the primary communities affected by
development;

Conduct a Preliminary Economic Assessment on the chromite project and incorporate it into its
development pipeline; and

Maintain a strong treasury position to support its near and long term needs.
15
THREE YEAR HISTORY
Fiscal 2013
During fiscal 2013 (May 1, 2012 to April 30, 2013) $10.8 million was spent on exploration,
development, and technical studies at McFaulds Lake. A total of 4,416 metres of geotechnical,
metallurgical, hydrogeological, and condemnation drilling was completed.
On May 10, 2012, the Company announced that it had completed a private placement with RCF
pursuant to which RCF subscribed for 19,230,769 common shares in the capital of the Company (the
“Common Shares”) at a purchase price of CAD$0.52 per Common Share, representing net proceeds to
the Company of approximately CAD$10.0 million (the “Offering”).
On May 28, 2012, the Company announced that pursuant to a previous option granted to Baosteel,
Baosteel had exercised its right to maintain its 9.9% interest in the Company and participate in the
Offering. The Company and Baosteel then entered into an agreement whereby Baosteel acquired an
additional 2,566,151 Common Shares at a purchase price of CAD$0.52, representing net proceeds to
the Company of approximately CAD$1.33 million. The net proceeds received by the Company from
the completion of both transactions were to be used to advance the development of the Company’s
flagship Eagle’s Nest nickel sulphide project.
On May 28, 2012, in light of an announcement made by the Government of Ontario and Cliffs Natural
Resources (“Cliffs”) on May 9, 2012 regarding the proposed location of a ferrochrome smelting facility
in Sudbury, Ontario, and road access to the Ring of Fire (the “North-South access route”), the Company
announced that it had decided to evaluate the impact of these announcements prior to issuing the
Feasibility Study for its Eagle’s Nest Project. Prior to this announcement, the Company had been
studying and evaluating a single infrastructure corridor route for road access and power into the Ring of
Fire, the “East-West access route”. However, in light of the commitment by the Government of Ontario
and Cliffs to the North-South access route, the Company decided that a thorough review of the two
routes was warranted before the Eagle’s Nest Feasibility Study could be released.
In the late second quarter of fiscal 2012, the Corporation shifted its exploration focus towards
identifying additional nickel-copper sulphide mineralization. Using the Insight IP geophysical
surveying technique to identify nickel sulphide targets, two new zones of nickel sulphide mineralization
were found proximal to the Eagle’s Nest Project through drilling. In light of those successes, the Insight
IP survey was expanded to include the Eagle Two (in the AT2 area) and AT12 areas, and drilling of
nickel sulphide targets, which were cross-validated by bore-hole electromagnetic surveys (“BHEM”),
was completed in late fiscal 2012 (March 2012). In July 2012 (Q1 of fiscal 2013), the Company
announced the results of this drill program. Six drill holes completed (three at Eagle Two and three at
AT12) all intersected low-grade nickel sulphide mineralization, indicating that the Insight IP surveying
technique was very successful in identifying nickel sulphide mineralization that had not been
previously identified by airborne geophysical surveys or other ground-based techniques.
Two of the three drill holes at Eagle Two tested a geophysical response approximately 150 to 200
metres east of Eagle Two, and both holes intersected multiple lenses of low-grade nickel sulphide
mineralization (including a down-hole intersection of 33.0 metres averaging 0.3% Ni). The third drill
hole, drilled further to the northeast and testing another geophysical response, intersected 8.0 metres
16
(down-hole length) of low-grade nickel sulphide mineralization averaging 0.34% Ni, including an
interval grading 1.2% Ni over 0.9 metres.
The three drill holes at AT12 tested a buried geophysical target identified to lie 100 to 200 metres
beneath the surface. All three holes intersected low-grade nickel sulphide mineralization over intervals
ranging from 10.0 to 60.0 metres (down-hole length) and averaging from 0.2 to 0.7% Ni. Minor
intervals, ranging from a few metres to less than a metre, returned higher-grade nickel sulphide
mineralization of up to 1.36% Ni, consistent with localized areas of higher-grade nickel sulphide
mineralization found elsewhere at AT12. The results from this drill program confirmed that AT12 has
potential as a large tonnage, low-grade source of additional nickel sulphide material.
As a result of this exploration program, the Insight IP technique was determined to be a very valuable
exploration tool going forward, as the Company continues to test and evaluate nickel sulphide
mineralization within its mineral claims in the Ring of Fire. However, for the remainder of fiscal 2013
it was decided that, in order to facilitate studies of the Eagle’s Nest Project, drilling would be focused
on geotechnical, metallurgical, and condemnation work. No further exploration was thus planned.
The Eagle’s Nest Feasibility Study results were released in September 2012. The Feasibility Study
established the first mineral reserve in the Ring of Fire, derived from the measured and indicated
mineral resource estimate by Micon.
Based on the economics of the Feasibility Study, the Company planned to move forward on completing
all necessary predevelopment work in order for it to meet its planned production date.
Access infrastructure in and out of the Ring of Fire is required in order for the Eagle’s Nest Project to
proceed. The infrastructure developed for the Ring of Fire will be shared between local communities,
Noront and other industrial users. The Company has taken a collaborative approach to this critical
shared infrastructure and has been working with all stakeholders to develop a plan which will be
supported by the Provincial Government of Ontario, the Federal Government of Canada, local
communities and other industrial users. In this respect the Company included a North‐South Access
road under its base case assumptions in its feasibility study. The North‐South access road, as announced
on May 9th, 2012 is supported by the Provincial Government of Ontario. The Company’s current
strategy, in order to achieve its planned production date, is to also continue negotiations with
stakeholders concerning the East‐West access road to garner necessary financial and non‐financial
support; obtain all required mining permits; and enter into formal partnership agreements and financing
arrangements in advance of infrastructure commitments from government in order to allow project
development to proceed.
Drilling during fiscal 2013 was focused on geotechnical, metallurgical, hydrogeological, and
condemnation work for the Eagle’s Nest Project, as a part of ongoing feasibility studies, and only took
place in the second quarter (August to October, 2012). This drilling was carried out by Noront in
conjunction with Knight Piésold Consulting (“Knight Piésold”) in order to: (i) provide rock mass and
overburden material characteristics, hydrogeological condition characterization, and groundwater
quality and chemistry in support of the EA process for the Eagle’s Nest Project and proposed mine site,
in the area of the deposit and surrounding regimes (e.g. in lakes, rivers, swamps, bogs, and wetlands),
which allow better prediction of potential impacts of the project on the existing hydrogeological regime
and surround surface waters; (ii) complete site investigations to characterize the geomechanical,
17
geotechnical, and structural geology (e.g. faults, fractures, and joints) and hydrogeological properties of
the deposit rock mass, in areas surrounding the deposit where infrastructure (mine facilities) would be
placed, such as the proposed portal and portal walls, the explosives plant, aggregate stock pile, storm
water pond (surface run-off and water collection and treatment area), waste management facility and
incinerator, fuel storage and generator area, ventilation fan area, proposed site trails, winter roads, new
camp area and other buildings, and all underground mine design features (e.g. proposed mill, ramp, and
crown pillar); (iii) complete continued metallurgical work on the massive and net-textured sulphides in
the top portion of the Eagle’s Nest deposit in the crown pillar and mill areas; and (iv) conduct
condemnation drilling in geologically significant areas surrounding the deposit in order to rule out the
existence of extended areas of mineralization in areas that might be developed for above ground or
underground mine workings and to help Noront geologists gain insight into the geology and structural
geology of those previously un-drilled areas to further the geological model of the immediate area. In
total, 43 diamond drill holes were drilled, for a total of 4,355 metres, and seven groundwater
monitoring wells were placed (totaling 60 metres), for a total of 50 new drill holes totaling 4,416 metres
of drilling. The results of the drilling are being used to help investigate the environmental impact of the
proposed mine as well as gain an understanding into the geology and structure of the Eagle’s Nest
deposit and proposed underground mine site.
On December 5, 2012, the Company announced that it had entered into a purchase and sale agreement
(the “Agreement”) with Maudore Minerals Ltd. (“Maudore”) pursuant to which Maudore agreed to
acquire Noront’s 25% interest in the Windfall Lake project in Québec (the “Windfall Lake Project”).
The Windfall Lake Project is a joint venture between Noront and Eagle Hill Exploration Corporation
(“Eagle Hill” or the "Optionee"). Eagle Hill has earned a 75% interest in the project and is the operator.
In the Agreement, Maudore agreed to pay a sum of CAD$10.0 million in cash plus three million
warrants which entitled Noront to purchase common shares of Maudore at a price of CAD$2.20 per
common share (the “Warrants”) (collectively the “Purchase Price”) in exchange for Noront’s current
25% interest in the Windfall Lake Project. Maudore is also required to pay Noront an additional amount
in the event that Maudore acquires, directly or indirectly, Eagle Hill’s 75% interest in the Windfall
Lake Property (the “75% Interest”). As well, pursuant to the Agreement, Maudore has the right to direct
Noront to enforce its rights under the July 20, 2009 option agreement between Noront and Eagle Hill
(the “Option Agreement”) including its right to repurchase the 75% interest from Eagle Hill (the
“Repurchase”) and subsequently transfer the 75% interest to Maudore. The Agreement is subject
certain conditions, such as Maudore’s obligation to purchase Noront’s 25% interest being subject to the
acquisition of the 75% interest, or obtaining the consent of Eagle Hill under the Option Agreement.
On December 20, 2012, the Company clarified its position on the Windfall Lake Project in Québec, as
Eagle Hill had issued a press release on December 17, 2012 announcing that it had awarded a contract
to Stantec Consulting Ltd. (“Stantec”) to produce a pre-feasibility study (“PFS”) on the Windfall Lake
Property. Eagle Hill’s interest in the Windfall Lake Project is governed by the terms and conditions of
the Option Agreement. In Eagle Hill’s press release, it stated that Stantec had been engaged to provide
a mineral reserve estimate based on the results of the PFS, and upon receipt of the mineral reserve
estimate (the “Notice”), Eagle Hill believed it would be in a position to satisfy the obligations of the
Option Agreement, and the Buy-Back Provisions, as defined in the Option Agreement, would be
eliminated. As well, upon Eagle Hill delivering the Notice to Noront, Noront would then have 180 days
to notify Eagle Hill if it wished to either continue as a 25% joint option partner or transfer 100% of the
Windfall Lake Project to Eagle Hill, in exchange for a 2% NSR. Under the terms of the Option
Agreement, in order for Eagle Hill to acquire the Windfall Lake Project, Eagle Hill was required to
18
deliver either (i) a bankable feasibility study on the project (the “BFS”), or (ii) commit to cause the
commencement of commercial production from the project within one year of earning its 75% interest
(which it did on April 20, 2012). If Eagle Hill were to not complete a BFS or take the project to
production, then Noront would have the option to purchase back the 75% interest from Eagle Hill under
the Buy-Back Provisions.
However, in Noront’s December 20, 2012 press release, the Company stated that the delivery of the
PFS, by Eagle Hill, would not satisfy the above requirements of the Option Agreement and as such,
Noront would continue to retain its rights under said Option Agreement, including the Buy-Back
Provisions, subject to the terms and conditions of the Agreement between Noront and Maudore.
Furthermore, Eagle Hill’s statement regarding the 180-day period (for Noront to continue as joint
venture partner or transfer 100% of the property to Eagle Hill) was to only have been initiated upon the
delivery of a BFS and not upon the delivery of the PFS and mineral reserve estimate. Upon receipt of a
completed BFS, Noront may elect to maintain its 25% interest in the Windfall Lake Property.
On February 26, 2013, the Company entered into a loan facility with RCF in the aggregate principal
amount of US$15.0 million (the “Facility”). The Facility is a one year bridge loan (the” Bridge Loan”)
with an initial maturity date of February 25, 2014. If the Facility is not repaid prior to the Bridge Loan
maturity date, it automatically rolls into a convertible loan (“the “Convertible Loan”) with a maturity
date of December 31, 2015. The Convertible Loan may be converted into Common Shares at the option
of RCF at a price of $0.45 per share any time subsequent to the initial Bridge Loan maturity date and
prior to December 31, 2015. Due to RCF’s existing equity ownership interest in Noront and with the
Bridge Loan having rolled into the Convertible Loan, on a partially diluted basis, RCF’s equity
ownership interest exceeds 20% of the total number of outstanding Common Shares. Shareholder
approval, which was required to grant the Conversion Rights and was a condition to entering into the
Facility (which includes the Conversion Rights), was granted at a special meeting of shareholders held
on April 30, 2013. The proceeds from the Facility are being used to further the development of the
Company’s advanced stage Eagle’s Nest nickel, copper, platinum, palladium project, for working
capital, and for corporate requirements.
On April 19, 2013, the Company announced that an amending agreement (the “Amending Agreement”)
had been signed between the Company and Eagle Hill to amend certain provisions of the Option
Agreement entered into between the parties on July 20, 2009 in regards to the Windfall Lake Project.
This Amending Agreement was created in order to provide Eagle Hill with more time to carry out work
to further advance the project, and to allow Noront to maximize the value of its interest, as Noront is
continuing to advance its Eagle’s Nest Project. At that point in time, the Company granted Eagle Hill a
90-day exclusivity period to negotiate the purchase of the Company’s interest in the Windfall Lake
Project. As well, at this point in time, the Company announced that it had terminated the Agreement
entered into between the Company and Maudore on December 4, 2012. Both parties were thusly
released from any further obligations under the Agreement.
Fiscal 2013 Change in Year-End and New Reporting Period
On December 31, 2013, the Company changed its fiscal year end from April 30 to December 31. The
purpose of the change was to (a) ease the administrative burden for financial and operational reporting
in connection with the Company’s transition from an exploration company to a mine developer; and (b)
19
bring the year end of the Company in line with other major companies in the same industry.
Accordingly, for the new fiscal 2013 period, the Company reported its annual consolidated financial
statements for the eight month period ending December 31, 2013, compared to the twelve month period
ending April 30, 2013. As well, the Company’s Board of Directors changed its annual review period to
align with the new year-end.
Eight Months Ended December 31, 2013
During the new fiscal reporting period for 2013 (May 1, 2013 to December 31, 2013) $4.3 million was
spent on development, permitting, and technical studies at McFaulds Lake, compared to $10.8 million
spent on exploration, development, and technical studies completed during the twelve months ending
April 30, 2013. No drilling was completed during the period May 1, 2013 to December 31, 2013,
whereas 4,416 metres of geotechnical, metallurgical, hydrogeological, and condemnation drilling was
completed during the twelve month period ending April 30, 2013.
On June 28, 2013, the Company signed a binding letter agreement (the “Letter Agreement”) with Eagle
Hill and Southern Arc Minerals Inc. to sell its remaining 25% interest, all royalty interests, and all other
associated rights in the Windfall Lake Project to Eagle Hill. In accordance with the binding agreement,
Eagle Hill continues to be obligated to provide a financial guarantee to the Québec government for the
reclamation obligation on the Project and apply to transfer the reclamation obligation from the
Company to Eagle Hill.
On August 15, 2013, the Company closed the sale of its remaining 25% interest, all royalty interests,
and all other associated rights in the Windfall Lake Project on the terms and conditions contained in the
Letter Agreement. On closing, and in accordance with the Letter Agreement, the Company received
cash consideration of $4,385,000 ($5,000,000 less a $615,000 non-refundable deposit previously
received by the Company) and share consideration of 25 million freely tradeable (subject only to such
hold periods as are required under applicable Canadian securities laws) common shares of Eagle Hill.
The Company paid 5% of the cash and share consideration to IBK Capital Inc. in accordance with its
advisory mandate.
The original Option Agreement entered into between Eagle Hill and the Company on July 20, 2009 and
as amended on April 19, 2013 was terminated save and except for certain sections of the agreement
which require Eagle Hill to take all necessary steps to affect the transfer of the reclamation liability on
the Windfall Lake Project from the Company to Eagle Hill and to indemnify the Company for any
losses as a result of any Environmental Claims including any required site reclamation.
On August 22, 2013, the Company entered into an agreement to sell 10 million of its 23.75 million
Eagle Hill shares to a third party for total proceeds of $1.2 million. The sale of the 10 million Eagle Hill
shares closed on September 26, 2013. On November 22, 2013 the Company sold the remaining 13.75
million shares in Eagle Hill in a separate transaction for total gross proceeds of $1.6 million.
On October 1, 2013, Alan Coutts was appointed as President and Chief Executive Officer and a director
of the Company. Mr. Coutts is a mining executive with over 25 years of experience in all aspects of
exploration, feasibility, construction and production of mineral deposits. In December 2013, the
20
Company completed a private placement with Mr. Coutts in which he purchased 335,000 common
shares (the “Purchased Shares”) of the Company at a price of $0.30 per share.
On October 31, 2013, the Company announced that pursuant to the loan agreement entered into
between the Company and Resource Capital Funds V L.P. (“RCF”) on February 26, 2013, it had
satisfied the payment of interest under the Convertible Loan for the third quarter of calendar 2013 by
delivery of 1,165,473 common shares of the Company (the “Interest Shares”) to RCF, at an effective
price of $0.3317 per Interest Share.
On November 20, 2013, after hearing the announcement by Cliffs Natural Resources (“Cliffs”) that it
was suspending its Black Thor chromite project (approximately 10 kilometres from the Eagle's Nest
Project), the Company re-affirmed its plans for development of the Eagle’s Nest nickel-copperplatinum group metals project, stating that they were intent on having the Eagle’s Nest Project being
the first mine developed in the Ring of Fire, and that these development plans were not dependent on
other mining companies.
In November 2013, the Provincial Government of Ontario announced the proposed formation of a
Development Corporation (“DevCo”) with a mandate to finance, construct and operate the
infrastructure for the Ring of Fire and surrounding area. It is the provincial government’s intention that
all key stakeholders, being industry, government and First Nations, have representation on DevCo. The
Company is working closely with stakeholders to advance the formation of DevCo and its
infrastructure mandate.
On December 11, 2013, the Company announced that it has changed its fiscal year end from April 30 to
December 31, effective December 31, 2013.
On December 20, 2013, the Company completed a coordinated Federal & Provincial Environmental
Impact Statement and Environmental Assessment Report (“EIS/EA”) for its Eagle’s Nest Project. A
draft copy was circulated for comment to the CEAA and the Ontario Ministry of the Environmental
(“MOE”). A copy is also available on the Company’s website for comment by interested parties.
Work on the EIS/EA Report was initiated by the Company in 2009 and includes baseline environmental
studies that examine the mine site, the access road corridor, and a railcar loading site. The studies were
designed to comply with requirements set out in the EIS Project Guidelines provided by the CEAA, and
are consistent with the Terms of Reference submitted by the Company to the MOE.
Access infrastructure in and out of the Ring of Fire is required in order for the Eagle's Nest Project to
proceed. The infrastructure for the Ring of Fire will be shared between local communities, Noront and
other industrial users. The Company included its preferred East-West access route”) in its EA in order
to ensure the road project would be ready for construction when anticipated support is formally
committed by the Provincial Government of Ontario, the Federal Government of Canada and other key
stakeholders.
The Company also stated that all comments regarding the EIS/EA will be considered prior to formal
submission of the EIS/EA Report to the CEAA and MOE in 2014.
21
Calendar 2014
On February 26, 2014, the RCF Bridge Loan rolled over into a Convertible Loan as per the terms of the
RCF Facility, as previously disclosed. The applicable interest rate has been reduced from 10% to 8%
per annum and RCF has the right to convert the amounts owing to common shares of the Company at a
conversion price of CAD $0.45 any time prior to the convertible loan maturity date, which is December
31, 2015.
On March 5, 2014, the Company received word that its Mining Lease application had been approved,
and that the official Letters Lease would be given to the Company shortly.
On March 26, 2014, the Company announced that it was pleased to acknowledge the regional
framework agreement reached between the nine Matawa-member First Nations and the Province of
Ontario. This agreement is meant to engage the Matawa-member First Nations and the Province in a
healthy dialogue regarding the development and progress of the Ring of Fire mining camp, and the
Company believes that this agreement will greatly aid in its development of the Eagle’s Nest Project.
On April 3, 2014, the Company received the Letters Lease for its Mining Lease, thereby officially
granting the Company a Mining Lease covering 4,100 hectares of mining rights, and 3,510 hectares of
surface rights, over the Company’s Eagle’s Nest and Blackbird deposits. This lease grants the Company
the right to extract mineral products for a period of 21 years, subject to the requirements of the Ontario
Mining Act.
On April 28, 2014, the Company announced that it was pleased by the commitment made by the
Ontario government to spend $1.0 billion on infrastructure in the Ring of Fire. This commitment would
provide necessary funding for the construction of a shared road and power corridor that would benefit
remote First Nation communities and the Company’s Eagle’s Nest Mine. The infrastructure funding
announcement was a vital milestone with the goal of improving the quality of life in the remote
communities while enabling development and prosperity in Northern Ontario.
On May 5, 2014, Colin Webster, P. Eng., joined the Company’s management team as Vice President,
Sustainability. Previously, Mr. Webster was with Goldcorp Inc. as the Director of Aboriginal,
Government and Community Relations, for the Canada & USA Region.
On the same date, the Company announced that pursuant to the loan agreement entered into between
Noront and RCF on February 26, 2013 that it had satisfied the payment of interest for the fourth quarter
of 2013 and the first quarter of 2014 by delivery of 2,104,398 and 871,434 common shares,
respectively, of the Company (the “Interest Shares”) to RCF, at an effective price of $0.1893 and
$0.4305 per Interest Share. The Interest Shares were subject to a four month holding period, which was
set to expire on May 14, 2014 and August 12, 2014, respectively.
On May 23, 2014, the Company announced that it had entered into an agreement with Cliffs Chromite
Ontario (“Cliffs”) to purchase its exploration camp in the Ring of Fire, which is located adjacent to the
Company’s existing Esker Camp. This new camp would be used as a construction base for the
22
development of the Company’s Eagle’s Nest Mine. The transaction was expected to close during the
third quarter of 2014.
In June 2014, the Company contracted Scott Hogg & Associates Ltd. to carry out a helicopter-towed
aeromagnetic gradient survey (“Heli-GT”) over the Eagle’s Nest – Blackbird property. This survey was
the first aeromagnetic survey flown over the property since 2010. It was flown on a north-south and
east-west line orientation, the orientation of which had not been flown by any previous survey. This
was done to highlight any geological lineaments or anomalies that could have been missed by the
previous surveys, due to their preferred flight line orientation. A total of nearly 4,000 line kilometres of
data was collected.
From July through September, 2014, the Company completed a drill core relocation and re-logging
program of 62 drill holes from its Eagle’s Nest and Blackbird deposits, from the 2007 and 2008 drilling
campaigns, that had been stored at the McFaulds Lake Camp. This was done in order to consolidate all
of Noront’s drill core in one camp and to study the drill core.
On September 26, 2014, the Company provided an update on its work plans for the winter 2014-2015
season. The Company announced that it had agreed to support Marten Falls First Nation (“MFFN”) as
the proponent of a winter road to access its Eagle’s Nest Mine in the Ring of Fire. MFFN has submitted
a permit application to build a winter road from Marten Falls to Noront’s Esker Camp, where the
Eagle’s Nest Mine will be located. This road will be used to transport bulk materials, including fuel and
heavy equipment, to be used for work on the existing airstrip, and to help ensure that Noront is in a
position to initiate mining activities once the necessary approvals and permits are in place. Work on the
airstrip was planned for the fall/winter 2014, and was to be completed under an approved land use plan
with Noront’s development partner Marten Falls Logistics. As part of this project, the airstrip landing
area was to be cleared to its final dimensions so as to be used as a winter airstrip during the 2014/15
season rather than the ice airstrip constructed on Koper Lake. The airstrip would be upgraded for allseason use when waste rock aggregate is available from construction of the underground mine at
Eagle’s Nest
The Company also announced that the federal environmental assessment process for the Eagle’s Nest
Mine continued to progress, and that during the summer of 2014 additional environmental studies and
samples were completed in response to requests from government reviewers. Comments were also
received from several First Nation communities, and their concerns & issues are currently being
addressed. The Company however continues to wait for the provincial government to approve its Terms
of Reference (“TOR”) for the provincial environmental assessment process. Upon completion of the
environmental assessments, the Company will process with the acquisition of the approvals and permits
necessary to begin road and mine site construction activities, which were scheduled for a mid-2015
start.
At the same time, the Company was advancing discussions with a number of First Nation communities,
with the objective of negotiating Impact Benefit Agreements (IBAs) and community participation in the
environmental assessment process.
Also at the same time, the Company announced it was preparing for a 2014-15 exploration program
that was to include completion of geophysical surveys and diamond drilling. However, those activities
23
are all dependent on receiving certain approvals from the provincial government, local community
support, and financing.
On October 8, 2014, the Company announced it had closed the transaction with Cliffs Chromite
Ontario (“Cliffs”) to acquire its exploration camp, and associated equipment, at McFaulds Lake. The
Company plans to use the camp as its construction based for the development of the Eagle’s Nest Mine.
On December 9, 2014, the Company announced that it was very pleased to be the 2015 recipients of the
Prospectors & Developers Association of Canada (PDAC) National Environmental and Social
Responsibility Award. The Company was to receive the award during the association’s Awards
Evening on March 2, 2015.
Pursuant to the loan agreement entered into between Noront and RCF dated February 26, 2013, the
Company has satisfied the payment of interest for each quarter of calendar 2014 by delivery of the
following common shares of the Company (the “Interest Shares”):
a) 871,434 Interest Shares to RCF on April 11, 2014, at an effective price of $0.4305 per Interest
Share.
b) 518,270 Interest Shares to RCF on July 10, 2014, at an effective price of $0.6174 per Interest
Share.
c) 863,641 Interest Shares to RCF on October 10, 2014 at an effective price of $0.6462 per Interest
Share.
d) 1,253,888 Interest Shares to RCF on January 12, 2015, at an effective price of $0.2778 per
Interest Share. These Interest Shares are subject to a four month hold period which will expire
on May 13, 2015.
Subsequent Events
On March 1, 2015, the Company provided a statement on the Federal and Provincial announcement of
funding for a Ring of Fire infrastructure study. The Company is very pleased by the announcement of
the study, which is meant to invest funds into further economic development and community access in
Northwestern Ontario.
On March 22, 2015 the Company announced it had entered into an agreement to acquire, among other
things, the shares of Cliffs Chromite Ontario Inc. ("CCOI") and Cliffs Chromite Far North Inc.
("CCFNI"), which hold mining claims in the Ring of Fire mining district, for an acquisition price of
US$20 million (the "Transaction").
The Transaction includes the acquisition of approximately 103 claims currently owned by subsidiaries
of Cliffs Natural Resources Inc., including: a 100% interest in the Black Thor chromite deposit; a 100%
24
interest in the Black Label chromite deposit; and, a 70% interest in the Big Daddy chromite deposit. It
also gives Noront 85% ownership of the McFauld’s Lake copper zinc resource.
Upon closing, expected by mid-April 2015, Noront will hold a total of approximately 360 mining
claims and roughly 65% (80,000 hectares) of the emerging mining camp known as the Ring of Fire.
These additional assets, alongside Noront’s existing Eagle’s Nest nickel-copper-platinum group
element deposit and its Blackbird chromite deposit will allow Noront to further its vision of becoming
the leading resource company in the area.
To finance the Transaction, concurrently with the execution of the Share Purchase Agreement, Noront,
through its wholly-owned subsidiary 9201955 Canada Inc. has entered into a loan agreement (the
"Loan Agreement") with Franco-Nevada Corporation (“Franco-Nevada”) through which FrancoNevada will loan US$22.5 million to Noront for a five-year period at a 7% interest rate with interest to
be accrued and paid at the end of the loan term. In connection with the loan, Franco Nevada will
receive a 3% royalty over the Black Thor chromite deposit and a 2% royalty over all of Noront’s
property in the region with the exception of Eagle’s Nest, which is excluded. The loan will be secured
against the Cliffs' assets acquired in connection with the Transaction. It is intended that US$20 million
of the loan proceeds will be used to fund the acquisition price of the Transaction, with the remaining
US$2.5 million to be provided to Noront for general working capital purposes. In addition, Noront will
receive from Franco-Nevada US$3.5 million in cash consideration as part of the granting of the royalty
arrangements.
MINERAL PROJECTS
McFaulds Lake Project, James Bay Lowlands, North-Eastern Ontario
The reader is reminded to note the following evolution in terms of names used with respect to the
McFaulds Lake Project:
Noront’s original claims in the Ring of Fire were referred to as the Double Eagle claims but in general,
the property was typically referred to as the McFaulds Lake Project. In August 2007, the Corporation
discovered nickel copper sulphide mineralization on the “Condor claims”, which were acquired by
Noront shortly after the Double Eagle claims were returned to the Corporation by Probe Mines Ltd.
This discovery was named the Eagle One deposit (now termed the Eagle's Nest Project).
In February 2008, Noront discovered a second nickel copper sulphide deposit approximately 2
kilometres to the southwest of Eagle One. This discovery was named Eagle Two. At about this time,
Noront’s correspondence began referencing the Double Eagle property or project or the Double Eagle
claims at the McFaulds Lake Project.
In June 2009, the Corporation drilled a deep hole testing for mineralization beneath the original Eagle
One discovery. This drill hole intersected what was initially interpreted as being two new lenses of
nickel, copper, PGE mineralization and were identified as the Eagle 1B and the Eagle 1C lenses. The
original Eagle One discovery was referred to as Eagle 1A and collectively, all three interpreted lenses
25
were termed the Eagle’s Nest deposit. Later drilling revealed that these three presumably separate
lenses actually were part of the same continuous ore body.
Property Description and Location
The McFaulds Lake Project area (the “Project Area”) is located at approximately UTM 5844000 N and
547000 E, and between approximately 52º42’ and 52º50’ N latitude and 86º06’ and 86º24’ W
longitude, approximately 250 km west of the community of Attawapiskat on James Bay and 530 km
northeast of Thunder Bay. The closest all-season accessible community to the McFaulds Lake project
area is Nakina, 300 km to the south, where there is a paved airstrip, in addition to all weather road and
railroad access.
The First Nation communities of Webequie and Ogoki/Marten Falls are located 90 km west and 120
km south southeast of McFaulds Lake, respectively. Both communities are served by regularly
scheduled air service, primarily from Thunder Bay; both Thunder Bay and Timmins serve as support
centres for the James Bay communities and the exploration projects in the area.
The Eagle’s Nest, Eagle Two, Blackbird and Triple J occurrences are located within a 4-km2 surface
area and are defined as the Eagle’s Nest-Blackbird (ENB) Complex. The AT12 and Thunderbird
mineral occurrences are 10 and 14 km to the northeast of the ENB Complex, respectively.
26
Figure 1: General Location, McFaulds Lake Project, James Bay Lowlands, Ontario
As of December 31, 2014, Noront controlled and had 100% mineral rights ownership of 257 claims of
approximately 57,840 hectares. In addition, the Company has 100% mining rights to a mining lease
covering 4,100 hectares, including the surface rights to 3,510 hectares.
The Eagle’s Nest and Blackbird deposits, and the Eagle Two and Triple J mineral occurrences all lie
within the Company’s mining lease (lease #109494; perimeter survey CLM503), and will remain in
good standing for the length of the 21-year mining lease, which can be renewed after 21 years. The
AT12 and Thunderbird mineral occurrences are not a part of the mining lease and continue to be held
as unpatented mineral claims by Noront with 100% mineral rights ownership. The total area of these
claims is 2,240 hectares. All claims have had the necessary assessment work filed on them to keep them
in good standing with the Province of Ontario. AT12 is situated on claim numbers 3008266, 3008267,
and 3008687, which are in good standing until July and October 2016, and Thunderbird is situated on
claim numbers 3008267, 3011019, 3011020, 3011021, 3011024, and 3011025, which are in good
standing until April and July 2016.
27
The area which was formerly claim numbers 3012264 and 3012265, which now constitute part of the
Company’s mining lease and on which the Eagle’s Nest deposit lies, are subject to a 1% NSR that can
be purchased by Noront at any time for $500,000.
The property has no known environmental liabilities at the present time except those normally
associated with mineral exploration projects. On April 1, 2013, the Province of Ontario instituted new
Mining Act regulations related to mineral exploration in Ontario. These changes were made in order to
promote mineral exploration and development in a manner that recognizes Aboriginal and treaty rights
and private landowner rights, and in order to minimize the impact of mineral exploration and
development on the environment. In order to undertake certain low to medium impact early exploration
activities on mining claims, mining leases, and licenses of occupation, an exploration plan or
exploration permit is now required by the Province of Ontario. These early exploration activities will
thus only be allowed to take place once the exploration plan or permit has been approved.
Early exploration activities that require an exploration plan include geophysical activity requiring a
power generator, line cutting (where the width of the line is 1.5 metres or less), mechanized drilling for
the purposes of obtaining rock or mineral samples (where the weight of the drill is less than 150
kilograms), mechanized surface stripping (where the total combined surface area is less than 100 square
metres), and pitting and trenching of rock (where the total volume of rock is between 1-3 cubic metres).
Early exploration activities that require an exploration permit include line cutting (where the width of
the line is greater than 1.5 metres), mechanized drilling for the purposes of obtaining rock or mineral
samples (where the weight of the drill is greater than 150 kilograms), mechanized surface stripping
(where the total combined surface area is greater than 100 square metres), and pitting and trenching of
rock (where the total volume of rock is greater than 3 cubic metres).
Noront applied for an exploration permit, for mechanized drilling with drills weighing greater than 150
kilograms, on mineral claims 3012259 and 3012264 (those that host the Blackbird and Eagle’s Nest
deposits) on February 15, 2013. This exploration permit submission was passed to the Aboriginal
communities that would potentially be affected by this exploration and following no objections to this,
the Province of Ontario granted Noront an exploration permit on these claims on April 19, 2013. This
exploration permit is valid for three (3) years, and can be renewed after that time. As well, if Noront
chooses to make changes to the exploration activities to take place (such as type, location, or scale) this
exploration permit can be amended at any time.
In September 2013, Noront also applied for a second exploration permit, as well as an exploration plan,
to cover nearly all of the Company’s claims in the Ring of Fire area, and to include such activities as
geophysical surveys requiring a generator, diamond drilling, and line cutting. In December 2013, the
MNDM decided to elevate Noront’s exploration plan to a permit, leaving Noront with two exploration
permit applications. After the MNDM was notified by Neskantaga First Nation that the area of Eagle’s
Nest is a significant historical and traditional area for them, the MNDM determined that additional time
was required to perform an investigation of this assertion. As a result, the permit application process
was put on hold. Despite rigorous efforts through continued consultation by Noront, to date (March
2015), the permit application process is still on hold and no exploration permit has been granted to
Noront.
28
Socioeconomic Setting, Accessibility, Local Resources, and Infrastructure
The Project is located in a remote part of northern Ontario that has seen little or no development. The
mine site and proposed all-season road are located within the First Nation traditional lands, and the
communities closest to the mine include the Webequie First Nation (80 km to the west), Marten Falls
First Nation (130 km to the southeast) and Neskantaga First Nation (80 km to the southwest). Other
communities in proximity to the mine site and all-season road corridor include Nibinamik First Nation,
Eabametoong First Nation, Mishkeegogamang First Nation, and Pickle Lake. The Attawapiskat First
Nation, a member community of the Mushkegowuk Tribal Council, is located approximately 250 km to
the east and downstream of the project.
The trans-load facility is located near the community of Savant Lake, as well as the Ojibway Nation of
Saugeen, a politically independent First Nation community.
Most of the above communities are remote and are accessible year-round by scheduled and chartered
aircraft. A network of winter roads connects the communities to the Northern Ontario Resource Trail
northeast of Pickle Lake. The communities have a proud First Nation heritage and rely to some degree
on subsistence activities including fishing, hunting and trapping. A side road to the winter road from
Moosonee to Attawapiskat was built to service the Victor diamond mine site operated by De Beers
Canada, and is located approximately 160 km east of the Eagle’s Nest property.
Other regional land use activities in the area include recreational activities, consisting mainly of tourist
lodges and fly-in hunting and fishing camps. The Otoskwin/Attawapiskat River Provincial Park is used
for water sport activities, such as rafting and canoeing. More recently, the Ring of Fire area has been
recognized for its mineral potential and exploration has become a prominent activity over the last
decade.
Thunder Bay is the closest major regional centre, located approximately 530 km to the southwest of the
mine site and 370 km from the trans-load facility.
Regional access to the Eagle’s Nest property is currently from Nakina, 300 km to the south, where there
is a paved, 3,880-ft airstrip, in addition to all weather roads and railroad. Charter air service to the
property is available with West Caribou Air Service, Nakina Air Service and Wasaya Airways.
Year-round operations performed by Noront are based at the Esker Camp, which is located
approximately 1.5 km northeast of the Blackbird project and 300 m northeast of the Eagle’s Nest
project. Direct access to the property is by helicopter in summer and with snowmobiles or small trucks
in the winter. Access to Esker camp is through Koper Lake. Alternative access is from the original
McFaulds Lake exploration camp established on McFaulds Lake, which is accessible to float and skiequipped aircraft, and is approximately 18 km north northeast of the Eagle’s Nest deposit. Alternative
access is also via Webequie by helicopter. Small ponds closer to work areas may form potential winter
ice strips. Advanced programs require helicopter support for moving equipment and transporting
personnel and supplies.
29
Biophysical Setting, Climate, Physiography, and Flora-Fauna
The regional study area is underlain by Precambrian rocks of the north-western part of the Archean
Superior Province, which is a part of the central region of the Canadian Shield. The project is located at
the boundary between the James Bay Lowlands and the Canadian Shield. Surficial material in the
region consists of unstratified post glacial till interspersed with bedrock outcrops and stratified till. The
surficial material at the project site is predominantly silty clay loam, of marine and lacustrine origin,
overtop coarser sands of an esker deposit. Soil development in the region varies depending on drainage.
Low lying areas consist of organic soils, while better drained soils are regosolic.
The James Bay Lowlands area of northern Ontario has a humid continental climate with cool short
summers and cold long winters. The area has a perihumid high boreal ecoclimate and does not
experience a dry season. The local climate is affected by the proximity to Hudson Bay and James Bay.
Fog is common in the early morning and may last all day during the summer months. There are usually
1 or 2 days of dense fog in the summer that restrict the use of aircraft. There are typically 2 or 3 days
during the winter months when snow storms restrict activity in the region. The following weather
statistics are based on data collected from the Environment Canada meteorological station at
Lansdowne House (approximately 130 km to the southwest) from 1971 to 2000.

Summer daily temperatures are generally between 10 °C and 20 °C with a mean July
temperature of 12 °C and a mean maximum summer temperature of 22 °C. The extreme
maximum summer temperature is 37 °C;

Winter daily temperatures are generally between -10 °C and -30 °C with a mean January
temperature of -21 °C and a mean minimum temperature of -27°C. The extreme winter
minimum was -48 °C on January 19, 1943;

The period from mid-June to mid-September is generally frost free; Lakes start to freeze in midOctober and start to thaw in mid-April;

The average annual precipitation is 699.5 mm with approximately 241.6 mm falling as 2.416 m
of snow. Measurable precipitation falls on an average of 169 days during the year with snow
falling on 89 of those days. The average snow depth is 65 cm in February; and

Winds average between 13-17 km/hour depending on the month, and blow from the west to
northwest in the winter and from the west to southwest in the summer. In May, however, winds
are predominantly from the northeast. Easterly winds commonly bring fog from James Bay and
are associated with heavy precipitation.
Surface water includes water accumulating on the ground in wetlands, lakes and streams. The Project
Area is situated within the Attawapiskat, Ekwan and Winisk watersheds. The Attawapiskat watershed is
approximately 56,589 km2, the Ekwan watershed is approximately 51,943 km2 and the Winisk
watershed is approximately 79,485 km2. Both the Attawapiskat and Ekwan watersheds drain northeast
into James Bay while the Winisk watershed flows north into Hudson Bay. Streams in the study region
are low gradient and have low velocity flow throughout most of the year. The stream banks are typical
of low gradient streams and well defined by earth, boulders, bedrock outcrops and natural levees.
Beaver dams are common features on small to medium sized streams.
30
The Eagle’s Nest Project is located within the Boreal Forest region of Ontario. The eastern part of the
Project Area, including the proposed mine site, is located in the James Bay Lowland Ecoregion, and the
western part, including the access roads, is located in the Big Trout Lake Ecoregion.
Spruce boreal forest and expansive wetlands dominate the landscape in the region. The terrain is
generally low gradient with large wetland areas, several lakes and ponds, and slow flowing, often
meandering streams and rivers. Upland areas are common along river banks and associated with glacial
till deposits. These areas, with contrasting vegetation due to much better drained soils, constitute a
relatively low percentage of the landscape in the area of the proposed mine site. Poplar trees dominate
upland glacial till deposits, while dense spruce trees typically dominate on stream and river banks.
The mine site area is part of the Muketei River watershed which drains north into the Attawapiskat
River. The Otoskwin/Attawapiskat River Provincial Park is located approximately 20 km to the east
along the Attawapiskat River.
The all-season transportation corridor transitions from a wetland dominated environment near the mine
site to Canadian Shield boreal forest approximately 100 km west of the mine site. The trans-load
facility is located at a previously cleared site with exposed sandy soil and shrub type vegetation. The
surrounding land-cover is predominantly mixed Boreal forest.
Baseline studies have identified approximately 190 plant species and 21 forest ecosystem types along
the proposed transportation corridor. Common understorey plant species include feathermoss, Labrador
tea, bunchberry, twinflower and velvet-leaf blueberry.
A total of 16 mammal species has been documented in the project study area including, woodland
caribou, moose, wolf, black bear, wolverine, beaver, muskrat, snowshoe hare, marten, fisher, mink,
otter, red fox and lynx. Moose, marten and beaver are the most important economically. Mammal
species at risk are the wolverine and woodland caribou, both of which are threatened.
Noront is a member of the MNR working group which aims to develop resource selection modelling
for caribou in the Ring of Fire region. Local and regional study areas will identify the potentially
affected caribou range or ranges and cumulative effects of the Eagle’s Nest project and other
developments in the region will be assessed as directed by the Ontario Caribou Conservation Policy.
Regional bird survey have documented the presence of 76 bird species of which the five most abundant
breeding species are the Swainson’s thrush, yellow-rumped warbler, ruby-crowned kinglet, whitethroated sparrow and white-winged crossbill. Shorebirds include species of sandpiper and greater
yellowleg. Raptors include bald eagle, osprey, sharp-shinned hawk, red-tailed hawk and northern
harrier. Species at risk in the special concern category are the bald eagle, Canada warbler, common
nighthawk, olive-sided flycatcher and rusty blackbird.
The only reptile that has been observed in the project area is the eastern garter snake. Amphibians also
noted in the atlas data are American toad, boreal chorus frog, gray treefrog, green frog, mink frog,
northern leopard frog, spotted salamander and spring peeper.
31
History
Early geological work in the McFaulds Lake area was conducted by the Geological Survey of Canada
and the Ontario Department of Mines. Exploration activities focused on diamonds and occurred
sporadically between 1959 and 1990 and resulted in Monopros, the Canadian subsidiary of De Beers,
discovering the Attawapiskat kimberlite cluster in 1988.
In the early to mid-1990s, joint venture partners Spider Resources Inc. (“Spider”) and KWG Resources
Inc. (“KWG”) discovered the Good Friday and MacFayden kimberlites in the Attawapiskat cluster, as
well as the five Kyle series kimberlites to the northeast of the McFaulds Lake properties. The first
volcanogenic massive sulphide (VMS) deposits (McFaulds No. 1 and No. 3) were discovered in 2001
by follow-up drilling. The discovery of these deposits, and the recognition of the region as a poorly
exposed greenstone belt, led to the identification of six additional VMS deposits in 2003. Subsequent
geophysical surveys carried out between 2004 and 2006 identified magnetic high targets that were
drilled in 2006 by Probe Mines Ltd. (“Probe”) on ground currently held by Noront, confirming the
presence of ultramafic rock and highlighting the potential for Ni-Cu-Cr-PGE mineralization in the area.
Noront discovered the Eagle One (now termed Eagle’s Nest) magmatic massive sulphide (MMS)
deposit while searching for VMS mineralization in late 2007. Follow up testing of other airborne
anomalies led to the discovery of the Eagle Two shear-hosted sulphide occurrence and the AT12
sulphide occurrence. During the drilling of the Eagle Two sulphide occurrence, the Blackbird Chromite
deposits were discovered, and were found to be hosted by the same ultramafic complex as Eagle’s Nest
and Eagle Two. The most recent discoveries by Noront in the ultramafic complex are the Thunderbird
vanadium and Triple J gold occurrences.
Noront staked the Double Eagle claims in March 2003, following the Spider/KWG VMS discoveries.
The Double Eagle property is now referred to as the Eagle’s Nest-Blackbird (ENB) Complex. Noront
optioned the ENB Complex claims to Hawk Precious Minerals Inc., (now Hawk Uranium Inc.), which
in turn optioned them to Probe. Probe completed an exploration program in early 2006 with 11 holes
and returned the ENB Claims to Noront in early 2007.
The first mineral resource estimate completed in the area was for the Eagle One deposit (subsequently
renamed Eagle’s Nest) and was prepared by P&E Mining Consultants Inc. (“P&E”). It is discussed in
the report titled “Technical Report and Resource Estimate on the Eagle One Deposit, Double Eagle
Property, McFaulds Lake Area, James Bay Lowlands, Ontario, Latitude 52º45’ N, Longitude 86º17’
W”, with an effective date of July 3, 2008 and a signing date of August 14, 2008 (P&E, August 2008).
Subsequent to that report, P&E then prepared a preliminary economic assessment for the Eagle One
deposit, in their report titled “Technical Report and Preliminary Economic Assessment on the Eagle
One Deposit, Double Eagle Property, McFaulds Lake Area, James Bay Lowlands, Ontario”, with an
effective date of October 20, 2008 and a signing date of December 4, 2008 (P&E, December 2008).
Micon International Ltd. (“Micon”) prepared mineral resource estimates for the Blackbird Chromite
deposits in 2010, and presented the estimates in the report titled “Technical Report on the Mineral
Resource Estimate for the Blackbird Chrome Deposits, James Bay Lowlands, Northern Ontario,
Canada”, with an effective date of December 31, 2009 and a signing date of January 22, 2010 (Micon,
January 2010).
32
Golder Associates Ltd. (“Golder”) prepared mineral resource estimates for the Eagle’s Nest deposit in
2010, and presented the estimates in the report titled “Technical Report and Resource Estimate,
McFaulds Lake Project, James Bay Lowlands, Ontario, Canada”, dated April 23, 2010 (Golder, April
2010). In that report, Golder also presented the Blackbird resource estimate as provided by Micon.
In 2010, Micon prepared a preliminary assessment report for the McFaulds Lake property, in the report
titled “NI 43-101 Technical Report Preliminary Assessment, McFaulds Lake Property, Eagle’s Nest
Project, James Bay Lowlands, Ontario, Canada”, with an effective date of September 9, 2010 and a
signing date of October 22, 2010 (Micon, October 2010).
In 2011, Micon prepared a mineral resource estimate for the Eagle’s Nest deposit, to follow up on work
done by Golder. They presented the estimate in the report titled “Technical Report on the Updated
Mineral Resource Estimate for the Eagle’s Nest Property, McFaulds Lake Project, James Bay
Lowlands, Ontario, Canada”, with an effective date of March 4, 2011 and a signing date of April 18,
2011 (Micon, April 2011).
In 2011, the Corporation announced a mineral reserve estimate for the Eagle’s Nest Deposit. This was
described in, and is a part of, a Micon preliminary feasibility study for the Eagle’s Nest deposit, entitled
“NI 43-101 Technical Report Pre-Feasibility Study, McFaulds Lake Property, Eagle’s Nest Project,
James Bay Lowlands, Ontario, Canada”, with an effective date of August 23, 2011 and a signing date
of October 6, 2011 (Micon, October 2011).
In 2012, Micon prepared an updated technical report and mineral resource estimate for the Blackbird
Chromite deposits in the report titled “Technical Report on the Updated Mineral Resource Estimate for
the Blackbird Chrome Deposits, McFaulds Lake Property, James Bay Lowlands, Ontario, Canada”,
with an effective date of December 31, 2011 and a signing date of May 4, 2012 (Micon, May 2012).
On September 4, 2012, the Corporation announced the release of the Eagle’s Nest Feasibility Study in
the report titled “Noront Resources Ltd., McFaulds Lake Property, Eagle’s Nest Project, Feasibility
Study” with an effective date of September 4, 2012 and a signing date of October 19, 2012 (Micon,
October 2012).
On December 20, 2013, the Company completed a coordinated Federal & Provincial EIS/EA for its
Eagle’s Nest Project. A draft copy was circulated for comment to the CEAA and the Ontario MOE. A
copy is also available on the Company’s website for comment by interested parties. The Company is
working with the provincial government, federal government and regional stakeholders through the EA
process to allow for final EA approval in 2014. The Company will also be applying for the necessary
permits to allow for development and mining operations.
Geological Setting
Regional Geology
The McFaulds Lake area is underlain by Precambrian rocks of the north-western part of the Archean
Superior Province. The Superior Province is a part of the central region of the Canadian Shield and is
the world's largest continuously-exposed Archean craton. The north-western Superior Province is
33
composed of a series of major Mesoarchean volcanic and plutonic belts trending from east to west that
each formed as separate microcontinents <3.0 Ga (billion years) ago, and are separated by younger
Neoarchean metasedimentary belts and crustal-scale faults. Lateral transport of the microcontinents,
through convergence and subduction of the oceanic crust between them, eventually led to their collision
and amalgamation to form the current geometry of the Superior Province.
Local and Property Geology
The McFaulds Lake area and its associated mineral deposits and occurrences lie within or immediately
adjacent to the McFaulds Lake Greenstone Belt, which is located at the eastern limit of exposure of the
Oxford-Stull domain. This domain runs east-southeast along the northern margin of the North Caribou
terrane of the western Superior Province, from northwestern Manitoba to north-central Ontario, where
it then extends under the Paleozoic cover rocks of the James Bay Lowlands. Uranium-lead zircon
analyses of volcanic and plutonic rocks near and within the McFaulds Lake region, including Noront’s
project areas, give ages from 2.813 Ga to as young as 2.683 Ga. However, the tectonic and magmatic
history of the greenstone belt and surrounding host rocks is not yet fully understood due to the lack of
exposed rocks, and regional and local interpretation of the geology is done almost exclusively through
geophysical and diamond drill hole data.
To summarize the depositional setting of the Eagle’s Nest – Blackbird – AT12 – Thunderbird area, a
major ultramafic (komatiitic) magmatic event (the ROF Intrusion, 2734.5 +/- 1.0 Ma; Ma refers to
millions of years) was emplaced into an older suite of subvolcanic tonalitic to granodioritic intrusions
(between 2773.37 +/- 0.86 Ma and 2772.36 +/- 0.73 Ma) and related arc-related volcanic rocks (2770.7
+/- 0.8 Ma).
A key feature of the McFaulds Lake area is a prominent linear magnetic high that is continuous for up
to tens of kilometers, and forms a semi-circle open to the west, ~60 km in diameter from north to south,
as seen on the regional airborne magnetic anomaly maps. This prominent linear magnetic high is
referred to as the Ring of Fire (ROF). The ROF itself has been interpreted as a regionally extensive iron
formation that was deposited along the margins of a regional scale granodiorite pluton, which itself had
been intruded into and caused doming of supracrustal rocks of the Oxford-Stull domain (primarily
subvolcanic and volcanic felsic units). Along the length of the ROF iron formation, it is generally
intercalated with mafic to intermediate lavas and tuffs and intruded by a variety of mafic to
intermediate sills and dykes. The high magnetic susceptibility of the ROF is predominantly due to the
presence of silicate- and oxide-facies iron formation that locally contains laminated to massive beds of
pyrrhotite and pyrite.
At its deepest structural levels, the ROF Intrusion (2734.5 +/- 1.0 Ma) comprises peridotitic to dunitic
dykes of the Eagle’s Nest – Blackbird Complex. These ultramafic bodies cut through older tonalitic to
granodioritic intrusions (that structurally underlie the ROF iron formation), and then up through the
iron formation and into the overlying metavolcanic rocks, settling as sill-like ultramafic bodies (again
of the Eagle’s Nest – Blackbird Complex) comprising dunite, chromitite, orthopyroxenite, and
ferrogabbro. At its highest levels, the complex includes a layered intrusion containing layers of norite,
leuconorite, anorthosite, ferrogabbro, and magnetitite (e.g. in the Thunderbird area). Finally, the entire
ultramafic complex is structurally overlain by essentially coeval metavolcanics (2737 +/- 7 Ma) which
host the McFaulds Lake Cu-Zn VMS occurrences.
34
The current theory for the formation of the Eagle’s Nest magmatic sulphide deposit, as well as other
nearby sulphide and chromite deposits, is that a mantle plume appeared beneath the margin of the North
Caribou microcontinent around 2735 Ma. Passing up through extensional faults, the ultramafic
komatiitic parental magma interacted with sulphide-bearing metasediments (including iron formation),
causing saturation with sulphide liquid and the collection of massive to net-textured magmatic
sulphides in short-lived orthocumulate-textured mush zones at the bases of dykes (Eagle's Nest, Eagle
Two, AT12 deposits). In places, these feeders formed into substantial sills, and in these sills, chromite
and olivine segregated into layers and lenses from the highly contaminated komatiite magma
(Blackbird, Black Creek, Big Daddy, Black Thor, Black Label deposits). The magma residual to the
deposition of the sulphide, dunite, chromitite, peridotite and pyroxenite crystallized as a layered
intrusion, leading to the deposition of norite, anorthosite, ferrogabbro, and V-rich titanomagnetite
layers (Thunderbird deposit). Heat-driven circulation of hydrothermal fluids through the older, preexisting and overlying sedimentary and volcanic rocks caused the deposition of massive Cu-Zn
sulphide mineralization (VMS) where these fluids vented at the sea floor during volcanism. Subsequent
metamorphic fluid flow through shear zones caused the formation of mesothermal Au mineralization in
the Triple J Gold occurrence directly adjacent to the Blackbird and Eagle Two deposits.
The Eagle’s Nest deposit is a subvertically dipping body of massive and net-textured magmatic
sulphide minerals (pyrrhotite, pentlandite, and chalcopyrite) and magnetite in the form of a sheet about
200 metres long, as much as several tens of metres thick, and at least 1000 metres deep. It strikes
northeast-southwest and occupies the northwestern margin of a vertically inclined serpentinized
peridotite dyke. Near the surface, the massive sulphides are confined to the northwestern edge of this
intrusive body, and are bordered to the south and southeast by thicker zones of net-textured sulphides,
which are hosted by serpentinized peridotite. At depth, there are occurrences of massive sulphides
further to the east within the dyke, although they tend to be concentrated near the western and northern
extremities. The dyke is closed off both at its northern and southern ends and plunges vertically or very
steeply to the south.
Exploration and Drilling
Since Noront acquired the claims that include the Eagles’ Nest, Blackbird, Triple J, Eagle Two, AT12
and Thunderbird occurrences in 2003, there have been a total of 16 geophysical surveys undertaken, as
well as an 11-hole diamond drill program completed by Probe in 2006, and continuous and on-going
drilling by Noront since 2007. A more complete description of the historical geophysical surveys is
provided in the Eagle's Nest Feasibility Study and the Blackbird Resource Update.
Helicopter-Towed Aeromagnetic Gradient Survey (Heli GT), 2014
From June 20 to 25, 2014, Scott Hogg & Associates Ltd. was contracted to carry out a helicopter-towed
aeromagnetic gradient survey (“Heli-GT”) over the Eagle’s Nest – Blackbird property. This survey was
the first aeromagnetic survey flown over the property since 2010. It was flown on a north-south and
east-west line orientation, the orientation of which had not been flown by any previous survey. This
was done to highlight any geological lineaments or anomalies that could have been missed by the
previous surveys, due to their preferred flight line orientation. A total of nearly 4,000 line kilometres of
data was collected.
35
Ground Gradient and Insight Section Array and Resistivity (IP) Surveys; 2011 and 2012
From January 8, 2011 through March 10, 2011, and from September 18, 2011 through March 22, 2012,
Insight Geophysics Inc. was contracted by Noront to perform Gradient and Insight Section Induced
Polarity (IP) and Resistivity surveys on selected areas within Noront’s McFaulds Lake property. The
AT12 area was the primary focus of the surveys, but additional work was done over the Eagle’s Nest
and Blackbird deposits, as well as the AT1, AT2, AT3 and AT5 anomalies. A total of approximately
138 km of gradient array surveying was completed over the Grid 1 area and over the AT12 area. A total
of 23 Insight sections were read on Grid 1 and 13 Insight sections were read on the AT12 grid, totalling
29.15 km. The surveys were time domain induced polarization and resistivity surveys with gradient and
Insight section arrays. The Tx dipole spacing was variable between 200 and 3000 m, and the Rx dipole
spacing was 50 m for gradient and 25 m or 12.5 m for Insight sections. Gradient and section maps of
the apparent resistivity and total chargeability at scales of 1:5000 were created and submitted to Noront
upon completion of the surveys.
Details pertaining to all other geophysical surveys, including procedures, parameters, investigations and
results can be found in the Eagle's Nest Feasibility Study (Micon 2012) and the Blackbird Resource
Update (Micon 2012).
Drilling
Noront has been drilling continuously in the Ring of Fire since acquiring the Condor claims in May
2007. Details pertaining to the types and extents of drilling from all years past, including procedures
followed and interpretations, can be found in the Feasibility Study (Micon 2012) and the Blackbird
Resource Update (Micon 2012). No drilling was undertaken in calendar 2013 or 2014. The following
table summarizes the drilling completed to December 31, 2014, the end of the fiscal year.
TABLE 1: ANNUAL DRILLING SUMMARY AT RING OF FIRE
Calendar
Year
Target
Eagle’s Nest
2007
Eagle’s Nest
2008
Blackbird
AT12
Anomaly Drilling
Thunderbird
Joint Ventures
2008 Subtotal
Eagle’s Nest
2009
Blackbird
AT12
Anomaly Drilling
Thunderbird
36
Number Metres
of Holes Drilled
29
5383
17
6182
62 26922
23
6063
23
7060
1
346
13
2986
139 49559
44 26576
92 25478
12
4722
28
7274
5
2227
2010
2011
2012
Joint Ventures
2009 Subtotal
Eagle’s Nest
AT12
Anomaly Drilling
Geotechnical Drilling
Overburden Drilling
Groundwater Monitoring Wells
2010 Subtotal
Eagle’s Nest
Blackbird
AT12
Anomaly Drilling
Thunderbird
Groundwater Monitoring Wells
2011 Subtotal
Eagle Two (Blackbird)
AT12
Overburden Drilling
Eagle’s Nest Infrastructure Drilling
Eagle’s Nest Groundwater Monitoring Wells
2012 Subtotal
TOTAL
4
930
185 67207
34 24104
8
3789
15 10336
6
2785
91
1237
7
100
161 42351
3
853
48 22243
8
4443
6
3643
2
788
11
149
78 32119
4
2443
3
2346
15
67
43
4356
7
60
72
9272
664 205891
Mineralization
The mineralization of the Eagle’s Nest deposit is comprised of massive and net-textured sulphides with
little to no disseminated sulphides. Massive sulphides at Eagle’s Nest are comprised of pyrrhotite,
pentlandite, and chalcopyrite, with subsidiary amounts of magnetite. At peak metamorphic conditions,
all the nickel, and perhaps all the copper, was probably present within a homogeneous monosulphide
solid solution. The pentlandite probably nucleated and grew during retrogression from peak
metamorphic conditions, and its occasional habit of forming along the margins of fractures probably
indicates that it was more easily nucleated on discontinuities. It is important to recognize that the
extreme deformational textures that may have existed in the sulphide at peak conditions will have been
erased by recrystallization.
Net-textured sulphides are characterized by a closely-packed orthocumulate-textured framework, the
interstices of which are fully occupied by sulphide minerals. This arrangement is generally understood
to result from the invasion of a silicate crystal blend by dense immiscible sulphide melt that has
effectively expelled all the interstitial silicate melt.
The voluminous amount of sulphide and ultramafic cumulates present at Eagle’s Nest indicate that it
was formed in a magmatic conduit. It is believed that sulphides left behind were due to a through-going
volume of magma much greater than what is presently represented in the intrusion. The mafic chilled
37
margins can be interpreted to represent samples of the liquid from which the intrusion formed; the
ultramafic rocks are cumulates that were gleaned from large volumes of mafic liquid that deposited
small increments of olivine and pyroxene as it passed by.
Present research shows that in order to form a mass of immiscible sulphide liquid on the scale observed
at the Eagle’s Nest deposit, a mafic or ultramafic magma must have become contaminated by sulphiderich crustal rock. At the present level of exposure, the mineralized intrusion is entirely surrounded by
sulphur-poor felsic intrusive rocks, leaving the origin of the required sulphide in doubt. The presence of
abundant magnetite-rich xenoliths in the intrusion, however, has been interpreted as recording a
previous episode of assimilation of iron formation, which may have added sufficient sulphide to the
magma to induce sulphide liquid saturation.
The AT12 mineralization occurs mainly as disseminated sulphides, typically pyrrhotite-pentlandite with
lesser chalcopyrite, and some areas interpreted as thin sheets of sheared semi-massive sulphide
breccias. There are many instances in the AT12 mineralization of medium to very fine-grained massive
sulphide veins that are rich in inclusions (clasts) of silicates and which may display pronounced
gneissic foliation that wraps around the clasts.
The Blackbird chromite mineralization is restricted to the dunite and peridotite units of the ROF
Intrusion, and is not found within the feeder conduit that hosts the Eagle’s Nest Ni-Cu-PGM occurrence
or within gabbroic rocks. Chromite mineralization within the Blackbird deposits occurs in four main
forms: disseminated, banded, semi-massive and massive chromitite. In the host ultramafic rocks there is
abundant disseminated and isolated chromite chains within the grey talc altered or green serpentinized
host rock. The modal abundance of disseminated chromite varies from less than 1% to 25%.
Chromite crystals tend to form small chains and clusters once the modal abundance is greater than
roughly 7%. When chromite is greater than 25%, the rock displays antinodular texture, with submillimetric chromite crystals distributed around larger olivine pseudomorphs, usually 1-4 millimetres in
size. Within disseminated intervals, xenoliths of chromite or dunite occur. The dunitic xenoliths in
moderately disseminated chromite tend to be oval and rounded in shape and >1 centimetre in size. The
chromite xenoliths tend to be more angular and can be difficult to distinguish in drill core from small
scale massive beds when they are >5 centimetre in size. Current drilling results show that Cr:Fe ratios
can be as high as 2.2, but are usually between 1.8-2.1 within the massive chromitite beds depending on
their mineralogical characteristics. The overall lack of PGMs within the Blackbird deposits may be
explained by the proximity of the Eagle’s Nest sulphide deposit which is likely to have accumulated the
majority of the PGMs from the ultramafic intrusions.
The gold mineralization of the Triple J zone is still not fully understood. From the information gathered
thus far, the mineralization is generally constrained to foliated talc altered peridotite and altered
granodiorite within a metasomatized shear zone between the two units. Quartz stringers are often
common and in general appear to form along the foliation.
Mineralization encountered at Thunderbird occurs in vanadium-enriched magnetite hosted by
ferrogabroic units. The vanadium mineralization is characterized by euhedral disseminated magnetite
with lesser amounts of semi-massive magnetite, which occur as patches in the ferrogabbro. The
mineralization grades from 0.33% to as high as 0.64% V2O5, with an average of 0.3% V2O5. Titanium
dioxide (TiO2) is also associated with the magnetite, grading typically between 2.65% and 7.23% TiO2.
38
Drill holes at the centre of the ferrogabbro body tend to be more enriched in V2O5, whereas drill holes
closer to the periphery are more enriched in TiO2.
Sampling Method and Approach
The sampling method and approaches used by Noront was the same for all deposits. During drilling,
core was transported back (usually by helicopter) to Esker Camp (or the McFaulds Lake Camp for
holes NOT-08-1G001 to NOT-08-1G017 and NOT-07-001 to NOT-08-035) from each of the drill sites
at least once daily at morning shift change, for logging, sampling and sawing.
Once the core reached the camp, it was logged by one of the field geologists. Drill core logged from the
Eagle’s Nest deposit was identified as containing either disseminated, net-textured or massive sulphide
mineralization. Drill core from the Blackbird deposits was identified as massive chromite or strongly
disseminated chromite, if the interval was at least greater than 4 cm in length. These were sampled
separately from moderately to weakly disseminated chromite intervals. Intervals with sulphide
mineralization that was not associated with the chromite were also sampled separately.
Sample sizes were chosen based on geology and contacts between the different types of mineralization.
Typical sample intervals ranged from 1.0 to 2.0 metres but may have varied slightly at the discretion of
the geologist if zones exhibited homogenous mineralization. Each sample interval had a unique sample
tag. Barren host rock flanking mineralized zones was also sampled at 1.5 to 2.0 metres at the discretion
of the field geologist.
Since the fall of 2008, rock quality analysis data was also collected from the drill core and oriented as
accurately as possible prior to sampling by either the geotechnicians or geologists.
To ensure that the entire split core fit neatly into the core boxes, guide lines were drawn on assembled
core for core cutters to follow. Core to be sampled was sawn in half with one-half of the core placed in
plastic sample bags, sealed with tape and placed inside a plastic bucket. One half of the sample ticket
was left to remain in the box and was stapled to the box at the beginning of the sample interval. Sample
numbers were also written in grease pencil along corresponding sample intervals to ensure that
sampling was well-recorded in the core. Depth markers and original drill blocks were retained with the
split core and un-sampled whole core for future reference. Photographs of core were taken prior to
sampling.
Samples were arranged into typical batches of 35, which included Quality Assurance and Quality
Control (“QA/QC”) samples (blanks, 2-3 standards, one ¼ core duplicate, one coarse reject duplicate
and one pulp duplicate), and shipped along with a sample list inserted into each bucket including all of
the sample numbers in the batch. Once the bucket was full, the lid was hammered on and a security seal
was attached joining the bucket and lid. The buckets were flown to Thunder Bay via Nakina Air
Services.
No drilling, sampling, or recovery factors were encountered that would materially impact the accuracy
and reliability of the analytical results from drill core samples.
Once the samples arrived in Thunder Bay, they were transported to the Actlabs processing lab, then
onto the Actlabs analyzing lab in Thunder Bay. Finally, if needed, they were transported to Actlabs in
Ancaster, Ontario for further analysis.
39
Prior to the samples being processed at Actlabs (roughly in 2008), half the core samples were
transported to ALS Thunder Bay for prep and the pulps were forwarded to ALS Vancouver for
analysis. The other half of the core samples were sent to SGS Mineral Services in Toronto, an
independent laboratory, for preparation and analysis.
Sample Preparation, Analyses and Security
Prior to shipment for assaying, all samples were placed into rice bags that were closed with a security
seal and subsequently placed into a closed plastic pail. All samples awaiting shipment to Thunder Bay
were placed in the outbound cargo area at the project site. A strict chain of custody protocol was
followed during the transportation of all sample-bearing plastic pails to the assaying laboratory. No
aspect of the sample preparation was conducted by an employee, officer, director or associate of
Noront.
ALS Chemex
From 2007 to April 2008, half the core sampled was sent to the ALS prep laboratory in Thunder Bay
and then forwarded for analysis in Ancaster. Sawed drill half-core samples submitted to ALS Thunder
Bay were crushed in their entirety to 90% passing 2 millimetres and the crusher was cleaned with
barren rock between samples. From the coarse rejects a sub-sample of one kilogram was split and
pulverized to 85% passing 75 microns. The pulveriser was cleaned with silica sand between samples.
From each pulp, a 100-gram sub-sample was split and shipped to the ALS Ancaster. The remainder of
the pulp and the rejects were held at the ALS Thunder Bay.
The base metals of economic interest (Ni and Cu), were determined using a 0.2-gram aliquot that was
digested from a four-acid solution followed by inductively coupled plasma-atomic emission
spectroscopy (“ICP-AES”) or inductively coupled plasma-atomic absorption spectroscopy (“ICPAAS”). Samples assayed for Ag were digested using aqua regia (3-acid) followed by AAS. Samples
assayed for Au, Pd and Pt a thirty-gram fire assay, followed by ICP-AES finish.
SGS Mineral Services
In addition to samples submitted to ALS from 2007 to April 2008, half of the core was submitted to
SGS as a result of a back log of samples at ALS. The sawed drill half-core samples were crushed in
their entirety to 90% passing 2 millimetres and the crusher was cleaned with barren rock between
samples. From the coarse rejects a sub-sample of one kilogram was split and pulverized to 85% passing
75 microns. The pulveriser was cleaned with silica sand between samples. From each pulp, a 100-gram
sub-sample was split for assay. The remainder of the pulp and the rejects were held at the preparation
laboratory in Toronto for future reference.
The base metals of economic interest (Ni and Cu), were determined using a 0.2-gram aliquot that was
subjected a four-acid solution to digest the sample, followed by ICP-AES or ICP-AAS finish.
Following discussions with SGS, the method for Ni and Cu was changed to a sodium peroxide fusion
decomposition and analyzed by inductively coupled plasma optical emission spectroscopy (“ICPOES”), as it was believed by SGS that the results for Ni and Cu would be more accurate with this
method. Samples assayed for Ag were digested using aqua regia (3-acid) followed by AAS. Samples
assayed for Au, Pd and Pt were determined using a thirty-gram fire assay, followed by ICP-AES.
40
Actlabs
After April 2008, all samples were submitted to Actlabs preparation laboratory in Thunder Bay and
then transported to their lab in Thunder Bay for analysis, and then onto their lab in Ancaster for further
analysis if needed. The drill half-core samples received at the prep laboratory were sorted and verified
against the customer list to ensure that all samples were received and there were no discrepancies. The
sorted samples were dried in the original sample bags to ensure that any damp fines were not discarded
on transferral into drying containers. The samples were entered into the Laboratory Information
Management System (“LIMS”). Upon completion of sample analysis and being accepted by the
Actlabs analyst, they were entered into the LIMS system and approved. Reports were then generated
and a final quality control check by an independent person was performed (prior to October 2009). This
person also did the final certification of the data. Data was then reported to Noront. Since October
2009, QA/QC monitoring has been done on a real time basis by in-house geologists using the Century
Systems Technologies Inc. (“Century Systems”) QC module within DHLogger. CAE Mining Inc.
(“CAE”) purchased Century Systems in 2011. Other than Noront’s QA/QC protocols, the laboratories
utilized by Noront are ISO-certified and have their own internal checks for accuracy.
The sorted samples were dried at 60 C° in a large volume drying room. When dry, the samples were
then crushed in their entirety to better than 85% -10 mesh in a TM Engineering Terminator jaw crusher.
The sample was then riffle split and an aliquot is pulverized in a TM Engineering TM MAX2 ring and
puck pulveriser to 95% -150 mesh.
Samples analysed for chromite were pulverized still finer to 95% -200 mesh to ensure adequate fusion
for the analysis. A separate split of the reject was prepared in the same fashion and was designated as a
preparation duplicate (prep duplicate). Duplicates from pulps were designated as pulp duplicates.
Samples were routinely monitored to ensure that the required fineness was achieved as this was critical
to maintaining the required quality for the final analytical methods.
Analytical methods for assaying elements varied during the exploration program in order to better
detect specific elements (i.e. chromite). Most samples were initially assayed with a TD (total digestion)
ICP which provided a 35 element suite (including Cu and Ni). Ni and Cu were also analysed using a 4acid digest with ICP OES analysis, and Au, Pd and Pt were analysed using a FA (fire assay) with an
ICP finish. Prior to mid-2009, Cr203, Cr and Fe were analysed using instrumental neutron activation
analysis (INAA) which encapsulated the sample and irradiated it in a nuclear reactor. It was identified
by a chromite expert consultant for Noront in mid-2009 that chromite would be better analysed using
FUS (fusion) XRF. Samples with chromite were re-assayed using FUS XRF for Cr203, V2O5, Ni, Cu,
Co and loss of ignition (LOI).
Data Verification
A data verification review was completed for the Eagle’s Nest deposit (formerly called the Eagle One
deposit) in the first NI 43-101 technical report (Armstrong et al., 2008) that included a site visit and
sample collection by P&E QP, T. Armstrong, P.Geo., from April 8 to April 10, 2008. During the site
visit, the drill core was examined and 24 samples consisting of ¼ split core were taken from 15 drill
holes. Both the disseminated and massive sulphides were equally sampled across a range of grades on
an anonymous basis.
41
The samples were personally delivered to FedEx Courier in Thunder Bay and then to Actlabs
(Ancaster) for analysis. Samples were analysed by three methods to determine Ni content: 3-acid (aqua
regia) digest, 4-acid digest and a lithium metaborate fusion. It was identified that the 4-acid and lithium
metaborate fusion methods did not differ in their results apart from the analytical variability while the
3-acid method did not dissolve Ni contained in the silicates.
In addition, the QP from P&E assisted Noront by setting up and monitoring the QA/QC program for
drilling in 2007 (starting at hole NOT-07-05) until October of 2009, when Noront took full control of
the QA/QC program. The QA/QC program at that time consisted of the insertion of two certified
reference materials which monitored the lab accuracy on the Cu, Ni and PGE analyses, blank material
comprised of sterile granodiorite drill core and field (1/4 core) coarse reject and pulp duplicates.
The QC monitoring was done on a real-time basis, that is, as the lab certificates were received, the QC
data were graphed to ensure results were accurate as defined by a strict protocol determined between
T. Armstrong and the two labs (ALS and SGS). It was noted that likely due to the overextended
capacity of the labs, there were problems with the QC in that the certified reference materials were
often not meeting the required norms. This problem was noted and dealt with on a real-time basis and
work orders were re-run as required. Once the data were shown to have passed the QC, they were
transferred to the master database. All of the data in the master database met the QC requirements. It
was the opinion of the QP that the sample preparation, security and analytical procedures were
satisfactory (Armstrong et al., 2008).
Micon International Limited and Golder Associates Ltd. completed independent data verification
during their work in support of the Blackbird and Eagle’s Nest resource and reserve estimates,
respectively. Their findings are available in the Blackbird Resource Update and the Eagle’s Nest
Feasibility Study.
Quality Control Procedures
From drill hole NOT-07-05 and for the remainder of the drilling , a quality control program (“QC”) was
set up by P&E and instituted by Noront. Holes NOT-07-01 and NOT-07-02 were not covered by the
QC and holes NOT-07-03 and NOT-07-04 did not intersect mineralization.
The QC program involved the insertion of two certified reference materials that monitored the lab
accuracy on the Cu, Ni, and PGE analyses, blank material comprised of sterile granodiorite drill core
and field (1/4 core), coarse reject and pulp duplicates.
Since October 2009, QA/QC monitoring has been done on a real time basis by in-house geologists
using the Century Systems (as of 2011, now CAE Mining) QC module within DHLogger (at this point
in time, P&E was no longer associated with the QA/QC monitoring). The QC monitoring was done on
a real-time basis using the software, that is, as the lab certificates were received, the QC data were
graphed to ensure the results were accurate as defined by a strict protocol determined by the QP of
Noront and by Actlabs. It is to be noted that likely due to the labs’ overextended capacity there were
problems with the QC in that the certified reference materials were often not meeting the required
norms. This problem was noted and dealt with on a real time basis and work orders were re-run as
required. Since late 2010-early 2011, fewer and fewer certified reference materials analyzed by Actlabs
42
failed the QC
Q requiremeents, and theeir performan
nce increaseed. Once the data were sshown to havve passed
the QC, they
y were transferred to thee master dataabase.
Mineral Reesource and
d Mineral Reeserve Estim
mates
On August 23, 2011, th
he Corporatio
on announceed a minerall reserve estiimate for thee stand alonee Eagle’s
Nest deposiit, located at
a its McFau
ulds Lake Prroject in thee James Bayy Lowlandss, as part off the prefeasibility study
s
(Micon, October 2011). The mineral resserves were based on eeconomic paarameters
being applieed to resultss from the Updated
U
Miineral Resouurce Estimatte for the Eaagle’s Nest Property
from March
h 4, 2011 (M
Micon, Apriil 2011). Deetails of thee economic parameters can be founnd in the
summary off the Feasibility study in the followin
ng section.
The Measurred, Indicateed and Inferrred Mineral Resources ffor the Eaglee’s Nest depposit are sum
mmarized
in Table 2 and describ
bed in detaail in the Eagle's Nest Feasibility Study. Theese mineral resource
statements assume und
derground bu
ulk mining methods wiill be utilizeed to recoveer the entiree mineral
resource ly
ying within the mineraalized envellope, includding recoveery of the crown pillaar at the
completion of the underrground mining.
The Proven and Probable Mineral Reserves
R
for the Eagle’s Nest deposiit are summaarized in Tabble 3 and
described in
n detail in thee Eagle's Neest Feasibility Study.
TA
ABLE 2: EAG
GLE'S NEST MINERAL R
RESOURCE ESTIMATE
Mineral reso
ources are reeported inclu
usive of mineral reservess.
TAB
BLE 3: EAGL
LE'S NEST MINERAL
M
RE
ESERVE ESTIMATE
Micon noted
d that it is no
ot aware of any
a environm
mental, perm
mitting, legaal, title, taxattion, socio-ecconomic,
marketing or
o political issues, whiich would adversely
a
afffect the miineral reservve, estimated above.
However, th
here is no assurance thaat Noront wiill be successsful in obtaaining any oor all of the requisite
consents, peermits or app
provals, regu
ulatory or ottherwise, forr the project.. The reservee parameterss, such as
higher miniing dilutionss, poor metallurgical reccoveries andd low metal pprices, couldd individually and/or
collectively impact negaatively on th
he reserve estimates.
43
The key asssumptions an
nd parameteers used to convert
c
the m
mineral resoources to miineral reservves are as
follows:

Cut--off grade: 0.5% Ni;

Mining Dilution
n: 7%;

Mining Recoverry: 95%;

Metaallurgical recoveries to concentrate:
c
Ni = 90.9%
%; Cu = 93%;; Pt = 80%; aand Pd = 80%;

Costt per tonne milled:
m
$75.3
31 (mining $31.71;
$
proceessing $30.551; general aand administtration
$13..09); and

Metaal Prices: Nii = 9.08 /lb; Cu = 2.92 /lb; Pt = 1,4277 /oz; and Pdd = $344.7 //oz.
It should bee noted that the diluting material is not barren bbut contains nickel in thhe range 0.25-0.49%,
plus much lower
l
conceentrations off the other metals,
m
but nno additionall values werre included ffrom this
dilution rock
k.
The Measu
ured, Indicatted and Infferred Mineeral Resourcce for the Blackbird C
Chromite ddeposit is
summarized
d in Table 4 and described in detail in the Blackkbird Resourrce Update. T
That resourcce update
encompasseed the firstt mineral resource
r
esttimate for the Blackbbird Chrom
mite Depositt in the
Corporation
n’s NI 43-10
01 technical report entitled “Techniccal Report onn the Mineraal Resource Estimate
for the Blaackbird Chrrome Deposits, James Bay Lowlannds, Northeern Ontario,, Canada” ((effective
December 31,
3 2009; Miicon, January
y 2010).
TABLE
E 4: BLACK
KBIRD MINE
ERAL RESOU
URCE ESTIM
MATE
The reader is cautioned
d that the mineral
m
resou
urces presennted, which aare not mineral reserves, do not
nstrated econ
nomic viability. The estimate of minneral resourcces may be m
materially aff
ffected by
have demon
environmen
ntal, permitting, legal, title,
t
taxatio
on, socio-poolitical, markketing or other relevannt issues.
There are no
o guaranteess that Noron
nt will be succcessful in oobtaining anyy or all of thhe requisite cconsents,
permits or approvals,
a
reegulatory or otherwise for
f its projeccts. There is no assurancce that the anny of the
McFaulds Lake
L
Projectss will be placed into production.
44
Exploration Significance
The Eagle’s Nest Feasibility Study estimates a break even nickel cut-off grade of between 0.3% and
0.5%. To date, the Corporation’s exploration has focused on the discovery of nickel-copper sulphide
deposits with grades greater than 1% nickel, similar to that of Eagle’s Nest. The Corporation continues
to have a number of targets proximal to the Eagle’s Nest deposit that may be slated for follow up
drilling. The lower cut-off grade estimated by the Eagle’s Nest Feasibility Study increases the
exploration potential as large tonnage, low grade mineralization now becomes a viable exploration
target. The Corporation has already intersected long, low grade intervals of nickel-copper sulphide
mineralization at AT12 but has not focused on these areas as they were considered to be of limited
economic value.
Eagle’s Nest Development Project
Introduction
Readers are cautioned that the following description of the development activities at the Eagle's Nest
Project and the information contained in the Eagle's Nest Feasibility Study regarding planned or
anticipated mine development at the Eagle's Nest Project constitute forward-looking information. See
“Cautionary Statement Regarding Forward-Looking Information” in this AIF.
The Eagle’s Nest Project involves the construction, operation and closure of a proposed underground
mine, processing facility, and associated ore transportation and handling infrastructure. The Eagle's
Nest deposit is a vertically-oriented ore body, containing mineable quantities of nickel, copper,
platinum, and palladium. The deposit contains approximately 11.1 million tonnes (Mt) of proven and
probable mineral reserves and nearly 9 Mt of inferred mineral resources.
Based upon the proven and probable mineral reserves and on the results of the Eagle's Nest Feasibility
Study, the proposed mine and associated infrastructure will operate for 11 years at an ore production
rate of 2,960 tonnes per day (t/d). The processing facilities at the mine will produce a nickel-copperplatinum-palladium concentrate at a rate of approximately 420 t/d. Tailings from the processing will be
stored underground as cemented or un-cemented paste backfill in ore stopes and aggregate stopes. The
material taken from the aggregate stopes will be crushed and used for the constructing roads and other
surface infrastructure.
The concentrate will be shipped by truck from the mine site to a rail transfer facility (trans-load facility)
located near the community of Savant Lake, a distance of approximately 550 km. At the trans-load
facility, the ore will be offloaded from the trucks and loaded onto rail cars for shipment to existing
smelting/processing facilities located in eastern Canada via the existing Canadian National (CN)
railway.The Project includes the following key components:



A mine site
A transportation corridor
A trans-load facility
45
The current Project life is expected to be 16 years. The Project will comprise the following four phases
and approximate durations:




Construction (3 years)
Operation (11 years)
Closure (2 years)
Post-closure (a minimum of 5 years)
The post-closure monitoring phase is expected to be a minimum of 5 years or until mine closure
objectives are achieved.
Development Overview
Mine Site
The mine site will consist of the following key components:








Underground mine and processing facility
Underground tailings management and storage
Surface concentrate storage and transfer facilities
Surface supporting infrastructure (e.g., accommodations buildings, services complex, and
access portals)
Diesel power generation facilities and fuel storage areas
Waste and water management facilities
Aggregate rock stockpile and crusher
Explosives handling and storage facilities
Noront decided to locate several key mine site components underground, including the processing
facility and the permanent disposal areas for waste rock and tailings. This will minimize the Project’s
environmental footprint, as well as reduce the aggregate requirements and the cost associated with
establishing surface infrastructure in the wetland.
Noront plans to utilize a local airstrip for the movement of personnel and supplies to and from the mine
site. The airstrip is located north of the mine site on the east side of the Muketei River and will service
the Eagle`s Nest Project, as well as other mineral exploration and development projects in the region.
The airstrip has been permitted and will be constructed by a First Nation group.
The mine site development area includes all the underground and supporting surface facilities required
to develop and operate the mine. The mine will produce a nickel, copper, platinum and palladium
concentrate as well as aggregate from underground sources.
Construction at the mine site will begin by establishing the laydown areas, site roads, and the
development of the mine portal and ramp. Due to the lack of available construction material at surface,
aggregate for construction will be obtained from rock mined during the underground development. The
aggregate rock will originate from granodiorite adjacent to the ore body. Surface laydown areas will be
46
used to store construction equipment and materials. A sedimentation pond will be constructed to
receive groundwater pumped from the underground during initial mine development.
A permanent fly-in/fly-out accommodation complex will house workers. Potable water will be sourced
from groundwater wells, and sewage will be treated in a package treatment plant and discharged to a
local wetland that reports to the Muketei River. Personnel will be moved in and out of the camp using
the proposed First Nations-led local airstrip. During initial construction, the existing exploration camp
will be utilized to support mine site construction activities, until permanent camp facilities have been
established.
The underground mining operations will use electric powered equipment to the greatest extent possible.
As such, most of the mine’s mobile equipment will run on electricity rather than on diesel. This will
reduce the ventilation requirements of the mine, the volume of ventilated air to be heated and overall
diesel fuel consumption at the mine. Processing of the ore will occur underground and waste rock will
be used for construction purposes or disposed of underground. Tailings generated by the processing
facility will be thickened and converted into cemented and un-cemented paste backfill, which will
backfill ore stopes and aggregate stopes. No surface disposal of tailings will occur.
The mine operations will be a net consumer of water, mostly being stored in backfill. Water will be
recycled from mineral processes and will be generated by groundwater inflows into the underground
openings. As such, discharge from the mine process is not expected. The surface sedimentation pond
will collect runoff from surface infrastructure. Additional make-up water will be supplied by
groundwater wells.
At the mine site, closure activities will include the removal of all surface infrastructure and all
hazardous materials from the underground. The underground workings will be allowed to flood and the
portal will be blocked with a concrete cap. Development areas will be scarified and either re-vegetated
or allowed to re-vegetate naturally, as site conditions and climate allow.
Mining
The mining of the Eagle’s Nest deposit will be undertaken using bulk stoping techniques. The project
will commence with the mining of aggregate from underground development. This aggregate will be
used for surface infrastructure projects. The Eagle’s Nest deposit will be mined using highly automated
underground mining techniques and paste tailings will be used to fill mined voids. Aggregate stopes
will be used for additional storage of tailings. The project will take approximately 3 years to construct,
producing enough aggregate for site development requirements and providing some of the material to
develop the permanent road to site. The mine is anticipated to allow production of up to 3,000 t/d ore,
plus approximately 1,500 t/d of rock, and is expected to have a production life of 11 years. The total
mine construction cost is estimated at $148 million with an additional $50 million for the purchase of
mining equipment. Once in production, the workforce to operate the mine will be 162 people. Mine
productivity will be 27 t per person shift and the mine will have a final power requirement of 14 MW.
The Eagle’s Nest deposit is a sub-vertical zone of massive magmatic sulphides, containing high-grade
nickel-copper-platinum-palladium, in the form of a flattened pipe up to 60 m across and 200 m in
length along strike. It has been drilled to 1,125 m below surface at an indicated quality for a total
indicated mineral reserve tonnage of approximately 11.1 Mt. The surface elevation of the mine site is at
47
172 m above sea level. The majority of the host footwall and hangingwall rock is a strong to very
strong granodiorite. The mineralized zone is overlain by 3 to 20 m of generally saturated organic
matter, glacial till and sandy gravel. The designs assume the underground location of many facilities,
including mineral processing, utilizing the competent host rock around the deposit.
The deposit is well suited to vertical bulk mining using blast hole stoping techniques. Paste-like backfill
will be used to fill mined voids. Initial underground access will be by twin ramps from surface to the
processing plant level, followed by continuing twin ramps to the lower production levels. One of the
lower twin haulage ramps will be equipped for electric trucks, to enable efficient haulage from the
lower production levels. Conventional diesel truck haulage and ore passes will be utilized from the
upper production levels to the crusher at the process plant.
The process plant will be constructed underground 175 m below surface on 175 m L (mine levels
measured from surface) to take advantage of competent host rock. Another feature of the mine is the
development of aggregate rock stopes within the mine to produce crushed aggregate for the site and
local construction projects, and to allow storage of tailings not used as fill product underground.
The mine plan allows for defining the massive ore and mining it separately from the net-textured ore
and the mining method will use the most advanced proven technology available. Due to its geometry,
moderate grade and strong host rock, the deposit is ideally suited for vertical bulk mining using blast
hole stoping techniques.
Further details on the mining methods, production rate, geotechnical considerations (including rock
strength and rock mass classification, hydrogeological considerations, unsupported spans, ground
stresses, stope stability parameters, sand pillars, and stope stability), ventilation, backfill, dewatering,
primary access, mill and processing plant excavations, the ore production mining process, mining
equipment requirements, ore and waste handling, underground infrastructure, the mining schedule, and
utilities services for underground facilities can be found on pages 60-102 of the Eagle's Nest Feasibility
Study.
A schematic section of the underground infrastructure is shown below.
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Figure 2: Schematic Section of the Underground Infrastructure
Metallurgy and Processing
SGS-Mineral Services (SGS-MS) undertook preliminary metallurgical testing between 2009 and 2012
at the Lakefield testing facility on two composite samples submitted by Noront. These composites,
which were selected by Noront, were labeled “Comp 1”, which was made up of massive sulphide
mineralization and “Comp 2”, which was designated disseminated mineralization. The scope of the
testing program included grinding testwork, comprehensive mineralogical analysis, a series of
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developmental flotation testwork, flotation product (concentrates and tailings) characterization testwork
and preliminary magnetic separation tests.
A second program of work commenced in the second half of 2010 was completed by June 2011. This
work was used in the preparation of Feasibility Study process design criteria and final flowsheet
selection used by Outotec.
An additional phase of work was completed at SGS-MS during the latter part of 2011 and early 2012.
This phase included variability testing of samples representing the lower portion (below 750 m L) of
the mineral reserves at Eagle’s Nest.
The metallurgical test programs were managed by Noront and the results from this work were used to
develop the final Feasibility Study flowsheet, design criteria and equipment selection.
Process design is based on metallurgical test results and a 3,000 t/d (1,095,000 t/y) nickel-copper ore
processing plant. The process comprises conventional crushing, grinding, flotation and concentrate
dewatering to produce a single concentrate which, typically, will contain 10.2% Ni, 5.7% Cu, 19 g/t Pd,
5 g/t Pt, 1 g/t Au and 13 g/t Ag.
Concentrate will be pumped from the underground processing plant to surface where it will be
dewatered and loaded onto trucks for transportation to the rail head at Nakina, then on to a suitable
smelter in Northern Ontario.
Micon reviewed the flotation test data in order to model nickel, copper and platinum group metal
(PGM) flotation recoveries to head grade, ore-type and location (upper or lower zones). The nickel and
copper recovery models selected for the Feasibility Study used all relevant data from tests undertaken at
the final selected primary grinds, including the locked cycle tests (LCTs). These models were used to
predict average annual metallurgical recoveries for the entire mine life. The average estimated life-ofmine metal recoveries are 83.1% for Ni, 89.7% for Cu, 74.0% for Pt, 82.3% for Pd and 76.7% for Au.
Further details on the metallurgy, including testwork completed and mineralogy, can be found on pages
104-125 of the Eagle's Nest Feasibility Study.
Surface Infrastructure
The Eagle’s Nest Project will require the following key surface infrastructure components and site
services to support construction, commissioning and production for the planned operations:
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Site roads;
Process plant buildings (mine site);
Ancillary buildings (offices, truck shop, warehouse, etc.);
Maintenance complex;
Camp facilities;
Explosives storage area;
Airstrip building;
Fuel storage and distribution;
Power supply and distribution;
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Concentrate handling, storage and load out;
Waste management facility;
Water supply and distribution;
Surface water management; and
Sewage treatment and disposal.
The project site is divided into four main areas, the portal area, the camp area, the explosive storage
area and the airstrip. The project site is located in a region consisting primarily of muskeg where the
water table is close to surface creating a challenging condition for building foundations. To the extent
possible, the footprint of facilities has been minimized and structures have been located on the sandy,
more stable soils associated with groves of poplar trees. Site preparation for the facilities will require
minimal earthworks. Each structure will be founded on a single pad built on the surface of the muskeg.
The camp, explosive storage area and airstrip range from 1.5 km to 3 km from the portal area and all
areas are connected by site roads with an internal network of roads at each location. Site roads will be 8
m in width, and will be timber mat, geotextile based. Further geotechnical investigation will be required
to modify or optimize structural sections for both the site roads and site preparation.
Within the portal area, a process plant building will treat the concentrate pumped as slurry from the
underground processing facilities. Treatment on surface will include dewatering via pressure filter and
drying using a fluidized bed dryer to reduce the concentrate moisture from 8.0% to 0.3%. Dried
concentrate will then be cooled and pneumatically conveyed to storage bins as part of an automated
truck loadout system.
Located adjacent to the process building will be a power plant to service the electrical load
requirements for processing equipment, the underground mill and other surface infrastructure features,
such as the camp facilities and airstrip. The power plant will be designed for a continuous output of
21.3 MW which will be provided by dedicated diesel generators. A heat recovery system will be put
into place to recover thermal energy from the diesel exhaust, which will be used to heat buildings
located in the portal area, and to dry the concentrate.
Other ancillary buildings and site services included within the portal area include a fuel storage and
distribution area containing three diesel fuel storage tanks with a total capacity of 2,550 m3, fuel pump
house, a light truck shop, warehouse, incinerator-based waste management facility and modular offices.
A permanent camp facility will be located at the mine site to accommodate 300 people. The camp
facility will consist of modular, factory-built units ready for placement on concrete foundations, and
will include male/female dormitories, management quarters, recreation area, administration offices,
kitchen/dining area, laundry room and a staging area and a shuttle bus bay. Where necessary, Arctic
corridors will be provided to connect spaces to facilitate efficient and comfortable circulation of people.
Fresh water supply to meet requirements for the surface and underground facilities at the mine site will
be drawn from local groundwater aquifers. The fresh water intake system will consist of three
groundwater wells located at the portal area, as well as a separate local well to serve the explosives
storage area. Fresh water drawn from the wells will be collected in an above grade storage tank and
distributed by pumps for potable water feed, process cooling water, underground mill makeup,
firewater and general use water. The total fresh water use is estimated to be 150 m3/h. A central potable
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treatment system at the portal area will treat fresh water via ultrafiltration and UV disinfection, prior to
distribution to the portal area, camp facility and underground mine.
Sewage generated at the camp, the portal area, the Savant Lake loadout area, and the airstrip will be
treated via septic systems. Sewage generated at the camp facility will be treated via an above grade
rotating biological contactor package system prior to discharge to the environment.
Surface water management will be required at all four site locations and will be based around current
best management practices to:
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Control surface water in order to prevent pollution of clean or non-impacted water resources;
Divert excess runoff that may interfere with site operations; and
Control erosion of the site to limit sediment runoff that may negatively impact receiving waters.
Localized undisturbed catchments upstream of the project sites will be conveyed in diversion ditches
and returned back to natural drainage channels further downstream of the project areas. Diversion
ditches are designed for the 1 in 100 year storm event, plus snowmelt, with a minimum freeboard of 0.3
m. Internal site drainage within the project site footprints will be achieved via finished surface grading
and open channels/swales. Project areas will be graded to drain runoff towards storm water collection
ditches; with the ditches conveying runoff to sediment ponds. Internal site drainage collection ditches
are designed for the 1 in 25 year storm event, plus snowmelt. Sediment ponds for the respective areas
have been designed to capture runoff from the 1 in 10 year, 24 hour, rainfall event, plus snowmelt.
On May 9, 2012, the Ontario Government announced support for a North-South all-season road to the
Ring of Fire area. Subsequently, Noront adopted this as its base case for site access, and retained the
original East-West corridor as an alternative for accessing the site.
On November 20, 2013, Cliffs Natural Resources (“Cliffs”) announced that it was suspending its
chromite project in the Ring of Fire. As a result, the North-South all-season road route lost favour, and
Noront now retains the East-West corridor as its base case for site access.
Site Infrastructure
Nuna Logistics has provided preliminary design, construction planning/scheduling and capital budget
estimates for the access road and facilities infrastructure components related to the Eagle’s Nest
Project.
Their report reviewed the construction of the Esker Mine Site infrastructure civil works inclusive of the
following scope of work items:
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Mobilization/demobilization;
Clearing;
Site road and pad construction;
Airstrip and access road construction;
Fuel containment areas including HDPE liner;
Geo-grid procurement and installation;
Culvert installation;
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Camp and facilities (may not be required due to Noront-owned facility being available);
Site services and maintenance support; and
Helicopter and fixed-wing aircraft support for personnel movements.
The Eagle’s Nest proposed mine site consists of pads for infrastructure, site roads joining this
infrastructure and an airstrip capable of accommodating Hercules type aircraft. The roads and pads are
comprised of aggregate sourced from underground mining operations and crushed aggregate for
surfacing which will be produced adjacent to the portal. Since the underground workings are the source
of this rock, the development will commence local to the portal, then advance to the camp site,
explosives site, and the airstrip as material is extracted from the ramps.
Design criteria and basis of estimate were provided by Nuna to Noront in March 2012. The plan
provided by Nuna outlines the construction strategy and logic that was developed and utilized in the
preparation of the capital budget estimate with the associated scope of work.
Earthworks activities will include clearing, rough grading, sub grade preparation, surfacing, roads,
pads, diesel fuel storage containment, surface run off pond and an airstrip. Prior to the construction of
these facilities, clearing and timber salvage will be required.
The site road and pad areas will be stripped and the area is estimated to be 181,000 m3. The airstrip will
require clearing and timber salvage a minimum of 150 m by 3,370 m resulting in an area of 505,500
m2. Grubbing must also occur for the airstrip and the area has been estimated to be 370,000 m2.
Site Layout
One of the primary issues guiding site layout is the challenges of the muskeg soil in the area. The issue
is addressed by minimizing the footprint of facilities area and locating the facilities and associated
laydown areas on more sandy, stable soils associated with groves of poplar trees. The recommended
locations of various project facilities have taken advantage of the local topography.
Site Roads Route Selection
The terrain around the mine site area is generally flat. The main alignment and design issue is the
suitability of the natural ground for construction. Alignments were chosen for constructability,
durability and maintenance considerations. Roads built on unsuitable muskeg will require ongoing
maintenance and will need to have additional material continuously added to them. Where required, the
wetland road construction technique applies a modified road construction method whereby the felled
trees are placed across the road path (corduroy) and geotextile is applied to a wider road width so the
loads are spread across a greater width. The effect is to create a structure that exhibits a lower loading
(t/m2) than with typical road building. Successive layers of coarse rock and geotextile, the finer rock
and road bed are applied to prepare the structure. Culverts will be installed frequently along the road to
ensure the road does not halt the flow of water through the wetland.
The region encompasses a large general area dominated by swamp and muskeg. Due to the lack of
available geotechnical data, the basis of the geotechnical assumption for road alignment was governed
by the presence of poplar trees as identified in aerial photos of the area. In locations where poplar trees
are abundant, the ground is deemed more structurally sound and with a lower water table, based on the
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knowledge that the poplar roots best in soil that remains above the water table. Based on field
investigations, aerial photos and topographic data, the road alignment is along ridges with the most
developed and dense groupings of poplar trees. Actual construction of the roads may include some
alignment modifications based on actual field conditions encountered during the construction process.
As with the access road, site roads will follow higher ground to the greatest extent possible. An existing
ridge of poplar trees runs parallel to the river from the airstrip to west of the portal. This higher ground
will also be the location for the camp site.
The road from the portal to the explosives plant navigates a swamp filled area which has a deficit of
poplar trees. This alignment will require field adjustments based on the site conditions encountered
during construction. The explosives plant is located 1.5 km from the site facilities, as required by safety
regulations.
Site Road and Pad Construction
Site roads will be constructed to join mine site facilities and will be 8 m in width. Aggregate for this
construction will be sourced from stockpiles adjacent to the portal. Roads will be constructed running
west and then north to the camp complex and airstrip, and south to the explosives facility. Mine roads
will be built with a 1.25 m base course, topped with a 200 mm surfacing course and three layers of
biaxial geo-grid throughout the base course which is used to reinforce the road structure.
Mine site pads will be constructed with a similar cross-section, however only one layer of biaxial geogrid will be placed beneath the base course. Total amount of geo-grid is estimated to be 266,000 m3.
Slopes will be constructed at 2H:1V. The total aggregate needed to complete base and surfacing course
is estimated to be 30,000 m3 which is considered to be free issue from mine.
Site Road Drainage
Roadside swales will be designed with the capacity to convey the 1 in 10 year, 24-h storm event. These
swales will achieve a minimum sustained grade of 0.5% to ensure drainage and to prevent
accumulation of standing water.
Site roads will be designed with culvert crossings to allow surface run-off to pass under the road.
Culverts will be designed to convey the peak flow generated by the 1 in 100 year, 24-h storm event.
Process Plant Design
The process plant design concept adopted by Outotec was to minimize the width of the underground
openings by using a linear equipment layout.
Process Plant Building
The surface process facilities were designed and costed by Tetra Tech.
A process plant building for the surface process equipment measuring approximately 60 m long by 27
m wide will be installed on surface, adjacent to the power plant at the portal area. This building will
54
house surface process equipment for concentrate dewatering, drying/cooling and storage, handling and
load-out.
The process plant building will be a pre-engineered, steel type construction. This will allow for a high
level of modularization and preassembly prior to delivery to site which will decrease construction
requirements onsite. The close proximity to the power plant is intended to minimize piping
requirements for the heat recovery system between the power and process plants. Building heating will
be provided by hydronic unit heaters which will be powered by the heat recovered from the diesel
exhaust.
The process plant building will be equipped with three cranes in order to service the process equipment
within the building.
The process plant building will contain two separate compressed air systems:
 Instrument air; and
 Plant air.
All equipment installed within the process plant building will be serviced by two air compressors with a
design pressure and capacity of 860 kPA (125 psi) and 500 Nm3/h (294 cfm), respectively. The
instrument air system will contain an air dryer to meet downstream instrumentation requirements
The main consumers of the plant compressed air will be the three dust collectors in the process plant
building.
A separate compressed air system will be installed underground to supply compressed air to process
equipment and underground utilities.
Ancillary Buildings
The following requirements are considered for each respective ancillary building:
 Production Area: Modular offices (24 m by 64 m) include offices, conference room, lunch
room, and washrooms and will be hydronically heated;
 Production area: Pre-engineered, hydronically heated, light truck shop will be 58 m by 31 m by
6 m high and will include tire/lube/oil bay, welding/hydraulic hose shop, electrical shop. 2.5short ton monorails are also included;
 Portal area: Pre-engineered, electrically heated trans dock warehouse (24 m by 24 m by 5.5 m
high);
 Production area: Three electrically heated modular fuel pump houses (3 m by 3 m by 3 m);
 Airport building: Pre-engineered, electrically heated building (15 m by 8 m by 4 m high);
 Modular water pump and water treatment houses: Facilities will include enclosures for well
pumps and five collector pumps, one fresh water pump and one potable water pump; and
 Nakina office/service building: Electrically-heated modular building (12.095 m by 6.705 m)
will include offices, lunch room, washrooms, and electrical/mechanical service rooms.
The waste management and incinerator facility will be located downwind from the other facilities and
locations to prevent odor, smoke and ash from interfering with mine operation.
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The sedimentation pond will be placed at a lower elevation and a distance away from the other facilities
at the edge of what is known to be more stable soil. This location will allow for site expansion in the
future.
Portal Facilities Location
Immediately west of the portal will be an early works laydown area that will be used during portal and
ramp development. This area will be cleared of poplar trees and structurally built using a corduroy
design utilizing felled trees. This area will be used to store equipment for portal construction, early rock
crushing and stockpiling.
Permanent Surface Facilities
South of the portal is a gulley that extends east to west. The gulley will be crossed by a corduroy road.
This will lead to the production area located on a larger tract of stable ground where the permanent
surface facilities associated with rock crushing, power generation and processing of concentrate will be
located. The crusher and aggregate stockpiles will be located on the south side of the gulley as close to
the portal as possible to minimize haul truck travel and possible conflict with production traffic.
Facilities associated with the transport of concentrate will be placed further south and west of the
aggregate production area to eliminate traffic congestion with mine haul trucks.
The site buildings are located to both conserve space and utilize waste heat from the onsite power
generation plant as a source of building heat. The site allows for one-way traffic around a loop to keep
traffic conflicts to a minimum and organize the transportation of concentrate offsite. The orientation of
the process building minimizes pipe lengths and keeps concentrate loading away from aggregate haul
traffic.
There will be no significant cut of earthworks on the site. For this reason, the production area is a single
laydown pad built up on the surface of the muskeg. Buildings will be supported by concrete
foundations as required. See the structural design criteria 1170510200-DBM-S0001-00, located in
Appendix 7.2 for the structural section. This section will require verification after formal geotechnical
investigations have been completed.
The explosives plant will be placed 1.5 km to the south where some soil stability remains and the
explosives are kept a safe distance from other facilities.
Camp Facilities, Site Services and Schedule
The overall housing requirements for construction are to be met for all contractors onsite as follows.
The first year of construction will have personnel housed at the existing camp at site. The second year
will start with temporary installation of some of the modules for the permanent camp so that crews can
be housed while the remainder of the camp is installed. Once the remainder of the permanent camp is
operational, all construction personnel will be based at it. The existing camp will be maintained to
handle any requirement for extra housing during the final year of construction.
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A site service crew will be available at each camp and laydown locations as required. The crew will be
comprised of integrated tool carriers, tractor, trailers, fuel trucks, graders, and flat deck pickups. These
crews will support construction activities and camp and laydown operations.
The infrastructure preparation work duration is approximately 280 calendar days (9 months) based on
working 24 h/d shift (two 12-h shifts). This duration encompasses all aspects of construction for this
portion of work and not all calendar days are assumed to reflect working days.
Camp Facility Location
The camp was placed over 1 km from the portal facilities to provide separation from the noise, dust and
sight of the mining activities. The camp site is located to the west of the production area on a ridge
where there is a grove of poplars on what is deemed to be more stable soil.
The parking, storage and power substation facilities were placed on the site in as compact an
arrangement as practical. Similar to the portal site, the camp pad will be entirely in-fill placed on
muskeg and buildings will be supported by structural foundations, as required based on loads.
Camp Facilities
The camp facilities are designed to accommodate approximately 300 people simultaneously. The
facilities will consist of modular factory-built units ready for installation on concrete foundations. The
modules will be linked up onsite to form a single unit. Where necessary, Arctic corridors will be
provided to connect spaces with different occupancy classifications in order to enhance privacy and to
facilitate efficient and comfortable circulation of people.
Camp facilities will include the following major areas:
 Female staff bedrooms: Two wings will be provided, each approximately 72 m long by 8.3 m
wide, with 49 rooms and a single shared bathroom for each wing. Each wing will have a laundry
room, a lounge/television room, and a mechanical/electrical room for domestic water heater,
furnace and other services. A common Arctic corridor will link the female wings to the other
residences, the dining rooms, recreational facilities, offices and reception areas;
 Male staff bedrooms: Four wings, similar in design to the female accommodations are provided,
for a total of 196 rooms. The common Arctic corridor will link the male wings to the other
residences, the dining rooms, recreational facilities, offices and reception areas;
 Executive accommodation: One wing will be provided to accommodate 44 single-occupancy
rooms with one bathroom for every pair of bedrooms. Module size will be similar to the regular
male and female wings;
 Recreation area: This will include television/internet room, pool room, exercise rooms,
washrooms and lockers;
 Kitchen/dining room: A fully-equipped kitchen will be installed with cooler, freezer and dry
storage facilities, preparation and cooking areas, dining rooms, and washrooms;
 Offices and reception room: This area will include administration offices and a reception area
for welcoming visitors. A conference/reception room will be equipped with video-conferencing
and presentation equipment;
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Heavy duty laundry room: This facility will handle dirty safety clothing and laundry from the
kitchen/dining room;
Staging area: This area will comprise storage, pick-up and drop-off room for hard hats, work
boots, safety vests and safety glasses for staff and visitors going to the portal work areas or to
the underground mine; and
Shuttle bus bay: A covered pick up and drop off area will be provided for visitors and staff
going to the portal work areas or to the underground mine.
Camp facilities will be provided with full sprinkler systems, including fire hose standpipes, portable
fire extinguishers, smoke detectors, fire alarm systems and HVAC (as applicable).
Airstrip
An airstrip, 1,870 m long and 150 m wide, will be constructed for use by aircraft, including the
Lockheed-Martin Hercules cargo transporter, under a separate First Nation business. Noront will
continue to provide the design for the airstrip and apply this investment to reduce landing fees. For the
basis of estimate Noront has included the cost of the airstrip, rather than applying an as yet undefined
operating cost amount.
The gravel runway will be constructed using crushed and sized rock from underground mine
development.
Airstrip Construction
The airstrip will be constructed to the dimensions of 150 m wide by 1,870 m long, suitable for various
aircraft including Hercules cargo carriers. Clearing of the airstrip will require approximately one month
to complete.
Once clearing is completed, the grubbing will commence for the airstrip which is estimated to take one
month, leading right into the leveling (cut to fill) portion of the airstrip construction.
Loading, hauling and placement of sub grade material for the airstrip will take approximately 50 days.
Productivities for loading, hauling, placing and compacting this material has been calculated based on
an average haul distance of 5 km.
Material will be sourced from mine aggregate stockpiles located adjacent to the portal. The surfacing
crushed rock will be sourced from this location as well. These materials are considered free issue from
the mine for cost calculations. Surfacing the airstrip will proceed over the following two weeks, to
construct an airstrip. The total estimated quantity of base material required for the airstrip is 120,860 m3
and the total estimated quantity of airstrip surfacing material is 20,405 m3 (Source: Eagle’s Nest Mine
Project – Execution Plan: Esker Mine Site Civil Works Prepared by: Nuna Logistics Ltd. 4 April 2012
Revision A).
Fuel Storage and Distribution
The fuel storage and distribution facility will be located in the production area.
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Diesel fuel will be unloaded from trucks at a rate of 10 m3/h to three fuel storage tanks each with
capacity of 850 m3. Diesel fuel from storage tanks will be distributed to various consumption points,
including the power plant, camp facilities, incinerator, surface vehicles and underground facilities. Each
facility will have day tanks, as required.
Diesel fuel will be distributed by pumping at a rate of 5.8 m3/h to meet power plant requirements. Fuel
oil will be kept in circulation in the system to meet the climate conditions.
All diesel fuel pipe lines connecting fuel tanks and power generators on mine site will be installed
aboveground with proper supports and insulation. Installation of diesel pipelines from surface to
underground is not required. Diesel fuel will be supplied by trucks for underground truck fueling
purposes and emergency use.
Power Supply and Distribution
The design criteria for the power supply and distribution, including the diesel power plant, site power
distribution, production area power distribution, underground mill power distribution, and power for the
Nakina facility, can be found on pages 165-168 of the Eagle's Nest Feasibility Study.
Waste Management
During construction, domestic wastes, packaging and recyclable materials, and special and/or
hazardous wastes will be sorted, compacted and shipped offsite to a licensed waste disposal facility.
Onsite waste products include domestic waste such as food scraps, packaging, and refuse. Inert waste
such as glass, scrap metal and clean plastics will also be produced. An incinerator will be the primary
means of disposing of domestic waste during the construction, operation and closure phases of the
project. Materials not suitable for incineration, such as recyclables including plastic, tin, and glass, will
be sorted, compacted and stored until they can be shipped out. Similarly, scrap metal will be stored
onsite with the recyclables until it can be shipped offsite or reused. Large wood packaging will be
burned onsite or transported offsite, as appropriate.
Full details on the incinerator, hazardous waste, and septic systems and sewage treatment can be found
on pages 168-169 of the Eagle's Nest Feasibility Study.
Containment Areas
The containment areas include a permanent diesel storage facility and a waste rock settling pond. These
structures will be built with a 1.25 m sub-grade base, 150 mm of sand including one layer of geo-grid
and one layer of liner, topped with 200 mm of surfacing crush. The HDPE running up the slopes will
extend to the top of the berms which will be constructed 2 m in height at a slope of 2H:1V. The amount
of liner required to complete these facilities is estimated to be 3,800 m2. Sand is estimated at 800 m3.
Temporary fuel storage Envirotanks will also be used during the construction period, however,
secondary containment for these facilities is not anticipated to be required.
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Surface Water Management
Surface water management will be required at all the major site facilities associated with the Eagle’s
Nest Project.
Surface water management strategies implemented for the site facilities were based around current best
management practices (BMPs) to:
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Control surface water in order to prevent pollution of clean or non-impacted water resources;
Divert excess runoff that may interfere with site operations; and
Control erosion of the site to limit sediment runoff that may negatively impact receiving waters.
Areas that are not affected by the project development are considered non-impacted sites. Where
practical, surface run-off from non-impacted areas will be diverted in ditches around the developed
areas and directed into existing watercourses or wetlands.
Areas that have been disturbed as part of the project development are considered impacted sites.
Surface run-off from these areas may be impacted by elevated sediment levels. However, given the
project development strategy, where the majority of the industrial areas, such as the process plant and
tailings storage, will be located underground, the risk of chemical contamination in the surface run-off
is expected to be low.
Surface water treatment of the project areas will consist of conveying runoff to sediment ponds and the
use of standard erosion and sediment control BMPs. Treated discharge from the sediment ponds will be
released to adjacent wetlands that will provide additional attenuation of water quality parameters.
Alternatively, treated surface water may be used to supplement the process water makeup demand in
lieu of fresh water, where feasible.
Diversion Ditches
Localized undisturbed catchments upstream of the project sites will be conveyed in diversion ditches
and returned back to natural drainage channels further downstream of the project areas. Diversion
ditches are designed for the 1 in 100 year storm event, plus snowmelt, with a minimum freeboard of 0.3
m.
Internal Drainage and Sediment Ponds
Internal site drainage within the project site footprints will be achieved via finished surface grading and
open channels/swales. Project areas will be graded to drain run-off towards storm water collection
ditches; with the ditches conveying run-off to sediment ponds. Internal site drainage collection ditches
are designed for the 1 in 25 year storm event, plus snowmelt.
Sediment ponds for the respective areas have been designed to capture runoff from the 1 in 10 y, 24-h,
rainfall event, plus snowmelt. The sediment ponds have also been designed with a dead storage equal to
50% of the run-off storage. The design particle size to be captured in the sediment pond is 0.02 mm.
Runoff from the mine/portal site may have the potential for chemical contamination due to the presence
of diesel fuel storage, truck shop and stockpiles. Therefore, discharge from the mine/portal site
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sediment pond may be reused in the process plant, to the extent practicable. Discharge from all other
sediment ponds will be to the environment.
Surface Water Monitoring
Monitoring of total suspended solids (TSS) will need to be carried out at the discharge locations from
each of the sediment ponds to ensure that runoff released from the ponds meets environmental release
criteria. Discharge limits will be in accordance with Ontario Regulation 560/94 – Effluent Monitoring
and Effluent Limits – Metal Mining Sector.
Water Intake
Requirements of fresh water for surface and underground facilities will be met by three wells complete
with pumping systems (three well pumps and two well collector transfer pumps) and connected
pipework.
Wells will be drilled around the portal area and lined with casings. Fresh water will be taken from local
wells and pumped to a central wet well at a rate of 75 m3/h. from each well. Fresh water from this wet
well will be pumped at 150 m3/h to the fresh water storage tank in the portal area to meet water
requirements.
A 200 mm diameter pipe line, approximately 1 km long will be installed between the wet well and the
fresh water storage tank. The main portion of this pipe line will be carbon steel pipes installed
aboveground on T-posts or piping racks. At road crossings, HDPE pipes will be buried at shallow
depth.
In the explosive storage area, a water intake package and supply of fresh water from a new local well to
a 10 m3 water storage tank will be installed.
Water Treatment
The water treatment system will be located at the portal area and will provide potable water for a total
of approximately 300 people (during mine operation).
Fresh water will enter the water treatment plant at a rate of 6 m3/h and pass through two pre-treatment
filters, two ultrafiltration membranes, two UV disinfection units and duplex effluent pumps to meet
Ontario Drinking Water Quality Standards. This modular unit will be located in a pre-engineered
building in the portal area and will operate 24 h/d and 365 d/y.
Water Pumps
Water pumps will be located at portal area and includes fresh water supply pumps and potable water
distribution pumps. A fresh water supply pump will distribute fresh water to:


Surface dry concentrate plant at a rate of 57 m3/h; and
Underground process plant at a rate of 45.5 m3/h.
61
A potable water supply pump will distribute treated water at a rate of 15 m3/h to the surface facilities at
camp and portal areas.
Water Storage Tanks
Water storage tanks will be located at the portal area and includes one fresh/fire water tank and one
potable water tank, each with an immersion heater.
A fresh/fire water tank with capacity of 750 m3 will receive water at a rate of 150 m3/h from a collector
well and will provide fresh water for the underground process plant, dry concentrate plant, water
treatment plant and fire pumps.
A potable water tank with capacity of 125 m3 will receive treated water at a rate of 6 m3/h from the
water treatment plant and will meet the requirements for surface facilities at the camp, mine portal, and
the underground potable water tank.
For the camp site, potable water and fire water will be supplied through two separate pipe lines, each
approximately 1 km long. All the interconnecting piping for process equipment, water tanks and pumps
above ground at mine site will be insulated, electrically heat-traced and suitably supported.
Aggregates
Material suitable for use as aggregate required for the project infrastructure will be produced onsite
from the mining operation. Initial characterization studies undertaken on samples of the local
granodiorite rock suggest that this material will be suitable as aggregate.
The preliminary mine plan includes a long-term aggregate rock stope production rate of approximately
750 t/d which is required to provide underground storage volume for tailings.
The aggregate stopes will be situated in the host rock between the 75 m L and 125 m L horizons, away
from the shaft, ramp and mill infrastructure, and will be mined out using the same production practices
as the ore stopes using a blast hole method with long hole drills.
Aggregate Stopes, Backfill and Tailings Disposal
Material suitable for use as aggregate required for the project infrastructure will be produced onsite and
may also be available for external sale. The initial characterization studies undertaken on samples of the
local granodiorite rock indicate that this material will be suitable as aggregate.
The preliminary mine plan includes a long-term aggregate rock stope production rate of approximately
1,500 t/d which is required to provide underground storage volume for tailings.
The aggregate stopes will be situated in the host rock between the 75 m level and 175 m level, away
from the ramp and mill infrastructure, and mined out using the same production practices as the ore
stopes using a blast hole method with longhole drills.
62
Geochemical and geotechnical testing of tailings will be undertaken during the detailed design stage of
the project.
The tailings produced by the underground processing plant will be thickened and stored underground.
Much of the tailings produced will be used for backfilling the production stopes. The remainder will be
stored in empty underground aggregate rock production stopes. Surface storage of tailings is not
planned.
Aggregate Stopes, Backfill and Tailings Disposal – Design Concept
The concept used in the Eagle’s Nest operation is to mine waste stopes in non-acid generating
granodiorite to create aggregate for laydown areas and a portion of the permanent road to Webequie.
These waste stopes will in turn be used to permanently store the portion of mill tailings not used for
backfill in the mine.
Aggregate stopes will be located between the 75 m L and 175 m L. The stopes will be 25 m by 25 m by
100 m having a total volume of 62,500 m3. Each stope generates 168,750 t of aggregate and stores
115,625 t of tailings after delivering backfill for stoping. Based on these calculations and aggregate
stope volumes a total of 30 stopes need to be developed for tailings storage.
As part of the mining sequence, production stopes that have been completed must be filled to allow
adjacent stopes to be mined given the rock mechanics characteristics. A sequence of primary and
secondary filling will be used. The primary stopes will be filled with paste fill while the secondary
stopes will be filled with unconsolidated rock fill. The filling of the secondary stopes with
unconsolidated rock requires the installation of a cemented plug and excellent historical record keeping
in order to ensure that the proper sequence is followed during the life of mine.
Golder Associates stated that the sulphide rock was competent and could withstand heights of 60 m
with spans of 20 m in the orebody. This information conceptually provides the stope dimensions which
have been selected as 50 m high in the mine. As the mining progresses, the stopes directly adjacent to a
completed stope can only be mined once filling and curing of the open stope has finished. This cycle
consists of building a barricade, pouring a cemented paste backfill plug behind the barricade, followed
by the filling of the main pour in the bulk of stope with cemented paste backfill. Paste backfill, with a
solids density of approximately 73% to 76%, minimizes the amount of water to be decanted and speeds
the filling process so the production rate can be maximized.
The fill material used will be the tailings produced from the mill mixed with cement to create a
cemented paste backfill. Material that cannot be placed as mine backfill will be stored permanently in
the aggregate stopes so the intent is to store tailings underground as a paste, rather than stored on
surface.
Preliminary analysis of the tailing material to be generated from the mill will allow the creation of a fill
material and are further detailed in the Eagle's Nest Feasibility Study on pages 182-184.
Aggregate Stopes, Backfill and Tailings Disposal – Aggregate Stope Filling
63
As the mill continues to operate, the portion of the tailings that exceeds what is required for backfilling
the ore stopes will be directed to aggregate stopes that will be used for tailings disposal.
The process for tailing disposal will consist of directing a part of the flow to a series of aggregate stopes
25 m by 25 m by 100. As the stopes fill, the excess water decants and reports to the 200 m L main
pumping system for use as process water or for treatment.
Explosives Storage and Management
An emulsion explosives plant will be constructed south of the portal at an appropriate Quantity
Distance separation, according to the requirements of Natural Resources Canada Explosives Regulatory
Division. Sensitizer for the emulsion, which renders it explosive, will only be mixed into the emulsion
during loading operations at the blasting areas underground.
Non-explosives raw materials will be transported to the site and stored at a suitable separation distance
from this facility.
Magazines for detonators, boosters and some emulsion explosive cartridges (stick powder) will be
constructed at suitable separation distances from other mine facilities and the explosives plant.
Communications
Fibre-optic lines will be strung along the all-season road to site, providing high capacity data
connection to global networks. Surface and underground operations will be linked with high-speed data
connections, to provide voice, data and video communications in support of the overall tele-remote
control of equipment and processes. All vehicles and underground personnel will have communications
capabilities.
Emergency Response Facility
The surface facilities will include mine rescue capabilities and equipment, as required by Provincial
regulations.
Transportation Corridor
In November 2013, the Provincial Government of Ontario announced the proposed formation of a
Development Corporation (“DevCo”) with a mandate to finance, construct and operate the
infrastructure for the Ring of Fire and surrounding area. It is the provincial government’s intention that
all key stakeholders, being industry, government and First Nations, have representation on DevCo. The
Company is working closely with stakeholders to advance the formation of DevCo and its
infrastructure mandate.
The DevCo’s mechanism to implement an infrastructure and plan will ideally lead to the DevCo
ultimately funding, constructing, operating, and maintaining roads, power lines and fibre-optic lines,
and in the future, a potential railway.
64
Noront included its preferred East-West Route in its EA in order to ensure the road project would be
ready for construction when anticipated support is formally committed by the Provincial Government
of Ontario, the Federal Government of Canada and other key stakeholders.
The Company has partnered with constructors (Nuna Logistics and Kiewit Engineering) that have
experience building roads in the north in order to progress the required technical and engineering work.
In this regard, the Company with its partners has recently re-aligned the East-West Route and has
identified aggregate and borrow sources for road construction. The final route corridor selection plan
will involve the work done during the ongoing baseline environmental studies, the identification and
study of quarry and borrow pit locations (which have been staked as mining claims by Noront), the
reviewing of constructability on wetlands, and involvement by local communities in final route
selection.
East-West Route
Access to the Project site will be developed to transport concentrate to market and to supply the
equipment and materials required to build and operate the mine. Subject to approval by the Provincial
Government of Ontario, the Federal Government of Canada and other key stakeholders, the
transportation corridor is expected to consist of the following:


A 282 km all-season road will be constructed from the Pickle Lake North Road (formerly
Highway 808), starting north of Pickle Lake to the mine site. The new road will primarily
follow an existing winter road alignment for the first 200 km.
The existing Pickle Lake North Road and Highway 599 will be used to connect the new allseason road to the proposed trans-load facility located near the community of Savant Lake. This
segment of the proposed corridor will be approximately 230 km in length.
All-season access to the Project site will be developed to transport concentrate to market and to supply
the equipment and materials required to build and operate the mine.
The all-season road will be constructed over a three year period. Construction will begin by
establishing a new section of winter road to connect the mine site with the existing annual winter road
network. This will allow for the staging of equipment and supplies needed for the development of the
mine site and the construction of the all-season road. Quarries and borrow sources will be developed at
locations along the route. Temporary construction camps will be established along the road alignment.
These camps will be positioned at key locations, such as aggregate sources and major bridge crossings.
Rock extracted from the underground aggregate stopes at the mine site may be used for construction on
the east end of the road.
During operations, the all-season road will be used to bring in materials and supplies and to export
concentrate and waste materials. Twelve (35 tonne capacity) trucks will transport concentrate to the
trans-load facility each day. Additional trucks will deliver supplies to the mine site and dispose of solid
waste to off-site licensed facilities. Once the concentrate is trucked to the trans-load facility and offloaded, it will be transferred into rail cars and taken for further processing at an existing smelter facility
in Canada.
65
It is expected that the all-season road will remain open after project completion to support access to the
communities and other resource projects in the region. At this time, responsibility for road operations
will be handed over to either the province or the local communities. In the unlikely event that
responsibility for the road is not assumed by others, it will be decommissioned at the same time as the
mine. In this scenario, culverts and bridges will be removed and natural drainage restored, and the road
bed will be scarified and allowed to naturally re-vegetate.
Trans-Load Facility
The trans-load facility will be located approximately 5 km east of the community of Savant Lake on the
Canadian National Railway (CN) mainline. The facility will utilize a brownfield site that was formerly
a rail siding used by the forestry industry. The trans-load facility layout will consist of the following
components:







Concentrate handling, storage and railcar loading facilities
Administration and security buildings
Power transmission lines to existing power grid
Backup diesel power generation facilities
Fuel storage
Equipment storage and maintenance facilities
Waste and water management facilities
Construction of the trans-load facility will be undertaken during mine and road construction. The
existing disturbed area will be covered with asphalt and the existing railway siding modified. A power
line will be re-instated along an existing right-of-way from Savant Lake to the facility, and truck
unloading and rail car loading facilities will be constructed.
During operations, trucks will unload concentrate indoors. Concentrate will be reclaimed from an
indoor stockpile and will be conveyed to railcars using a closed conveyance system. Minor offices and
truck-washing facilities will be maintained at the trans-load facility.
At closure, all equipment, materials and any contaminated soils will be removed to licenced disposal
facilities. The site will then be restored to its current condition as a former industrial site.
Project Schedule and Phases
The current Project life is expected to be 16 years. The Project will comprise the following four phases
and approximate durations:




Construction (3 years)
Operation (11 years)
Closure (2 years)
Post-closure (a minimum of 5 years)
66
The post-closure monitoring phase that is expected to be a minimum of 5 years or until mine closure
objectives are achieved. In the event that the current inferred resources at Eagle’s Nest are developed,
the operational mine life will be extended by a further nine years.
Additional details on the scheduling of activities within each of the Project phases are provided below.
Construction Phase
The construction phase will consist of all activities leading to the development and construction of the
mine, processing facility, transportation corridor and trans-load facility.
The construction phase will begin with establishing the new winter road to connect the mine site with
the existing annual winter road network. This will allow for the staging of equipment and supplies
needed for the development of the mine site and the construction of the all-season road. The road
construction execution plan includes the establishment of quarries and borrow sources. Temporary
construction camps will be established along the road alignment, positioned at key locations such as
aggregate sources and major bridge crossings. The all-season road will be constructed over a three year
period. Rock extracted from the underground aggregate stopes at the mine site may also be used for
construction on the east end of the road. Noront is the current proponent of the road; however, it may be
built as a Public-Private-Partnership (P3) venture involving First Nations.
Construction at the mine site will begin by establishing the laydown areas, site roads, and the
development of the mine portal and ramp. Due to the lack of available construction material at surface,
aggregate for construction will be sourced from rock mined during the underground development. The
aggregate rock will originate from granodiorite adjacent to the ore body. The laydown areas used for
construction equipment and materials will be the same as those used during the operation of the mine.
A sedimentation pond will be constructed as soon as possible to receive groundwater pumped from the
underground during development of the mine.
During initial construction, the existing exploration camp (“Esker Camp”) will be utilized to support
mine site construction activities. During the second year of construction, the accommodation facilities
that are needed to support operations will be established at the mine site. Water supply wells and the
sewage treatment plant at Esker Camp will be used until the new facilities are prepared. New wells to
support operations will be drilled and a sewage treatment plant for the accommodation facilities will be
installed and commissioned.
Construction of the trans-load facility will be undertaken concurrently with the mine site and road
construction. The trans-load facility site is a brownfield area and surface preparation requirements
(clearing and grubbing) will be limited. Construction activities at the trans-load facility will include
modifying the existing railway siding, installation of a power line from Savant Lake to the facility, and
establishing the truck unloading and rail car loading facilities. Construction at this location will also
include all supporting offices and other required infrastructure.
The construction phase of the Project is expected to last three years.
67
Operations Phase
The operations phase will consist of mining and processing of ore to produce a concentrate and the
transport of the concentrate along the transportation corridor to the trans-load facility.
The underground mining operation will use electric powered equipment to the greatest extent possible,
meaning that most mobile equipment will run on electricity rather than on diesel. This will reduce the
ventilation requirements of the mine, heating of the ventilated air, and overall diesel fuel consumption
at the mine. Processing of the ore will occur underground and waste rock will be used for construction
purposes or disposed of underground. Tailings generated by the processing facility will be thickened
and converted into cemented and un-cemented paste backfill. The cemented paste backfill tailings will
be used to backfill the ore stopes and the un-cemented paste tailings will be used to backfill the
aggregate stopes. No surface disposal of tailings will occur.
The mine operations will be a net consumer of water. Water will be recycled from mineral processes
and will be generated by groundwater inflows into the underground openings. As such, discharge from
the mine process is not expected. The surface sedimentation pond will collect runoff from surface
infrastructure. Additional make-up water will be supplied by groundwater wells.
A permanent fly-in/fly-out accommodation complex will house workers. Potable water will be sourced
from groundwater wells, and sewage will be treated in a package treatment plant and discharged to a
local wetland that reports to the Muketei River. Personnel will be moved in and out of the camp using a
local airstrip, which has already been permitted and will be constructed by a First Nation group.
The all-season road will be used to bring in materials and supplies and to export concentrate and waste
materials. Approximately 12 - 35 tonne capacity trucks will transport concentrate to the trans-load
facility each day. Additional trucks will deliver supplies to the mine site and dispose of solid waste to
off-site licensed facilities.
The mine is expected to operate for a total of 11 years.
Closure and Post-Closure Phases
Closure and post-closure activities will start immediately following the end of operations, with
monitoring occurring throughout the closure and post-closure phases. It is expected that active closure
will take approximately 2 years, and the site will be monitored annually during the post-closure phase
for a minimum of 5 years.
The closure phase includes activities to ensure that the Project development areas are left in a
physically and chemically stable manner that is consistent with adjacent land uses. A Mine Closure
Plan will be prepared in accordance with Ontario Regulation (O.Reg.) 240/00, which will require First
Nations consultation and approval by the Ministry of Northern Development and Mines (MNDM).
At the mine site, closure activities will include the removal of all surface infrastructure and all
hazardous materials from the underground. The underground workings will be allowed to flood, and the
portal will be blocked with a concrete cap in accordance with O.Reg. 240/00. Development areas will
68
be scarified and either re-vegetated or allowed to re-vegetate naturally, as site conditions and climate
allow.
It is expected that the all-season road supporting access to the communities in the region and other
resource projects will remain and will be operated by either the province or the local communities. If
other users do not come forward to assume responsibility for the final 106 km of the road it will be
decommissioned as part of the Mine Closure Plan. Culverts and bridges will be removed and natural
drainage restored. At closure, the road bed will be scarified and allowed to naturally re-vegetate.
Equipment and materials at the trans-load facility will be removed to be either salvaged for re-use
elsewhere, or be disposed of in a licensed landfill. Hazardous materials will be managed separately and
will be contained and transported to a licensed hazardous waste disposal facility. Following an
investigation of contamination and remediation if necessary, the site will be restored to its current
condition as a former industrial site.
Environmental Assessment and Environmental Impact Statement
Introduction
Readers are cautioned that the following description of the Environmental Assessment and
Environmental Impact Statement in respect of the Eagle's Nest Project may contain forward-looking
information. See “Cautionary Statement Regarding Forward-Looking Information” in this AIF.
The Eagle’s Nest Project is subject to both the Canadian Environmental Assessment Act (CEAA) and
the Ontario Environmental Assessment Act (OEAA). The Canadian Environmental Assessment Agency
(the Agency) governs the environmental assessment process defined by the CEAA. The provincial
environmental assessment process is coordinated by the Ontario Ministry of Environment –
Environmental Approvals Branch (MOE).
Noront submitted a Project Description to the Federal Canadian Environmental Assessment Agency
(CEAA) in July 2011. The CEAA accepted the document and prepared the Environmental Impact
Statement Guidelines. Noront utilized the draft Terms of Reference for a Provincial Environmental
Assessment (EA) as a consultation tool during consultations with Aboriginal groups, government and
the general public. Following the 30-day review period and upon completion of its consultation
activities, Noront incorporated the comments and feedback received into the proposed Terms of
Reference. The proposed Terms of Reference was submitted on March 28, 2012. On December 20,
2013, the Company submitted a coordinated Federal & Provincial Environmental Impact Statement and
Environmental Assessment Report (“EIS/EA”) for its Eagle’s Nest Project. A draft copy was circulated
for comment to the Agency, the Ontario MOE, and to interested public parties.
Work on the EIS/EA Report was initiated by the Company in 2009 and includes baseline environmental
studies that examine the mine site, the access road corridor, and a railcar loading site. The studies were
designed to comply with requirements set out in the EIS Project Guidelines provided by the CEAA, and
are consistent with the Terms of Reference submitted by the Company to the MOE.
69
The purpose of the Project is to extract, process, and ship approximately 150,000 tonnes per year (Mt/a)
of nickel-copper-platinum-palladium concentrate over an 11 year period. All of the Project is expected
to be completed in an environmentally and socially sustainable manner, while providing a competitive
rate of return to Noront’s investors and lenders, and sharing Project benefits directly with the local First
Nation communities.
The rationale for proceeding with the Project at this time is as follows:

As a junior mining company, it is Noront’s obligation to its shareholders to advance the Project
forward in a timely manner. Until the Project is developed, Noront has very little source of
revenue and is financing activities by borrowing or dilution of equity.

While commodity prices are generally lower relative to peak prices over the last couple of
years, global demand for the metals are expected to remain strong over the life of the Project

The Project is relatively small and therefore will not have a meaningful effect on global supply
of the metals produced by the Project, thus the impact on metal prices will be slight.

The Project can be constructed in an innovative manner that will result in a small surface
footprint and that minimizes environmental impacts.

The Environmental Assessment work has been completed in a thorough and professional
manner.

The development of the Project has the potential to generate many socio-economic benefits to
local First Nation communities. These benefits include, but may not be limited to, direct and
indirect employment opportunities, additional funding to support community programs and
investments in regional infrastructure that will contribute to several communities realizing year
round access and grid power. In 2012, the Province of Ontario signed a Memorandum of
Understanding with the Marten Falls to work together to realize the benefits of responsible
mineral development in the Ring of Fire. The Province of Ontario also signed a Memorandum
of Co-operation with Webequie First Nations, which commits the province to work with
Webequie to advance discussions with the federal government to ensure communities are
prepared to fully participate in Ring of Fire developments.

The Government of Ontario has publicly stated that it supports responsible mining
developments in the Ring of Fire. The province called the Ring of Fire “one of the most
promising mineral development opportunities in Ontario in almost a century”.

The Government of Canada has demonstrated its support for mineral exploration through
initiatives, such as the Mineral Exploration Tax Credit and, more specifically to the Ring of
Fire, the Federal Economic Development Initiative for Northern Ontario. This demonstrates the
federal government’s commitment to sustainable mining that benefits the Canadian economy
and local communities.
70
Each of the proposed Project components (the mine, transportation corridor and trans-load facility) is
necessary for the local and regional economies to be realized. The mine location is based on the
deposit, and year-round access to the mine is critical for the Project to succeed, as the transportation of
concentrate over a winter road season is not economically viable. Construction of a new smelter for this
Project is also not economically viable, but sufficient processing capacity exists elsewhere. Trucking
the ore to smelting facilities elsewhere in the province is also not economically viable, which is why the
trans-load facility and use of the CN railway is critical to the Project.
The Project will be subject to federal and provincial legislation, as described in the subsequent sections.
The Project is located outside of municipal boundaries, including the trans-load facility which is located
within an unorganized township.
The EIS/EA Report has been prepared for the Project with the objective of meeting both the provincial
requirements for an Individual Environmental Assessment and the federal requirements for a
Comprehensive Study Environmental Assessment.
Permits, Licenses, and Approvals
In addition to the environmental assessment requirements under the Ontario Environmental Assessment
Act (OEAA) and the Canadian Environmental Assessment Act (CEAA), as well as the Far North Act
and in various Aboriginal Treaties, Policies, and Guidelines (which are outlined in Noront’s EA/EIS),
the development of the Project will also require a variety of additional federal, provincial and municipal
permits and approvals. A preliminary list of the anticipated licenses, permits and approvals that may be
required prior to mineral development and/or construction activities is provided in Table 5 and Table 6
below.
TABLE 5: KEY FEDERAL PERMITS
Federal Approval, Permit and/or
Authorization
Environmental Assessment Approval
Rationale
An environmental assessment approval
is required from CEA Agency in order
for the Project to proceed to
construction and development.
Use of explosives will be required
during construction and mine operation
therefore it is necessary to obtain an
explosives permit.
On site storage of explosives will be
required on site to ensure a sufficient
supply of explosive materials is
available for Project activities.
Authorization under the Fisheries Act
will be required for construction of the
transportation corridor.
Navigable Waters Approval will be
required for construction of the
transportation corridor.
Explosives Permit
License for Explosives Magazine
Fish Habitat Authorization
Navigable Waters Approval
71
TABLE 6: KEY PROVINCIAL PERMITS
Provincial Approval, Permit and/or
Authorization
Individual EA Approval
(Ontario Ministry of the Environment)
Rationale
Environmental Compliance Approval for all
site related emission, discharges, and wastes
under the Environmental Protection Act
(Ontario Ministry of the Environment)
Permit to Take Water under the Ontario
Water Resources Act (Ontario Ministry of
the Environment)
Work Permit under the Public Lands Act
(Ontario Ministry of Natural Resources)
Land use permit under the Public Lands Act
(Ontario Ministry of Natural Resources)
Timber Cutting License
(Ontario Ministry of Natural Resources)
Lakes and Rivers Improvement Act
Approval
(Ontario Ministry of Natural Resources)
Burning Permit
(Ontario Ministry of Natural Resources)
Aggregate Permit/License under the
Aggregate Resources Act
(Ontario Ministry of Natural Resources)
Generator Registration Report
(Ontario Ministry of the Environment)
72
An environmental assessment approval
is required from the MOE in order for
the Project to proceed to construction
and development.
An ECA is required for stationary
source emissions, discharges and waste
related to the Project, including air
emissions, noise emissions, effluent
discharges to water, stormwater
management.
A permit to take water is required for
instances where groundwater or surface
water is taken at a rate of 50,000 L/d, or
more. As it pertains to the proposed
development a permit to take water may
be needed for dewatering of the
underground mine and for the
development of groundwater well(s) for
the supply of potable water.
A work permit is required for
construction on Crown Land, including
buildings, dams, drainage channels,
roads, culverts and bridges, and for
dredging and filling of wetlands.
A land use permit is required to
construct buildings on Crown Land.
A timber cutting license is required to
remove trees on Crown Land.
A permit is required to construct water
retaining structures.
A burning permit will be required to
burn any removed vegetation.
An aggregate permit/license will be
required for the removal of aggregate
from the mine (and any potential quarry
locations along the transportation
corridor) for construction.
Project activities will involve the
transportation and storage of hazardous
waste, therefore requiring a generator
registration report.
Construction projects require a waste
audit and reduction plan, therefore
Noront will be required to develop a
waste audit and reduction plan.
Wells will be drilled at the mine site for
water supply and ground water
monitoring and will require water well
installation approval.
Required for building near highways.
Waste Audit and Reduction Plan
(Ontario Ministry of the Environment)
Water Well Installation
(Ontario Ministry of the Environment)
Building/Land Use Permit
(Ontario Ministry of Transportation)
Entrance Permit
(Ontario Ministry of Transportation)
Encroachment Permit
(Ontario Ministry of Transportation)
Acceptation of Closure Plan Completion
(Ontario Ministry of Northern Development
and Mines)
Notice of Project Status
(Ontario Ministry of Northern Development
and Mines)
Pre-development Review Process
(Ontario Ministry of Labour)
Requirement for a new or upgraded
road entrance onto a provincial
highway.
Activities within 45 m of the highway
may be controlled for safety
considerations.
Noront will be required to complete a
Closure Plan for the Eagle’s Nest Mine.
Public notification of the status of the
Project.
Require safety and procedures review
of the Project prior to development.
The Existing Environment
Environmental baseline studies were initiated by Noront in 2009 and are presently ongoing. In order to
capture the natural variability, baseline studies have taken place over multiple years and seasons.
Preliminary baseline results and proposed field investigations were discussed with the federal and
provincial ministries in May 2011 and again in April 2012. Comments and feedback received from
these technical sessions were integrated into the subsequent field programs and in the draft EA.
Baseline studies were conducted to characterize the existing environmental components that were most
likely to interact with and be affected by the Project. The existing environment was characterized in
terms of the following components:







Climate, air quality, and noise
Geology and geochemistry
Water quality and quantity
Terrain and soils
Vegetation
Wildlife
Socio-economic
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Environmental baseline data were obtained from reviews of existing literature, regional monitoring
stations, and site specific programs. Where possible, additional baseline data were gathered through
traditional knowledge studies. The existing environment can be summarized as follows:
Physical Environment
Climate
The temperature throughout the region is generally homogenous and there is a north to south trend of
increasing mean monthly and mean annual temperature. The mean annual temperature is -1.3°C. The
mean annual precipitation at the mine site is 870 mm, is relatively homogenous throughout the region
and falls predominantly as snow from late October to mid-April. Mean annual potential
evapotranspiration was estimated to be approximately 470 mm and actual evapotranspiration was
estimated to be 430 mm. Trends in increasing mean January and mean annual temperature are evident
in long-term regional data. In addition, annual snowfall, rainfall and total precipitation have increased
over the period of available data. Canadian Regional Climate Model data predict an increase in
temperature and precipitation from 2000 to 2100, but no significant trend was evident over the
proposed life of the Project (2015-2029).
Air Quality
The Project is located in a remote region of Ontario away from sources of anthropogenic air emissions.
Air quality data were obtained from the several monitoring stations in northern Ontario and other
remote locations in Canada to estimate concentrations of background air quality parameters for the
Project. All of the background air quality values were identified as well below the applicable Ontario
ambient air quality criteria (AAQC).
Noise
Background noise levels are consistent with rural areas dominated by natural sounds (Ministry of the
Environment Class 3 Area). In the absence of the sounds of wind and local animals, such areas would
typically have a background noise level of 20 to 30 dBA. Noise surveys conducted at the mine site and
in the region by others confirm ambient noise levels of 25 to 37 dBA.
Geology
The proposed mine site is underlain by rocks of the northwestern part of the Archean Superior
Province, and the Eagle's Nest deposit is a sub-vertically dipping body of massive magmatic sulphide
composed of massive and net-textured sulphides (pyrrhotite, pentlandite, chalcopyrite, and the oxide
magnetite) with little to no disseminated sulphides (this is summarized in more detail in the geology
section above). The transportation corridor primarily overlays Canadian Shield tonalitic to massive
granodioritic, bedrock and to a lesser extent, mafic metavolcanic bedrock. The Project area is situated
within a stable Precambrian craton (continent), and no major active tectonic zones are known within
hundreds of kilometres of the area.
Geochemistry and Testing for Potential Acid-Generating Rock
Testing of the various rock types associated with the underground mine was undertaken and shows that
limited quantities of potentially acid generating (PAG) materials are present within the mine area. The
ore and host rock are considered PAG based on sulphide content, neutralizing potential (NP)/acid
potential (AP) and net acid generating (NAG) pH values. Tailings to be produced from processing the
ore are also considered PAG. The aggregate to be produced from the mine development and from
underground aggregate quarries (granodiorite) is not potentially acid generating (Non-PAG). The ore
and host rock, and associated tailings, will be metal leaching if exposed to the atmosphere. Aluminum,
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chlorine, cobalt, copper, iron, nickel, sulphate, vanadium and zinc are prone to leaching. The aggregate
to be produced from the mine development and from underground aggregate quarries (granodiorite) is
not likely to be metal leaching.
Surface Water Quality
Baseline water quality was sampled seasonally at the proposed mine site at several locations. In
general, most sampled parameters were below the Provincial Water Quality Objectives (PWQO) and
there was typically low variability between stations and among seasons. Noted exceptions include pH,
which was more acidic in slower flowing or stagnant water than on larger rivers. The lowest DO
concentrations were measured during the winter under ice cover and during summer when there is
reduced precipitation, increased evapotranspiration, and lower surface water flows. Conductivity, TDS,
alkalinity and hardness showed seasonal variation and concentrations were generally highest during the
winter sampling events. Nutrient levels were typically below the method detection limits (MDLs) of the
laboratory, with the exception of total phosphorus that typically peaked during the summer months. The
majority of total and dissolved metals results were reported near to or below their respective MDLs.
Elevated concentration of aluminum and iron were noted, which is typical of the Canadian Shield.
Water quality was also sampled along the transportation corridor as part of the baseline aquatic data
collection program and seasonally in two small water bodies near the trans-load facility. The majority
of total and dissolved metals results at the trans-load were reported near to or below the MDLs with
elevated concentrations of iron noted. Other parameters of interest measured during the surface water
quality program included hexavalent chromium, low level mercury and methyl mercury, and radium226. These parameters were not present in high enough concentrations to be detected in the samples as
their concentrations were below the lowest analytical concentration measured by the laboratory.
Surface Water Quantity
Stream flow data were obtained from regional stations operated by the Water Survey of Canada (WSC)
and from Project stations installed along the transportation corridor and near the proposed mine site.
Peak instantaneous flows in the region commonly occur as a result of the spring freshet. On smaller
streams, peak instantaneous flows may occur either as a result of snowmelt during the freshet or from
intense or prolonged rainfall in summer or early autumn. The lowest flows observed at the Project
stations occurred during summer months and are lower than the measured winter low flows at most
stations. The lowest annual flows at the WSC stations occur during the winter months. Trends and yearto-year variability of streamflow at two of the WSC stations were examined. No significant trends were
evident in the minimum or mean annual discharges in the Pineimuta or Attawapiskat River WSC flow
data. Both stations had a significant negative trend in maximum discharge, which suggests that the
severity of annual peak flows is decreasing. Throughout the Project region there are several types of
wetland that will be crossed during the construction of the all-season road. The hydrologic conditions
of these wetlands were assessed to inform the assessment of the potential effects of the Project. In
general, fens and swamps are considered more sensitive to changes in water level and flow than bogs
and peatland.
Groundwater Quality
Groundwater at the mine site area was observed to be neutral to slightly basic and none of the reported
nutrient or ion concentrations exceeded the Ontario Drinking Water Standards (ODWS) limits. The
groundwater chemistry in the overburden and groundwater wells is similar and dominated by
Calcium/Bicarbonate ions. Most of the dissolved metal concentrations were reported at or below the
MDLs. Iron (Fe) and Manganese (Mn) concentrations were the only dissolved metals that were
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reported above the ODWS. The groundwater samples from the trans-load facility had hardness values
above the ODWS guideline and an average pH of 8.0. Major ion concentrations were relatively
consistent among the samples and suggest that the groundwater is dominated by calcium bicarbonate
ions. There were no dissolved metal concentrations reported above the ODWS limits. Groundwater at
the trans-load facility was analyzed for volatile organic compounds and total petroleum hydrocarbon.
One sample had a Toluene concentration of 1.74 μg/L, which is below the Health Canada aesthetic
objective of 24 μg/L.
Groundwater Quantity
Groundwater at the proposed mine site is present in the saturated organic material and in unstratified
and stratified glacial till (composed of sand, silt and clay). There is also groundwater present in the near
surface and deep bedrock. Hydraulic conductivities (K) are on the order of 10-4 m/s in the coarser
overburden soils, 10-6 m/s for the organic soils, and as low as 10-7 m/s in the finer soils and bedrock.
The hydraulic conductivity of bedrock generally decreases with depth. The groundwater level at the
mine site ranges from 0 to 4.9 mbgs, with seasonal fluctuations between 0.5 and 1.5 m. The data show
that groundwater generally flows west towards the Muketei River with a gradient of approximately 0.01
or lower. Groundwater velocity ranges from a high of approximately 2 m/d in the coarser overburden to
a low of approximately 0.04 m/d in the bedrock. The groundwater levels at the trans-load facility
ranges between 3.5 and 7.7 mbgs and Hydraulic conductivities are on the order of 10-4 m/s in the
coarser overburden soils and up to 10 -7 m/s in the finer soils.
Terrain and Soils
Glacial processes are responsible for shaping the landscape of the region and the surficial materials
around the mine site are composed primarily of stratified and unstratified tills and organic deposits. An
embankment type esker runs roughly north-south through the mine site study area and there is evidence
to suggest that several of the other upland areas may be part of a complex esker system. The surficial
geology along the proposed all-season road alignment consists of glacial till, glaciofluvial ice-contact
deposits, glaciolacustrine deposits, exposed bedrock and organic deposits. The surficial geology at the
trans-load facility is predominantly poorly graded fine sand and silt with trace clay and trace gravel.
The mine site is located within the southern limit of the zone identified as having sporadic
discontinuous permafrost. Only a small portion of the transportation corridor is located in areas
possibly having permafrost (i.e., isolated patches or sporadic discontinuous) according to local First
Nation information. The majority of the transportation corridor is located in the zone with no
permafrost. The regional soil order at the mine site is Organic and the soil orders along the
transportation corridor are Organic and Brunisolic. The soil order at the trans-load facility is Podzolic.
The organic soils at the mine site are characteristic of Fribrisols, which are composed largely of
relatively undecomposed fibric organic material and are dominated by sphagnum mosses. The soils in
better drained upland areas are characteristic of Brunisolic soils and soils in poorly drained upland areas
are characteristic of Regosolic soils. The majority of soil metal concentrations were below criteria with
the exception of Chromium (Cr), which exceeded CCME limits in two samples, and Selenium (Se),
which exceeded CCME limits in one sample.
Biological Environment
Vegetation
The Project is located within the Ontario Shield Ecozone. Woody wetlands and nonwoody wetlands are
the dominant landcover in the mine site area with conifer and deciduous forest associated with upland
areas and riparian zones. Wetlands become less abundant along the transportation corridor and upland
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forests composed mainly of conifer trees begin to dominate the landscape approximately 60 km west of
the mine site. Field surveys identified 177 plant species, 25 upland vegetation types and 17 wetland
types in the regional study area. No rare plant species or communities were documented. Riparian
ecosystems are common along the proposed transportation corridor.
Birds
In total, 130 bird species were observed, including six species listed as special concern under the
Ontario Endangered Species Act: Bald Eagle, Canada Warbler, Common Nighthawk, Olive-sided
Flycatcher, Peregrine Falcon, and Rusty Blackbird. The six most frequently occurring breeding bird
species for the entire regional study area, in decreasing order, were Swainson’s Thrush, White-throated
Sparrow, Yellow-rumped Warbler, Ruby-crowned Kinglet, Hermit Thrush and White-winged Crossbill.
The greatest number of bird species was associated with non-woody wetlands (56 species). It is
estimated that 19 bird species migrate through the regional study area including nine waterfowl, one
seabird, one raptor, one shorebird, and seven other species. A total of 14 bird species were observed
during the winter field studies suggesting these are year-round residents. A total of 14 raptor species
were observed within the regional study area, but none were observed in the mine site area. Three of
the bird species of conservation concern were found in the mine site area including Common
Nighthawk, Olive-sided Flycatcher and Rusty Blackbird. Bird species richness (64 species) at the mine
site was the highest of all locations.
Mammals
In total, 26 mammal species were detected in the regional study area, the six most abundant, from most
to least abundant, included American Marten, Snowshoe Hare, Fisher, Moose, Northern Gray Wolf and
Red Fox. These were also the most abundant mammals in the mine site area. The greatest number of
mammal species was associated with the conifer forest (16 species). Two of the mammals found in the
regional study area are “threatened” species and are protected under the Ontario Endangered Species
Act: Wolverine and Caribou.
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Wolverine - Wolverines are not abundant in Ontario and were never abundant within any part
their range due to their large home territory and relatively low reproductive potential. They are
opportunistic, generalist carnivores that scavenge (carrion feeders) mainly in winter and prey on
small game in summer.
Caribou - An estimated 5,000 to 7,000 forest-dwelling Woodland Caribou remain in Ontario.
Within the regional study area, the area of highest Caribou occupancy forms a broad band
averaging 110 km wide, straddling the ecotone between the boreal shield and the Hudson Bay
lowlands. The Ring of Fire, including the mine site, is situated within this high-occupancy band.
Aquatic
The fish-bearing waters near the mine site include the Muketei River, which supports a large bodied
fish such as Northern Pike, Walleye, White Sucker and Shorthead Redhorse, as well as Lake Sturgeon.
Ponds and streams around the mine site contain small-bodied fish species (i.e., cyprinids) and are
disconnected from large water bodies that contain fish that are part of or support a commercial,
recreational or Aboriginal fishery (i.e., the Muketei River). The most commonly found species were
Finescale Dace and Brook Stickleback. The baseline aquatic assessments conducted on 39 streams
along the proposed all-season road contained similar fish species. The fish species most commonly
found in the surveyed streams less than 3 m wide were small-bodied forage fish species (i.e., cyprinids)
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or juvenile fish utilizing the stream as rearing habitat. Large-bodied fish such as Northern Pike,
Walleye, White Sucker and Shorthead Redhorse were found in the larger surveyed streams (i.e., greater
than 3 m wide). No fish were captured in five of the 39 streams. These capture results may be attributed
to multiple variables including water quality, seasonal movements of resident fish, collection gear
and/or connectivity to other fish-bearing waters. The five fish species most commonly found in the
surveyed streams are as follows:
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White Sucker (46 % of streams)
Brook Stickleback (41 % of streams)
Pearl Dace (41 % of streams)
Northern Pike (31 % of streams)
Finescale Dace (31 % of streams)
Other fish species that are not in the above list, but are typically considered part of a recreational,
commercial or Aboriginal fishery, include Brook Trout and Lake Whitefish. There were no Brook
Trout captured during the baseline studies and Lake Whitefish were only captured in the Muketei River
near the proposed mine site. The Pineimuta River located along the road alignment is the only
watercourse other than the Muketei River likely to have Lake Sturgeon. This assumption is based on
the size of the surveyed streams and their connectivity to known Lake Sturgeon populations (e.g.,
Otoskwin-Attawapiskat River).
Socio-Economic Environment
Overview
The Project is located in Northwestern Ontario in the Ring of Fire region, approximately 530 km
northeast of Thunder Bay and 300 km north of Nakina. The proposed mine site is located in a region
that has seen limited industrial development. Recreational land uses are based on a number of tourist
lodges, fly-in camps and independent (self-directed) activities. The Otoskwin/Attawapiskat River and
Winisk River Provincial Parks offer rafting and canoeing.
The Project (inclusive of the proposed mine site, transportation corridor and trans-load facility)
traverses the traditional territories of several First Nations and supports traditional land uses including
hunting, trapping and fishing. Traditional land use is important for economic, subsistence, cultural and
spiritual purposes to the First Nation and aboriginal communities.
The Project traverses the traditional territories of the following First Nations:
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Webequie First Nation
Marten Falls First Nation
Nibinamik First Nation
Neskantaga First Nation
Eabametoong First Nation
Mishkeegogamang First Nation
The Ojibway Nation of Saugeen
The closest communities to the proposed mine site are:
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Webequie First Nation - approximately 75 km to the northwest
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Marten Falls First Nation - approximately 125 km to the south
Neskantaga First Nation - approximately 125 km to the south-southwest
During the scoping phase of the assessment (i.e. during development of the federal EIS Guidelines and
provincial ToR), Noront together with the federal and provincial agencies identified nine First Nation
communities that may potentially be directly affected by the development of the Eagle’s Nest Project.
The initial scoping considered two potential transportation corridors to access the proposed mine site:
Noront`s proposed east-west transportation corridor which would intersect and follow the existing
winter road and connect to the all-season Northern Ontario Resource Trail (formerly Highway 808);
and a north-south transportation corridor proposed by Cliffs Natural Resources Inc. to service its
proposed Cliffs Chromite Project. Aroland First Nation is a key stakeholder for a north-south route
because rail loading facilities (for both the Eagle`s Nest Project and Cliffs Chromite Project) would be
located in close proximity to the First Nation. Though Noront’s proposed project does not include the
use of a north-south transportation corridor and associated trans-load facility, the Company understands
that Aroland First Nation maintains a strong interest in the Project. On this basis, the Company
continues to consult with the Aroland First Nation and include the community in the list of potentially
affected communities.
When considering the east-west and north-south transportation corridors together, the nine communities
that may potentially be directly affected by the development of either transportation corridor are:
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Aroland First Nation
Attawapiskat First Nation
Eabametoong First Nation
Marten Falls First Nation
Mishkeegogamang First Nation
Neskantaga First Nation
Nibinamik First Nation
Ojibway Nation of Saugeen
Webequie First Nation
The nearest public infrastructure to the proposed mine site is a winter road located approximately 100
km to the west of the mine site. This winter road services the remote First Nation communities of
Webequie, Neskantaga, Nibinamik and Eabametoong. These communities are considered “remote” as
they are not connected to the provincial highway system and instead rely on air service and winter
roads for the movement of people and goods into the communities. These communities rely on diesel
generators for power supply as there are currently no transmission lines joining to the provincial power
grid.
The Ojibway Nation of Saugeen and Mishkeegogamang First Nation, as well as the non-reserve
communities of Pickle Lake and Savant Lake, are road-accessible and are located along the Project`s
proposed transportation corridor or near the proposed trans-load facility. Pickle Lake, Ignace and the
Municipality of Greenstone are local non-Aboriginal municipalities near to the Project. Thunder Bay is
the closest major regional centre.
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The Attawapiskat First Nation has been considered a potentially affected community because of its
location more than 250 km downstream of the mine site; the Muketei River located adjacent to the mine
site drains to the Attawapiskat River.
The Project is located approximately 25 km from the Otoskwin-Attawapiskat River Provincial Park
which runs the entire length of the river and includes a buffer zone of 200 m on both sides. The Winisk
River Provincial Park surrounds Webequie First Nation. Other parks include the Pipestone River
Provincial Park and the Albany River Provincial Park.
Noront has been very proactive in engaging and consulting with local aboriginal groups and other
interested stakeholders. Consultation is a central objective of the Provincial EA process. Consultation
planning has been undertaken with consideration of the Ontario Ministry of the Environment (MOE)
Codes of Practice on Preparing and Reviewing the Terms of Reference for Environmental Assessments
in Ontario and Consultation in Ontario’s Environmental Assessment Process.
Population Demographics
The total population of the regional study area is 207,888. The total registered Aboriginal population
within the local study area is 15,541. First Nation communities in the local study area ranged in size
from 100 to 1085 people; approximately half of the registered band members live on-reserve and half
live off-reserve. The regional study area as a whole has experienced a decline in the population in the
last decade, with several communities, however, experiencing population increases. The Aboriginal
communities in the local study area host a young population; the median age in 2011 ranged from 18 to
31.
The vast majority of residents in the region identify knowing English as the only official language. The
percentage of people speaking an Aboriginal language most often at home ranged widely from 1% to
93% for the First Nation communities.
Education, Training, Employment and Economy
The region has a lower level of educational attainment than Ontario and the remote First Nation
communities have again a lower level of educational attainment. Most remote First Nation communities
do not have secondary schooling available in the communities and therefore must access remote
learning or travel to a larger centre to complete high school. Skills inventories and literacy and basic
skills testing indicate that there is a deficiency in essential work place skills in the region, but a keen
interest in upgrading and skills development and openness to alternative delivery methods including online learning.
The region has both lower employment participation rates and higher rates of unemployment in
comparison to the rest of Ontario. This is more so in the remote First Nation communities with little
private sector economy.
The key economic sectors within the region are: forestry and logging, mining, manufacturing,
recreation and tourism, retail, utilities and construction, and health care. At a local scale, the economy
is more dependent on government, transportation, renewable resources, tourism and arts and culture
industries.
Human Health and Well-being
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Individuals residing in Northwestern Ontario are shown to have a lower life expectancy at birth
compared to the overall Ontario population. Food costs in the local study area communities are
generally higher than that of the region and the rest of Ontario - this is particularly true for remote First
Nation communities in the LSA. Compared to the provincial average, the region reports a higher
prevalence of chronic health conditions and higher self-reported rates of smoking and drinking alcohol.
Suicide and self-inflicted injuries were identified as the leading causes of death for First Nations youth
and young adults.
Community Infrastructure and Public Services
Each of the nine First Nation Communities within the area (when considering the two variants of the
transportation corridor) has a band administration office responsible for the day to day management of
the community including the provision of various federal and provincial service programs to on-reserve
and off-reserve community members. Recreational facilities/infrastructure located within the
communities includes baseball diamonds, arenas and gymnasiums. Most of the First Nation
communities offer health services through health centres and clinics and access regional health centres
through medical transportation programs. All First Nation communities have schools providing
elementary school education but only a minority offer secondary school education within the
communities. There is a high proportion of social housing in the local study area and a majority require
major repairs.
Regional initiatives currently underway in the study area include the Northern Ontario Fibre Project,
which involves the connection of 26 First Nations to Industrial/Institutional Capable Broadband.
Government Policies, Planning and Initiatives
Currently, there are no approved community based land use plans established within the area of
proposed Project development. First Nations are in various stages of the planning process established
under Ontario’s Far North Act. There are several Provincial Parks located in proximity to the proposed
development area, although the Project does not cross any of the Provincial Parks.
Land Use
Traditional and non-traditional land uses in the region include hunting, trapping and fishing.
Recreational activities consist of tourist lodges, fly-in camps and self-directed recreational activities.
The cornerstone of the local economy within the region has traditionally been the natural resources
industry including mining and forestry. Within the local economies of the First Nation communities,
health care, education and government are the key economic sectors. The First Nation communities
have a high dependency on government transfers and programs for economic stability and community
well-being.
Archeological Assessment
A Stage 1 archeological assessment was carried out in 2010 by Woodland Heritage Services Ltd. at the
mine site and along the proposed access corridors. A Stage 1 Assessment and field inspection was
conducted in the summer of 2012 to identify areas of high archeological potential within the proposed
Project footprint. The report will be submitted to the Ontario Ministry of Tourism and Culture and, on
approval, Stage 2 subsurface work will be carried out prior to development in areas identified as having
archaeological potential. Previous archeological research suggests that the region was occupied by
humans of the Shield Archaic Culture some 7,000 years ago and that from around 1,000 A.D. to the
time of contact with Europeans, aboriginal peoples were exploiting ungulates and fish. More recently,
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the region was hunted intensively for the fur trade and that it was explored by the mid- to late-1700s.
Mining has taken place from the early-1900s. Based on desktop studies, there are no registered
archaeological sites in the immediate vicinity of the Eagle’s Nest site. This is likely due to the overall
lack of development in the area.
Consultation
Consultation and engagement of stakeholders is important throughout the project lifecycle. Project
stakeholders include Aboriginal groups and individuals, local communities, nearby landowners and
industry, the general public, government agencies, non-governmental organizations (NGOs), and
elected officials.
Efforts have been to inform these communities and stakeholders of the scope and potential effects of
the proposed Project and to understand and address their concerns and issues. During the last four
years, the Project design has also advanced and engineering design has been refined as more
information became available. Some of the modifications to the Project have been made in response to
feedback received from First Nation communities and other stakeholders. Noront is committed to
continuing a meaningful relationship with these parties through the sharing of information and on-going
open dialogue.
Aboriginal Consultation
The proposed mine site is on the traditional lands of the following First Nation communities: Marten
Falls, Webequie and Neskantaga. The transportation corridor crosses the traditional lands of these three
communities along with the First Nation communities of Nibinamik and Eabametoong. Attawapiskat
First Nation is downstream of the mine site. Aroland is located near to the terminus of a previously
considered north-south transportation corridor and Noront has successfully concluded a Memorandum
of Understanding (MOU) for the Project. Noront has determined that these seven communities are the
primary communities for engagement and consultation as part of the EA process:
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Aroland First Nation
Marten Falls First Nation
Webequie First Nation
Attawapiskat First Nation
Neskantaga First Nation
Eabametoong First Nation
Nibinamik First Nation
The company has had several meetings with each of these communities.
Communities on the CEA Agency list that are not noted above will have access to the EA/EIS
documents and plain language summaries of these documents in English, French, Cree, Ojibwe, and
Oji-Cree. These communities may be potentially indirectly affected by the development of the Project
and are also considered participants in the environmental assessment process. These communities or
groups include:
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Bearskin Lake First Nation
Constance Lake First Nation
Fort Albany First Nation
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Ginoogamang First Nation
Independent First Nation Alliance
Kasabonika Lake First Nation
Kashechewan First Nation
King Fisher First Nation
Kitchenuhmaykoosib Inninuwug
Long Lake #58 First Nation
Matawa First Nations
Métis Nation of Ontario
Mishkeegogamang First Nation
Mushkegowuk Tribal Council
Muskrat Dam First Nation
North Caribou Lake First Nation
Ojibway Nation of Saugeen
Sachigo Lake First Nation
Wapekeka First Nation
Wawakapawin First Nation
Weenusk (Peawanuck) First Nation
Windigo First Nation
Wunnumin Lake First Nation
The identified communities are encouraged to comment on the EA/EIS report prepared for the Eagle’s
Nest Project.
Early in the mine development process, Noront recognized the significance of the local Aboriginal
people to the future of the Project. Noront also recognized that the local First Nation communities have
the potential to develop businesses to support the proposed mine or to be employed by either the
proposed mine or by suppliers/service providers.
Initial engagement in 2009 and 2010 was by letters, telephone calls, emails and meetings with a few of
the Chiefs and Councillors of some of the remote First Nation communities near the Ring of Fire. Since
2010, there has been regular communications by telephone, email and letters. Since hiring two former
First Nation chiefs in 2010 to ensure appropriate attention was given to engaging First Nations,
communications by telephone, email and letters have been made almost daily, attempting to connect
with all local Aboriginal people in the Project area, both First Nation and Métis. Noront has visited the
local First Nation communities, provided bursaries and scholarships, run youth camps, developed
training alliances, and supported (in part) a drug diversion program in Marten Falls First Nation. Noront
has also worked on other initiatives to engage the first Nation communities and to demonstrate its
commitment to involving the local First Nation communities in the pending developments on (or near)
their traditional lands. Noront developed the Mikawaa.com (Oji-Cree word for Discover) website to act
as a portal for information exchange with local communities and the broader internet community. In
over two and half years, Mikawaa was visited by 14,363 unique visitors. On average, visitors remained
on the site for just under six minutes and view approximately five pages per visit. Of all visitors to the
website in the past two and a half years, approximately 54% were new visitors.
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In late 2011 and early 2012, Open House meetings were held in several communities (including the
First Nations of Webequie, Neskantaga, Eabametoong and Mishkeegogamang) to explain the Project
and the environmental assessment process, and to receive feedback from the communities. In the winter
and spring of 2013, presentations were made in First Nation communities of Attawapiskat,
Kashechewan (spring only) and Fort Albany. These meetings were also attended by representatives
from the Federal and Provincial Governments and Cliffs Natural Resources. The format included
presentation by the visitors followed by a question and answer period.
In the fall of 2013, Noront initiated a series of Open Houses in local communities to discuss presenting
the results of the environmental investigations and to explain the next steps in the environmental
assessment process. These included discussions regarding future engagement regarding the review of
future environmental assessment documents, and to seek further opportunities for local communities to
discuss the Project and present community concerns and issues. Noront also circulated some of the
Technical Support Documents (TSDs) during these meetings to share the results of the baseline
environmental studies with the potentially impacted communities, non-government organizations, and
government agencies. These open houses will continue into 2014.
Noront has listened carefully to the comments and concerns of the local First Nation communities in
order to understand their concerns and develop an appropriate response. This exchange of information
has influenced the scope and design of the Project. It has also guided and fueled the efforts made to
date on education and training of youth (and other band members) that may want to operate or be
employed by businesses associated with the Project.
Public Stakeholder Consultation
Noront has participated in meetings of Chambers of Commerce, conferences on mining in Northern
Ontario, and other community meetings and gatherings. Noront has organized, advertised and held
Open Houses in Thunder Bay (2012, 2013), Ignace (2012), and Pickle Lake (2012, 2013), where
presentations have been made about the Eagle’s Nest Project and feedback was received. Noront has
presented information about the Project at several conferences. Meetings have been held with
businesses, mayors and councillors or Thunder Bay, Timmins, Greenstone, Pickle Lake, Sudbury, and
Ignace to discuss possible effects of the Project on their businesses and communities.
Concerns were raised regarding due process regarding the environment, Noront described the
Environmental Assessment process and the multiple opportunities the public has and will have to
comment to Noront and Federal and Provincial Government agencies.
Non-Government Organizations Consultation
Noront has met with several NGOs since the start of the Project. Meetings took place as part of an
Open House on the Project held in Thunder Bay and at the Greenstone Economic Development
Corporation event in Geraldton in 2011. Noront has held technical discussions with the Wildlands
League, together with the Wildlife Conservation Society - Canada, regarding woodland caribou and
wolverine. Issues have been raised by NGOs about thoroughness of the EA process, given that the
Project is positioned within an almost completely undeveloped area, is located in one of largest wetland
in the world, and is referred to as “pristine boreal forest”. Cumulative effects associated with the
development of mines and the associated infrastructure was of particular concern as was the potential
effect of Project development on caribou.
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The general public, as well as non-governmental organizations (NGOs), have the opportunity to
participate in the environmental assessment process. Participation can take place at public meetings,
through the online environmental registry (during the comment period), and through direct contact with
Noront. NGOs that have been identified as participants include:
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Wildlands League (a chapter of the Canadian Parks and Wilderness Society - CPAWS)
Mining Watch
Ecojustice
Wildlife Conservation Society Canada
Government Consultation
Noront has had regular communications with key government contacts since 2010. Noront participates
in regular (bi-weekly and occasionally weekly) teleconferences with representatives from the Ontario
Ministry of Northern Development and Mines (MNDM), the Ontario Ministry of the Environment
(MOE), the Canadian Environmental Assessment Agency (CEA Agency), and more recently the
Ontario Ministry of Natural Resources (MNR). The purpose of these calls was to update government
representatives on developments related to the Project and to maintain continuous and open dialogue
between Project executives, the EA/EIS team and the government.
Noront has also participated in a number of topic-specific meetings with the government. Meetings
were held in 2011 to kick-off the EA/EIS study. In 2012, meetings took place to discuss ongoing and
planned baseline studies and to discuss the selection of Valued Ecosystem Components (VECs). In
2013, meetings were held to discuss cumulative effects, geochemistry of the Project, and Project
consultation.
Much of the consultation with Government has been on EIS and EA requirements and what Noront has
to achieve to comply with these requirements. Aboriginal consultation, First Nation treaty rights and
species of risk (particularly caribou and wolverine) have been the focus of multiple discussions.
Federal Government
The CEA Agency is the lead federal authority involved for the environmental assessment process for
the Eagle’s Nest Project. The CEA Agency coordinates the review of the EA/EIS report with other
federal departments that may have an interest in the Project, including:
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Aboriginal Affairs and Northern Development Canada
Department of Fisheries and Oceans
Environment Canada
Health Canada
Natural Resources Canada
Transport Canada
Provincial Government
The MNDM, through the Ring of Fire Secretariat, has the overall lead for proposed developments in
the Ring of Fire and plays a coordinating role with respect to environmental assessments and
Aboriginal engagement. Due to the provincial Individual and Class Environmental Assessments
applicable to the Project, the Ministries of Environment and Natural Resources each have a mandate to
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review the EA/EIS Report and provide a recommendation to Ontario’s Minister of the Environment as
to whether to approve the Project.
Municipal Government
The Project will not require the approval of municipal governments, being solely situated on Crown
Land. Nonetheless, the following municipalities have been identified by Noront as key stakeholders
likely to participate in the environmental assessment process:
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City of Thunder Bay
Township of Pickle Lake
Municipality of Greenstone
Benefits of the Project
Overview
As a result of the environmental assessment process, Noront’s selection of the Project design and
activities are not based solely on engineering or economic determinants, but rather on a balanced
approach that will guide the sustainable development, operation and closure of the Project. The benefits
to Canadians of the environmental assessment process are described below.
Maximizing Environmental Benefits and Supporting Sustainable Development
The EA process allows the effects of a project to be identified and mitigation measures implemented to
reduce or avoid potential adverse effects. The EA of the Project has been carried out early in the Project
planning, which allows some of the potential effects to be eliminated during the design process. In
addition, the EA allows the positive effects of the Project to be identified. Through the EA process,
Noront has identified a number of ways to align its Project with the needs and planning initiatives of
the region.
The EA process is also a public process. The process seeks to engage potentially affected people,
including the local Aboriginal and non-Aboriginal communities. The engagement process seeks both to
inform interested and relevant stakeholders about the Project, and to seek feedback on the Project. The
best projects consider and address stakeholder interests, aspirations and concerns. During the EA
process and through preparation of this EIS/EA Report, Noront has identified a number of ways that the
Project may contribute directly and indirectly to sustainable development in the region. These include:
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Establishing needed infrastructure in this remote part of the province, which will reduce the cost
of establishing year-round road access to four remote First Nation communities; which in turn
has the potential to substantially lower the cost of living within these communities and to help
address poverty issues
Selecting a all-season road alignment within an existing winter road corridor which research has
shown to be either lower quality Caribou habitat, or habitat that Caribou already tend to avoid
Optimizing the road alignment to avoid sensitive features identified by First Nation
communities and to minimize major watercourse crossings to the extent possible
Maximizing recycling of mine and process water to eliminate mine effluent discharges during
the operation phase
Investigating opportunities to bring grid power to the mine and First Nation communities
(ongoing)
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Contributing to the economy of northwestern Ontario and, most significantly, to the economies
of the remote First Nation communities, by establishing these remote communities as direct
points of hire
Providing training and employment opportunities to an under-employed part of the province
Aboriginal Consultation and Public Participation
Aboriginal consultation and public participation leading up to the preparation of this EIS/EA Report
and as described in Section 5, has influenced the Project design in a number of ways:
Selection of an East-West Aligned Transportation Corridor that is Congruent with Other First
Nation Initiatives in the Region - The proposed transportation corridor is similar to a route proposed
by the Neskantaga, Nibinamik, Eabametoong and Webequie communities as a way to connect their
communities to the provincial highway system. The east-west transportation corridor follows an
existing winter road and is well positioned to allow nearby First Nations or the Ontario government to
construct connecting all-season roads between the communities and the Project road. Wataynikaneyap
Power is proposing the development of a 230 kV alternating current transmission line from Dinorwic to
Pickle Lake. The alignment is expected to be congruent with the Ontario Power Authority’s Remote
Community Connection Plan, which is supported by the Nishnawbe Aski Nation’s 2009 resolution to
formulate a strategy to establish hydro grid connections to remote First Nations.
Maximizing Placement of Infrastructure Underground and Minimizing the Surface Footprint First Nation communities indicated to Noront a desire to minimize the surface footprint of the Project.
This feedback, combined with the poor ground conditions at surface, has resulted in Noront favouring a
development plan that maximizes the amount of underground infrastructure. Among other things, the
mill will be underground and all tailings will be disposed of underground. These provisions reduce the
footprint of the project and avoid the construction of a surface tailings pond.
Maximizing Aboriginal Training and Employment - Noront also heard a strong desire from First
Nations to participate in the Project and to take advantage of training and employment opportunities. A
key element of the Project, as described in Noront’s Human Resources Management Plan, is
meaningful participation with the Ring of Fire Aboriginal Training Alliance (ROFATA). ROFATA is a
joint initiative of the Kiikenomaga Kilenjigewen Employment Training Services (KKETS), Noront and
the Confederation College of Applied Arts and Technology. The parties are committed to working
cooperatively to plan, promote, secure funding, deliver and expand opportunities for the development
of a highly skilled Aboriginal workforce for activity associated with the Ring of Fire. The partners
acknowledge and understand that the overall development within the Ring of Fire is a multi-year
initiative that will apply learner-centred, innovative delivery approaches to preparatory programs,
academic upgrading, foundations training and semi-skilled, skilled and professional education and
training programs.
In August, 2013, the Ring of Fire Aboriginal Training Alliance (ROFATA) was awarded $5.9 million
in funding from the Government of Canada’s Skills and Partnership Fund to provide employment in the
mining sector for the people of Matawa First Nations until March 31, 2015.
ROFATA is an initiative assisting and supporting members of nine Matawa First Nation communities
in pursuing specialized training and making informed career decisions in their transition from training
to employment. The objectives are to (1) provide skills development and training to aboriginal
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participants for long-term meaningful employment and (2) promote skills development, labour market
participation and inclusiveness through the effective and efficient development of training initiatives
and supports that are aligned to identify labour market needs for the Ring of Fire.
Initial training will be conducted in the areas of:
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Mining Essentials
A pre-employment training program
Environmental Monitoring
Line Cutting
Security Guard
Remote Camp Support
Remote Camp Cook
Underground Common Core
Heavy Equipment Operator
Pre-Trades (Carpentry/Electrical/Plumber/Welder/Heavy Duty Equipment
Mechanic/Construction Craft Worker)
In addition, extraction of underground aggregate during construction will be used as an on-the job
training opportunity for local workers on the procedures of stope mining.
ROFATA trainees will be guided to long-term sustainable career pathways in the mineral and mining
sectors or other resource related areas associated with the Ring of Fire.
Ongoing Aboriginal Consultation and Public Participation - Noront looks forward to ongoing and
increased Aboriginal consultation and participation in the Project, both within and outside of the formal
EA review process.
Technological Innovation
There are two key technological innovations proposed for the Project:
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Placement of mineral processing infrastructure and tailings and waste rock disposal
underground
Use of a specialized road design for road construction on muskeg, as applied elsewhere in the
world
These are unique approaches to mine development. Construction using these innovations will provide
valuable learning experiences that may set precedents and help guide future mine developments in the
James Bay Lowlands or similar environments.
Increases in Scientific Knowledge
As part of the environmental assessment process for the Project, Noront collected information on the
physical environment (meteorology, hydrology, soils and terrain) and biological information on the
presence and distribution of fish species, vegetation and wildlife. Prior to the baseline studies carried
out by Noront and other ROF proponents, limited environmental information was available for this part
of the province. Noront participated in caribou studies and analyses as part of the Woodland Caribou
Working Group along with the Ontario Ministry of Natural Resources and Golder Associates (on behalf
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of Cliffs Natural Resources). This information will help government staff better understand the species
distribution and other environmental parameters that are needed to better guide future decisions.
Community and Social Benefits
The Project is expected to bring a number of benefits to the potentially affected First Nation
communities, northwestern Ontario, and Canadians. Benefits include:
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Creating economic activity within local Aboriginal communities, northwestern Ontario and the
province of Ontario
Providing direct employment to approximately 780 individuals during construction and 390
individuals during operations
Providing employment and business opportunities for Aboriginal people
Generating tax revenues for provincial and federal governments
Providing positive returns to Noront shareholders and lenders
Creating a better quality of life for the residents of the local communities through Noront’s
involvement in improving educational, cultural and recreational facilities in the community
Participating in agreements with local First Nations
Indirectly supporting regional development initiatives
Modifications made to project design in order to address potential environmental effects will result in
distinct indirect benefits to communities, including: employment opportunities; government revenue
generation; enhanced access to wilderness areas for recreation; and increased community knowledge,
awareness and engagement.
The Project is anticipated to increase federal, provincial and local governments’ taxes and revenues
through a combination of direct, indirect and induced effects.
While the Project itself is relatively modest in scale, development of the Project will mark an important
new chapter in the story of northwestern Ontario. Establishment of an active mining operation in the
ROF along with the associated year-round access will also provide community benefits through
increased access and will reduce the costs of further mineral exploration and development. Both the
costs and risks of mineral exploration and development in the region will be reduced.
Potential Effects of the Project
Assessment Methodology
The assessment of the effects of Project components and activities on the environment is based on a
comparison of the biophysical and socio-economic environments between the predicted future
conditions with the Project and the predicted future conditions without the Project. Where public and
Aboriginal perspectives on Project effects have been obtained, these perspectives are noted. The effects
assessment identifies potential effects of the Project, proposes mitigation measures, assesses the
significance of residual effects, and carries forward any predicted residual effects of the Project into a
cumulative effects assessment. The following outlines the steps taken in the effects assessment:
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Step 1: Select valued ecosystem components and provide rationale
Step 2: Describe background conditions and setting
Step 3: Define the spatial boundaries of the Project effects assessment
Step 4: Define the temporal boundaries of the Project effects assessment
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Step 5: Identify any interaction(s) between a Project component or activity
Step 6: Identify potential Project effects
Step 7: Propose mitigation measures to reduce potential Project effects
If there is a residual effect:
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Step 8: Describe and assess significance of the residual effect
Step 9: Describe and assess significance of cumulative effects
Selection of Valued Ecosystem Components (VECs)
Noront gave careful consideration to the selection of VECs for its assessment, listed in Table 7. VECs
were generally identified on the basis that they were components important to the local communities, of
conservation concern, or regulatory interest/concern.
Because the Project is located in a remote and relatively unstudied part of Ontario, it was necessary to
undertake a number of baseline studies to support the environmental assessment. Baseline conditions
are described in detail in a number of Technical Support Documents (TSDs) that accompany the
EIS/EA Report.
TABLE 7: SELECTED VALUED ECOSYSTEM COMPONENTS
Component
Atmospheric Environment
Valued Ecosystem Component
 Air Quality
 Ambient light
 Climate
 Sound levels
 Surface water quality
 Groundwater quality
 Surface hydrology
 Physical hydrogeology
 Fish habitat
 Indicator species
 Upload ecosystems
 Wetland ecosystems
 Rare plant species
 Bird species of conservation
concern
 Waterfowl
 Furbearers
 Carnivores
 Moose
 Wolverine (species of conservation
concern)
 Woodland caribou (species of
conservation concern)
Acoustic Environment
Water Quality
Water Quantity
Fish and Fish Habitat
Vegetation
Wildlife and Wildlife Habitat
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Social Environment
Economic Environment
Built Environment
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Cultural Environment
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Community Dynamics
Human Health and Well-being
Training, Employment and Income
Local and Regional Economy
Community
Infrastructure
and
Public Services
Cultural Resources
Aboriginal Resource and Land Use
Current Use of Crown Lands and
Resources
for
Recreational
Purposes
Navigable Waters
Local and regional study areas were identified by environmental component. Local study areas were
defined as the zone where there is a reasonable potential for immediate interaction between Project
components and the VEC. Regional study areas were defined by the extent that both direct and indirect
effects may occur. The assessment identified temporal boundaries for the assessment based on a 16
year Project life followed by a post-closure monitoring phase that will end when the mine closure
objectives have been achieved. The post-closure period will be at least 5 years.
Biophysical Effects
The Project is not expected to cause significant adverse effects to the biophysical environment. A
summary of the effects assessment outcomes on individual valued ecosystem components follows.
Air Quality
The Project will increase baseline concentrations of suspended particulate matter and dustfall around
the mine, the all-season road and the trans-load facility. The increases in particulate matter
concentrations in air are expected to be relatively minor (below regulatory thresholds) and the
dispersion of concentrate dust is expected to be negligible, due to implementation of the following
mitigation strategies:
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Much of the mine infrastructure will be underground
The concentrate handling process will be indoors and equipped with dust collection systems
The trailers of the concentrate haul truck will be capped with hard covers.
Gaseous emissions due to combustion (sulphur dioxide, nitrogen dioxide and carbon monoxide) will be
released from the power plant and surface vehicles at levels below regulatory thresholds.
Ambient Light
The Project will add lights to the nighttime landscape that currently has little artificial light (other than
recent exploration activities in the Ring of Fire). Due to the low relief of the landscape, this light will be
visible for some distance. However, most activities will be in the proposed underground mine and there
are no towers or head frames proposed that would have elevated lights. Overall, the contribution of
ambient light is expected to be low magnitude.
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Climate
The Project will involve the burning of fuel and the release of greenhouse gases. This effect is expected
to be low magnitude in the context of the industry, the province and the country.
Sound
The Project will emit noise at levels that are expected to be above the natural baseline variability but
within the applicable provincial limits.
Surface Water
The Project has limited interaction with surface water compared to most mining projects. There will be
limited changes to surface water flows as no major water takes, diversions or discharges are proposed.
At the proposed mine, treated sewage and mine water will be released to a single wetland/stream
system with limited connectivity to the Muketei River. These discharges will meet applicable
regulatory limits and are not expected to adversely affect water quality in the drainage or the
subsequent Muketei River. Other minor interactions include dust deposition (expected to be minor) and
potential sedimentation during in-water activities (such as during stream crossing installations).
Groundwater
The underground will be dewatered during the operating life of the proposed mine. This water will
provide a portion of the make-up water that is needed for processing. Groundwater dewatering may
result in minor localized effects to the wetland around the mine site during dry years and in the worst
case scenario could reduce flows in the Muketei River by up to 5%. At closure, the mine workings will
flood over approximately 20 years. Active flooding of the underground mine has been identified as an
adaptive management measure if monitoring of groundwater seepage during operations suggests that
groundwater quality may be adversely affected at closure. The water level of the flooded mine will be
below ground surface, the mine openings will be sealed, and a very shallow gradient exists towards the
Muketei River. These factors in combination will result in very little interaction between the mine
water and the surrounding environment.
Other minor interactions expected to cause negligible effects to groundwater, include water well
withdrawals and the installation of septic systems at the mine and trans-load facility. Quarries
developed along the road may extend below the groundwater table, but no groundwater releases from
the quarries is expected.
Fish and Fish Habitat
The Project will result in losses of fish habitat, mainly due to culvert and bridge installations along the
transportation corridor. Lake Sturgeon are distributed in larger river systems throughout the region
including the Muketei River near the mine site (confirmed) and the Pineimuta River (suspected).
Noront has developed a conceptual fish habitat compensation plan that is intended to mitigate fish
habitat losses. Best practices will be implemented to minimize habitat alteration and potential sub-lethal
effects due to sedimentation and in-water construction of watercourse crossings.
Upland Ecosystems
Vegetation in upland ecosystems will be removed or altered during cleaning activities associated with
the mine site and transportation corridor development areas. No direct or indirect losses of vegetation
are expected during the construction of the trans-load facility as the infrastructure will be placed within
an already disturbed site. The removal of vegetation can result in the fragmentation of forest
communities due to the developed spaces acting as barriers to plant distribution. In addition, new
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openings created by site clearing for construction may attract light demanding species that will locally
change the species composition.
The area of upland ecosystems lost at the proposed mine site will be approximately 15 ha, which equals
approximately 2.7 % of the upland habitats in the mine site LSA. The area of upland ecosystems lost
during the clearing of the 30 m right-of-way for the all season road will be approximately 518 ha,
which equals approximately 0.7 % of the upland habitats in the transportation corridor LSA. The area
of upland ecosystems lost during the clearing of the quarry and borrow sites will be approximately
4,839 ha, which equals approximately 11 % of the upland habitats in the transportation corridor LSA.
The quarry areas identified are based on preliminary surveys of aggregate sources and are considerably
larger than the final footprint. Indirect changes to vegetation in upland ecosystems are possible, but this
loss would be limited to a few cases and will not occur on a large scale. Ecosystem losses are minor
when compared to the regional study area. Indirect changes to upland habitats that could occur as a
result of the Project include changes to surface drainage, erosion, and snow accumulation patterns.
Wetland Ecosystems
The Project will interact with wetland ecosystems during the development of the mine site and
transportation corridor. The primary effect will be the physical loss of wetland ecosystems due to site
clearing. In addition, road construction has the potential to have an indirect effect on a variety of
ecosystem attributes, including biodiversity on adjacent wetlands up to 1 or 2 km from the road, if
drainage features along the road are not sufficient to maintain the existing hydrology. The area of
wetland ecosystems lost at the mine site will be approximately 18 ha, which equals approximately 1.3
% of the wetland habitats in the mine site LSA. The area of wetland ecosystems lost during the clearing
of the 30 m right-of-way for the all season road will be approximately 327 ha, which equals
approximately 0.9 % of the upland habitats in the transportation corridor LSA. The area of upland
ecosystems lost during the clearing of the quarry and borrow sites will be approximately 1,375 ha,
which equals approximately 3.8 % of the upland habitats in the transportation corridor LSA. These
losses become minor relative to the size of the regional study area.
Rare Plants
No rare plant species were identified during baseline studies, however, rare plants and habitat may be
lost during construction. The potential loss of rare plants could occur within the PDAs. As such, the
potential loss of rare plants would be limited in extent. The potential loss of rare plants will be
minimized by keeping the Project footprint as small as possible. It is assumed that the loss of rare plant
species will be minimal to negligible as no rare plants were identified during baseline studies.
Invasive Plant Species
Non-native invasive plant species, or weeds, can alter nutrient cycling, competition, and the energy
budget of an ecosystem. This can lead to a decrease in native plant community structure and species
diversity, and changes to native species survival rates and relative abundance. The construction and
operation of the Project has the potential to introduce non-native plant species and disrupt native plant
communities. Measures will be undertaken by Noront to minimize the risk of invasive species
introduction. Monitoring of invasive species and reporting to the Ontario Ministry of Natural Resources
will form part of Noront`s proposed biodiversity management plan.
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Birds of Conservation Concern
Eleven bird species at risk (SAR) were identified as having the potential to occur within the Project
area as follows:
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Canada Warbler
Peregrine Falcon
Common Nighthawk
Short-eared Owl
Olive-sided Flycatcher
Barn Swallow
Black Tern
Yellow Rail
Bald Eagle
Golden Eagle
Rusty Blackbird
Three birds SAR were observed within the mine site area: Common Nighthawk, Olive-sided Flycatcher
and Rusty Blackbird. Three additional bird SAR were observed within the broader regional study area:
Bald Eagle, Canada Warbler and Peregrine Falcon. Direct habitat losses will occur during the
construction phase due to site preparation activities for the mine site and transportation corridor. These
activities will likely have the greatest potential interaction with the bird species of conservation
concern.
The total loss of preferred habitat located within the LSA due to physical loss of vegetation is 7.2 %.
The estimated amount of habitat degraded within the LSA is approximately 143 ha. Overall there is an
estimated combined loss of 4.3 % of preferred habitat within the RSA. The most affected habitats
within the RSA, are bedrock sites, disturbance-treed and/or shrub, coniferous treed, deciduous treed,
mixed treed and disturbance-non and sparse woody. The estimated amount of degraded habitat within
the RSA is 2,099 ha.
Indirect habitat loss and degradation to bird SAR will be greatest during the initial construction phase
of the Project. Provided that construction activities are located outside of the nesting season, sensory
disturbances are likely to have a negligible effect on bird SAR or on the remaining breeding birds in the
LSA.
Bird mortality related to vehicle collisions will not occur frequently. As such, these losses are not
anticipated to affect the local bird populations. Raptors and migratory waterfowl have the potential for
collision and electrocution from Project power lines. Power line mortalities are likely to be localized
around the PDA.
Waterfowl
Waterfowl are a valuable resource harvested by the First Nation communities in the Project region.
Within the RSA there are a large number of lakes, ponds, rivers and wetlands that provide suitable
feeding and nesting habitat for a variety of waterfowl species. Twenty waterfowl species were observed
during the course of the baseline investigations within the RSA. Only one waterfowl species, Canada
Goose, was observed at the mine site. Although, other waterfowl species were observed on the near-by
Muketei River. The following is a list of waterfowl species observed within the RSA:
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American Wigeon
Blue-winged Teal
Brandt
Bufflehead
Canada Goose
Common Goldeneye
Common Loon
Common Merganser
Lesser Scaup
Greater Scaup
Green-winged Teal
Long-tailed Duck
Mallard
Merganser spp.
Northern Pintail
Red-breasted Merganser
Ring-necked Duck
Snow Goose
Tundra Swan
White-winged Scoter
There is very little waterfowl habitat within the mine site LSA, thus habitat loss resulting from ground
preparation activities at the mine site will be minimal. In addition, the majority of site development
activities will take place away from open water and wetland habitats.
Based on the baseline breeding bird surveys completed, waterfowl use the RSA extensively for staging
and feeding during migration and/or for breeding. Breeding habitats of the waterfowl that frequent the
RSA differ between species. Direct loss of habitat along the transportation corridor will result from
ground preparation activities.
Indirect habitat loss and degradation to waterfowl will be greatest during the initial construction phase
of the Project. Provided that construction activities are located outside of the nesting season, sensory
disturbances are likely to have a negligible effect on waterfowl.
Waterfowl are harvested by the First Nation communities. Creation of an all-season road will provide
access for some Aboriginal and non-Aboriginal hunters to a larger area. Increased access is expected to
increase hunting pressures on the migratory and resident waterfowl populations.
Furbearers
Local furbearers include Beaver, Muskrat, Snowshoe Hare, Fisher, Marten, Lynx and Red Fox. Most
furbearers tend to be concentrated along the watercourses, either because they are directly associated
with water habitats (e.g., Beaver and Muskrat) or because they prefer the forest and forest/shrubland
habitats that border creeks and rivers (e.g., Marten, Lynx, and Red Fox). The removal and
fragmentation of habitats will occur during the Project construction phase. The most affected habitat
preferred by furbearers within the RSA is the mature forest stands and forest edges (e.g., coniferous
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treed, deciduous treed, mixed treed), which represent a small portion of removed habitat from the RSA
(< 1.5 %).
The potential for mortality may occur if scavenging furbearers are attracted to domestic waste at the
mine or construction camps. Some individuals can become accustomed to scavenging waste and
demonstrate a general lack of fear of humans. Proper waste management measures, including worker
education and the use of a dedicated waste management facility and incinerator will reduce the
potential for animal attractants. When there is an immediate danger to human safety, all deterrent
options will be investigated (e.g., air horns, cracker shells, non-lethal projectiles). The final course of
action to protect Project staff may include destruction of the nuisance animal as per MNR guidelines.
Carnivores
The Gray Wolf and Black Bear are the largest carnivores within the RSA and occur at low densities.
Wolf numbers are generally dependent on ungulate abundance (e.g., Moose and Woodland Caribou)
and the activity likely to have the greatest potential interaction with carnivores is associated with the
effects of removal and fragmentation of forest cover on their prey species. This will mostly occur
during the Project construction phase.
The most affected habitat preferred by carnivores within the RSA is the mature forest stands (e.g.,
coniferous treed, deciduous treed, mixed treed). These habitats do not represent a large portion of the
habitat loss within the RSA (< 1.5 %). As such, this loss is not likely to have a negative effect on the
carnivores near the PDA.
Wolves may exhibit avoidance behaviour until the local animals adjust to the presence of Project
infrastructure. This process has already occurred to some degree around the existing exploration camps.
Wolves have been documented within the exploration camp perimeter. They may be attracted by
odours of food and domestic waste.
Carnivores also display scavenging behaviour that can attract them to road kill. Most animals will
remove the carcass from the road to reduce the likelihood of attracting competitors. This behavior
increases the risk of vehicle-wildlife collisions and mortalities.
Moose
Moose are a critical resource for First Nation hunters as a supply of meat and hides. Moose hunting is
also an important cultural pursuit. Clearing the PDA along the transportation corridor ROW (including
the all-season road, spur roads and aggregate source areas) will remove or alter areas within the major
habitat types preferred by local Moose. The most affected habitat preferred by moose within the RSA is
the sparse treed and treed peatland habitats, of which < 1 % will be removed from the RSA. The area of
degraded suitable habitat for these habitats is not likely to have an effect on the moose near the PDA.
Moose are considered to be relatively tolerant to human disturbances, but they may be affected by the
visual and noise disturbances associated with infrastructure, vehicle traffic, foot traffic, and aircraft
activity. These short-term disturbances may occur most frequently near the all-season road and during
the operation phase near the mine site and trans-load facility.
Moose have been known to associate with disturbed corridors such as roads for ease of movement
during winter months. Moose may also be attracted to the presence of deciduous vegetation in roadside
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ditches during the growing season as well as the runoff from salted roads in the spring. Therefore, there
is an increased risk for vehicle collisions with moose along the transportation corridor.
Wolverine
Wolverine is a species at risk that is sparsely distributed across the study area. The direct loss of
Wolverine habitat in the Project RSA is very small. Wolverines prefer large expanses of undisturbed
landscape and tend to avoid humans. Roads can serve as a partial barrier to their movement.
When a 6.5 km disturbance buffer is applied around Project infrastructure to account for avoidance
responses, direct and indirect habitat losses for high quality habitat are 3.7 %, medium quality habitat
are 8.0 %, and low quality habitat are 3.8 %.
Of all anthropogenic causes, incidental trapping of Wolverines has the greatest potential to cause
declines in their populations. Road development may result in higher incidences of vehicle collisions
with Wolverine, particularly for young dispersing males. Increased movements by juvenile males also
make them more susceptible than females to trapping (traditional and incidental). Finally, any
reductions to the density of Woodland Caribou in the Project area will result in fewer carcasses (wolf
kills), which are an important food source for Wolverine in the winter. Mitigation measures include
minimizing the Project footprint and maintaining a narrow road ROW since Wolverine are less likely to
cross a large roadway ROW. It is not expected that the Project will meaningfully increase trapping
activity. Monitoring and reporting of Wolverine activity to the province will form part of Noront`s
biodiversity management plan.
Woodland Caribou
Is a species at risk in Ontario. Project related direct and indirect losses of Woodland Caribou habitat in
the RSA has been estimated as follows:




High quality - 0.4 % of the RSA
Medium quality - 0.005 % of the RSA
Low quality - 0.00001 % of the RSA
Nil quality - 0.3 % of the RSA
These estimates include a 6.5 km degradation buffer around the transportation corridor and mine site.
All of the habitat losses due to the PDA are extremely low, as are the amounts of habitat within the 6.5
km buffer. Due to the conversion of natural habitat to road, it is anticipated that Woodland Caribou will
avoid suitable habitats adjacent to the new all-season road. This is primarily due to higher risk of
predation by wolves and through the avoidance of sensory disturbances such as light and noise from
road traffic and recreational activities.
Development and use of the transportation corridor will likely increase Woodland Caribou mortality
due to vehicle collisions. However, due to their general avoidance of roads, it is highly likely that this
source of mortality will be much lower than for other wildlife species. Woodland Caribou that are
closer to corridors (roads, trails, seismic lines and pipeline corridors, etc.) are also at higher risk of
predation by wolves. Wolves are known to use linear corridors to move through the landscape, since
they can attain movement rates three times greater than movement through the surrounding forest.
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It is estimated that approximately 1,000 ha of high suitability Woodland Caribou habitat will be lost
due to construction of the Project footprint and that approximately 100,000 ha of high suitability
Caribou habitat will no longer be used by Caribou due to their avoidance of Project infrastructure and
associated sensory disturbances.
Wildlife Health
A Project’s effects on wildlife health are typically considered as it relates to potential contamination of
forage. Contamination is generally associated with pathways for chemical exposure and uptake by
plants as a result of dust and emissions from the Project. The construction, use and closure of the
Project infrastructure will likely cause increased dust emissions, however, the roads will be constructed
using inert aggregate and strict dust control measures will restrict meaningful emissions of concentrate
dust from occurring. The aesthetic effects of dust settlement on vegetation within the degradation buffer
may discourage herbivore browsing. Due to the proportionally small area within the buffer compared to
the available habitat in the RSA the Project is not expected to affect wildlife health.
Social, Economic, and Cultural Effects
The Project is not expected to cause significant adverse effects to the social, economic and cultural
environments. The Project is, however, expected to result in beneficial effects within the scale of the
local study area. A summary of the outcomes of the effects assessment on individual valued ecosystem
components follows.
Community Dynamics
A number of interactions between the Project and community dynamics were identified. The Project
may result in demographic shifts within the remote First Nations communities as a result of
employment by, or related to, the Project. Because the remote First Nation communities (as well as
Thunder Bay) will be points of hire, individuals may choose to leave the community seeking improved
amenities (i.e., schools, stores, etc.). Conversely, individuals may choose to return to their community
if they are able to obtain local employment at the Project. The Project may also result in an influx of
people in the region seeking direct, indirect or induced employment opportunities. The fly-in/fly-out
operation may also allow residents within the region to decentralize, since such a work rotation allows
for some geographic flexibility.
The Project’s focus on local employment and training should in the long-term help improve the overall
skill levels within the smaller communities. This may be off-set in the short-term by a temporary loss of
existing skills in the community, as local workers seek new and possibly higher-paying jobs with the
mine.
First Nation communities in the LSA are currently working towards completing Community Based
Land Use Plans (CBLUPs) under the requirements of the Far North Act, 2010. These plans will identify
how and where land use activities may take place. First Nations in the LSA are at various stages of
creating their CBLUPs. None of the plans have been approved to date.
Human Health and Well-being
The Project is anticipated to interact with various factors contributing to human health and well-being.
The results of a Screening Level Risk Assessment (SLRA) for human health concluded that the Project
will not have adverse effects on human health. Surface water and groundwater will remain safe for
potable uses and air quality is expected to remain below thresholds for health-based air quality criteria.
98
No transport pathways into country foods were identified and, as a result, country food is anticipated to
remain safe for consumption.
The Project is expected to improve food security in the remote First Nation communities primarily as a
result of increased incomes from employment at the Project. With greater disposable incomes,
individuals will be able to purchase the required amount of food and will have greater opportunity to
harvest traditional foods.
Substance abuse has been identified as a problem within the study areas. The Project has the potential
to both adversely and beneficially affect substance abuse. Due to increased income, individuals may be
inclined to purchase more drugs or alcohol than previously. The development of the transportation
corridor, and the mine site itself, may facilitate the transport of illegal substances and alcohol, further
increasing their availability in communities. These adverse effects will be mitigated through a zerotolerance policy towards alcohol and drug use while at work; those found with these items will be
removed from the mine site. The Project may also change the perspectives individuals have towards
drug use. Positive shifts in attitude toward drug and alcohol use will be realized as individuals have
added structure and responsibility in their lives since they need to report to work on time and sober.
Parenting due to the Project may also change. Parenting may become move difficult due to the flyin/fly-out nature of work at the mine site, while others may benefit from the increased confidence as a
result of employment.
The overall quality of life within the potentially affected communities is anticipated to improve. Factors
leading to beneficial changes include improved education levels and training and employment. The
resultant income will increase individuals’ ability to spend money on various recreational activities,
while Impact Benefit Agreements (IBAs) have the possibility of improving the quality of life within the
communities as a whole
Training, Employment and Income
The Project is expected to interact with training, employment and income through the creation of
employment, increased training and skills development and increases in median income. Employment
in the Project is anticipated to consist of approximately 780 direct jobs during the construction phase
and approximately 390 direct jobs during the operation phase. Indirect and induced employment is
estimated to be a factor of 2.5 to 1 for the Project. Currently, the region cannot meet the demand for
semi-skilled to skilled labour.
The low educational attainment rates currently pose as a barrier to future employment. Noront, in
partnership with Confederation College and Matawa First Nations, has developed the ROFATA. The
education and training attainment rates are anticipated to improve through this partnership and other
training programs in the region.
With the development of the Project and the expected subsequent creation of direct jobs, the individual
income of those employed is expected to increase. Increases in income will vary by individual and
household based on the length of time individuals remain employed at the Project and on their position.
In general, average weekly wages in the mining industry are 60% higher than the Ontario’s average
industrial wage. Increases in income generally have a positive effect on the well-being of households,
as well as on the local economy. In order to minimize the effects of poor spending decisions, Noront
99
plans to provide personal life management training to its employees that will include aspects of money
management.
Local and Regional Economy
The Project has the potential to interact with the local and regional economies through economic
impacts, induced economic development and increased business opportunities. The estimated annual
economic impacts (GDP Impact), on a moderate scale, are estimated to be $686,250,000 during the
construction phase and $1.215 billion during operations. Government revenues as a result of the
Project, on a moderate scale, are estimated to be $207,248,000 during construction and $366,930,000
during operations.
The infrastructure associated with the developed of the transportation corridor has the potential to
reduce the capital costs associated with the development of numerous other mineral deposits located in
the Ring of Fire region; these effects are, however, uncertain.
The Project is expected to affect the local and region economy through expenditures on goods and
services. These expenditures will help diversify the economy. The extent to which business
opportunities translates into economic development benefits, depends on general economic conditions,
the investment climate, and the competitiveness of local suppliers. Noront will require numerous
construction, contracting, supply, and service companies and will contract local and regional businesses
to supply materials, goods and services, whenever possible.
Community Infrastructure and Public Services
The Project is anticipated to interact with community infrastructure and public services through
improved community access and through strain on the locally available infrastructure and services. The
development of the transportation corridor has the potential to ease access to the remote First Nation
communities. Although spurs leading off the proposed corridor are not planned by Noront, the
communities themselves will need shorter winter road connections. Shorter winter roads will reduce
travel times, improve the safety of travellers and potentially increase the length of the winter road
season. The project is not anticipated to have residual effects on community access.
Infrastructure in the LSA is generally underutilized; however, the services provided are limited. The
Project is expected to have a minimal effect on the size of the population in the LSA. As such, possible
strains on local infrastructure are expected to be minimal.
Cultural Resources
Cultural resources include archaeological sites as well as sites deemed to be of cultural or spiritual
importance to the local First Nation communities. A Stage 1 archaeological assessment was completed
for the purposes of the environmental assessment/environmental impact statement. Prior to conducting
any ground disturbance activities, Noront will conduct a Stage 2 archaeological assessment on sites
identified as having high archaeological potential within the Project development area. Areas with high
archeological potential are expected to be mostly along main rivers and eskers. Noront has established a
Cultural Resources Action Plan to identify the manner in which potential archaeological sites will be
managed.
To date, Noront has not identified sites of cultural or spiritual importance in the mine site area. During
road alignment reconnaissance, Noront agreed to divert the road routing south of Webequie First
Nation in order to avoid an area of cultural importance identified by the community. In order to help
100
identify any potential sites of cultural or spiritual importance, Noront has developed an Aboriginal
Traditional Knowledge Study Plan to help ensure that these sites are avoided, or mitigated
appropriately. All work will be undertaken with the consent of the communities.
Aboriginal Resource and Land Use
The Project has the potential to interact with Aboriginal resource and land use. The Project is not
anticipated to have adverse effects on hunting, fishing and plant harvesting opportunities. Trapping will
potentially be affected, as some traplines will be reduced and fragmented from the development of the
Project and its associated infrastructure. However, changes to harvest volumes from trapping activity
are not anticipated. Aboriginal commercial activities in the area include the provision of tourism
services (mainly outpost camps). The development of the Project may result in improved access to the
area as the cost associated with travel may be reduced. The development of the mine and related
infrastructure will not take place in proximity to the outfitter camps/lodges.
Current Use of Crown Lands and Resources for Recreational Purposes
There are no direct effects to provincial parks or conservation areas from the Project. The transportation
corridor will approach the Otoskwin/Attawapiskat Provincial Park, but remain outside of the park
boundary. Increased access to hunting is anticipated through the development of the all-season road.
Disturbance to the Wildlife Management Units from the Project are minimal (<1%) and represent a
small fraction of the Wildlife Management Units. The Project is also anticipated to have no direct effect
on known existing outpost camps. The construction of the transportation corridor and mine may affect
people’s perception of the area as a remote, pristine wilderness area. Development of the mine and
related infrastructure will not take place in proximity to the outfitter camps/lodges, as such, no effects
are anticipated to the visual landscape. The Project will not result in the removal of, or restrict access
to, existing fishing areas. Areas may become more accessible as result of the development of the
transportation corridor. Overall recreational and tourism opportunities will not be restricted in the area
because of the Project. It is possible that increased access will be created due to the construction and
developed of the east-west corridor.
Navigable Waters
The installation of stream crossings (i.e., culverts and bridges) at watercourses located along the
transportation corridor could potentially interfere with navigation. Based on the results of the navigable
waters screening, the project will potentially affect the navigability of 66 watercourses located within
the local study area. Based on the remote location of the Project and the current lack of access to the
area, interference with navigability is unlikely. In addition, many of the watercourses are isolated from
other known transportation routes, such as the Attawapiskat River. During the construction phase, it
may be necessary to temporarily close watercourses to users for safety reasons. During these periods,
the navigability of the watercourse would be limited or prohibited, necessitating temporary avoidance
of the area or use of exit/entry points before and after the crossing location.
Cumulative Effects Assessment
A cumulative effects assessment (CEA) was undertaken to evaluate the potential for any residual
effects of the Project to interact with the effects of other projects or activities that overlap with the
Project`s geographic extent and timeframe (past, present and reasonably foreseeable).
The CEA methodology included the following steps:
101

Scoping:
o Identify regional issues of concern
o Identify spatial and temporal boundaries
o Identify other actions that may affect the same VECs
o Identify potential impacts due to the actions and possible effects

Analysis of Effects:
o Complete the collection of regional baseline data
o Assess effects of the Project on selected VECs
o Assess the effects of all selected actions on selected VECs

Identification of Mitigation Measures

Evaluation of Significance:
o Evaluate the significance of residual cumulative effects
o Compare results against thresholds or land use objectives or trends

Follow-up: recommend regional monitoring and effect management
Past and present projects have been identified using various government databases. Other reasonably
foreseeable projects were identified and considered providing that the project or activity met one or
more of the following criteria:



It had entered into a formal project approval or permitting process
It was specified through discussion with regulators, Aboriginal groups and/or other stakeholders
Sufficient project information exists to inform a CEA
The past and reasonably foreseeable projects that were identified included:


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


Musselwhite Mine
Victor Mine
Mining and mineral exploration activities in the Ring of Fire region
Abandoned Mines (all located off of Hwy. 599), including:
o Albany River
o Crowshore
o Central Patricia and Central Patricia #2
o Pickle Crow Gold Mine
Decommissioned Mid-Canada Line military radar site at Winisk
Traditional and recreational hunting, fishing and foraging activities
Tourism and commercial recreational activities, including fishing and hunting and adventure
tourism
Air transport associated with remote communities in the region, outfitter camps and mineral
exploration in the Ring of Fire
The Caribou and English River Forest Management Units, located in the southern extent of the
study area
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The following projects have been identified as reasonably foreseeable on the basis that a regulatory
application has been filed or approved:



Marten Falls Logistics Airstrip, a permitted activity intended to support mine development in
the Ring of Fire, including the Eagle`s Nest Project
Victor Mine Extension Project, for which a project description was filed with the federal and
provincial governments in mid-2013
The New Transmission Line to Pickle Lake Project - Wataynikaneyap Power is proposing the
development of a 230 kV alternating current transmission line from Dinorwic to Pickle Lake
A residual effects interaction matrix was developed that listed the Project VECs with residual effects
and summarized other projects/activities that have the potential to affect the same VECs. This
interaction matrix identified where there was potential overlap of effects that need to be considered in
the CEA.
A qualitative assessment of cumulative effects was undertaken using the same approach used to assess
Project effects. Cumulative effects of the following Project residual effects were evaluated:


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



Ambient air quality and dust deposition
Climate change
Increased noise levels
Physical loss or alteration of vegetation
Effects on Woodland Caribou
Wildlife mortalities due to collisions
Effects of increased harvesting as a result of increased access
None of the above cumulative effects are expected to be significant. In addition, other benefits are
expected to accrue for a number of beneficial Project social and economic effects. Since effects on
Woodland Caribou are multi-faceted and the Project is one of many pressures on Woodland Caribou,
Noront will develop a facility-level biodiversity management plan. This plan will be developed in
cooperation with regional wildlife management and on-going research activities related to Woodland
Caribou and other species of concern.
Additional Effects
Effects of the Environment of the Project
The assessment of effects of the Project on the environment includes the prediction of potential effects
of extreme environmental conditions, such as natural hazards (severe/extreme weather and other
external events) and climate change.
Environmental conditions with the potential to adversely affect the Project components and activities
include:

Seismic Activity - The Project is situated within an area with a very low seismic hazard rating
and no major tectonic zones have been identified within hundreds of kilometres of the area.
Measures to mitigate adverse effects due to seismic activity include ensuring that Project
components and activities are designed to comply with current standards outlined in the Ontario
Building Code.
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
Extreme Weather Events - Weather events such as extreme precipitation can cause
unauthorized discharges from water management structures (i.e., surface water collection pond)
and can erode Project infrastructure. Design-based mitigation measures will be incorporated
into the design of Project components and activities.

Forest Fire - Wildfires have the potential to cause widespread damage to ecosystems and
property if they are not contained. Mitigation measures for forest fires include clearing areas
around site facilities and designing the mine site layout to minimize potential fire damage by
fire to site infrastructure is minimized.

Climate Change - Recent climactic observations and modeling suggest that temperature and
precipitation will rise; however, over the timeframe of the Project, no significant trends are
expected.
Accidents and Malfunction
The effects of possible accidents or malfunctions are assessed for all phases of the Project and include:

Fuel Spills - Fuel spills could occur during transportation, within on-site storage facilities, or
during transferring activities. Fuel spills could cause an effect to the terrestrial and aquatic
environments. Third party contractors will be expected to have an emergency response plan and
procedures in place and to adhere to Noront’s Emergency Preparedness and Spill Contingency
Plans.

Concentrate Incidents - Concentrate incidents could occur during hauling and transportation as
well as during transferring activities. Concentrate incidents could cause physical damage to
terrestrial environment, flora, and/or increase sediment loadings to aquatic environments.
Drivers will be required to abide by Noront’s Road Management, Emergency Preparedness, and
Spill Contingency Plans.

Chemical Spills - Various other chemicals used on site could be released during transport or
from on-site storage facilities. Chemical spills could cause an effect to the terrestrial and aquatic
environments. Chemical handlers will be required to abide by Noront’s Road Management,
Emergency Preparedness, and Spill Contingency Plans.

Uncontrolled Discharge from Sewage Treatment Plant - In the event of a sewage treatment
plant incident, partially treated or raw wastewater could be released to the receiving wetland.
The quantity of water that will be released would be minimal and will be diluted in the receiving
waters. Short-term releases are not expected to cause long-term toxicological effects to the
receiving environment.

Embankment Failure (Surface Water Collection Ponds) - Given that the ponds are storing
water and given the limited duration of an incident associated with an embankment failure, no
adverse effects are expected to the terrestrial or aquatic environments. Short-term increases in
TSS may occur within adjacent aquatic habitats. However, a TSS increase is not expected to be
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an issue given that there are no waterbodies located in close proximity to the surface water
collection pond.

Crown Pillar Failure - Based on the location and nature of the crown pillar, environmental
effects would be limited to the area located immediately above the crown pillar. Direct loss of
terrestrial flora is possible. Unexpected surface and groundwater flows into the underground
workings are also a possible consequence. Effects to surface water and groundwater quantities
are possible as well. The crown pillar will be mined and backfilled early in the operations phase
of the project development.

Explosives Incident - The most probable explosives related accident scenario would involve
bodily harm or damage to mine-related infrastructure, rather than an environmental interaction.
There are minimal environmental impact concerns and any effects would be limited to the
immediate blast area and would also be of short duration.
Environmental Management and Commitments
Noront has developed a draft Environmental and Social Management Plan (ESMP). The ESMP
includes an Environmental Management System as the overall framework for environmental
management, as well as the following Environmental Management Plans (EMPs):

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Human Resources Management Plan
Emergency Preparedness and Response Plan
Spill Contingency Plan
Health and Safety Plan
Closure and Reclamation Plan
Consultation Plan
Water Management Plan
Sediment and Erosion Control Plan
Conceptual Fish Habitat Compensation Plan
Biodiversity Action Plan
Water Quality Monitoring Plan
Road Management Plan
Geochemical Monitoring Action Plan
Aboriginal Traditional Knowledge Study Plan
Cultural Resources Action Plan
Noront commits to the implementation of the ESMP as well as other commitments made within the
EIS/EA Report, including:




Geochemical sampling and testing of quarry and borrow materials
Monitoring seepage during and after underground operations
Additional assessments of fish habitat at the final road alignment transportation corridor water
crossings
Monitoring any change of residency of Project employees from the LSA. Qualitative data will
be collected on community perceptions of the Project, including education and training
attainment data
105



Collecting additional ATK data as per the ATK Study Plan
Submission of a revised assessment package to Transport Canada, including representative
widths, depths, gradients and flow measurements of each crossing, as well as upstream and
downstream photographic records
Installation and monitoring of groundwater wells east of the mine site
EA/EIS Conclusions
In summary, the Project is not expected to result in significant adverse effects to the biophysical, social,
economic and cultural environments. The Project is expected to result in significant beneficial effects to
the local communities and region through training and employment and improvements to regional
infrastructure.
No significant cumulative effects are anticipated as a result of the Project in combination with other
projects or activities.
Economic Evaluation
Capital expenditures, operating costs, financial analysis and project risk have been assessed for the
purposes of the Feasibility Study dated October 19, 2012. Readers are cautioned that the following
description of the anticipated economic impact of the Eagle's Nest Project and the information
contained in the Eagle's Nest Feasibility Study regarding anticipated capital expenditures, operating
costs, financial analysis and project risk constitute forward-looking information. See “Cautionary
Statement Regarding Forward-Looking Information” in this AIF.
Capital Costs
The total estimated pre-production cost of capital is $609 million comprising:

$195 million for mining: capital required for the establishment of the portal, driving the twin
ramps to the mill area and other mine workings, developing the twin production ramps to
sufficient depth for initial mining, excavating the mill excavation, warehouse, shops, and other
workings, creating the access and initial stopes of the aggregate stoping operation, creating
ventilation raises, creating an ore pass, mobile mining and support equipment, the cost of the
backfill plant, and surface aggregate crushing, screening, and stacking equipment;

$113 million for processing: capital required for the main processing facility and concentrate
dewatering and drying facility, including the supply and installation of the above;

$100 million for infrastructure: capital required for site infrastructure (at the mine site and at
Nakina), including the cost of equipment for the generation and distribution of power. The cost
of constructing an all-weather road is excluded on the assumption that a public-private
partnership will be responsible for road ownership and maintenance;

$158 million for indirect costs: capital required for engineering, procurement, construction,
freight, first fills, owner’s costs and other such costs. The owner’s costs include training, land,
environmental studies, plant mobile, commissioning and start-up, camp costs during
106
construction, labour transportation, insurance, and community relations and corporate costs.
Logistics and site trailers are included in indirect costs; and

$44 million for contingencies: the contingency equates to 9% of the estimate for direct mining
costs and 12.3% of direct process and infrastructure costs.
This estimate assumes that the costs for transport infrastructure will be shared with other users through
a public-private partnership (P3) arrangement, so that the project bears only its freight-related
proportion of annual service charges. The total life-of-mine capital totals $770 million.
Sustaining capital required through the life-of-mine period subsequent to expenditure of initial capital
totals $160 million for direct mining costs, made up of replacement equipment ($115 million) and
development costs ($45 million). The development costs are for extending the ramps and preparing the
levels up to the ore body, however, development in the ore body is part of the operating costs. There is
no sustaining capital allocated for the plant, as it is assumed that this is covered in operating
maintenance costs.
Closure plans and associated costs developed by Knight Piésold total $2.8 million, to be spent within
seven years of mine closure. Discounted back to the present at 3%/y, that cost is estimated to have a
present value of $1.9 million. The latter amount is provided in the above estimate and in the cash flow
model as an up-front (pre-production) bonding amount.
A summary of the life of mine (LOM) project capital cost estimates are presented below. The Total
Estimated cost assumes shared infrastructure development to the Ring of Fire with government and
other industry partners. The Base Case estimate includes 100% of the infrastructure development costs.
TABLE 8: INITIAL CAPITAL COST SUMMARY
Area
Total
Estimated
Cost ($000's)
195,026
112,756
100,178
157,806
43,675
609,440
Mining
Processing
Infrastructure
Indirects
Contingency
TOTAL COST
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Operating Costs
TABLE 9: LIFE OF MINE OPERATING COST ESTIMATE
Area
Life-of-mine Cost
Unit Cost
($ 000)
$/t ore milled
Mining
382,334
34.35
Processing
367,636
33.03
All Season Road Usage Charges
95,953
8.62
General and Administration
233,994
21.02
Total Operating Costs
1,079,917
97.01
Mine costs were estimated by Penguin, and process and G&A costs by SLI.
Economic Analysis
Micon has prepared its assessment of the project on the basis of a discounted cash flow model, from
which net present value (NPV), internal rate of return (IRR), payback and other measures of project
viability can be determined. Assessments of NPV are generally accepted within the mining industry as
representing the economic value of a project after allowing for the cost of capital invested1.
The objective of the study was to determine the viability of the proposed underground mine and
concentrator to exploit the Eagle’s Nest deposit. In order to do this, the cash flow arising from the base
case has been forecast, enabling a computation of the NPV to be made. The sensitivity of this NPV to
changes in the base case assumptions was then examined.
All results are expressed in Canadian dollars. Cost estimates and other inputs to the cash flow model for
the project have been prepared using constant, 2012 money terms, i.e., without provision for inflation.
The CAD$/US$ exchange rate selected for the base case is $1.015 per US$. The three-year trailing
average metal prices were selected for the base case, effective August 31, 2012. For comparison, Micon
also evaluated the project using a 5-year average and August 31, 2012 spot prices.
The LOM base case project cash flow is presented in Table 11 and annual cash flows in Figure 3. The
project demonstrates an undiscounted pay back of around 2.5 years, or approximately 3.0 years
discounted at 8.0%, leaving a production tail of just over 7 years.
The base case cash flow was evaluated at a discount rate of 8.0%, as shown in Table 12, which also
presents the results at comparative discount rates of 6%/y, 10%/y, and 12%/y. The base case evaluates
to an IRR of 33.1% before tax and 28.3% after tax. At a discount rate of 8.0%, the net present value
(NPV) of the cash flow is $756 M before tax and $543 M after tax.
1
The Economic Analysis prepared by Micon is based on an exchange rate of 1.015 CDN$ per USD and on the following
metal prices derived on a three year trailing average basis as of August 31, 2012:
Nickel
US$9.43 per pound
Copper
US$3.60 per pound
Platinum
US$1,600 per ounce
Palladium
US$ 599 per ounce
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TABLE 10: FEASIBILITY STUDY PROJECT ECONOMICS
TABLE 11: LIFE OF MINE CASH FLOW SUMMARY
Net revenue (Nickel only)
Mining costs
Processing costs
Infrastructure (P3 road usage)
General & Administrative costs
Total Cash Operating Cost
Less NSR on By-Products
Net operating margin
Capital expenditure
Net cash flow (before tax)
Taxation
Net Cash Flow (After Tax)
LOM total
$ 000
2,365,911
382,334
367,636
95,953
233,994
1,079,917
(1,174,652)
2,460,647
769,665
1,690,982
423,184
1,267,798
109
$/t
Milled
212.54
34.35
33.03
8.62
21.02
97.01
(105.53)
221.05
69.14
151.91
38.02
113.89
US$/lb Ni
7.60
1.23
1.18
0.31
0.75
3.47
(3.77)
7.90
2.47
5.43
1.36
4.07
Figure 3: Life of Mine Cash Flows
110
TABLE 12: BASE CASE CASH FLOW EVALUATION
$ million
LOM
Total
Net Revenue (Nickel only)
Net Revenue (By-Products)
Net revenue (total)
Mining costs
Processing costs
Infrastructure
G&A costs
Total cash operating cost
Cash operating margin
Capital expenditure
Working capital
Net Cash Flow (Before Tax)
Taxation
Net Cash Flow (After Tax)
2,365,911
1,174,652
3,540,564
382,334
367,636
95,953
233,994
1,079,917
2,460,647
769,665
1,690,982
423,184
1,267,798
Discounted
at 6%/y
1,503,874
744,750
2,248,624
236,481
224,214
59,021
143,930
663,646
1,584,978
632,285
28,757
923,936
251,027
672,909
111
Base Case
Discounted
at 8%/y
1,308,616
647,292
1,955,908
203,885
192,481
50,810
123,908
571,083
1,384,825
596,055
32,544
756,225
213,230
542,996
Discounted
at 10%/y
Discounted
at 12%/y
1,144,858
565,559
1,710,417
176,733
166,167
43,986
107,267
494,154
1,216,264
563,426
35,745
618,092
182,030
436,062
1,006,668
496,603
1,503,271
153,983
138,280
38,280
93,352
429,831
1,073,440
533,883
35,821
503,735
156,134
347,601
IRR
(%)
33.1
28.3
Sensitivity Analyses
Metal Price and Exchange Rate Assumptions
The sensitivity of the Project returns to changes in metal price and exchange rate assumptions was
tested using the trailing averages computed over periods of 1, 12, 24, 36, and 60 months ending August
31, 2012.
Figure 4 demonstrates that the Project returns are similar when using metal prices and exchange rates
averaged over two- and five-year periods, but are less attractive when recent (August 2012) and 12
month average prices are applied.
Figure 4: Sensitivity to Metal Prices
Capital, Operating Costs and Revenue Sensitivity
The sensitivity of the Project returns to changes in all revenue factors (including mined grades, metal
recoveries, prices and exchange rate assumptions) together with capital and operating costs was tested
over a range of 30% above and below base case values. The results show that the Project is most
sensitive to revenue factors, with an adverse change of 30% reducing NPV8 by $426 million to
approximately $117 million. An adverse change of 30% in capital cost reduces NPV8 by $179 million
to $364 million. A 30% increase in operating costs reduces NPV8 by $128 million to $415 million,
making this the least sensitive of the principal value drivers. In Micon’s analysis, applying an increase
of more than 55% in both capital and operating costs simultaneously would be required to reduce NPV8
to near zero. Figure 5 shows the results of changes in each factor separately.
112
Figure 5: Sensitivity to Capital, Operating Costs and Revenue
Conclusions
The Feasibility Study was prepared in order to analyse the operating and economic parameters of the
development of Noront’s Eagle’s Nest Project as an underground mining operation with an onsite
nickel-copper-PGM concentrating facility also located underground.
Mineral resources for the Eagle’s Nest deposit comprise measured and indicated mineral resources of
11.0Mt grading 1.78% Ni, 0.98% Cu, 0.99 g/t Pt, 3.41 g/t Pd and 0.2 g/t Au and an inferred mineral
resource of 9.0Mt grading 1.10% Ni, 1.14% Cu, 1.16 g/t Pt, 3.49 g/t Pd and 0.3 g/t Au. A feasibility
mine plan has been developed using the combined measured and indicated mineral resources; no
inferred mineral resources have been used. The mining schedule reflects mining of the measured and
indicated mineral resource base with a 7% dilution and a 95% mining recovery. The proven and
probable mineral reserves derived from the mining plan and economic evaluation contained in the
feasibility study comprise 11.1 Mt averaging 1.68% Ni, 0.87% Cu, 0.89 g/t Pt, 3.09 g/t Pd and 0.18 g/t
Au.
The Eagle's Nest Feasibility Study is based on the following:
 The Eagle’s Nest Ni-Cu-PGM mineralization will be extracted using standard underground
mining methods;
 Mine access will be from twin portals and ramps. Twin production ramps will be developed
throughout the mine life to the bottom of the orebody to access the orebody;
 Nominal throughput rate of 1.1 Mt/y ore;
 The life of the operating mine is approximately 10.2 years;
 Conventional mineral processing technology will be used to produce a single concentrate
product containing nickel, copper, platinum, palladium and gold;
 Estimated life of mine nickel recovery of 83.1% and copper recovery of 89.7%;
 Production of a 10% Ni product containing copper, PGMs and gold;
113







Major facilities will be located underground;
All tailings will be stored underground;
The Project is designed for minimal surface disturbance;
Aggregate for construction will be sourced from underground, supplemented by surface borrow
material for road construction;
Access to site will be via an all-season roads from Nakina to site;
Electrical power will be provided by a diesel power plant located at mine site; and
The planned offsite infrastructure will benefit other companies and local communities.
Micon, in the Eagle's Nest Feasibility Study, concluded that this study demonstrates the viability of the
Eagle's Nest Project as proposed, and that further development is warranted.
The results of the study are summarized in Table 13.
114
TABLE 13: SUMMARY OF THE FEASIBILITY STUDY BASE CASE RESULTS
Item
Total life-of-mine ore production
Average nickel grade
Average copper grade
Average palladium grade
Average platinum grade
Average gold grade
Average nickel process recovery
Average copper process recovery
Annual Ni production (average)
Annual Cu production (average)
Annual Pd production (average)
Annual Pt production (average)
Annual Au production (average)
Life of the mine
Pre-production capital cost
Sustaining capital
LOM operating cost
LOM cash operating cost
Average base case nickel price
Average base case copper price
LOM gross metal sales
LOM offsite costs
LOM net revenue
Project cash flow before tax
Pre-tax NPV@ 10.0 % discount rate
Pre-tax NPV @ 8.0% discount rate
Pre-tax NPV@ 6 % discount rate
Post-tax NPV @ 8% discount rate
Pre-tax IRR
After-tax IRR
Unit
kt
%
%
g/t
g/t
g/t
%
%
lb (000’s)
lb (000’s)
oz (000’s)
oz (000’s)
oz (000’s)
Years
$000
$000
$000
$/t milled
US$/lb
US$/lb
$000
$000
$000
$000
$000
$000
$000
$000
%
%
Value
11,132
1.68
0.87
3.09
0.89
0.18
83.1
89.7
30,235
14,138
72.7
18.7
3.9
10.2
609,440
160,225
1,079,917
97.01
9.43
3.60
4,203,911
609,440
3,508,973
1,690,982
618,092
756,225
923,936
542,996
33.1
28.3
Risks and Opportunities
Micon, in their Feasibility Study, has assigned a qualitative level of confidence to individual key
project parameters as high, medium or low and has qualitatively assessed the corresponding level of
risk associated with each parameter. The results of this assessment are summarized in Table 14.
115
TABLE 14: EAGLE’S NEST PROJECT; RISK ASSESSMENT
Subject or Technical Area
Mineral and Surface Rights
Geology
Mineral Resources / Mineral Reserves
Geotechnical Issues
Mining
Hydrology / Mine Dewatering
Metallurgical Testing
Aggregates Testing (Granodiorite)
Plant Design
Utilities and Services
Surface Infrastructure
Logistics (Climate, Access and Roads)
Environmental
Recruitment, Training & Retention
Meeting Projected Schedules
Construction Plan
Capital Costs
Operating Costs
Economic Assessment
Socio / Governmental Consultations
Overall
Confidence Level
High
Medium to High
Medium to High
Low to Medium
Medium to High
Low to Medium
Medium to High
High
Medium to High
Medium to High
Medium to High
Medium to High
Medium to High
Medium to High
Medium to High
Medium to High
Medium to High
Medium to High
Medium to High
Medium to High
Medium to High
Risk Level
Low
Low to Medium
Low to Medium
Medium
Low to Medium
Medium
Low to Medium
Low
Low
Low to Medium
Low to Medium
Low to Medium
Low to Medium
Low to Medium
Low to Medium
Low to Medium
Low to Medium
Low to Medium
Low to Medium
Medium to High
Low to Medium
Overall the Project is considered to be of medium risk, according to the authors of the Eagle's Nest
Feasibility Study. Work is continuing in several areas, including environmental and infrastructure
components.
Opportunities exist in several areas:






Infrastructure development synergies with other stakeholders;
Infrastructure synergies with development of other projects in the area, including Noront’s
Blackbird chromite deposit;
Potential infrastructure and service synergies with other companies exploring in the region;
External aggregates sales to future infrastructure projects;
First Nation employment, training and development; and
Further resource potential through exploration.
Recommendations
It is recommended by the authors of the Eagle's Nest Feasibility Study that Noront continues to develop
the Project beyond feasibility study towards production. During detailed design the following areas of
work should be considered:
116













Identify of sources of borrow material, particularly for road construction;
Continue planned stakeholder engagement;
Continue with preparation of environmental and social impact studies to meet provincial,
federal and international standards;
Conduct additional mineralogical studies to determine the manner in which talc occurs in the
orebody for mine planning purposes;
Conduct additional metallurgical testwork to clarify reagent consumption rates for both massive
and net-textured ores;
Conduct additional metallurgical testwork in order to ensure acceptable levels of talc and other
deleterious minerals/elements report to the final concentrate;
Determine the extent of future geotechnical studies to support mine planning and implement if
deemed necessary;
Pursue the potential opportunities listed above;
Conduct additional grindability tests to confirm the sizing of the SAG mills;
Continue evaluation of producing separate copper and nickel flotation concentrates;
Conduct preliminary testing of hydrometallurgical treatment of the concentrate;
Conduct large scale bulk tests to prepare bulk concentrates suitable for marketing purposes; and
Conduct more detailed MgO deportment study and continued evaluation of depressants to
optimize reagent costs and control of MgO reporting to the final concentrate.
Other Mineral Properties
Burnt Hill, New Brunswick
The Burnt Hill Tungsten properties straddle the Southwest Miramachi River some 70 km NW of
Fredricton, New Brunswick. The properties contain tungsten, molybdenum and tin mineralization
mainly in quartz veins that cut argillic sediments on the periphery of granitoid plutons. The Company
has a 49% percent interest in the property with Cadillac Ventures Inc. The Company has no activity
planned for these properties for the current fiscal year.
Garden Island, Québec
The Company has a 50% interest in the Garden Island property comprised of 568 mining claims
totaling 23,763 hectares, most of which are in Pascalis, Manneville and Senneville townships, which lie
along a northwest‐southwest trending Abitibi volcanic greenstone belt. The Company has no activity
planned for this property for the current fiscal year.
DIVIDENDS
There are no restrictions in Noront’s constating documents that would restrict or prevent Noront from
paying dividends. However, it is not contemplated that any dividends will be paid on the common
shares in the immediate future, as it is anticipated that all available funds will be reinvested in the
Corporation to finance the growth of its business. Any decision to pay dividends on the common
117
shares in the future will be made by the board of directors of Noront (the “Board”) on the basis of the
earnings, financial requirements and other conditions existing at such time.
CAPITAL STRUCTURE
Noront is authorized to issue an unlimited number of common shares. As of April 2, 2015 there were
240,525,697 common shares issued and outstanding. All common shares are fully paid and have no par
value.
Common Shares
Each common share entitles the holder thereof to receive notice of any meetings of the shareholders of
Noront, to attend and to cast one vote per common share at all such meetings. Holders of common
shares do not have cumulative voting rights with respect to the election of directors and, accordingly,
holders of a majority of the common shares entitled to vote in any election of directors may elect all of
the directors standing for election. Holders of common shares are entitled to receive on a pro rata basis
such dividends, if any, as and when declared by the Board at its discretion from funds legally available
therefore and, upon the liquidation, dissolution or winding up of Noront, are entitled to receive on a pro
rata basis the net assets of the Corporation for payment of debts and liabilities. The common shares do
not carry any pre-emptive, subscription, redemption, retraction or conversion rights, nor do they contain
any sinking or purchase fund provisions. The common shares are listed on the TSX Venture Exchange
(the “TSX-V”) under the symbol “NOT”.
PRICE RANGE AND TRADING VOLUME OF SECURITIES
Noront’s common shares commenced trading on the Vancouver Stock Exchange on November 24,
1986. Noront’s common shares currently trade on the TSX-V under the symbol “NOT”. The following
table sets forth the volume of trading and price ranges of the common shares on the TSX-V for each
month during the period from January1, 2014, to December 31, 2014.
118
Date August High ($) 0.34 0.49 0.55 0.65 0.70 0.68 0.58 0.53 Low ($) 0.24 0.26 0.36 0.48 0.50 0.45 0.48 0.47 September 0.52 0.30 3,521,457 October 0.41 0.30 1,615,858 November 0.34 0.26 1,947,825 December 0.33 0.25 2,632,666 January February March April May June July 119
Volume 4,054,420 7,738,204 6,058,793 6,199,181 4,459,118 4,836,016 2,551,060 1,312,115 PRIOR SALES
During the financial period ended December 31, 2014, the Corporation issued options to purchase
common shares under the Corporation’s stock option plan. The options are not listed on any
marketplace. The following options were granted during the period ended December 31, 2013:
Date of Grant
May 5, 2014
Exercise Price per
Share ($)
0.59
Number of Shares
Under Option
250,000
Expiry Date
May 5, 2019
DIRECTORS AND OFFICERS
The following table sets forth, for each of the directors and executive officers of the Corporation as at
April 2nd , 2015, the person's name, municipality of residence, position with the Corporation, principal
occupation during the last five years and, if a director, the year in which the person became a director.
Each of the directors of the Corporation has been appointed to serve until the next annual meeting of
the shareholders of the Corporation.
Name and
Municipality of
Residence
Darren Blasutti
Toronto, Ontario
Canada
Position
Director
Principal Occupation
Mr. Blasutti is the President and CEO of
Scorpio Mining. Mr. Blasutti was formerly the
Senior Vice President, Corporate Development
for Barrick Gold Corporation (“Barrick”),
reporting to the CEO. He played a leading role
in the creation and implementation of Barrick's
strategic development. He has executed over a
dozen large gold acquisitions including the
acquisitions of Placer Dome and Homestake
Mining. He was VP, Investor Relations for
Barrick from January 2004 to September 2005.
He joined Barrick in 1998. He has been a
member of the Canadian Institute of Chartered
Accountants since 1996.
120
Director
Since
2008
Name and
Municipality of
Residence
Tom Anselmi
Toronto, Ontario,
Canada
Position
Director
Principal Occupation
Mr. Anselmi was most recently President and
Chief Operating Officer of Maple Leaf Sports
and Entertainment (“MLSE”). He was with
MLSE for 17 years and part of the senior
executive leadership team that grew MLSE into
a global leader in the sports and entertainment
industry. Prior to MLSE, he was an Executive
involved in the development of the Skydome
(now Rogers Centre) and Orca Bay Sports and
Entertainment (including Rogers Arena) in
Vancouver. Prior to Sports and Entertainment
his career started in the mining industry,
working on the construction of various projects
in the Uranium, Coal, and Potash sectors. Born
and raised in Toronto, Mr. Anselmi is a
professional engineer and a graduate of
University of Saskatchewan and Ryerson
University. He is also a recognized community
leader and is a member of the board of
Canada’s Walk of Fame and The Huntsville
Hospital Foundation.
121
Director
Since
2012
Name and
Municipality of
Residence
Paul Parisotto
Oakville, Ontario,
Canada
Position
Director /
Officer
Principal Occupation
Director
Since
Mr. Parisotto is the President and CEO of
2008
Chantrell Ventures Corporation and President
of Coniston Investment Corp., a private
company which provides management services
to the resource sector. He is also President &
CEO of Calico Resources Corporation since
August 2014. From February 2009 to October
2010, he was the President and CEO of Tamaka
Holdings Inc. a private company involved in the
exploration and development of gold in Ontario.
He was formerly the President and CEO of
Arizona Star Resource Corp., a company which
was acquired by Barrick Gold Corporation.
Previously he was Senior Vice-President,
Corporate Finance for Marleau, Lemire
Securities Inc. (January 1995 to January 1998);
Vice-President and Director, Investment
Banking for HSBC Securities (Canada) Inc.
(March 1998 to June 1999); Manager, Original
Listings at the Toronto Stock Exchange (1985
to 1994) and director of Nevada Pacific Gold
Ltd., a public company acquired by US Gold
Inc.
David Thomas
Oakville, Ontario
Canada
Director
Mr. Thomas is the Managing Director (Canada) 2012
for RCF Management (Toronto) Inc. He is a
Professional Geologist (P.Geo.) with an
Honours B.Sc. in Earth Science from the
University of Waterloo and a M.Sc. in Geology
from Queen’s University. Mr. Thomas worked
as an exploration geologist for eight years with
Minnova Inc. and Metall Mining Corporation.
Prior to joining RCF in 2010, Mr. Thomas spent
fifteen years as a mining analyst and as an
institutional equities salesperson. Mr. Thomas is
a Director of Buffalo Coal Corporation
122
Name and
Municipality of
Residence
Yuanqing Xu
Hong Kong, China
Position
Director
Principal Occupation
Mr. Xu has held the position of General
Manager of Strategy & Planning with Baosteel
Resources International Co. since August 2014.
Previously, Mr. Xu has held several senior
positions within Baosteel Resources Co. Ltd,
including the Head of the Region of Americas
(September 2011 to July 2014), the Deputy
Manager of Iron & Steel Resources Developing
and Trading Department (October 2010 to
September 2011), Director of Operation
Management Department (March 2010 to
September 2010) and Deputy Director of Assets
and Finance Department (November 2007 to
March 2010).
Before joining Baosteel Resources Co. Ltd.,
Mr. Xu had worked as a finance manager for
three other Chinese companies. Mr. Xu holds a
Bachelor Degree of Transportation Economics
from Northern Jiaotong University.
123
Director
Since
2013
Name and
Municipality of
Residence
Ted Bassett
Burnaby, British
Columbia, Canada
Position
Director
Principal Occupation
Mr. Bassett is a Professional Engineer with over
40 years of experience in mine engineering and
project management.
Mr. Bassett has a
successful track record in the supervision and
construction of large capital projects including,
but not limited to, the BHP Olympic Dam
Expansion Project in Australia, the Goro Nickel
Project, the Voisey’s Bay Nickel Project and
the Diavik Diamond Project.
Mr. Bassett has held several senior project
management positions over the course of his
career. Most recently he was the Project
Director of Jansen Potash Project (August 2010
to August 2011). Prior to that he was Project
Director of the Olympic Dam Expansion
Project, BHP Billiton Inc., Australia (November
2006 to October 2009). Presently he is the
President of BPM Project Management Inc., a
private company providing consulting services
to the resource industry.
124
Director
Since
2011
Name and
Municipality of
Residence
Position
Principal Occupation
Director
Since
Alan Coutts, Toronto,
Ontario, Canada
Mr. Coutts was appointed President and Chief
Director
and Officer Executive Officer of Noront effective October
1, 2013. Mr. Coutts is a mining executive with
over 25 years of experience in all aspects of
exploration, feasibility, construction and
production of mineral deposits. He has worked
both domestically and abroad in a variety of
roles and across multiple commodities. Most
recently, he was the Managing Director of
Xstrata Nickel Australasia based in Perth,
Australia. He was General Manager at the
Brunswick Mine, Canada before relocating to
Australia. Previous to that, Mr. Coutts occupied
roles that included General Manager, Manager
of Mining, Chief Geologist and Regional
Exploration Manager, mostly with
Falconbridge. Mr. Coutts holds an Honours
degree in Geology from the University of
Alberta and has Professional Geoscientist
(P.Geo) status in the Province of Ontario.
Greg Rieveley
Toronto, Ontario,
Canada
Officer
Chief Financial Officer of Noront; Former
Vice-President of Internal Audit and Business
Development of Harry Winston Diamond
Corporation; Former Controller for Dundee
Precious Metals
N/A
Paul Semple
Oakville, Ontario
Canada
Officer
Chief Operating Officer; Former Vice-President
Projects of Western Goldfields; Vice President
Projects of Silver Bear Resources
N/A
Glenn Nolan
Atikokan, Ontario,
Canada
Officer
Vice President Aboriginal Affairs; Former
Chief of the Missanabie Cree First Nation and
President of the Missanabie Cree Development
Corporation
N/A
Colin Webster
Oakville, Ontario,
Canada
Officer
Vice President Sustainability; Former Director
Aboriginal, Governmental and Community
Relations, Goldcorp Inc.
N/A
125
2013
Name and
Municipality of
Residence
Mark Baker,
Richmond Hill,
Ontario, Canada
Position
Officer
Director
Since
Principal Occupation
Vice President, Projects; Former Vice President
for Seneca Engineering; Former Vice President
for Virtual Engineers; Former Business
Development Manager for WorleyParsons,
Minerals and Metals.
N/A
As of the date of this AIF, Noront has four Board Committees:
The Compensation Committee is comprised of Messrs. Thomas, Bassett and Anselmi and is chaired by
Mr. Thomas.
The Governance and Nomination Committee is comprised of Messrs. Thomas, Bassett and Anselmi
and is chaired by Mr. Thomas.
The Audit Committee is comprised of Messrs. Anselmi, Parisotto and Blasutti and is chaired by Mr.
Blasutti.
The Health and Safety Committee is comprised of Messrs. Bassett and Xu and is chaired by Mr. Bassett
As at April 2, 2015 the directors and officers of the Corporation as a group, beneficially owned, directly
or indirectly, or exercised control or direction over an aggregate of 804,000 common shares
representing approximately 0.33% of the then outstanding common shares.
CORPORATE CEASE TRADE ORDERS OR BANKRUPTCIES
Except as noted below, none of the directors or executive officers of Noront is, or was within the ten
years prior to the date hereof, a director, chief executive officer or chief financial officer of any
company that was subject to a cease trade order, an order similar to cease trade order or an order that
denied such company access to any exemption under securities legislation that was in effect for a
period of more than 30 consecutive days and that was issued while that person was acting in such
capacity or that was issued after that person ceased to act in such capacity and which resulted from an
event that occurred while that person was acting in such capacity.
Except as noted below, none of the directors or executive officers of Noront is, or was within the ten
years prior to the date hereof, a director or executive officer of any company that, while that person was
acting in such capacity, or within a year of that person ceasing to act in such capacity, became
bankrupt, made a proposal under any legislation relating to bankruptcy or insolvency or was subject to
or instituted any proceedings, arrangement or compromise with creditors or had a receiver, receiver
manager or trustee appointed to hold its assets.
126
Except as noted below, none of the directors or executive officers of Noront has within the ten years
prior to the date hereof become bankrupt, made a proposal under any legislation relating to bankruptcy
or insolvency, or become subject to or instituted any proceedings, arrangement or compromise with
creditors, or had a receiver, receiver manager or trustee appointed to hold his assets.
Except as noted below, none of the directors, officers or other members of the management of Noront
has been subject to any penalties or sanctions imposed by, or entered into a settlement agreement
before, a court or regulatory body, including any securities regulatory authority.
Mr. Rieveley, the Chief Financial Officer of Noront, became a director of Biotech Holdings Ltd.
(“Biotech”) on September 26, 2008. Mr. Rieveley resigned as a director of Biotech on March 23, 2009.
On June 29, 2009, Biotech filed a Notice of Intention to Make a Proposal to its creditors under the
Bankruptcy and Insolvency Act (Canada) (the “BIA”). On July 14, 2009, the Supreme Court of British
Columbia appointed Abakhan & Associates Inc. as interim receiver of all of Biotech’s assets,
undertakings and property pursuant to the BIA.
RISK FACTORS
An investment in the securities of the Corporation is subject to various risks and uncertainties,
including those set out below, under the heading “Cautionary Note Regarding Forward-Looking
Information” and elsewhere in this AIF. Such risks and uncertainties should be carefully considered by
an investor before making any investment decision. Additional risks and uncertainties not presently
known to the Corporation or that the Corporation currently deems immaterial may also impair the
Corporation’s business operations.
Noront’s business of exploring mineral resources involves a variety of operational, financial and
regulatory risks that are typical in the natural resource industry. The risk factors include risks
summarized below and in the Company’s most recent MD&A, available electronically on SEDAR at
www.sedar.com. The Company attempts to mitigate these risks and minimize their effect on its
financial performance, but there is no guarantee that the Company will be profitable in the future, and
an investment in Noront common shares should be considered speculative. The risks described herein,
or in documents incorporated herein by reference, are not the only risks facing the Company.
Additional risks and uncertainties not currently known to the Company, or that the Company currently
considers immaterial, may also materially and adversely affect its operating results, properties, business
and condition (financial or otherwise).
Mineral Exploration
The business of exploration for minerals and mining involves a high degree of risk. A relatively small
proportion of properties that are explored are ultimately developed into producing mines. At present,
there are no known bodies of commercial ore on any of the mineral properties in which the Company
holds interest or intends to acquire an interest and the proposed exploration program is an exploratory
search for ore. Unusual or unexpected formations, formation pressures, fires, power outages, labour
disruptions, flooding, cave-ins, landslides and the inability to obtain suitable or adequate machinery,
127
equipment or labour are other risks involved in the conduct of exploration programs. The Company has
limited experience in the development and operation of mines and has relied on and may continue to
rely upon consultants and others for exploration and operating expertise. The economics of developing
gold, base metal and other mineral properties is affected by many factors including the cost of
operations, variation of the grade of ore mined, and fluctuations in the price of any minerals produced.
Additional Funding Requirements and Potential Dilution
Noront has no current or foreseeable prospect of generating significant revenues. Accordingly, the
success of the Company is dependent, among other things, on obtaining sufficient funding to enable the
Company to explore and develop its properties. There can be no assurance that the Company will be
able to obtain adequate financing in the future or that the terms of such financing will be favourable.
Failure to obtain such additional financing could result in delay or indefinite postponement of further
exploration and development of its projects with the possible loss of such properties.
The Company will require new capital to continue to operate its business and to continue with
exploration on its mineral properties, and there is no assurance that capital will be available when
needed, if at all. It is likely such additional capital will be raised through the issuance of additional
equity, which will result in dilution, possibly substantial, to the Company’s present and prospective
shareholders. The Company cannot predict the size of future issues of common shares or securities
convertible into common shares.
As of April 2nd, 2015, the Company had 240,525,697 common shares outstanding, 16,895,000 stock
options outstanding with a weighted average exercise price of $0.37 expiring between 2015 and 2019,
2,000,000 Performance Share Units with an expected life of 4 years and 335,000 Restricted Share Units
with an expected life of 2 years. In addition, RCF has certain conversion rights under the terms of the
Convertible Loan (see “Three Year History – Fiscal 2013” in this AIF). The issuance of common shares
of the Company upon the exercise of options, Performance Share, Restricted Share Units or on
conversion of the Convertible Loan will dilute the ownership of the Company’s current shareholders.
Noront may also issue additional securities convertible into common shares of Noront in the future, the
conversion of which would result in further dilution to the shareholders of the Company.
Debt and Liquidity
The Company's ability to make scheduled payments of the principal of, to pay interest on or to
refinance its existing indebtedness (including without limitation the Facility) depends on the Company's
future performance, which is subject to economic, financial, competitive and other factors many of
which are not under the control of the Company. Liquidity risk is the risk that the Company will not be
able to meet its financial obligations as they become due, including, among others, debt repayments,
interest payments and contractual commitments.
The Company may not generate cash flow (if any) from operations in the future sufficient to service its
existing or future debt and make necessary capital expenditures. If the Company is unable to generate
such cash flow, it may be required to adopt one or more alternatives, such as selling assets,
restructuring debt or obtaining additional equity capital on terms that may be onerous or highly dilutive.
The Company's ability to refinance its indebtedness will depend on the capital markets and its financial
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condition at such time. The Company may not be able to engage in any of these activities or engage in
these activities on desirable terms, which could result in a default on its debt obligations.
The terms of the Facility and the terms of the Loan Agreement require the Company to satisfy various
affirmative and negative covenants. These covenants limit, among other things, the Company's ability
to incur further indebtedness, create certain liens on assets or engage in certain types of transactions.
There are no assurances that, in the future, the Company will not, as a result of these covenants, be
limited in its ability to respond to changes in its business or competitive activities or be restricted in its
ability to engage in mergers, acquisitions or dispositions of assets. Furthermore, a failure to comply
with these covenants would result in an event of default that may allow a lender to accelerate the
repayment obligations or enforce its security.
Continuation of Operating Losses
The Company does not have a long historical track record of operating upon which investors may rely.
Consequently, investors will have to rely on the expertise of the Company’s management. Further, the
Company’s properties are in the exploration stage and are not commercially viable at this time. The
Company has not commenced commercial production on any of its mineral projects. There can be no
assurance that significant losses will not occur in the near future or that the Company will be profitable
in the future. The Company does not have a history of earnings or the provision of return on
investment, and there is no assurance that it will produce revenue, operate profitably or provide a return
on investment in the future. The Company expects to continue to incur losses unless and until such time
as it enters into commercial production and generates sufficient revenues to fund its continuing
operations. The development of any of the Company’s mineral properties will require the commitment
of substantial resources to conduct time-consuming development. There can be no assurance that the
Company will generate any revenues or achieve profitability.
Title to Mineral Properties (Ownership Rights)
Although title to the properties has been reviewed by or on behalf of Noront, no assurances can be
given that there are no title defects affecting the properties. Title insurance generally is not available for
mining claims in Canada and Noront’s ability to ensure that it has obtained secure claim to individual
mineral properties or mining concessions may be limited. Noront has not conducted surveys of the
claims in which it holds direct or indirect interests; therefore, the precise area and location of such
claims may be in doubt. It is possible that the properties may be subject to prior unregistered liens,
agreements, transfers or claims, including native land claims and title may be affected by, among other
things, undetected defects. In addition, Noront may be unable to operate the properties as permitted or
to enforce its rights with respect to its properties.
Mineral Resource and Mineral Reserve Estimates
The mineral resources and mineral reserves presented in this document are estimates and no assurance
can be given that the anticipated tonnages and grades will be achieved or that the expected level of
recovery will be realized. Such figures have been determined based upon assumed metal prices. Future
production, if any, could differ dramatically from estimates due to mineralization or formations
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different from those predicted by drilling, sampling and similar examinations or declines in the market
price of the metals may render the mining of some or all of the mineral resources as uneconomic.
The estimation of mineralization is a subjective process and the accuracy of estimates is a function of
quantity and quality of available data, the accuracy of statistical computations, and the assumptions and
judgments made in interpreting engineering and geological information. No assurance can be given that
any particular level of recovery of gold or other minerals from resources will in fact be realized or that
an identified mineral deposit will ever qualify as a commercially mineable (or viable) ore body which
can be economically exploited. In particular, the inferred mineral resources included in this AIF are
considered too speculative geologically to have the economic considerations applied to them that would
enable them to be categorized as mineral reserves, and, due to the uncertainty that may be attached to
inferred mineral resources, it cannot be assumed that all or any part of an inferred mineral resource will
be upgraded to an indicated or measured mineral resource as a result of continued exploration.
Adequate Infrastructure
Mining, processing, development and exploration activities depend, to a substantial degree, on adequate
infrastructure. Reliable roads, bridges, power sources and water supply are important determinants
affecting capital and operating costs. Unusual or infrequent weather phenomena, sabotage, government
or other interference in the maintenance or provision of such infrastructure could adversely affect the
operations, financial condition and results of operations of the Company.
Economic
Even if the Company’s exploration programs are successful, factors beyond the control of the Company
may affect the marketability of any mineral products discovered. The prices of mineral products have
historically fluctuated widely, are sometimes subject to rapid short-term changes and are affected by
numerous factors beyond the Company’s control, including international, economic and political
trends, expectations for inflation, currency exchange fluctuations, interest rates, global or regional
consumption patterns, speculative activities and worldwide production levels. The effect of these
factors cannot accurately be predicted, but any one of, or any combination of, these factors may result
in the Company not receiving an adequate return on invested capital and a loss of all or part of an
investment in securities of the Company may result.
Commodity Price Risk
The ability of the Company to develop its mining properties and the future profitability of the Company
is directly related to the market price of gold and base minerals. Historically, gold prices have
fluctuated widely and are affected by numerous external factors beyond the Company's control,
including industrial and retail demand, central bank lending, sales and purchases of gold, forward sales
of gold by producers and speculators, production and cost levels in major producing regions, short-term
changes in supply and demand because of speculative hedging activities, confidence in the global
monetary system, expectations of the future rate of inflation, the strength of the United States dollar
(the currency in which the price of gold is generally quoted), interest rates, terrorism and war, and other
global or regional political or economic events. Resource prices have fluctuated widely and are
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sometimes subject to rapid short-term changes because of speculative activities. The exact effect of
these factors cannot be accurately predicted, but any one of, or any combination of, these factors may
result in the Company not receiving an adequate return on invested capital and a loss of all or part of an
investment in securities of the Company may result.
Competition
The mining industry is intensely competitive in all its phases. The Company competes with many
companies possessing greater financial resources and technical facilities than itself for the acquisition
of mineral interests as well as for the recruitment and retention of qualified employees, contractors and
consultants. The ability of the Company to acquire properties in the future will depend not only on its
ability to develop its present properties, but also on its ability to select and acquire suitable properties or
prospects for mineral exploration. There is no assurance that the Company will be able to compete
successfully with its competitors in acquiring such properties or prospects.
Environmental
The Company’s operations are subject to environmental regulations promulgated by local, provincial
and federal government agencies from time to time. Environmental legislation provides for restrictions
and prohibitions of spills, releases or emissions of various substances produced in association with
certain mining industry operations, such as seepage from tailing disposal areas, which could result in
environmental pollution. A breach of such legislation may result in the imposition of fines and
penalties. In addition, certain types of operations require submissions to and approval of environmental
impact assessments. Environmental legislation is evolving in a manner, which means stricter standards
and enforcement, and fines and penalties for non-compliance are more stringent. Environmental
assessments of proposed projects carry a heightened degree of responsibility for companies and
directors, officers and employees. The cost of compliance with changes in governmental regulations
has a potential to reduce the profitability of operations. The Company intends to fully comply with all
environmental regulations.
Failure to comply with applicable laws, regulations, and permitting requirements may result in
enforcement actions, including orders issued by regulatory or judicial authorities causing operations to
cease or be curtailed, and may include corrective measures requiring capital expenditures, installation
of additional equipment, or remedial actions. Parties engaged in mining operations may be required to
compensate those suffering loss or damage by reason of the mining activities and may have civil or
criminal fines or penalties imposed for violations of applicable laws or regulations and, in particular,
environmental laws. In addition, environmental legislation is evolving in a manner requiring stricter
standards, and enforcement, fines and penalties for non-compliance are more stringent. The cost of
compliance with changes in governmental regulations has the potential to reduce the profitability of
operations.
Although variable, depending on location and the governing authority, land rehabilitation requirements
are generally imposed on mineral exploration companies, as well as companies with mining operations,
in order to minimize long term effects of land disturbance. Rehabilitation may include requirements to
control dispersion of potentially deleterious effluents and to reasonably re-establish pre-disturbance
land forms and vegetation. In order to carry out rehabilitation obligations imposed on the Company in
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connection with its mineral exploration, the Company must allocate financial resources that might
otherwise be spent on further exploration and/or development programs.
First Nations
Noront is committed to working in partnership with our local communities and First Nations in a
manner which fosters active participation and mutual respect. Noront works towards minimizing
negative project impacts, encouraging certain joint consultation processes, addressing certain decision
making processes and towards maintaining meaningful ongoing dialogue not only for the Company but
for all participants in the Ring of Fire region.
Many of Noront’s contractors and suppliers live and work in the local communities. The Company
regularly consults with communities proximal to the Company’s exploration activities to advise them of
plans and answer any questions they may have about current and future activities. The objective is to
operate to the benefit of the shareholders and the local communities using the resources and the
environment today without compromising the long-term capacity to support post exploration and
ultimately post mining land uses.
First Nations in Ontario are increasingly making lands and rights claims in respect of existing and
prospective resource projects on lands asserted to be First Nation traditional or treaty lands. Should a
First Nation make such a claim in respect of the Properties and should such claim be resolved by
government or the courts in favour of the First Nation, it could materially adversely affect the business
of Noront. In addition, consultation issues relating to First Nation interests and rights may impact the
Company's ability to pursue exploration, development and mining at its projects and could results in
costs and delays or materially restrict Noront's activities.
Government Regulations
The Company’s mineral exploration and planned development activities are subject to various federal,
provincial and local government laws and regulations governing, among other things, acquisition of
mining interests, maintenance of claims, tenure, expropriation, prospecting, development, mining,
production, price controls, taxes, labour standards, occupational health, waste disposal, toxic
substances, water use, land use, treatment of indigenous peoples, environmental protection and
remediation, endangered and protected species, mine safety and other matters. Although the Company’s
exploration and planned development activities are currently believed by the Company to be carried out
in accordance with all applicable rules and regulations, no assurance can be given that new rules and
regulations will not be enacted or that existing rules and regulations will not be applied or amended in a
manner that could have a material adverse effect on the business, financial condition and results of
operations of Noront, including changes to government mining laws and regulations or changes in
taxation rates.
The operations of the Company may require licenses and permits from various local, provincial and
federal governmental authorities. The costs and delays associated with obtaining and complying with
necessary licences and permits as well as applicable laws and regulations could stop or materially delay
or restrict Noront from proceeding with the development of an exploration project. In addition, such
licenses and permits are subject to change in regulations and in various operating circumstances. Any
failure to comply with applicable laws, regulations or licencing and permitting requirements, even if
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inadvertent, may result in enforcement actions thereunder, including orders issued by regulatory or
judicial authorities causing interruption or closure of exploration, development or mining operations or
material fines, penalties or other liabilities. There can be no assurance that the Company will be able to
obtain all necessary licenses and permits that may be required to carry out exploration, development, or
mining operations, at its projects and there is no assurance that the Company will be able to comply
with any such necessary license and permit requirements in an economically viable manner.
The Company attempts to mitigate these risks and minimize their effect on its financial performance,
but there is no guarantee that the Company will be profitable in the future, and Noront common shares
should be considered speculative.
Joint Ventures and Option Agreements
Noront enters into option agreements and joint ventures as a means of gaining property interests and
raising funds. Any failure of any partner to meet its obligations to Noront or other third parties, or any
disputes with respect to third parties’ respective rights and obligations could have a material adverse
effect on such agreements. In addition, Noront may be unable to exert direct influence over strategic
decisions made in respect to properties that are subject to the terms of these agreements.
Litigation
The Company is subject to litigation risks. All industries, including the mining industry, are subject to
legal claims, with and without merit. Defence and settlement costs of legal claims can be substantial,
even with respect to claims that have no merit. Due to the inherent uncertainty of the litigation process,
the resolution of any particular legal proceeding to which the Company is or may become subject could
have a material effect on its financial position, results of operations or the Company’s mining and
project development operations.
Legal
Amendments to current laws, regulations and permits governing operations and activities of mining
companies, or more stringent implementation thereof, could have a material adverse impact on Noront
and cause increases in expenditures or exploration costs or reduction in levels of activities on our
exploration projects, or require abandonment or delays in the development of new exploration
properties.
Uninsurable Risks
The mining industry is subject to significant risks that could result in damage to, or destruction of,
mineral properties, personal injury or death, environmental damage, delays in exploration, and
monetary losses and possible legal liability. Where Noront considers it practical to do so, it maintains
insurance in amounts believed to be reasonable, including coverage for directors’ and officers’ liability
and fiduciary liability and others.
Such insurance, however, contains exclusions and limitations on coverage. Accordingly, Noront’s
insurance policies may not provide coverage for all losses related to Noront’s activities (and
specifically do not cover environmental liabilities and losses). The occurrence of losses, liabilities or
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damage not covered by such insurance policies could have a material and adverse effect on Noront’s
results of operations and financial condition. Noront cannot be certain that insurance will be available
to the Company, or that appropriate insurance will be available on terms and conditions acceptable to
the Company. In some cases, coverage is not available or considered too expensive relative to the
perceived risk.
Dependence on Key Employees, Contractors and Management
Noront currently has a small executive management group, which is sufficient for the Company’s
present stage of activity. Given that our success to date has depended, and in the future will continue to
depend, in large part on the efforts of the current executive management group, the loss of a significant
number of the members of this group could have a material adverse effect on the Company, its business
and its ability to develop its projects. Noront does not maintain key person life insurance. Accordingly,
the loss of the services of one or more of such key management personnel could have a material
adverse effect on the Company.
The mining industry has been impacted by increased worldwide demand for critical resources including
industry consultants, engineering firms and technical experts. These shortages have caused increased
costs and delays in planned activities. Noront is also dependent upon a number of key personnel,
including the services of certain key employees and contractors. Noront’s ability to manage its
activities, and hence its success, will depend in large part on the efforts of these individuals. Noront
faces intense competition for qualified personnel, and there can be no assurance that Company will be
able to attract and retain such personnel. If the Company is unable to attract or retain qualified
personnel as required, it may not be able to adequately manage and implement its business plan.
Labour and Employment
Relations between the Company and its employees may be affected by changes in the scheme of labour
relations that may be introduced by the relevant governmental authorities in whose jurisdictions the
Company carries on business. Changes in such legislation or in the relationship between the Company
and its employees may have a material adverse effect on the Company’s business, results of operations
and financial condition. As the Company’s business grows, it will require additional key financial,
administrative, mining, marketing and public relations personnel as well as additional staff for
operations.
Conflict of Interest
Certain directors or proposed directors of the Company are also directors, officers or shareholders of
other companies that are similarly engaged in the business of acquiring, developing and exploiting
natural resource properties. Such associations may give rise to conflicts of interest from time to time.
The directors of the Company are required by law to act honestly and in good faith with a view to the
best interests of the Company and to disclose any interest, which they may have in any project
opportunity of the Company. If a conflict of interest arises at a meeting of the board of directors, any
director in a conflict will disclose his interest and abstain from voting on such matter. In determining
whether or not the Company will participate in any project or opportunity, the directors will primarily
consider the degree of risk to which the Company may be exposed and its financial position at that
time.
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Share Price
The market price of a publicly traded stock is affected by many variables not directly related to the
success of the Company. In recent years, the securities markets have experienced a high level of price
and volume volatility, and the market price of securities of many companies, particularly those
considered to be exploration or development stage companies, has experienced wide fluctuations which
have not necessarily been related to the operating performance, underlying asset values or prospects of
such companies. There can be no assurance that such fluctuations will not affect the price of the
Company’s securities, which may result in losses to investors. In addition, there can be no assurance
that an active market for the Company's securities will be sustained.
Securities class action litigation often has been brought against companies following periods of
volatility in the market price of their securities. The Company may in the future be the target of similar
litigation. Securities litigation could result in substantial costs and damages and divert management’s
attention and resources.
Current Global Financial Conditions
Current global financial conditions have been subject to increased volatility, and access to public
financing, particularly for junior resource companies, has been negatively impacted. These factors may
impact the ability of the Company to obtain equity or debt financing in the future and, if obtained, such
financing may not be on terms favourable to the Company. If increased levels of volatility and market
turmoil continue, the Company's operations could be adversely impacted, and the value and price of the
Company's securities could be adversely affected.
No Guarantee of Positive Return on Investment
There is no guarantee that an investment in the securities of Noront will earn any positive return in the
short term or long term. The mineral exploration business is subject to numerous inherent risks and
uncertainties, and any investment in the securities of Noront should be considered a speculative
investment. Past successful performance provides no assurance of any future success. The purchase of
securities of Noront involves a high degree of risk and should be undertaken only by investors whose
financial resources are sufficient to enable them to assume such risks. An investment in the securities of
Noront is appropriate only for investors who have the capacity to absorb a loss of some or all of their
investment.
LEGAL PROCEEDINGS AND REGULATORY ACTIONS
The Corporation is not, and during the last financial year of the Corporation was not, a party to any
legal proceedings required to be disclosed in this AIF. No property of the Corporation is, or during the
last financial year of the Corporation was, the subject of any legal proceedings required to be disclosed
in this AIF. To the knowledge of the Corporation, no such legal proceedings are contemplated. There
have not been any penalties or sanctions imposed against the Corporation by, or settlement agreement
entered into by the Corporation before, a court or regulatory body, including any securities regulatory
authority.
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INTEREST OF MANAGEMENT AND OTHERS IN MATERIAL
TRANSACTIONS
No director, executive officer or insider of the Corporation, or any associate or affiliate of any of them,
has or has had any material interest, direct or indirect, in any transaction within the three most recently
completed financial years or during the current financial year of the Corporation that has materially
affected or is reasonably expected to materially affect the Corporation, except as disclosed below:

In October 2011, the Company engaged Penguin Automated Systems (“Penguin”) after
completing an independent tendering process; under the direction of Micon International, Lead
Consultant, for certain technical studies completed in 2012. The Company’s Chief Operating
Officer has a 38.5% ownership interest in Penguin. Professional fees paid to Penguin for the
year ended December 31, 2014 was $Nil (eight months ended December 31, 2013 – $Nil and
twelve months ended April 30, 2013 – $202,925).

The Company’s former Interim CEO was remunerated through Coniston Investment Corp.
(“Coniston”) for the period starting January 2013 to the hiring date of the new CEO in
September 2013. The Company’s former Interim CEO has a 100% interest in Coniston.
Amounts paid to Coniston for the year ended December 31, 2014 was $Nil (eight months ended
December 31, 2013 – $173,769 and twelve months ended April 30, 2013 – $72,317). The
amount payable to Coniston as at December 31, 2014 was $Nil (December 31, 2013 – $15,000
and April 30, 2013 – $27,000).
The above noted transactions are in the normal course of business and are measured at the exchange
amount, as agreed to by the parties, and approved by the Board of Directors in strict adherence to
conflict of interest laws and regulations.
AUDITORS, REGISTRAR AND TRANSFER AGENT
The auditors of Noront are PricewaterhouseCoopers LLP, Chartered Accountants.
The registrar and transfer agent for the common shares is Computershare Trust Company of Canada,
located at 100 University Avenue, 9th Floor, Toronto, ON, M5J 2Y1.
The registrar and warrant agent for the Freewest Warrants is Computershare Trust Company of Canada,
located at 100 University Avenue, 9th Floor, Toronto, ON M5J 2Y1.
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MATERIAL CONTRACTS
Other than as described below or elsewhere in this AIF, the Corporation currently has no existing
material contracts other than those entered into in the ordinary course of business.

Loan Agreement dated February 26, 2013 among Noront Resources Ltd. and Resource Capital
Fund V L.P.

Loan Agreement dated March 22, 2015 among 9201955 Canada Inc. and Franco-Nevada GLW
Holdings Corp.

Share Purchase Agreement dated March 22, 2015 by and among Noront Resources Ltd.,
9201955 Canada Inc., Cliffs Quebec Iron Mining ULC, Cliffs Greene B.V., Cliffs Netherlands
B.V., Wabush Resources Inc., Cliffs Canadian Shared Services Inc., and Cliffs Natural
Resources Exploration Canada Inc. and an unlimited liability company to be incorporated under
the laws of a province of Canada as part of the pre-acquisition reorganization contemplated in
such Share Purchase Agreement.
INTEREST OF EXPERTS
The following persons and companies are named as having prepared or certified a statement, report or
valuation described or included in a filing, or referred to in a filing, made by the Corporation under
National Instrument 51-102 during, or relating to, the most recently completed financial year and
whose profession or business gives authority to the statement, report or valuation made by the person,
firm or company:

PricewaterhouseCoopers LLP, Chartered Accountants acted as the Corporation’s
auditors.

Harry Burgess, P.Eng., Richard Gowans, P.Eng., Christopher Jacobs, C.Eng., MIMMM,
Charley Murahwi, M.Sc., P.Geo., MAusIMM, and Bogdan Damjanović, P.Eng., of
Micon International Ltd. authored the Eagle's Nest Feasibility Study.

Charley Murahwi, P.Geo., FAusIMM, Alan J. San Martin, MAusIMM(CP), Richard M.
Gowans, P.Eng., and Jane Spooner, P.Geo., of Micon International Ltd. authored the
Blackbird Resource Update.
To the knowledge of the Corporation, after reasonable enquiry, none of the foregoing persons,
beneficially owns, directly or indirectly, or exercises control or direction over any securities of the
Corporation representing more than one per cent of the outstanding common shares.
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ADDITIONAL INFORMATION
Additional information relating to the Corporation may be found on SEDAR at www.sedar.com.
Further, information with respect to the Corporation, including directors' and officers' remuneration and
indebtedness, principal holders of securities of the Corporation and securities authorized for issuance
under equity compensation plans is contained in the management information circular of the
Corporation for its most recent annual meeting of shareholders (the “Information Circular”) that
involved the election of directors. Additional financial information is provided in the comparative
consolidated financial statements and the management's discussion and analysis of the Corporation for
its most recently completed financial year. A copy of this AIF and the Information Circular may be
obtained upon request from the Secretary of the Corporation.
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