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Revised Final Environmental Study Report (24 MB) - Gold Canyon ...

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<strong>Gold</strong> <strong>Canyon</strong> Resources Inc.<br />

Springpole <strong>Gold</strong> Access Corridor Project<br />

<strong>Final</strong> <strong>Environmental</strong> <strong>Study</strong> <strong>Report</strong><br />

6.2 Process to Determine Compensation for Proximal Tourism Operators<br />

In response to GCU’s Base Case Project Description <strong>Report</strong>, several proximal tourism operators<br />

have told GCU that the Project will have a devastating effect on their respective businesses. It is<br />

acknowledged that proximal tourism operators in the region may be affected by the Project due to<br />

the further loss of remoteness values. It is also recognized that there may be a reduced marketability<br />

of these businesses due to the on-going forestry operations and ancillary aggregate resource<br />

extraction in the area, the 2011 wildfire (refer to Figure 2-1), mineral exploration activities by other<br />

companies, more distant hydropower developments to the south and the on-going practice of<br />

traditional activities by members of Aboriginal communities and any related trail development.<br />

As evidenced by a variety of policies and legislation, the provincial government is interested in a<br />

prosperous tourism industry as well as a prosperous mineral development industry. It is also<br />

recognized that the provincial government may currently have limited resources to resolve disputes<br />

between competing interests in the Crown resources. As a result of these realities and consistent<br />

with the provisions of the recently modernized Mining Act, GCU has sought a recommendation from<br />

the office of the Mining and Lands Commissioner for an independent, qualified professional to<br />

recommend a solution for this particular situation. GCU has engaged this government-endorsed,<br />

independent professional and obtained a preliminary recommendation regarding the issue of<br />

compensation. The recommended solution is provided in Appendix 6 and is regarded as being<br />

consistent with current government policies as well as precedents in similar situations. Obtaining a<br />

recommendation from this government-endorsed, independent professional is not to be construed<br />

as a unilateral selection of an arbitrator to determine appropriate compensation for impacts arising<br />

from this Project. Rather, this measure is intended to be a way to facilitate MNR’s dispute resolution<br />

process described in MNR (2003) in a timely manner that is consistent with government legislation,<br />

policy and priorities.<br />

GCU wishes to be proactive regarding this matter rather than the alternative of doing nothing and<br />

forcing the affected tourism operators to file a statement of claim against GCU in court for damages.<br />

Pending any regulatory approvals, entering into a non-binding dispute resolution process that is<br />

conducted by a qualified, government-endorsed independent party is a measure that GCU’s Board<br />

and shareholders can support. GCU regards its willingness to implement this recommendation as a<br />

demonstration of its reasonableness, its commitment to good faith consultation and its desire to<br />

develop a respectful relationship with local tourism operators.<br />

6.3 Viewscape at Birch River Crossing<br />

The proposed Birch River crossing is located at the southeast end of Springpole Lake and is shown<br />

on Figure 2-1. The viewscape at the proposed Birch River crossing is of particular value to Pickerel<br />

Arm Camps. Although less ideal from an engineering and cost perspective, the proposed crossing<br />

location has been modified from the original Base Case Project Description <strong>Report</strong> to minimize the<br />

impact to guests at Pickerel Arm Camps. As indicated in Photograph 6-1 the revised crossing<br />

location will not normally be visible to guests at Pickerel Arm Camps that are fishing on Springpole<br />

Lake.<br />

July 2013 Page 56

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