Opportunties North 2023

Economic diversity remains elusive

Growing government and falling private sector an issue for both territories

By Derek Neary Northern News Services

Economic recovery and growth coming out of the Covid-19 pandemic has been uneven in Nunavut and the Northwest Territories.

On May 1, 2023, Statistics Canada released data indicating that economic activity surpassed 2019 levels for all provinces and territories except for three. One of them was the NWT.

In 2022, the NWT economy grew by 1.5 per cent, a far slower rate than the 4.8 per cent growth of 2021. Nunavut was only a hair better at 1.6 per cent in 2022, but that marked an even greater contraction from a red-hot 7.9 per cent gross domestic product (GDP) growth during the pandemic in 2021.

The NWT’s GDP in 2022 totalled $4.4 billion while Nunavut’s came in at $3.5 billion. Both territories exceeded Yukon’s $3 billion. Mining accounts for close to 41 per cent of Nunavut’s GDP. Sitting in second place is public administration at 18.25 per cent, according to Statistics Canada. The Government of Nunavut estimates that the public sector will account for just over 29 per cent of all goods and services produced in 2023.

“Government looms large in the Nunavut economy, not only because of the high cost of providing public services in the Far North, but also because the territory’s private sector is typically quite small,” the GN states in its

2023-24

Budget Indicators report.

Mining is the giant within the private sector.

The value of mining production in Nunavut has risen steadily over the past decade. In 2021, the output from gold and iron ore was worth $2.5 billion. In 2012, by comparison, the territory’s metal production sat at $614 million, according to Natural Resources Canada. Nunavut’s economic prospects remains tied to both the territory’s “vast mineral potential — and its accompanying dependence on global commodity prices” and on workforce education and skill development,” the Government of Nunavut states in its 2023-24 Budget Indicators report. “Continued investment in crucial infrastructure will also enhance the territory’s economic potential.”

Fishing, which Premier P.J. Akeegok has often mentioned as having growth potential within the “blue economy,” represents less than one per cent of Nunavut’s GDP.

A shrinking economy

In the Northwest Territories, the economy in 2023 is almost nine per cent smaller than it was in 2019, prior to the pandemic.

The GNWT blames this primarily on “low investment” and “a significant drop in exports,” namely diamonds. Mining has fallen to 22 per cent of the territory’s nominal GDP. NWT diamond production peaked at $2.1 billion in value in 2017 and fell to $1.5 billion in 2021. Although mining is still the top industry in the territory, it’s shrinking. Public admin-

istration, at 19 per cent, is gaining ground. Using real GDP, which accounts for inflation, as another measure, public administration actually overtook mining, 21 per cent to 18 per cent in 2021.

The territorial government is forecasting a 2.9 per cent reduction in GDP in 2023-24. This decline is attributed to less Covid-19 pandemic support spending by the government and falling diamond production.

“Outsized reliance on (government and mining) creates structural barriers to long-term growth and stability by making the economy inefficient and uncompetitive. This is the primary downside risk to the long-term outlook of the NWT economy,” the GNWT states in its 2023-24 Economic Review. “Despite many attempts over the years to stimulate economic growth in other industries, the NWT economy has failed to diversify.”

High inflation and rising interest rates are also having a dampening effect. The consumer price index in Yellowknife rose by an estimated 6.8 per cent in 2022 after a 2.2 per cent jump in 2021. The GNWT is projecting inflation to be 3.3 per cent higher in 2023.

The territorial government also acknowledges the extremely tight labour market in the NWT and its influence on the workforce as the largest and growing employer in the territory with close to 6,500 workers. It notes that public sector compensation is often too much for small and medium businesses to

compete with and “this may be worsening staff shortages in the private sector.”

And yet many residents and organizations rely heavily on government support. The GNWT is projecting just over $1 billion in grants and contributions in 2023-24.

In 2021-22, the GN awarded approximately $511.4 million in grants and contributions, an increase of approximately $17.7 million over 2020-21.

Debt ceilings

In terms of how much breathing room the territorial governments have, the GNWT has borrowed close to $1.5 billion, putting it perilously close to the $1.8 billion debt ceiling that the federal government has imposed.

Nunavut has more flexibility. As of Oct. 31, 2022, the territorial government was at $398 million owing with a cap of $750 million, meaning $352 million remained.

Where the revenues will come from to repay those debts remains a pressing question. Nunavut is looking forward to a fifth mine opening in 2025 while the NWT has long been staring at the prospect of one of its large diamond mines (Diavik) shutting down in 2026, now extended one year from 2025.

Even there, the GNWT is forecasting $56.9 million in royalties from minerals and oil and gas royalties in 2023-24. It would take many years to pay off $1.5 billion in debt from that alone.

The answers aren’t coming quickly or easily.

Agnico Eagle’s Meliadine gold mine, north of Rankin Inlet. The mining company, along with Baffinland Iron Mines, accounts for about 40 per cent of Nunavut’s economic activity. Photo courtesy of Agnico Eagle Mines

Opportunities NORTH POPULATION

NWT population shrinks, bucking national trend

More people continue to leave the territory than settle; three regions show growth, three contract

By Derek Neary Northern News Services

The Northwest Territories was a population outlier in Canada in 2022, the only jurisdiction in the country to record a loss of residents overall.

As of Jan. 1, 2023, the NWT population stood at 45,493, which was 0.5 per cent lower than the 45,710 people recorded in the territory as of Jan. 1, 2022.

The lowest rates of growth elsewhere in Canada during that time span were in Nunavut and Quebec, both at 1.7 per cent. National growth was 2.7 per cent.

Interprovincial migration brought 1,856 people to the territory in 2022, but 2,756 people departed. Migration within Canada has been negative for the NWT since at least 2017.

International migration is where the NWT made some gains with 405 more people coming than leaving in 2022.

The NWT also had more births than deaths last year. There were 546 births compared to 268 deaths.

The territory showed population growth in the three years prior to 2023, but it was anemic: 0.8 per cent as of Jan. 1, 2022, 0.2 per cent in

2021 and 0.2 per cent in 2020.

The federal government will transfer $37,073 per resident in per capita allocation in 2023-24, up from $34,894 the previous year.

Regional splits

Broken down by region, three had higher populations year over year while the other three experienced declines. The Yellowknife region was up by 37 people, the Tlicho region expanded by 33 and the Beaufort Delta climbed by 26 residents as of July 1, 2022.

The South Slave saw the largest decline, losing 71 people. The Dehcho was down by nine residents and the Sahtu contracted by eight people.

The territory’s Indigenous population slightly outnumbered non-Indigenous residents: 22,935 to 22,670 as of July 1, 2022. The number of Indigenous people was higher by a wide margin in each of the regions except Yellowknife. In the territorial capital, there were 16,621 non-Indigenous citizens compared to 5,622 Indigenous people.

In terms of gender, there were 23,510 males and 22,095 females in the NWT as of July 1, 2022.

The median age of NWT residents as of July 1, 2022, was 35.8 years, whereas the national median age was 41.

fact FILE

NWT POPULATION BY REGION AND COMMUNITY AS OF JULY 1, 2022

Beaufort Delta region 6,888

Aklavik 708

Fort McPherson 759

Inuvik 3,214

Paulatuk 327

Sachs Harbour 118

Tsiigehtchic 205

Tuktoyaktuk 1,058

Ulukhaktok 499

Dehcho region 3,316

Fort Liard 523

Fort Providence 711

Fort Simpson 1,230

Hay River Dene Reserve 341

Jean Marie River 92

Kakisa 36

Nahanni Butte 101

Sambaa K’e 97

Wrigley 126

Sahtu region 2,669

Colville Lake 161

Deline 633

Fort Good Hope 628

Norman Wells 704

Tulita 543

South Slave region 7,462

Enterprise 121

Fort Resolution 556

Fort Smith 2,607

Hay River 3,796

Lutsel K’e 356

Tlicho region 3,027

Behchoko 2,057

Gameti 277

Wekweeti 140

Whati 553

Yellowknife region 22,243

Dettah 227

Yellowknife 21,720

Yellowknife unorganized: 296

Source: NWT Bureau of Statistics

The Tlicho, Beaufort Delta and Yellowknife regions grew between July 1, 2021 and July 1, 2022, according to the NWT Bureau of Statistics. However, the South Slave, Dehcho and Sahtu had fewer people during that same time frame. Margaret McKay/NNSL photo

Nunavut’s population hits 40,692 people

Growth experienced in all three regions; federal support equates to $49,208 per person in 2023

By Derek Neary Northern

Services

Nunavut’s population stood at 40,692 people as of Jan. 1, 2023 an increase of 1.7 per cent from 40,003 residents one year earlier.

By comparison, Canada’s overall population grew by 2.7 per cent, which marked the highest annual population expansion nationally since 1957, raising the number of people in the country to 39,566,248.

The Government of Nunavut (GN) attributed the territory’s population growth to a high birth rate.

“Nunavummiut women have on average three children over their lifetime, the highest rate in Canada and almost double the national average,” the GN stated.

The territorial government is projecting that Nunavut’s population will reach 40,718 by July 2023.

Ottawa’s funding to Nunavut equates to $49,208 per resident in 2023-24, up from $47,435 per capita the previous year.

Another factor in Nunavut’s growing population in 2021-22 was interprovincial

migration, which saw 183 more people relocate to the territory than those who left. That was up from a gain of 77 in 2020-21.

Looking at the three regions, the Qikiqtani climbed to 21,540 people as of July 1, 2022, an increase of 684 people from 20,856, or 3.3 per cent from one year earlier.

The Kivalliq went from 11,449 residents to 11,714 between July 1, 2021 and July 1, 2022, representing an additional 265 people, or 2.3 per cent growth.

The Kitikmeot rose to 7,272 from 7,098, which was an extra 174 people, or an uptick of approximately 2.5 per cent.

Youthful territory

Approximately half of Nunavut’s population is under age 26 and close to one-third of Nunavummiut are under 15, which makes it Canada’s youngest province or territory, according to age. Nationally, 41 is the median age.

Various other demographic details that had been available in the past have not been tracked over a few years due to vacancies at the Nunavut Bureau of Statistics.

Nunavut grads, enrolment slide

$273.5 million budget

for Department of Education;

language

dispute stalled in court

By Derek Neary Northern News Services

There were 262 high school graduates in Nunavut in 2022, down from 287 in 2021. The graduate rate came in at 38.4 per cent last year, below the 43.6 per cent recorded a year earlier.

There were 130 students who earned diplomas in the Qikiqtani region in 2022, 109 in the Kivalliq region, 18 from the Kitikmeot and five grads emerged from the Pathway to Adult Secondary School Program. Enrolment for the 2022-23 school year, as of Sept. 30, added up to 10,629 territory-wide. That’s down slightly from 10,769 students in 2021-22.

There were 5,134 pupils in the Qikiqtani region, 3,364 in the Kivalliq and 2,048 in the Kitikmeot. Ecole des Trois-Soleils, the kindergarten to Grade 9 French school in Iqaluit, had 84 students registered.

Nunavut doesn’t have junior kindergarten or pre-kindergarten as part of its school programming. There are preschools and Aboriginal Head Start Programs, but they are run inde-

fact FILE

NUNAVUT STUDENT ENROLMENT 2022-23 (AS OF SEPT. 30)

Qikiqtani: 5,134

Kivalliq: 3,364

Kitikmeot: 2,048

Total: 10,629

Government of Nunavut

pendently of the territorial government. As of 2021-22, there were 250 such spaces available across Nunavut.

$273.5 departmental budget

The Department of Education has an operations and maintenance budget of $273.5 million in 2023-24, up from $252.3 million in 2022-23.

The education budget represents 13.5 per cent of GN’s overall operations and maintenance (O&M) spending this fiscal year, and that’s separate from Nunavut Arctic College, which accounts for two per cent of yearly government O&M spending on its own.

The amount of money allocated to the Department of Education trails only the Department of Health ($469.6 million, or 23.2 per cent) and Community and Government Services ($293.8 million, 14.5 per cent).

The Government of Nunavut anticipates putting $197.8 million toward compensation and benefits for education department staff in 2023-24, up from $184.5 million the previous year.

Early learning and child care will get $4.3 million from the territorial government in 2023-24.

When it comes to capital estimates, the Department of Education ranks third among departments again, at $47.7 million, or 14.1 per cent of the GN’s planned capital spending in 2023-24. That’s down from last year when $50 million was put into capital projects for education.

Among the major projects moving through the queue are a new high school in Taloyoak, major renovation and addition at Sakku School in Coral Harbour, major renovations in Arctic Bay and an addition to Ecole des Trois-Soleils in Iqaluit.

Court updates in language battle

A dispute between land claims organization Nunavut Tunngavik Incorporated (NTI) and the Government of Nunavut over the provision of Inuktitut education from K-12, which became a legal battle in 2021, was seemingly moved forward in early March when a Nunavut judge overruled the GN’s attempt to have the case thrown out. The territorial government subsequently filed an appeal in April.

NTI is seeking to force the GN to offer Inuktitut instruction for all grade levels within five years. The GN’s existing plan could take until 2039 to be fully implemented.

Students at Iglulik’s Sivuniit Middle School enjoy a dog-sledding trip as part of cultural programming. Photo courtesy of the Government of Nunavut Department of Education

Ecole des Trois-Soleils in Iqaluit, Nunavut’s only Francophone school, had an enrollment of 84 students, according to the territorial government. NNSL file photo

Opportunities NORTH EDUCATION

285 high school grads in NWT

Enrolment rebounds in 2022-23; more than $200 million for school services

By Derek Neary Northern

The Northwest Territories produced 285 high school graduates in 2021-22, down from 340 grads a year earlier.

The bulk of the graduates, 153 of them, earned their diplomas in Yellowknife. Regional centres accounted for 69 grads while 63 came from small communities.

The Department of Education calculated that the six-year graduation rate — a newer method based on tracking a cohort within six years of enrolling in Grade 10 — was 60 per cent for the territory in 2020-21. It was highest in Yellowknife, at 74 per cent. It dropped to 55 per cent in NWT regional centres and fell further to 45 per cent in small communities.

Non-Indigenous students graduated at an 81 per cent clip in 2020-21 whereas the rate among Indigenous students was 49 per cent.

The six-year graduation rate shows a gradual rise from about 50 per cent in 2011-12 to 60 per cent in 2020-21.

Conversely, the former Grade 12 graduation methodology, which the Department of Education said “did not accurately count all students who graduated,” showed a gradual downward trajectory between 2009-10 and 2019-20.

The Department of Education is also beginning to transition the NWT junior kindergarten to Grade 12 curriculum to be largely based on the British Columbia curriculum instead of Alberta’s. This is the final year that NWT students will take the Alberta Achievement Tests. The decision to follow the B.C. model of “competencies-driven learning” was based on the province being more closely aligned with 34 “longstanding NWT education priorities,” according to the department.

The process is expected to be complete in 2027-28.

Enrolment rises

Total student enrolment in 2022-23 rose to 8,701, rebounding from 8,666 the previous year and almost identical to the 8,700 students recorded in 2020-21.

As for the number of educators in the territory in 2021-22, the Department of Education stated in mid-May that it was still working with estimated figures. The estimated total number of educators was 1,256, with 511 of them based in small communities, 457 in Yellowknife and 288 in regional centres. In 2020-21, there were 1,068 educators in the NWT.

Territorial funding

Junior kindergarten to Grade 12 school services consumes 55.4 per cent of the Department of Education, Culture and Employment’s annual budget, or $200.2 million out of the $382.3 million allocated. That’s followed by income security (17.5 per cent) and labour development and advanced education (15.7 per cent).

Revised estimates for 2022-23 show that the department spent approximately $200.5 million for junior kindergarten to Grade 12 school services, slightly higher than the $198 million projected budget at the beginning of the fiscal year.

The department anticipates paying out $269.7 million in grants, contributions and transfers in 2023-24. The next largest expense is fees and payments at $41.6 million followed by compensation and benefits to staff at $40.1 million.

The GNWT has $13.5 million in grants earmarked for student financial assistance in 2023-24 so they can attend post-secondary institutions.

Capital estimates drop

ECE only expect to spend $5.6 million on capital projects in 2023-24, a massive reduction from an estimated $34.3 million in 2022-23.

Among the items on the books are a full renovation of Mangilaluk School in Tuktoyaktuk, along with a 7,750-square-foot addition; planning for Colville Lake School and Chief Jimmy Bruneau School in Behchoko; acquiring three portables for Colville Lake School; and playground fencing for Chief Julius School in Fort McPherson and Chief Julian Yendo School in Wrigley.

fact FILE

TOTAL ENROLMENT IN NWT 2022-23

Junior Kindergarten: 498

Kindergarten: 570

Grades 1-6: 3,542

Grades 7-9: 1,739

Grades 10-12: 2,352

Source: Department of Education

A drone shot of the 2021 East Three Secondary School graduation ceremony. The Northwest Territories produced 285 high school graduates in 2021-22, down from 340 grads a year earlier. Photo courtesy of Kristian Binder

There are 8,701 students enrolled at all grade levels in the NWT in 2022-23. Angela Gzowski Photography

News Services

Funding up for Arctic College

57 per cent of positions at school filled by Inuit but college still short by 124 employees

By Derek Neary Northern News Services

Nunavut Arctic College will receive $40.3 million in funding from the Government of Nunavut in 202324, an increase from $38 million the previous year.

Regionally, the Qikiqtaaluk will get $23.3 million, the Kivalliq’s share is $8.5 million, $4.5 million will go to the Kitikmeot and $4 million will be used by the college’s headquarters. Other funding comes from third parties — amounting to $25.5 million — and tuition fees and other sources, which contributes approximately $7.5 million.

Nunavut Arctic College finished 2021-22 with a deficit of $2.85 million, leaving an accumulated surplus of $34.7 million, down from $37.6 million the previous year.

Two students graduated from the nursing program in 2022.

Pre-health sciences nurtured three grads.

Twelve students earned their diplomas from the social service worker program in 2022 — seven of them in Cambridge Bay, the other five in Rankin Inlet. They have the option to carry on with the bachelor of social work degree program, which was established between NAC and the Memorial Univeristy of Newfoundland in 2021.

Four students completed the management studies diploma program

while four others achieved a certificate.

The office administration program, offered in seven communities, produced 26 grads in seven communities.

Nine students graduated from the environmental technology program.

Three people earned their diplomas through the interpreter translator program while five completed the third year certificate in post diploma.

The fur design and production program had eight students enrolled in the second year in 2021-22.

Five students completed the first year of the jewelry and metalwork program.

Thirteen adult basic education programs were delivered in 23 communities.

Two students finished the second year of Inuit Studies in 2021-22. The program then underwent a comprehensive review, so it wasn’t offered in 2022-23.

The early childhood education diploma program and applied early childhood education certificate program were updated in 2021-22.

The bachelor of education program — known to many as the Nunavut teacher education program (NTEP) was revamped to put greater focus on Inuit language and culture. Offered in partnership with the Memorial University of Newfoundland, the retooled program admitted 74 students in 10 communities in 2020-21.

278 staff, but many vacancies

The college comprised approximately 278 staff in 2021-22 and 57 per cent of positions that were filled were occupied by Inuit employees. However, at the time the annual report was written, there were 124 jobs that were vacant. In terms of student accommodations, the Nunatta campus in Iqaluit offered 107 family units and 42 single

unit students. The Kivalliq campus in Rankin Inlet has 12 family units and 64 single units while the Kitikmeot campus in Cambridge Bay hosts 20 family units and five single units. The Nunavut Research Institute issued 123 research licences in 2021, which NAC stated was higher than the 81 licences given out in 2020 but “still much lower than the number of licences issued prior to the pandemic.”

32 NS grads Nunavut Sivuniksavut, a post-secondary institution based in Ottawa, celebrated 32 grauates on May 18. The school offers one and two-year programs designed to empower Inuit youth, including two certificate programs. Nunavut Sivuniksavut has produced several hundred alumni since the program launched in 1985.

Graduates from Nunavut Arctic College’s Kivalliq campus gather for convocation in June 2022. NNSL file photo

Aurora College fosters 83 grads

Transformation to polytechnic university makes headway; College Nordique Francophone registrations climb

By Derek

Eighty-three students graduated from Aurora College in 2021-22, four fewer than the 87 grads from a year earlier.

There were 39 certificates awarded, 28 diplomas and 16 degrees in 2021-22. Aurora College could not provide a breakdown of graduates by program, as has appeared in past editions of Opportunities North.

Total enrolment was 1,443 in 2021-22, a 13.3 per cent decline from 1,664 students the previous year. Enrolment has been falling since at least 2018-19, when there were just over 2,000 students.

The three main campuses across the territory — Aurora in Inuvik, Thebacha in Fort Smith and the North Slave campus in Yellowknife — all posted increases year over year in the number of full-time equivalent students in 2021-22. However, the number of people who registered in small communities fell by close to 40 per cent.

Examining the difference in enrolment by program, trades, apprenticeship and industrial training; health and human services; education; business and leadership; arts and science; and developmental students all showed increases in full-time equivalent participation in 202122, according to Aurora College. Continuing

education had fewer students.

Overall, part-time students were more than double the number of full-time students.

A new program added in 2021-22 was the aviation business diploma, which includes a commercial pilot licence. It was established in partnership with Fort Smith’s Terry Harrold School of Aviation.

The college’s annual report notes that work is underway to re-establish the bachelor of education and social work programs within the next few years.

New research funding in the amount of $1.8 million was disbursed to Aurora Research Institute in 2021-22.

Government support

The GNWT is budgetting $34.8 million for Aurora College in 2023-24, which is essentially the same amount that the revised budget indicates the college absorbed in 2022-23.

The biggest portion of the GNWT funding over this fiscal year goes towards the delivery of programs on campus at $12.5 million. Spending on buildings and works is next at $7.3 million. Then comes $6 million for program delivery in the communities and $5.1 million for base operations.

The territorial government represented 78.3 per cent of the college’s financial support in 2021-22. Next came the Government of Canada at 8.6 per cent, third-party contributors at 4.1

per cent while tuition accounted for 3.9 per cent, among other, lesser sources of income.

The post-secondary institution closed 202122 with $55.9 million in expenses and $53.2 million in revenues, which resulted in an annual deficit of close to $2.7 million. That reduced the college’s accumulated surplus to $12.4 million from $15 million a year earlier.

Staff grows

Aurora College had a staff of 298 in 2021-22, 31.2 per cent of whom were Indigenous. There were 235 staff members in 2020-21.

Most employees — 151 — fell under support/ administration. Faculty numbered 118. Twenty-one were full-time students and eight were categorized as senior management.

Indeterminate positions added up to 222 while 48 were casual workers, 14 were on term and 14 were classified as relief.

Polytechnic progress

Work continues toward transforming Aurora College into a polytechnic university. As of March 15, 69 commitments and milestones were completed, 19 were in progress and 13 had not yet started. The GNWT anticipates that the polytechnic will launch in 2025.

College Nordique

The NWT’s French-based post-secondary institution, College Nordique had more than 500 registrations in 2022-23, including language classes in French, Tlicho, Spanish, English

for newcomers and a new offering for early childhood educators. That’s up from 410 registrations in 2021-22.

The college is developing partnerships with post-secondary institutions such as the Université de l’Ontario français and the Université de Hearst, both based in Ontario. The institution is also collaborating with the Intercultural Centre NWT, which aids immigrants; the Yellowknives Dene First Nation, the Tlicho Government and the GNWT, among others.

Dechinta Centre for Research and Learning

Dechinta had 14 registrants for its 2022 summer term, 14 for the 2022 fall term and 45 for the 2022-23 winter term, for a total of 73. In 2021-22, the centre stated that there were 40 participants in total.

Dechinta offers land-based lessons in several remote wilderness locations. Activities may include discussing Dene political theory, learning about sustainable communities, harvesting medicines, tanning hides and making dry fish, as well as academic reading, writing and presenting.

Two new courses were introduced during winter 2023: living Dene laws and the other was Indigenous research methods and hide tanning. The institution has also forged a partnership with the University of British Columbia to offer a certificate in land and community-based research.

There were more than 500 registrations for programs offered through College Nordique Francophone in 2022-23, up from 410 the previous year. Photo courtesy of College Nordique Francophone

Neary Northern News Services

Opportunities NORTH EMPLOYMENT

Nunavut’s unemployment rate edges upward

Public administration jobs most common; governments found to be failing in progressing toward Inuit employment targets

By Derek Neary Northern News Services

Nunavut’s unemployment rate stood at 12.9 per cent as of April 2023, up from 11.7 per cent in April 2022.

The employment rate in April was 54.8 per cent and the participation rate in the workforce was 62.9 per cent.

The unemployment rate was 10.6 per cent among women and 15 per cent among men.

The Nunavut Bureau of Statistics determined that Inuit employment rose by 10.7 per cent in 2022 compared to 2021, as the recovery from the Covid-19 pandemic took hold.

In attempting to facilitate a stronger workforce, the Department of Family Services has $1 million set aside for workforce development agreement programs in 2023-24, matching last year’s investment.

The territory had 530 job vacancies as of the fourth quarter of 2022, according to Statistics Canada. There were 15,980 payroll employees at that time, which was 1,000 more payroll employees than the fourth quarter of 2021.

Wage growth offset

Goods-producing industries paid $2,236.14 in gross average weekly earnings Nunavut as of February 2023. Service-producing industries paid $1,381.92 weekly, on average.

“Unfortunately, real wage growth was undermined by the high inflation throughout 2022,”

the Government of Nunavut (GN) stated in its 2023-24 Budget Indicators report, but also noted that Nunavut wages remain well above the Canadian average.

That report also noted that in 2021, the most recent year with available data, each Nunavut worker produced roughly $235,033 worth of gross domestic product (GDP), up by two per cent from the previous year. That translates into $125 produced for each hour of work and was 1.6 times the national average, according to the GN, which acknowledged that the strength of the mining industry and its metals play a key role in this metric.

Nunavut’s median hourly wage was $36 per hour as of April 30, 2022, the second highest in the country at the time, Statistics Canada data shows.

Only the NWT’s median wage of $37.30 per hour was more. Yukon was third at $32 and the highest among the provinces was Alberta at $28.85.

Converting $36 per hour as a full-time annual salary would equate to $74,880.

The federal government’s online job bank reveals that the highest median wages in Nunavut are earned by government managers in the fields of economic analysis, policy development and program administration ($71.20 per hour), school principals ($69.34), other managers in public administration ($67.69) and human resources managers ($67.64).

The lowest hourly wages in the territory were paid to cashiers, store shelf stockers, clerks and

order fillers ($16); airline ticket and service agents ($18.95); air transport ramp attendants ($20); early childhood educators and assistants ($21); and food counter attendants, kitchen helpers and related support occupations ($22).

The minimum wage in Nunavut is $16 per hour. Inuit under-represented

In May, an arbitrator ruled that federal and territorial government strategies to boost Inuit employment were falling short of requirements set out in the Nunavut Land Claims Agreement.

That agreement, created in 1993, aims for 85 per cent Inuit representation in the public service. The arbitrator, agreeing with the filing from land claims organization Nunavut Tunngavik Incorporated, determined that the Government of Nunavut and Government of Canada have failed to provide enough detail in how they will achieve the hiring goals and they make it difficult to track progress.

Inuit employment within the GN has been close to 50 per cent for more than a decade while at the federal level, it hovers between 40 and 48 per cent, depending on the source. In addition, Inuit hold jobs mostly at the administrative level within government, and are disproportionately low among management, professional, supervisory and scientific occupations.

All parties in the dispute are expected to meet to find solutions to this problem. If there’s not satisfactory direction set, an arbitrator will again intervene.

fact FILE

NUNAVUT

EMPLOYMENT

BY INDUSTRY (FEBRUARY 2023)

Public administration 5,350

Trade 2,197

Healthcare and social assistance 1,204

Accommodation and food services 989

Transportation and warehousing 888

Construction 857

Real estate, rental and leasing 757

Administrative and support, waste management and remediation services 755

Educational services 665

Other services 538

Professional, scientific and technical services 358

Finance and insurance 303

Management of companies and enterprises 236

Information and cultural industries 111

Arts, entertainment and recreation 110 (Certain industries, such as mining and manufacturing are suppressed to meet the confidentiality requirements of the Statistics Act)

Source: Statistics Canada

Nunavut’s median hourly wage was $36 per hour as of April 30, 2022, the second highest in the country at the time, Statistics Canada data shows. NNSL file photo

NWT employment rate strongest in Canada

Wages rising, but concerns exist over labour shortages and public sector luring employees from private sector

By Derek Neary Northern

The Northwest Territories led all provinces and territories with a 70.7 per cent employment rate as of April.

The national rate was 61.6 per cent, seasonally unadjusted.

The NWT’s employment rate for all of 2022 was 73.1 per cent, which the GNWT deems as close to full employment.

There were 24,100 people employed in the NWT versus 1,400 unemployed, creating an unemployment rate of 5.5 per cent. Comparing it to the month of April for each year for the past decade, it’s the lowest rate. The highest was 8.9 per cent in April 2014.

However, September 2022 saw the lowest recent NWT unemployment rate for any month, at 3.8 per cent.

The NWT had 8,600 eligible people who were not among the labour force as of April, putting the participation rate at 74.8 per cent.

As of March, the unemployment rate among men was at 7.7 per cent compared to 3.3 per cent among women.

In regards to age groups, young workers from 15 to 24 years old saw an unemployment rate of 17.2 per cent while those 25 years and older were at 3.6 per cent.

The unemployment rate among Indigenous people stood at 12.2 per cent in March. For non-Indigenous people, it was 1.3 per cent.

Yellowknife’s unemployment rate was 1.4 per cent while the rest of the territory was at 10.4 per cent in March.

Between March and April, the public sector increased by 800 jobs while self-employment grew by 200 jobs. That more than offset losses in the private sector, according to the NWT Bureau of Statistics.

During that same time frame, employment was up in public administration (400 jobs), education (300), and transportation and warehousing (200), offsetting declines in construction, business, building and other support services.

Public sector outstripping private sector

As of March, there were 20,800 full-time workers in the territory, whereas 2,900 were employed part-time.

Service-producing industries provided work for 19,900 people compared to 3,800 in goods-producing industries.

The public sector employed 11,700 residents while the private sector stood at 10,300 workers. Those who were self-employed numbered 1,600.

The GNWT is forecasting that a “tight labour market” will persist, with labour shortages in some industries, such as construction, health care, education and food services posing “short-term and long-term risks to the economic outlook because an inability to fill vacant positions may hamper private-sector activity (businesses can not maintain or expand operations) and may reduce the quality of life for NWT residents (previously available services become limited or unavailable).”

fact FILE

Goods-producing industries $2,061 (+$67)

Service-producing industries $1,452 (+$26)

Construction $1,721 (+$25)

Another trend, which started around the time that the Covid-19 pandemic emerged, is that the public sector — which often pays better, particularly more than small and medium-sized businesses can afford — overtook the private sector 2020 and the gap has been growing ever since.

“If the composition of employment does not reverse, there is a risk that the NWT economy will become increasingly dependent on government, leading to a hollowing out of the private sector,” the territorial government acknowledges in its 2023-24 Economic Review.

Earnings rising

The GNWT calculates that wages rose by 2.1 per cent in 2022 and projects that they will surge by 2.8 per cent in 2023. Despite that, in its 2023-24 Economic Review, the GNWT notes that “wage growth is being outpaced by consumer price growth.”

The impact of inflation, which causes wages to rise, was most noticeable in health care in 2022, with gross earnings increasing $178 weekly.

In addition, some significant jumps occurred between January and February 2023, with earnings shooting up $240 weekly in construction and $174 per week in goods-producing industries. Health care climbed by $91 weekly between the first two months of this year.

Minimum wage in the NWT is $15.20 per hour. Last September, the territorial government introduced a formula based on the percentage change in the consumer price index (CPI), a measure of inflation, that will result in an annual adjustment each September. The last increase to the NWT minimum wage — $1.74 per hour — came on Sept. 1, 2021.

Funding to facilitate labour

The territorial government has several pots of money intended to foster the labour market.

The Small Community Employment fund consists of $4 million to support small NWT communities and regional centres in developing employment opportunities.

Building Skills 4 Success in the NWT has $1.7 million to aid residents with literacy and “everyday skills needed to succeed in NWT workplaces and to continue learning.”

There’s $883,000 through Labour Market Development Agreement Contributions from the federal government.

Workforce Development Agreement Contributions amount to $796,000 for 2023-24 “to provide financial assistance to community partners for training, supports, employment partnerships, and knowledge building programs and services designed to support people in obtaining and maintaining employment in the Northwest Territories.”

To make it more affordable to go to work, the Department of Education, Culture and Employment offers grants and contributions toward child care. For example, the Early Childhood Child Care Fee Reduction Subsidy equates to $6.3 million.

The Early Childhood Program Operator Subsidy is worth $4.85 million. It provides grants to support the operations of licensed daycare and day home operators.

Transportation and warehousing $1,381 ($18)

Industrial aggregate $1,566 (+$39)

Trade $941 (+$5)

Health care and social assistance $1,497 (+$178)

Public administration $1,822 (-$9)

Other services $1,013 (+$109)

Source: NWT Bureau of Statistics

The NWT’s public sector employed 11,700 residents while the private sector stood at 10,300 workers as of March. The public sector overtook the private sector around the time that the Covid-19 pandemic occurred and it has been widening the gap ever since. NNSL file photo

News Services

NWT AVERAGE WEEKLY GROSS EARNINGS BY INDUSTRY IN 2022 (BRACKETS INDICATE DIFFERENCE FROM 2021)

Opportunities NORTH UNIONS Opportunities NORTH UNIONS

City workers, federal employees strike deals

end of December 2023.

UNION OF NORTHERN WORKERS BARGAINING UNITS

The Union of Northern Workers (UNW), the largest union in the Northwest Territories, represents approximately 7,000 public, private, and non-profit sector members with 30 employers in territory.

The union also serves Workers’ Safety and Compensation Commission employees in Nunavut, who fall under the GNWT bargaining unit.

The UNW, alongside it affiliate union the Public Service Alliance of Canada (PSAC), was front and centre during a strike by close to 200 City of Yellowknife staff members that lasted from Feb. 8 to March 17. The Multiplex, Fieldhouse, swimming pool, Yellowknife Community Arena, library and visitor information centre were among the facilities temporarily shut down during the work stoppage.

The city employees — part of UNW Local 345 — agreed to retroactive wage increases of three per cent going back to Jan. 1, 2022, and a 2.75 per cent increase dated back to Jan. 1, 2023, for a compounded 5.83 per cent.

There was also a signing bonus of $1,800 to each permanent full-time, term and casual full-time employee, $850 to each permanent part-time employee and seasonal employee and $300 to each casual part-time employee.

Without an updated collective agreement since the end of 2021, talks between the union and the city broke down in November 2022, leading up to job action in February after a strike vote was held.

The terms of the new agreement won’t last much longer as they’re set to expire at by the

Federal workers walk out PSAC flags were flying on picket lines again a month later as close to 600 Northern federal workers joined nearly 155,000 of their Government of Canada colleagues in going on strike as of April 19, which lasted until the first week of May.

Treasury Board and Canada Revenue Agency staff accepted a 12.6 per cent compounded wage increase over four years, retroactive to 2021, and a one-time pensionable payment of $2,500. Their last raise had come in June of 2020.

Based on an average Treasury Board worker’s salary of $67,305, the wage increase will result in an additional $23,000 over the fouryear period, PSAC told its membership. It will also raise the average salary to $75,777 in 2024, according to the union.

AVENS labour dispute AVENS, which operates seniors residences in Yellowknife, was still trying to negotiate an agreement with its unionized workers in April, and the conciliation process, led by a third party, wasn’t enough to break the deadlock.

The last collective agreement between AVENS and the Union of Northern Workers Local 25 expired on March 31, 2022. That agreement remains in effect until a new agreement is reached or if there is either a strike or lockout.

The UNW posted an update online on May 15 reading: “The union and the employer met with a mediator last week to mediate some complaints that had been filed with the labour board by the employer. In doing so, we also tried to come to a new tentative agreement with the assistance of the mediator.

While the talks did not conclude in a new agreement, more dates are being scheduled. Once the dates have been finalized, we will provide an update.”

Power Corp negotiations in the offing

On April 2, the UNW served notice to its unionized workers with the NWT Power Corporation (NTPC) that their collective agreement with NTPC expired on Dec. 31, 2022. The union was seeking delegates for a bargaining conference prior to commencing negotiations.

On March 1, UNW members in Fort Smith endorsed the tentative agreement reached with the Town of Fort Smith on Feb. 17.

Nunavut endures a couple of strikes

Qulliq Energy Corp employees settle for new deal; housing, hamlet staff fighting for better terms

Aklavik Housing Association

AVENS – Yellowknife

Behchoko Ko Gha K’aodee

City of Yellowknife

City of Yellowknife Municipal Enforcement Division

Delįne Housing Association

Ekati (Arctic Canadian Diamond Company)

Evergreen Forestry Limited Partnership – Hay River

Fort McPherson Housing Association

Fort Providence Housing Association

Fort Resolution Housing Authority

Fort Simpson Housing Authority

Fort Smith Housing Authority

Government of the Northwest Territories

Grizzly Marine Services - Inuvik

Hamlet of Fort Providence

Hamlet of Fort Resolution

Hay River Housing Authority

Hay River Health and Social Services Authority

Inuvik Housing Authority

Northwest Territories Power Corporation

Nuna Contracting Ltd.

Salvation Army in Yellowknife

Town of Fort Smith

Town of Hay River

Tuktoyaktuk Housing Association

Village of Fort Simpson

Yellowknife Catholic School Board (non-teachers)

Yellowknife Housing Authority

YWCA Sutherland House - Fort Smith

Source:

By Derek Neary Northern News Services

A couple of strikes have occurred in Nunavut in 2023.

More than a dozen unionized workers with the Iqaluit Housing Authority (IHA) walked out on March 17 — after a lockout notice was served by the employer — and the staff were still on strike into late May, although the IHA, on May 24, cancelled its lockout and made a revised offer of 7.25 per cent over five years (2020-2024) and a 3.5 per cent lump sum payment upon ratification.

Represented by the Nunavut Employees Union (NEU), which has close to 4,500 members across the territory, and the Public Service Alliance of Canada (PSAC), the unionized IHA workers rejected an April offer of a seven per cent increase over the same five-year period and a one-time 2.8 per cent lump sum payment to counteract inflation.

“The cost of living in Iqaluit has dramatically increased over time, more so in the last year. We are looking for a fair increase in salaries to be able to afford the increasing cost of living,” said Nicky Nauyuk, an IHA plumber and a bargaining member with the NEU and PSAC. The employer brought in replacement workers, which raised the ire of NEU president Jason Rochon.

“The Iqaluit Housing Authority should halt the use of scabs and come back to the bargaining table with a real mandate to negotiate better working conditions for the people who provide vital services to Iqaluit residents,” Rochon said. PSAC called on the federal government to

NUNAVUT EMPLOYEES UNION AGREEMENTS EXPIRING AFTER JULY 1, 2023:

-Pangnirtung Housing Association (Sept. 30, 2023)

-Hamlet of Whale Cove (Aug. 31, 2023)

-Hamlet of Arctic Bay (Dec. 31, 2023)

-Cambridge Bay Housing Association (March 31, 2024)

Source: Nunavut Employees Union

QEC, employees come to terms

Qulliq Energy Corporation (QEC) and the Nunavut Employees Union (NEU) signed a new collective agreement on Dec. 9.

The unionized workers of the Iqaluit Housing Authority have been picketing for larger wage increases and better working conditions since March 17. From left, Heela Kango, Keeny Enuaraq, Joanasie

introduce provisions in the Canadian Labour Code that limit the use of replacement workers.

Rochon added the IHA has “serious recruitment and retention issues” and employees are leaving to find other, better jobs in Iqaluit.

The Nunavut Housing Corporation declined to comment, other than to indicate that services will still be delivered to housing tenants in Iqaluit.

Federal workers sign new deal

The other strike affecting Nunavut was shorter-lived. Close to 600 federal workers in Nunavut, the Northwest Territories and Yukon joined nearly 155,000 of their Government of

Canada colleagues in going on strike as of April 19, which lasted until the first week of May.

Treasury Board and Canada Revenue Agency staff accepted a 12.6 per cent compounded wage increase over four years, retroactive to 2021, and a one-time pensionable payment of $2,500. Their last raise had come in June of 2020.

Based on an average Treasury Board worker’s salary of $67,305, the wage increase will result in an additional $23,000 over the four-year period, PSAC told its membership. It will also raise the average salary to $75,777 in 2024, according to the union.

The four-year deal gives more than 160 workers a nine per cent raise by 2024. There are also improvements to leave provisions and “operational enhancements,” according to the union.

The Nunavut Northern Allowance amount per community will be the same as in the NEU’s existing agreement with the territorial government.

NEU president Jason Rochon referred to the outcome as a “fair deal.”

The agreement, retroactive to Jan. 1, 2021, is in effect until Dec. 31, 2024.

Kinngait hamlet workers on the verge Employees with the Hamlet of Kinngait voted in early November to go on strike if they couldn’t reach adequate terms with the municipality. Efforts involving a mediator failed to help the parties arrive at a resolution.

Yet as of late May, unionized hamlet staff in Kinngait remained on the job, working without a contract since March 2020.

City of Yellowknife workers went on a strike in February that lasted five weeks. NNSL file photo

Kilabuk, Paul Gordon, Ken Braun (kneeling), Daniel Kolola, NEU President Jason Rochon and Tracy Curley. Trevor Wright/NNSL photo

By Derek Neary Northern News Services

Det’on Cho in acquisition mode

By Derek

The Det’on Cho Group of Companies, the economic development arm of the Yellowknives Dene First Nations, made several notable moves over the past year.

In February, Det’on Cho Management LP announced the acquisition of Kavanaugh Bros. Ltd., Yellowknife’s largest waste management company.

Det’on Cho purchased the Nunasi Building on 48 Street in Yellowknife as the company “continues to expand its commercial real estate management operations,” it stated in December.

Last October, Det’on Cho Management LP and subsidiary Det’on Cho We Le Dai LP, operators of the Vital Abel Boarding Home, announced that they had taken possession of

the former 31-room Slave Lake Inn on Franklin Avenue in Yellowknife. The purpose of the deal was to move boarding home services to the former hotel from the Vital Abel Boarding Home in Ndilo.

Also in October, Det’on Cho assumed 100 per cent interest in Det’on Cho Logistics, buying out partners Rudolph Swanepoel, Stu Impett and Matt Mossman — the latter two individuals were involved since the company’s founding in 2009.

There was also a change in senior management announced in April as Det’on Cho Management LP president and CEO John Henderson stepped down as of May 1. He was succeeded by Mark Lewis, who had been chief operating officer for the company.

Inuvialuit Corporate Group

The Inuvialuit Corporate Group (ICG) announced in February that it had acquired

Inuvik’s Mackenzie Hotel as of Dec. 16, 2022.

“The purchase of the hotel can be attributed to the exponential growth of the Inuvialuit Corporate Group over the years, with more plans to build and expand its infrastructure and revitalize our Northern economy by putting money back into Inuvialuit communities,” the ICG stated, adding that it was working toward opening the hotel’s restaurant. “The goal is to provide employment opportunities for Inuvialuit beneficiaries and residents and to provide a family-friendly establishment that can be enjoyed by all.”

Tlicho Investment Corporation

In its 2022 annual report, the Tlicho Investment Corporation (TIC) reported that 62 per cent of TIC staff were from the Tlicho region while 15 per cent were Northern Indigenous and 14 per cent were non-Indigenous Northerners compared to nine per cent of workers from the south.

The document contains highlights from the construction, motels, property management, engineering and environmental services, logistics, retail, power and road maintenance divisions.

Among the projects listed were completion of the Wekweeti Tlicho Government building, Tlicho Government staff housing phases

three and four, Tlicho Highway construction completed and the route opened, Highway 3 chip seal repair, winter road construction and an upgrade at North Arm park.

The real estate and property management section made note of 100 commercial and residential properties within its portfolio.

TIC chair Eddie Erasmus, a former Tlicho grand chief, passed away in July 2022. Ted Blondin has been serving as interim chair.

BDIC

The Business Development and Investment Corporation’s five subsidiaries collectively produced $593,000 in sales in 2021-22.

The five subsidiary companies sustained the equivalent of 6.8 full-time jobs and helped support 53 artists and crafts-makers.

Fort McPherson Tent and Canvas led the way with $396,000 in sales and provided four jobs. Acho Dene Native Crafts in Fort Liard was next at $94,000 in sales, then Dene Fur Clouds Ltd. in Fort Providence at $59,000 while Ulukhaktok Arts Centre reported $44,000 in sales.

The BDIC made contributions of $250,000 to Fort McPherson Tent and Canvas, $110,000 to Ulukhaktok Arts Centre, $100,000 to Dene Fur Clouds and $50,000 to Acho Dene Native Crafts in 2021-22 for a total of $510,000.

Printmaking at the Ulukhaktok Arts Centre, one of five subsidiaries of the NWT Business Development and Investment Corporation. Photo courtesy of the NWT Business Development and Investment Corporation

Det’on Cho Corporation finalized its purchase of the Nunasi Building on 48 Street in Yellowknife in November 2022. NNSL file photo

Neary Northern News Services

BDIC subsidiaries rack up $593,000 in sales;

62 per cent of Tlicho Investment Corp staff from within the region

Opportunities NORTH

Nasittuq retains $122-million contract

fact FILE

NUNAVUT DEVELOPMENT CORPORATIONS BY REGION

Qikiqtaaluk Corporation

Qikiqtani Industry Ltd.

Qikiqtaaluk Properties Inc.

Qikiqtani Retail Service Ltd.

Qikiqtaaluk Business Development Corporation

Aqsarniit Hotel and Conference Centre

Qikiqtaaluk Fisheries Corporation

QC Fisheries Division

Nunavut Nukkiksautiit Corporation

Panarctic Communications

Qikiqtani Resource Institute

Akiuq Corporation

Sikku Corporation

Qikiqtaaluk Environmental

Tulaktarvik Inc.

Nunasi Corporation

NCC Development Ltd.

NCC Properties Ltd.

Larga Baffin

Nunavut Sealink and Supply Inc.

Toromont Arctic Ltd.

Uqsuq Corporation

Nunavut Petroleum Corporation

Unaaq Fisheries Inc.

Sanaviallianiq Ltd.

QC-Canadian Helicopters

Northern Coalition Corporation

Nunavut Fisheries Association

Nunavut Fisheries Marine Training Consortium

Inuit Development Corporation Association

Northern Shrimp Research Foundation

Kitikmeot Corporation

Acasta Helicopters

BBE Expediting Ltd.

Geotech Drilling Services

Geotech Ekutak Ltd.

Hiqiniq Energy Corp.

Kitikmeot BBE Expediting

Kitikmeot Blasting Services

Kitikmeot Camp Solutions

Kitikmeot Cementation Mining and Development Ltd.

Kitikmeot Environmental Ltd.

Kitikmeot Region Properties Inc.

Kitikmeot Tire Mine Services Ltd.

Larga Kitikmeot Ltd.

Larga Ltd.

Medic North Nunavut Ltd.

Nasittuq Corporation

NCC Investment Group Inc.

Nuna Group of Companies

Nunami Stantec Ltd.

Nunasi Corporation

Nunavut Resources Corporation

Nunavut Sealink and Supply Inc.

Pan Arctic Inuit Logistics Corporation

Panarctic Lightering Ltd.

Qilak (logistics)

Tasiuq (logistics)

Top of the World Travel

Toromont Arctic Ltd.

Tundra Site Services North

West Kitikmeot Gold

Sakku Investments Corporation

Kivalliq Contractors Group

Qaaqtuq Dyno Nobel Inc.

Toromont CAT Arctic Ltd.

Kivalliq Tire Mine Service Ltd.

Sakku Enterprises Ltd.

Nunavut Sealink & Supply Inc.

Nunami Helicopter Transport Corporation

Kivalliq Development Corporation

Nunami Stantec Ltd.

Sakku Properties Ltd.

NCC Investment Group Inc.

Most Nunavut Development Corp companies profitable, raise revenues

Nasittuq Corporation retained a $122-million, eightyear support services contract last October for Canadian Armed Forces station Alert on Ellesmere Island.

Nasittuq, headquartered in Ottawa, has held the contract since 2012 and the latest iteration includes options for two additional four-year extensions. The military outpost is 817 km from the geographic North Pole.

Earlier in 2022, Nasittuq won a $592-million contract to operate and maintain 47 North Warning System sites in the Arctic and three facilities in Ontario.

Nasittuq is majority-owned by Inuit through Pan Arctic Inuit Logistics. It’s an Inuit-registered firm held by three shareholders: Nunasi Corporation has 51 per cent voting interest; Pan Arctic Inuit Logistics (PAIL) has 51 per cent equity interest; and ATCO Frontec

Ltd. (ATCO) has 49 per cent voting and equity interest. PAIL is owned by Inuit shareholder corporations Inuvialuit Development Corporation, Makivik Corporation, Nunatsiavut Group of Companies, Qikiqtaaluk Corporation, Sakku Investments Corporation and the Kitikmeot Corporation.

Nunavut Development Corp

The Nunavut Development Corporation (NDC) is in line for an anticipated $3.36 million in funding from the territorial government in 2023-24, which is on par with the past two years.

The corporation oversees eight subsidiaries in seven communities, which provide a source of income for some of the territory’s artists and harvesters.

Overall, NDC closed 2021-22 with $13.1 million in financial assets and a $15.3 million accumulated surplus, up from $14.3 million in 2021.

Carvings of inuksuk by Simon Oleekatalik and shaman by Eddie Oleekatalik. Inuit art makes up a significant portion of the business done by the Nunavut Development Corporation’s subsidiary companies. Photo courtesy of Nunavut Development Corporation

By Derek Neary Northern News Services Continued

Opportunities NORTH

Continued from page B15

Among its subsidary companies, Kivalliq Arctic Foods ($1.86 million), Kitikmeot Foods Ltd. ($993,594), Ivalu Ltd ($799,495), Jessie Oonark ($340,197), Kiluk Ltd. ($445,189) and Taluq Designs Ltd. ($293,396) all reported higher revenues year over year. However, not all were profitable. Kivalliq Arctic Foods ($361,014), Kiluk Ltd. ($103,393), Ivalu ($53,878) and Taluq Designs ($74,259) all finished in the black, as did Uqqurmiut Arts and Crafts Ltd., despite pulling in lower revenue ($865,519) than in 2021. Running deficits were Kitikmeot Foods (-$113,732), Jessie Oonark (-$15,835) and Papiruq Fisheries (-$11,994).

NDC’s sales division realized revenues of $820,000 in 2022, up from $400,000 in 2021. However, expenses were just over $1 million, leaving an annual deficit of $194,000.

Equity investments in 2021-22 went to Sudliq Developments Ltd. ($375,000), Arctic Fisheries Alliance LP ($250,000), Tukumaaq Inc. ($175,000), Arctic UAV Inc. ($143,000), NunaVet Animal Hospital Inc. ($126,500) and CHOU Consulting and Development Inc. ($125,000).

The development corporation supported a total of 161 jobs in 2022, a big jump from 85.4 jobs in 2021.

NDC states that it’s designed to “create employment and income opportunities, stimulate the growth of business and to promote the economic objectives of the Government of Nunavut.”

Sakku Investments Corporation

Sakku Investments Corp., the economic development arm of the of the Kivalliq Inuit Association, decided to go into the modular homes business in 2022, making plans for a 42,000-square-foot factory in Arviat that is expected to open in 2025.

The factory, estimated to cost $30 million to build, will employ 38 people. The goal is to produce 35 modular homes per year and to train an Inuit construction workforce, said Guillaume Guida, the company’s vice-president.

Qikiqtaaluk goes green

The federal government announced $4 million in funding in November to assist with the Qikiqtaaluk Corporation’s Iqaluit Nukkiksautiit renewable energy project, which is examining green energy via solar, wind or hydroelectric sources.

Qikiqtaaluk Corporation, the economic development arm of the Qikiktani Inuit Association (QIA), presented the QIA with a dividend cheque for $1 million in October 2021, bringing the dividend total up to $10.2 million since 2016. The organization’s 2021-22 annual report showed 1,062 jobs were supported through its efforts in 2021 with 387 of them being held by Inuit. Within the corporations’ wholly-owned companies, Inuit employment rises to 57 per cent.

Kitikmeot Corporation builds

The near completion of multi-use buildings in Kugaaruk and Taloyoak was highlighted in the September 2022 Kitikmeot Corporation’s president’s report. The Taloyoak site was chosen as a home for the Aboriginal Head Start. Two duplex builds began in Cambridge Bay during the fall. They will be used as housing for Kitikmeot Inuit Association staff. The old “lands office” in Kugluktuk was also undergoing major renovations.

A barge holds modular five-plexes on their way to Arviat from Quebec this summer, built to Nunavut Housing Corporation specifications and proving the viability of the Arviat factory, due for opening in 2025. Photo courtesy of Sakku Investments Corporation

$19 million for business support and economic diversification

BDIC to undergo transformation; GNWT and federal government provided $8.2 million in Covid relief in 2021-22

By

The Department of Industry, Tourism and Investment is putting nearly $19 million toward its economic diversification and business support programs in 2023-24.

Last year, the territorial government anticipated spending $17.9 million on these initiatives but wound up spending closer to $19.1 million.

Approximately $3.9 million will go into Support for Entrepreneur and Economic Development (SEED) in 2023-24, according to the territorial budget.

In 2021-22, SEED provided $4.2 million, down from $4.6 million the previous year.

Entrepreneur support under SEED in 2021-22 amounted to $1.57 million, community economic development received $632,977, micro-businesses took in $471,636, strategic investment was given $208,353, business intelligence and networking got $54,889 and $30,000 was handed out in sector support.

Between the federal and territorial governments, $8.2 million was put into Covid19 relief measures in 2021-22, much of it to help businesses stay afloat during an extraordinary period.

The GNWT has budgetted $1.6 million for Community Transfer Initiatives in 2023-24, which provides funding to economic development officers in communities.

Community Futures organizations in the territory will get $843,000 in 2023-24.

In 2021-22, $2.1 million was disbursed to Community Futures organizations collectively, when including funding for the employment of economic development officers. Western Arctic Business in Inuvik led the way with $613,487. The next largest sum, $438,039, went to the Deh Cho Business Development Centre. That was followed by $394,067 to the Sahtu Business Development Centre, $347,880 to Thebacha Business Development Services and $309,637 to Akaitcho Business Development.

Almost $1.3 million went to other communities to support economic development officers in 2021-22.

Sector support

Of the $26.1 million in grants and contributions that ITI made in 2021-22, tourism and parks was the sector to benefit the most at $10.7 million, then came business support agencies at $5.8 million, business and manufacturing support at $3.8 million, mining and petroleum resources at $2.9 million, agriculture and fisheries at nearly $1.8 million, traditional economy at $622,099 and community transfers and events at $389,408.

Regionally, the North Slave received the most funds ($6.9 million), followed by the Sahtu ($2.7 million), the South Slave ($2.67 million), the Dehcho ($2.3 million) and the Beaufort Delta ($2.25 million). Territorial organizations and initiatives took in $9.2 million.

Live long and Prosper?

The GNWT is updating the Northwest Territories Business Development and Investment Corporation Act (BDIC Act) “to enhance clarity and transparency and value-added supports to entrepreneurs and businesses.” It will also change the name of the act to the Prosper Northwest Territories Act and the BDIC will become known as Prosper NWT.

“The bill will also clarify when a corporation will be considered a subsidiary of Prosper NWT for the purposes of the act and will give the minister the authority to modify Prosper NWT’s non-financial support programs to better respond to emerging business needs,” the GNWT stated. “It will give Prosper NWT the power to provide NWT businesses with non-financial supports and assistance that are not part of established programs and continue to give Prosper NWT the authority to provide financial support to business enterprises and subsidiaries.”

Grants for Yellowknife businesses

At the end of May, the City of Yellowknife introduced the Covid-19 Business Recovery Grant for small- and medi-

um-sized enterprises. Applications opened June 12 for assistance of up to $10,000 from a $200,ooo pot. Eligible businesses can use the funds to attract and retain employees, modernize aspects of their operations and “build resilience,” according to the municipality BDIC backing

The NWT Business Development and Investment Corporation (BDIC) has a fresh $2.1 million contribution to work with from the GNWT in 2023-24.

In 2021-22, the BDIC issued close to $8 million in new loans with $3.8 million going to the North Slave, $2.1 million to the South Slave, $1.7 million to the Dehcho, $400,000 to the Beaufort Delta and $10,000 to the Sahtu.

Transportation and storage, accommodation and food service, real estate and rentals and retail trade were the sectors that accounted for the greatest loans.

As of 2021-22, with 15 new credit facilities approved that year, the corporation’s loan portfolio was valued at $50.6 million. The organization ended the 2022 fiscal year with a $825,000 surplus and an accumulated surplus of $35.1 million.

The BDIC directly supports 15 jobs.

Business

Development Bank of Canada

The Business Development Bank of Canada, which has an office in Yellowknife, offers small business loans, financing for larger projects and has business consultants on staff to provide advice. The agency is a federal Crown corporation that gears its services toward small to medium-sized ventures.

NWT Chamber of Commerce

The NWT Chamber of Commerce, which represents close to 110 member businesses, advocates for business and industry across the territory. Membership benefits include discounts through certain businesses and access to a group insurance plan. The NWT Chamber is a member of the Canadian Chamber of Commerce, which lobbies on behalf of close to 200,000 businesses nationwide.

GNWT SEED ALLOCATION BY ECONOMIC SECTOR IN 2021-22 (GREATER THAN 5%)

Construction — 12.5 per cent ($529,233)

Arts and crafts — 12 per cent ($506,856)

Accommodations and food services — 10.4 per cent ($438,995)

Retail trade — 9.5 per cent ($401,129)

Travel and tourism — 9 per cent ($378,906)

Entertainment and recreation — 8.5 per cent ($360,640)

Other services — 7.4 per cent ($310,593)

Public administration — 6.4 per cent ($270,026)

Approximately $3.9 million will go into Support for Entrepreneur and Economic Development (SEED) in 2023-24, according to the territorial budget. File photo

Derek Neary Northern News Services

Source: GNWT

Opportunities NORTH

Millions of dollars in Nunavut business assistance

Nunavut Business Credit Corp loan portfolio tops $13M; Kakivak Association celebrates 30 years of support

By Derek Neary Northern News Services

The territorial government has set aside $1.8 million for the Strategic Investments Program in 2023-24, the same amount allocated in 2022-23. This program provides support for start-up or expansion costs for businesses majority-owned by Nunavut residents, municipalities, not-for-profit corporations and societies.

The Small Business Development Program has a $823,000 budget in 2023-24, equal to the previous year. Those with less than $500,000 in gross sales or fewer than 10 employees are eligible to apply.

The Nunavut Business Credit Corporation (NBCC) has a fresh $900,000 at its disposal through the Government of Nunavut in 2023-24, the same as the previous two years.

The territorial corporation, which sustains six staff positions internally, provides financing to small- and medium-sized businesses. In 2021-22, the NBCC approved 12 new loans totalling

$3.1 million. It also recorded a surplus of $737,173, which led to an accumulated surplus of $180,962. That marked the first time that the organization had an accumulated surplus since 2007-08. The corporation was also granted a new $2-million legislated lending limit.

Of the $13.2 million in loans outstanding at the close of 2021-22, the NBCC had provided $7.7 million in financial support to Qikiqtaaluk ventures, $2.7 million to Kitikmeot enterprises and $2.4 million to Kivalliq initiatives.

At the end of 2021-22, the NBCC had 26 performing clients and 39 performing loans. There were seven non-performing clients and loans, which represented close to $2.8 million.

Broken down by industry, construction accounted for 31 per cent of NBCC’s loan portfolio as of the end of 2021-22. The service industry was next at 19 per cent, followed by hospitality at 12.4 per cent, retail at 12 per cent and transportation at 4.8 per cent.

Kakivak celebrates 30 years

The Kakivak Association marked its 30th anniversary in 2021-22. The economic development organization, based in

Iqaluit and serving the Qikiqtani region, distributed a record $15 million in funding in 2022, far exceeding the previous record of close to $8.25 million set in 2021. Covid-19 relief funding played a significant role during both years.

In a business development capacity, Kakivak provided $673,988 to 69 clients in 2022. The largest program was the Sivummut Grants to Small Business at $203,611. The Entrepreneurship and Business Development fund awarded $135,274, the Economic Opportunities Fund gave out $135,000, The Covid Business Relief fund provided $128,110, the Small Tools pot was worth $51,993 and $20,000 went out through the Business Capacity and Start-up Fund.

Much greater sums were invested through the Training and Employment division ($8.7 million) and the Childcare, Youth and Disability division ($7.5 million). There were 872 training participants in 2022 with $5.9 million worth of training and employment projects. Another $2.8 million went to supporting Inuit post-secondary education.

Continued on page B19

Construction accounted for 31 per cent of NBCC’s loan portfolio as of the end of 2021-22. Pixabay photo

Opportunities NORTH BUSINESS ASSISTANCE

Continued from page B18

While Kakivak hit $15 million in program spending, approximately $5.8 million was needed to cover operating expenses in 2022.

Kakivak finished 2022 with a total fund balance of $12.2 million, ahead of $11.8 million in 2021. The bulk of its funding comes from Employment and Social Development Canada ($14.3 million) with lesser amounts from Nunavut Tunngavik Inc. ($2.8 million), Indigenous Services Canada ($2.3 million), the Qikiqtani Inuit Association ($1.4 million) and The Canadian Northern Economic Development Agency ($520,235).

Sheila Kolola took over as Kakivak’s president and CEO in October 2022.

Community Futures crests $3 million

Kitikmeot Community Futures, which grants financial assistance to small- and medium-sized businesses, approved 10 loans worth a combined $1 million in 2021-22. That pushed the organization’s total loan portfolio to more than $3.3 million.

At 53 per cent, construction represented the largest sector among borrowers in 2021-22. Next came professional services (22 per cent); tourism (14 per cent); retail (10 per cent); and fisheries and wildlife (one per cent). Covid-19 relief funding for businesses were another major function for Kitikmeot Community Futures in 2021-22 with eight Regional Relief and Recovery Loan approvals worth $600,000 and six Emergency Loan Program approvals worth $240,000.

Grants and contributions

The Government of Nunavut’s 2021-22 grants and contribution doled out just over $500 million with 53.6 per cent going to territorial corporations, 10.7 per cent to individuals and 6.8 per cent to businesses. The remainder went to causes that were not business related.

The Baffin Business Development Centre in Iqaluit received $495,000 in funding through this

program in 2021-22 while Kitikmeot Community Futures and the Kivalliq Business Development Centre each got $330,000.

Chambers of commerce

The Baffin Regional Chamber of Commerce, the Kivalliq Chamber, the Kitikmeot Chamber and the Iqaluit Chamber lobby to improve conditions and policy on behalf of member businesses and help raise their profile. Through its 202122 grants and contributions, the GN provided $115,000 to the Baffin Regional Chamber of Commerce in program partnerships funding while the Kivalliq and Kitikmeot Chambers each received $90,000 and the Iqaluit Chamber took in $64,500.

Atuqtuarvik Corporation

Based in Rankin Inlet, Atuqtuarvik Corporation is an Inuit-owned investment firm that provides debt and equity financing to businesses, as well as counselling and support. It’s also a shareholder in the First Nations Bank of Canada.

Up to $3 million in financing can be arranged for qualifying clients. More than $189 million has been advanced since June 2000. Atuqtuarvik’s clients have included Canadrill, Jago Services, Umingmak Lodge, Arqvartuuq Services Ltd., Nunamiut Lodge, Huit Huit Tours, Leelie Enterprises, NunaVet Animal Hospital and Peter’s Expediting.

Nunavut Economic Developers Association

The Nunavut Economic Developers Association, headquartered in Iqaluit, exists as a resource for economic development officers seeking to broaden their knowledge and skills. The association took in $225,000 in funding from the Government of Nunavut in 2021-22.

Canada-Nunavut Business Service Centres

Canada-Nunavut Business Service Centres, established in partnership between Ottawa and the GN, exist in all three regions of Nunavut. They provide free information on pertinent government regulations, programs and services that may affect business.

Peter Ma, chief executive officer of Nunavut Business Credit Corporation attends the 2023 Kitikmeot Trade Show, speaking with Stuart and Amanda Rostant of CHOU Consulting and Development Inc., which supplies homes for the Arctic. Navalik Tologanak/NNSL photo

Sheila Kolola, Kakivak Association’s president and CEO, has been in her role since October 2022. Photo courtesy Kakivak Association

NWT reverses downward trend in wholesale trade

fact FILE

(UNADJUSTED)

January $22.5 million

February $29 million

March $38.1 million

April $32.8 million

May $31.9 million

June $36.1 million

July $36.8 million

August $36.8 million

September $36.7 million

October $35.1 million

November $38.1 million

December $29 million

$402.8 million in sales makes 2022 best year since 2019

By Derek Neary Northern

Services

The tide has finally turned for wholesale trade in the Northwest Territories with approximately $402.8 million in sales in 2022.

That marked a 41 per cent turnaround from $285.8 million in wholesale trade in 2021.

It was also a significant improvement over $350 million in wholesale activity in 2020.

Wholesalers typically supply bulk goods to retailers and other merchants.

Prior to 2022, the territory had experienced four consecutive years of decline in wholesale trade with 2018 being the high-water mark of $687.6 million.

The first quarter of 2023 brought continued brisk sales with $28.1 million reported in January, $37.8 million in February and a blistering $56.8 million in March. That marked the best result for a single month in the NWT since March 2019 when wholesale transactions totalled $66 million.

Despite the promising figures, Statistics Canada data shows that the sector only amounted to one per cent of the NWT’s gross domestic product in 2022. It has fallen gradually each year from 2.8 per cent in 2018, not keeping pace with the growth experienced in some other industries.

In Nunavut, where $202.1 million in wholesale trade was achieved in 2021, the sector’s performance became a mystery in 2022 as Statistics Canada suppressed the monthly data. The federal agency does this when figures are small enough among a limited number of producers that privacy may be breached.

However, Statistics Canda did reveal that wholesale activity slipped to 0.9 per cent of Nunavut’s gross domestic product in 2022, down from 1.14 per cent the previous year.

Wholesale trade jumped by 34 per cent in the NWT in 2022 following four straight years of decline. Pixabay photo

News

NWT MONTHLY WHOLESALE TRADE 2022

Source: NWT Bureau of Statistics

Opportunities NORTH COMMUNICATIONS

Competition intensifies to bring high-speed internet to Nunavut

Northwestel acknowledges low-earth satellite encroachment on customer base

By Derek Neary Northern

Nunavut’s quest for fibre optic internet has intensified, and while there are promising signs, there are also setbacks.

In late May, Premier P.J. Akeeagok vented his frustration over a lack of investment from the federal budget toward the Kivalliq Hydro-Fibre Link, which would bring high-speed internet and 150 megawatts of hydro-electric energy to the Kivalliq from Manitoba.

Earlier, at the Kivalliq Inuit Association’s meeting in Coral Harbour in February, the board passed a motion to prioritize the Indigenous Community Infrastructure Fund with support from Nunavut Tunngavik Inc. The fund supports regional infrastructure projects, including the Kivalliq Hydro-Fibre Link, which carried an estimated cost of $1.6 billion in 2020. But the project is billed as adding $3.2 billion to Canada’s gross domestic product during construction and $8 billion in revenues over five decades.

The Government of Canada did offer some financial backing in November 2022 when Northern Affairs Minister Dan Vandal came to Rankin Inlet to announce a $7 million investment to help advance the project. The government had previously committed $4.6 million for technical and feasibility studies.

Undersea and from space

The Government of Nunavut’s work toward bringing an

undersea fibre optic telecommunications line to the territory continues with $14.1 million set aside for 2023-24.

Private interests covet the same objective. In late March, CanArctic Inuit Networks, which is proposing a marine fibre-optic line known as SednaLink from Labrador to Iqaluit, announced a memorandum of understanding with Quintillion, an Alaska-based fibre network operator. The project is expected to get underway in 2024.

Then in late April, the Qikiqtaaluk Corporation’s Panarctic Communications signed a deal with Galaxy Broadband Communications to form InukNet Communications Inc. The new company aims to offer telecommunications service in all 25 Nunavut communities by the end of 2023, as well as some locations in the Northwest Territories and the Nunavik region of Quebec in 2024. Using low-Earth orbit satellite technology, InukNet promises “the fastest available internet in the North” without fees for data overages.

Meanwhile, more Northerners have been signing up for Elon Musk’s Starlink over the past several months and posting online about their experiences with the service, some positive, some less so.

Northwestel’s position

The North’s entrenched telecommunications company, Northwestel, which is owned by Bell Canada, acknowledges growing competition in Bell’s 2022 annual report.

“The launch by Canadian and international competitors

of low-earth orbit (LEO) satellites to provide connectivity, primarily in rural areas and the North, intensifies competition, which could adversely affect our network deployment strategy in such areas and negatively impact demand for our connectivity services,” the report states. “The ability of our subsidiary Northwestel Inc. (Northwestel), operating in Canada’s North, to respond to the competitive threat from these providers is further hampered by CRTC (Canadian Radio-television and Telecommunications Commission) retail internet regulations.”

In June 2022, the CRTC began the second phase of a review of Northwestel’s regulatory framework as well as the state of telecommunications services in Canada’s North.

“This proceeding may result in modifications to the current regulatory framework for Northwestel, including with respect to issues such as rates, wholesale access and subsidies,” Bell’s annual report reads. “Modifications to the current regulatory framework may result in additional subsidies and rate flexibility for Northwestel, which would encourage investment, or they may result in rate restrictions or additional wholesale obligations, which would undermine incentives for investment in the North. At this time, it is unclear what impact, if any, the results of the proceeding could have on our business and financial results.”

Northwestel, which has more than 500 employees, serves 96 communities in Nunavut, the Northwest Territories, Yukon, northern B.C. and High Level, Alta.

Rick Hodgkinson, left, founder and CEO of Galaxy Broadband, and Qikiqtaaluk Corporation president and CEO Harry Flaherty announce the founding of InukNet Communications on April 27. Photo courtesy Galaxy Broadband

News Services

Nearly $2.9 million from GNWT for arts and film

Canada Council for the Arts chips in $427,000; film rebate budget expands

By Derek Neary Northern News Services

The territorial government invests closes to $2.9 million in the arts sector annually.

The NWT Arts Council has a $700,000 budget. Contributions to arts and crafts through Support for Entrepreneurs and Economic Development (SEED) varies from year to year but, in its various forms, it totals close to $1 million. There’s $470,000 for operational funding to various arts organizations through the Arts Organizations Operating Fund. The Cultural Organizations fund offers up to $433,000 in total for organizations that develop and promote arts and culture. Regional arts and crafts funding is set at $250,000. Support to Northern Performers amounts to $101,000. Another $100,000 is dedicated to the marketing and promoting of NWT artists and artwork.

The NWT Arts Council’s grant program aided 84 projects in 11 communities in the 2022-23 fiscal year.

Under the Arts Organizations Operating Fund, which is offered through the Department of Education, Culture and Employment, 14 organizations split $460,000 in 2022-23. The single largest amount went to the Northern Arts and Cultural Centre at $165,000.

Support to Northern Performers helped 17 applicants in 2022-23, with Folk on the Rocks and MusicNWT receiving the largest sums at $10,000 apiece.

Canada Council for the Arts

The Canada Council for the Arts provided $427,000 in funding to NWT artists and organizations in 202122, down 20.7 per cent from $538,400 the previous year. Grants to four organizations, at $299,400 collectively, represented the lion’s share of the funding while $127,500 went to eight artists. The remaining $11,500 was disbursed to other programs and activities. At $157,400, media arts was the category that received the largest share.

Film funding

The NWT Film Commission’s Film Industry Rebate

Program will operate with an estimated $300,000 in 2023-24, up from $100,000 over the past two years. The rebate program awarded two successful applicants a total of $100,200 in 2021-22. Alberta Forest Road Productions Inc. made use of the majority of that: $75,200 for production costs of the short film Cold Road. The program is intended to entice filmmakers to shoot in the NWT by offering 25 to 40 per cent cash rebates for items such as travel, the purchase of goods and services and wages and training provided to local residents. The incentives are higher for locations outside of Yellowknife.

The Producers Incentive Pilot Program has an annual budget of $100,000 to invest in NWT producers by providing support at the pre-development and development stages of a project. This support “incentivizes and empowers NWT production companies to develop professional quality, commercial-ready projects for presentation to broadcasters, co-producers, and other financiers,” according to the NWT Film Commission. Seven projects were funded in 2022-23.

Under the Support for Film umbrella, the territorial government also offers up to $25,000 per year to support special partnerships, up to $20,000 annually toward “commercial media productions,” up to $15,000 per year to cover costs relating to marketing and promotion and up to $5,000 a year for costs associated with pitching or creating trailers for small productions.

As well, self-employed NWT film producers can apply for funding as entrepreneurs under the Support for Entrepreneurs and Economic Development (SEED) Program. Ten applicants received SEED funding toward film projects in 2022-23.

The NWT Film Commission and Northwest Territories Professional Media Association, in partnership with other organizations and national broadcasters, helped launch the Northern Canada Producer Accelerator

program in 2022. It features educational sessions and one-on-one mentorship with industry professionals. Six NWT producers were selected for the inaugural program.

2022 highlights

Among the notable developments in the NWT film industry in 2023-23 were the telefilm feature film Cold Road, written and directed by Dene film producer Kelvin Redvers, being filmed in Hay River in March 2022.

The ABC Television drama Alaska Daily, staring Hilary Swank, filmed in Dettah and Yellowknife in September and November 2022. Members of the Yellowknives Dene First Nation assisted in the production.

The ITV series Alone Season 1 (United Kingdom version) filmed in Fort Providence from August to October 2022. The Deh Gah Got’ie First Nation helped advise in the production.

The red carpet was rolled out for the 4th Annual Liidlii Kue Film Festival in Fort Simpson in February 2023. Months earlier, the 16th Annual Yellowknife International Film Festival took place in early November. Photo courtesy of ITI

This image released by ABC shows Hilary Swank in a scene from “Alaska Daily.” The show filmed scenes in Yellowknife and Dettah on two occasions in 2022. (Darko Sikman/ABC via AP)

Opportunities NORTH ARTS

Canada Council for the Arts injects $1.2 million

Nunavut Film Development Corporation calculates economic development impact from contributions

By Derek

The Canada Council for the Arts doled out $1.2 million to Nunavummiut artists and arts organizations in 2021-22, but that was a 42.9 per cent reduction from $2.1 million in financial support a year earlier.

Six arts organizations took in $833,000, a dozen artists made use of $372,400 and one arts group benefitted from $19,800. Indigenous arts was, by far, the largest category with $986,000 in assistance from the council.

Under the Department of Culture and Heritage, the Government of Nunavut has set aside $325,000 for arts initiatives in 2023-24. The revised estimate for 202223 in that purpose came in at $300,000.

The territorial government also supports the arts and crafts subsidiaries through the Nunavut Development Corporation. Pangnirtung’s Uqqurmiut Arts and Crafts store will get $238,000 in 2023-24, the sales division in Ontario that markets and sells Inuit art will make use of $200,000, the Jessie Oonark retail outlet in Baker Lake will receive $165,000, Kiluk retail and production in Arviat is in line for $140,000 and Taluq Designs in Taloyoak has $70,000 coming its way.

The GN has also earmarked $93,000 for the National Arts Centre in Ottawa, which periodically hosts Inuit performing arts.

Grants and contributions

Numerous Nunavut artists and arts organizations benefit from GN grants and contributions each year. In 2021-22, $195,000 went to Alianait Entertainment Group for multiple initiatives.

Aakuluk Music Incorporated made use

of $68,000 in Community Tourism and Cultural Industries program funding.

Artcirq divided $60,000 among four events.

Nuvu Music put $55,000 toward album production and the recording of a CD.

The Unaaq Cultural Society devoted its $40,000 in contributions from the government to an Inuktitut music song book and music promotion training in the Inuit language.

Hitmakerz geared $24,000 in funding assistance toward album production.

Film support

The Nunavut Film Development Corporation will receive $1.1 million in GN funding toward the Nunavut Film, Television and New Media program in 2023-24, the same as last year.

In 2021-22, the corporation took in $985,000 for the Nunavut Film, Television and New Media program, $376,000 for program partnerships funding and $200,000 in core funding.

The agency calculated that of its $1.26 million in funding contributions in 202122, each dollar generated $7.04 spent in Nunavut and $10.22 of total spend.

It also noted that 88 per cent of funding recipients were Nunavut Inuit and 86 per cent of the projects funded under the Nunavut Spend Incentive Program were created in Inuktut, supporting 253 jobs for Nunavut Inuit and the projects were shot in five communities in the territory.

The largest single contribution was $350,000 through the Nunavut Spend Incentive Program, which was approved for a 10-part comedy series titled ‘People,’ by One for My Peeps Inc.

Two feature films — Slash/Back and The Shaman’s Apprentice — were released in 2021-22.

A look inside the Kenojuak Cultural Centre and Print Shop in Kinngait. NNSL file photo

Anaana’s Tent is a popular children’s television show in Nunavut. Image courtesy of Taqqut Productions

Neary Northern News Services

NTPC power sales generate $110.2 million

But expenses overtook revenue

By Derek Neary Northern News Services

The NWT Power Corporation (NTPC) sold $110.2 million worth of power in 2021-22, a slight increase over $109.5 million a year earlier.

for

NWT

Power

Corp.; power rates proposed to rise

Total income in 2021-22 equated to $114.8 million but that wasn’t enough to overtake expenses, which rose to $120.7 million. Expenses from 2020-21 were only $111.7 million. The items that became more costly over the year were thermal generation (an additional $5.9 million), hydro generation

NTPC RESIDENTIAL POWER RATES AS OF APRIL 1 (PER KILOWATT HOUR)

Thermal zone (Aklavik, Colville Lake, Deline, Fort Good Hope, Fort Liard, Fort McPherson, Fort Simpson, Gameti, Inuvik, Jean Marie River, Lutsel K’e, Nahanni Butte, Paulatuk, Sachs Harbour, Tsiigehtchic, Tuktoyaktuk, Tulita, Ulukhaktok, Whati, Wrigley)

Customer pays: 31.08 cents

Actual cost: 70.16 cents

Additional kWh (over 600) between April 1 and Aug. 31: 70.16 cents, plus an NWT stabilization rate rider of 0.9 cents

Norman Wells

Customer pays: 31.08 cents

Actual cost: 54.84 cents

Additional kWh (over 600) between April 1 and Aug. 31: 54.84 cents, plus an NWT stabilization rate rider of 0.9 cents

Behchoko/Dettah

Customer pays: 31.08 cents

Actual cost: 35.92 cents

Additional kWh (over 600) between April 1 and Aug. 31: 35.92 cents, plus an NWT stabilization rate rider of 0.7 cents

Fort Resolution/Fort Smith

Customer pays: 24.52 cents, plus an NWT stabilization rider of 0.99 cents

Actual cost: 24.52 cents

Additional kWh (over 600): 24.52 cents, plus an NWT stabilization rider of 0.99 cents

Source: NWT Power Corporation

NORTHLAND UTILITIES POWER RATES AS OF MAY 1

Yellowknife

23.72 cents/kWh (residential)

Hay River/Enterprise (hydro zone)

32.42 cents/kWh (residential)

Wekweeti/Sambaa K’e/Ft. Providence/Dory Point/Kakisa (thermal zone)

84.15 cents/kWh (residential) — the GNWT’s rate equalization program is applicable to nongovernment residential and general service customers in this zone.

Source: Northland Utilities

($2.1 million extra) and purchased power ($1.1 million more). Diesel prices began rising in the fourth quarter of 2021-22 and remained elevated in 2022-23.

Government contributions in 2021-22 amounted to $25.7 million and that made all the difference in pushing NTPC into the black by $19.7 million instead of what would have been an annual deficit of approximately $6 million based on operations.

The power corporation closed out 2021-22 with an accumulated surplus of $183.6 million.

NTPC, a Crown corporation belonging to the territorial government, provides work for more than 200 employees.

Hydro use rises

Hydro accounted for 76 per cent of NTPC’s generated power in 2021-22, surpassing the 74 per cent recorded the previous year. Diesel was next at 17 per cent, then natural gas at four per cent. Three per cent of power was purchased from elsewhere. Renewable sources of energy were so negligible that they ranked as zero per cent in NTPC’s annual report. However, it’s anticipated that the 3.5 megawatt Inuvik Wind project will reduce costly diesel use by three million litres per year.

The power corporation generated 211 tonnes of carbon dioxide equivalent per gigawatt hour in 2022, up from 174 tonnes in 2021.

Outages

NTPC customers experienced, on average, 12.77 outages in 2022, far higher than the Canadian average. NTPC recorded 10.44 outages per customer in 2021.

However, the average NTPC outage lasted 25 minutes in 2021 compared to the Canadian average of two hours and 18 minutes.

Half of the power corporation’s power outages were due to issues with generation, 40 per cent were due to transmission and 10 per cent related to distribution.

All told, NTPC customers endured four hours and 25 minutes of outages in 2021 while customers elsewhere in Canada put up with five hours and 34 minutes without power.

Assets

In providing power to more than 43,000 residents in 26 NWT communities, NTPC manages $450 million in assets, including 26 diesel plants, three hydro-electric systems, five solar arrays, one battery storage system and a natural gas plant. Total generating capacity is 133 megawatts. This is delivered via 565 km of transmission lines and 375 km of distribution lines running across 9,790 power poles.

Rate hikes

In its March 2022 general rate application, NTPC proposed that rates in the Snare and Thermal zones increase by 2.5 per cent in

each of 2022-2023 and 2023-24. In Norman Wells and the Taltson zone, NTPC proposed that rates increase by 10 per cent in each of the two years.

Following public consultations and an assessment by the NWT Public Utilities Board (PUB), non-government, residential rate increases were adjusted, and approved, as follows:

Snare zone: 3.2 per cent

Taltson zone: 4.4 per cent

Thermal zone: 3.1 per cent

Norman Wells: 4.4 per cent

Hay River switch

The Town of Hay River, after several years of negotiations, made a formal application in March to switch power distribution to NTPC from Northland Utilities. NTPC — once it purchases approximately $10.7 million in assets, should regulatory approval be granted — has proposed 18 per cent monthly reductions in power rates for customers who use 1,000 kilowatt hours of power per month. It would put Hay River on equal footing with customers in Fort Resolution and Fort Smith.

Taltson overhaul

In February, NTPC announced that it would begin upgrading the 18 megawatt Taltson hydro-electric facility in April, a project that is expected to cost up to $70 million. The work is anticipated to take six months, which means customers in Fort Smith, Fort Resolution, Hay River, K’atl’odeeche First Nation and Enterprise will be served by diesel generators while Taltson, built in 1965, is temporarily out of commission. With the turbine, generator and other components replaced, the Taltson facility, located 64 km north of Fort Smith, should provide hydro power for another 40 to 50 years.

New plants in Lutsel K’e, Sachs Harbour

A new diesel plant officially opened in Lutsel K’e in January. The new plant replaces one that had reached the end of its service life, having powered the community for several decades. The modern infrastructure is designed to provide more reliable service, reduce greenhouse gas emissions associated with electricity generation by approximately 100 tonnes annually, and allow for the future addition of renewables to the local energy system. Final costs for the plant are expected to be approximately $14.9 million. The project received more than $8.7 million in funding from the Government of Canada through the Investing in Canada Infrastructure Program (ICIP).

A new power plant is under construction in Sachs Harbour. It’s expected to be in use by summer 2024.

A 5.2 megawatt Mirrlees engine at the Jackfish diesel power plant in Yellowknife. The plant was seldom needed in 2021-22 as hydro provided 99.2 per cent of the city’s power. NNSL file photo

Opportunities NORTH POWER

QEC introduces standardized rates across Nunavut

Power sales rise to $135.5 million; record high reliability achieved

in Baker Lake opened in April 2023 at a cost of close to $17.2 million.

March 31. Any subsequent usage exceeding the subsidy limit will be billed at full cost.

Qulliq Energy Corporation achieved power sales totalling $135.5 million in 2022-23, up from $130.9 million the previous year.

Of that total 2022-23 total, $72.3 million was generated in the Qikiqtaaluk, $35.6 million was sold in the Kivalliq and $27.6 million came from the Kitikmeot.

Total revenue added up to $146 million, which was $9.4 million more than $136.6 million in expenses. Fuel and lubricants were the most costly expense at $48.9 million, up from $47.1 million a year earlier.

QEC committed to purchasing 54.5 million litres of fuel in 2022-23. That was followed by labour at $38.5 million and supplies and services at $28.8 million, among other items.

QEC had an accumulated surplus of $156 million as of the end of 2021-22.

Capital expenditures in 2021-22 totalled $48.7 million. That figure dropped to $21.6 million in 2022-23. The new QEC head office

In 2021-22, QEC’s board of directors prioritized new power plants for Cambridge Bay, Gjoa Haven and Iglulik, as well as a generator upgrade in Iqaluit. New power plants for Chesterfield Inlet and Kugaaruk are also in the queue.

New rate structure

The Government of Nunavut adopted uniform rates for Qulliq Energy Corporation (QEC) customers as of Oct. 1, 2022. It means that customers in the same rate class pay the same amount no matter where they live in the territory, courtesy of a greater subsidy from the Government of Nunavut.

Non-government residential rates are 62 cents per kilowatt hour.

Under Nunavut’s Electricity Subsidy Program, all non-government residential customers pay 50 per cent of the Iqaluit rate (31 cents per kilowatt hour) on energy usage up to 700 kilowatt hours from April 1 to Sept. 30 and 1,000 kilowatt hours from Oct. 1 to

Non-government commercial rates are 51 cents per kilowatt hour.

Governmental residential rates are 93 cents per kilowatt hour.

Government commercial rates are 87 cents per kilowatt hour.

Customers in all categories realized a decrease in prices except commercial power users in Iqaluit, who saw their rates rise by five per cent, or $52 per month on average.

QEC described the new rate structure as “more equitable for customers.”

A territorial government corporation, Qulliq operates 25 diesel power plants that have a total capacity of close to 76 megawatts. Approximately 15,000 customers rely on QEC as the territory’s only provider of electricity.

Record reliability

Qulliq achieved a 99.98 per cent reliability rate in 2021-22, a new benchmark for that metric. There were just 3.32 power outages

on average per customer in 2021-22 compared to 6.9 outages in 2020-21. The average length of outages also fell, from 5.67 hours in 2020-21 to 1.92 hours in 2021-22.

Employment targets

As of March 31, 2023, QEC’s Inuit employment targets showed 105 of 184 filled positions were Inuit staff, which was 57 per cent. There were 36 vacant roles at the time. The Government of Nunavut has long striven to reach 85 per cent representative Inuit employment.

Cyberattack

A cyber-security attack against Qulliq Energy Corp. in January caused chaos.

The corporation was temporarily unable to access its data, email, and billing and payroll systems. Customers’ meter readings for January had to be estimated.

Distruptions to customers were resolved after a few weeks. An investigation into the incident involving the government’s in-house expertise, the RCMP and other cyber specialists was carried out over multiple months.

Qulliq achieved a 99.98 per cent reliability rate in 2021-22, a new all-time high. Photo courtesy of Qulliq Energy Corporation

By Derek Neary Northern News Services

Opportunities NORTH CONSTRUCTION

Building permit values tumble in NWT

18.6 per cent reduction to $77.3 million in 2022

By Derek Neary Northern News Services

Building permits fell 18.6 per cent in value in the Northwest Territories in 2022.

There was $77.3 million worth of construction last year compared to $95 million in 2021.

Residential construction, at $56.3 million, made up the bulk of activity last year. The next most valuable permits were commercial builds at $13.9 million. Institutional and governmental construction came next at $5.6 million. Industrial projects represented a meagre $1.5 million.

Although the value of construction permits fell, the industry represented 7.52 per cent of the NWT’s gross domestic product in 2022, an increase from 6.46 per cent the previous year.

Heavy lifts

Among the major projects on the go in 2023-24, the Inuvik Airport runway extension will get $20 million from the territorial government.

Pre-construction of the Taltson expansion initiative has $6.8 million in funds set aside.

Tuktoyaktuk’s Mangilaluk School is undergoing a $30-million renovation and major addition that will increase the educational facility’s floor space to 42,130 square feet from 28,223 square feet. When the Inuvialuit Development Corporation completes the work in 2024, the school will boast a new 5,748-square-foot gymnasium and a standalone career and technology studies (CTS) building. A library, kitchen, culture room and high school lounge are also being installed.

In Yellowknife, Clark Builders, the contractor whose bid was chosen by the municipal government, has moved into year two of construction of a $67.7-million, 61,580-square-foot aquatic centre, which is projected to open in September 2024.

Housing builds, fixes

Housing NWT has a budget of $35.6 million to build a few dozen new units and retrofit scores of others in 2023-24. The agency accounts for 10.8 per cent of the territorial govern-

ment’s 2023-24 capital budget, putting it just behind Health and Social Services (11 per cent) and Infrastructure (59.5 per cent) as the top three departments for capital expenditures.

The cost to building a housing unit in the NWT ranges from approximately $400,000 to $1 million.

Labour shortage

The GNWT has identified labour shortages in “key NWT industries” as an obstacle. Those industries are construction, health care and education.

In the legislative assembly in February, the minister of Education, Culture and Employment said work was underway to find other government departments that would take on more apprentices through the Schools North Apprenticeship Program (SNAP), which had only 24 students and 14 apprentices, primarily in the North Slave region. Private employers, particularly smaller ones, can encounter difficulty taking on apprentices, the minister acknowledged, so broadening efforts within the government is part of the plan.

The cultural centre in Behchoko has taken shape after a few years of construction with Tlicho Community Builders having the lead on the 16,189-square-foot project. Photo courtesy of the Tlicho Investment Corporation and its group of companies

$92.9 million in construction in Nunavut in 2022

360 new homes to be built in 2023-24; government promotes apprenticeships

By Derek Neary Northern News Services

The value of building permits in Nunavut tallied up to $92.9 million in 2022, a 12 per cent reduction from $105.6 million in 2021.

Residential building projects led the way at $55.4 million. Commercial builds were calculated at $19.3 million. Industrial construction came in at $11.6 million. Institutional and governmental initiatives amounted to $6.6 million.

Construction accounted for 6.35 per cent of Nunavut’s gross domestic product in 2022, down slightly from 6.53 per cent in 2021.

There were approximately 860 people who worked in the territory’s construction industry last year.

Construction managers in Nunavut earn a median hourly wage of $47.27, according to the Canada Job Bank. That’s considerably higher than the overall median wage of $36.

Housing blitz begins

The Nunavut Housing Corporation (NHC) announced in late April that it plans to build 150 public housing units in the territory in 2023-24. There will also be close to 100 affordable housing units, at least 46 market homes in Iqaluit and staff housing units built. The

total will be in the range of 360 new homes over the course of this fiscal year. The government is partnering with NCC Development Ltd. to build the 150 public housing units and to train a larger local workforce in the industry. The price per square foot for the 132 homes outside of Iqaluit was negotiated at approximately $600 per square foot.

Rising construction costs have posed challenges. Bids to erect public housing units averaged $894,000 in 2021, a substantial increase from $610,000 in 2020. In 2016, it was closer to $400,000 per unit.

“This steep increase in bid price reflects the high cost of building in the North, a shortage of developable land, limited market competition as well as the impact of Covid on supply chains and the ability of skilled labour to visit remote worksites,” the Government of Nunavut stated in its 2023-24 budget indicators summary.

Through Nunavut 3000 — or Igluliuqatigiingniq in Inuktitut — the territorial government has created an ambitious plan to construct 3,000 new residences by 2030. The funding to accomplish that objective has yet to be arranged, however.

At $110.5 million, the Nunavut

Housing Corporation has the largest capital budget among the territorial government’s departments for 2023-24. It’s followed by Community and Government Services at $103.5 million.

Other major projects

In March, Pilitak Enterprises Ltd. was awarded a $36.7-million contract to build new airport terminals in Naujaat, Whale Cove and Chesterfield Inlet.

The territorial government has set aside $15.5 million for continued work on the Nunavut Recovery Centre in Iqaluit in 2023-24. The project carries an overall budget of $26.7 million.

The 24-bed long-term care centre in Rankin Inlet has $12 million approved for its third year of major construction. The facility is expected to open in 2024. Also in Rankin Inlet, work is ongoing to expand the airport. A 53,000-square-foot terminal and renovations to the existing two-storey, 10,000-square-foot passenger building are part of the undertaking. It will cost upwards of $50 million, with the majority coming from the federal government.

In Sanikiluaq, Mikim Construction is building a $15.8-million, 7,642-square-foot hamlet office. It

With a shortage of skilled labour, the Government of Nunavut has been encouraging Nunavummiut to consider trades apprenticeships as a career path. NNSL file photo

replaces an office complex and hotel that was badly damaged in a 2020 windstorm. The community also has a 14-bed women’s and children’s shelter being built that is expected to open in 2024.

A 37,943-square-foot high school with a daycare is expected to start construction in Taloyoak soon. Major renovations and an addition at Sakku School in Coral Harbour, major renovations to the school in Arctic Bay and an addition to Ecole des TroisSoleils in Iqaluit are also on the books for this year.

Promoting apprenticeships

The Government of Nunavut also noted that its been promoting appren-

ticeships through Nunavut Arctic College and the Department of Family Services in response to shortages of skilled labour.

In 2021, Nunavut’s apprentices numbered 159, a 3.9 per cent increase from 2020. There were 30 heavy-duty mechanic apprentices, 24 electrician apprentices, 21 carpenter apprentices, 15 in plumbing and nine in automotive services.

“Despite the recent growth in apprenticeships, it is important to note the current total is well below the 2010 peak of 255—and Nunavut lags the other two territories considerably (546 in Yukon and 339 in NWT),” the GN stated.

Iqaluit, Rankin Inlet flights on the rise

Canadian North sets stage to reduce service; Arctic Fresh Projects launches routes

By Derek Neary Northern News Services

Flight activity in Iqaluit was on the upswing in 2022 with approximately 17,494 take offs and landings.

That’s an increase of 7.4 per cent from the 16,292 aircraft movements recorded in 2021. The airline industry appears to be edging closer to the 18,711 take offs and landings logged in the Nunavut capital in 2019, prior to the Covid-19 pandemic.

A continued rebound was also evident in Rankin Inlet, where approximately 11,243 take offs and landings occurred in 2022, a 6.8 per cent improvement on 10,523 aircraft movements a year earlier. The 2022 figure is not far removed from the 11,828 take offs and landings that happened in Rankin Inlet in 2019, before the pandemic.

Statistics Canada does not have full data for all of the territory’s airports.

Canadian North terms cause alarm

In April, the Government of Canada permitted Canadian North to cut service to Northern communities, including Nunavut, in light of financial difficulties, but the government made the airline commit to retaining at least one flight per week to each community. Some of Nunavut’s 25 communities are not served by other airlines, although they were prior to the merger between Canadian North and First Air in 2019.

The terms of the new agreement also allow the airline to increase fares and cargo rates by up to 25 per cent each year.

Nunavut Senator Dennis Patterson and Nunavut MP Lori Idlout were both critical of the development.

“People across Nunavut and the Northwest

Territories are rightfully concerned about the cost of travel in the North,” Idlout stated. “After speaking with the company and expressing my concerns, I’m hopeful that Northerners won’t see an increase in their costs, but I will continue to keep a close eye to ensure prices and services are fair.”

If passenger loads on any route reach 85 per cent or more for six straight months, Canadian North will be required to adjust its schedule accordingly.

Another component of the deal limits the airline to a 10 per cent profit margin, although its routes for Edmonton-Yellowknife and Montreal-Kuujjuaq, Que., are exempt.

However, the federal government is allowing Canadian North to recover past losses over three years.

The Makivik Corporation in Nunavik and the Inuvialuit Development Group in the Beaufort

Delta region of the Northwest Territories own Canadian North.

Arctic Fresh Projects expands

While Canadian North was setting the stage to reduce service, a smaller airline in Nunavut has been adding communities under its banner. Arctic Fresh Projects, a division of Iglulik-based Arctic Fresh, which has food market and construction arms, started off its aviation venture by offering flights between Sanikiluaq and Iqaluit in 2022. It then began Iqaluit-Iglulik and Iqaluit-Clyde River routes in January 2023.

The Arctic Fresh Projects fleet comprises two PC-12s, which can each seat up to nine passengers, and one Beechcraft 1900D that carries up to 19 customers.

The company’s director of sales and operations alluded to the possibility of expanding into more communities and adding cargo service.

Aircraft movements at the Iqaluit airport were up 7.4 per cent in 2022 while Rankin Inlet saw 6.8 per cent more take offs and landings last year. Photo courtesy of Canadian Helicopters/Ryan Longacre

Flights, passengers climb in the NWT

fact FILE

TOTAL AIRPORT PASSENGERS 2022

Yellowknife 446,777 (244,979 in 2021)

Hay River 15,658 (10,859 in 2021)

Norman Wells 38,346 (43,264 in 2021)

Inuvik 60,842 (46,000 in 2021)

Fort Smith 15,348 (8,391 in 2021)

Fort Simpson 38,115 (37,156)

YELLOWKNIFE AIRPORT REVENUES 2021-22

Yellowknife bucks trend in aircraft movements

By Derek

There were 81,117 aircraft movements in the Northwest Territories in 2022, a 28 per cent climb over 63,406 take offs and landings in 2021, according to Statistics Canada. The federal data agency does not include every NWT airport when tabulating those figures, however. The numbers are based on airports in the territory with NAV Canada services and other selected airports.

Flight activity in the capital city tapered off between 2021 and 2022, however. There were 41,927 take offs and landings in Yellowknife in 2022, a four per cent decline from 43,677 aircraft movements in 2021. Yet passenger numbers at the city’s airport boomed to 446,777, according to the Department of Infrastructure. That would mark an 82.4 per cent rebound over 244,979 passengers in 2021. It indicates fuller flights as the airline industry recovers from Covid-19.

In Inuvik, there were approximately 8,978 aircraft movements in 2022, a 15.7 per cent

jump from 7,757 take offs and landings in 2021.

Aircraft movements plummeted in Norman Wells, where there were 6,663 in 2022 compared to 11,972 the previous year. The Sahtu hub, it should be noted, had numerous holes in its record-keeping last year. There were several months when certain categories had no reporting. Based on other months of the year from those particular categories — if consistent — there may be 100-130 aircraft movements unaccounted for, which would only make a minor dent in the 44.3 per cent drop based on known figures.

The GNWT has budgetted $18 million specifically for territorial airport operations in 2023-24 after spending $17.2 million a year earlier. Among the Department of Infrastructure’s capital projects this year, $20 million will go toward the runway extension at the Inuvik Airport.

Flights cut, flights added

Canadian North announced in late April that it would cease Tuesday and Friday fights to Norman Wells. This news came a couple of days after the federal government granted

Lease/rental: $2,293,509

Landing and other fees: $4,093,631 (landing, terminal and apron parking)

Concession: $134,818

Total: $6,521,958

the airline permission to make alterations to its schedule due to business hardships. NWT Industry, Tourism and Investment Minister

Caroline Wawzonek expressed her disappointment over this development on social media.

“Would be great for the federal Transport minister to come back to the NWT and see the challenge this creates for residents who are air travel dependent in the five Sahtu communities, not to mention huge impacts to tourism operators who are now left scrambling. Makes it hard to celebrate Tourism Week,” she wrote.

A few weeks later, Wawzonek put together a more upbeat post after representatives of the airline met with her, other senior government officials and delegates from NWT Tourism.

“I now know (Canadian North) are working diligently to minimize the impacts of route changes and we have discussed areas of shared

Source: Department of Infrastructure

priorities for federal engagement,” she stated. “I hope to see positive progress in the North’s air industry over in the medium term.”

The Inuvialuit Development Group in the NWT’s Beaufort Delta region and the Makivik Corporation in Nunavik, Que., jointly own Canadian North.

In May, Air Canada revealed that it would offer non-stop flights between Yellowknife and Toronto three days per week year-round, beginning in December.

In January, Air Canada stated that its Yellowknife to Edmonton route would resume in June, flights that were cut the previous October. While there was no mention of an Air Canada Yellowknife to Calgary route returning after it was cancelled in November, Canadian North filled that void, alongside the already established WestJet, in February.

Neary Northern News Services

Although there was more aircraft activity in the NWT in 2022 compared to 2021, take offs and landings at the Yellowknife Airport were down modestly last year. Derek Neary/NNSL photo

Opportunities NORTH ROADS

$107.2 million for NWT highway operations

$82.8 million worth of capital projects planned for 2023-24 in Northwest Territories; study underway to connect Kivalliq communities by road

By Derek Neary Northern News Services

The Department of Infrastructure has $107.2 million earmarked for highway operations this year, up from $104.9 million last year. There’s also $82.8 million set aside for capital projects, such as bridge and culvert construction.

Highway reconstruction and rehabilitation projects on the books for 2023-24 are:

Highway 1 – Mackenzie Highway and Mackenzie Valley winter road construction of Prohibition Creek access road (PCAR), phase one (km 0–6.7, starting at Canyon Creek bridge and going south). Work began November 2022, expected to be complete by October 2023.

Highway 1 – Mackenzie Highway

Rehabilitation work, including embankment widening and drainage improvement (km 222234). Work began September 2021, expected to be complete by August 2023.

Highway 2 – Hay River Highway Chipseal overlay (km 0-48). Work to begin June 2023, expected to be complete by September 2023.

Highway 3 – Yellowknife Highway

Highway surface repairs at selected sections (km 240-332). Work to begin June 2023, expected to be complete by September 2023.

Highway 4 – Ingraham Trail

Highway repairs and rehabilitation, including repairing dips, embankment widening, culvert replacement and chipseal (km 54-59). Work began in May 2021, expected to be com-

plete by August 2023.

Highway 4 – Ingraham Trail Chipseal overlay (km 0-59). Work to begin June 2023, expected to be complete by September 2023.

Highway 5 – Fort Smith Highway Chipseal overlay (km 211-266). Work to begin June 2023, expected to be complete by September 2023.

Highway 7 – Liard Highway

Rehabilitation work, including embankment widening, aggregate production, ROW clearing, ditching, culvert replacement, subbase, base and SAST (km 19-34). Work began November 2021, expected to be complete by August 2023.

Highway 8 – Dempster Highway

Reconstruction, (km 242-245). Work to begin June 2023, expected to be complete by September 2023.

Highway 10 – Inuvik to Tuktoyaktuk Highway

Reconstruction, including washboard and soft shoulder rehabilitation and raising of low-profile sections (km 27-29, 30-32, and 68-72). Work to begin June 2023, expected to be complete by September 2023.

Dettah access road

Chipseal overlay (km 0-6). Work to begin June 2023, expected to be complete by September 2023.

Whati access road Rehabilitation work, including embankment widening and culvert replacement, phase two (km 0-12). Work began May 2023, expected to be complete by September 2025.

Liard access road

Improvements, including resurfacing and chipseal (km 0-5). Work to begin November 2023, expected to be complete by August 2024.

Dehcho Bridge

Catwalk replacement (km 24) of Highway 3. Work to begin in summer 2023 and be complete by winter 2023.

Redknife River Bridge

Culverts (3) - replacement with bridge — funding by De Beers — (km 295). Start date TBD, expected to be complete by summer 2025. Bridge culvert replacement at km 680 of Highway 1. Work to start and end during summer 2023.

Bridge culvert replacement at km 176 of Highway 7. Work gets underway this year, expected to be complete in 2024.

Bridge culvert replacement at km 187 of Highway 7. Work to begin in summer 2023, expected to be complete by fall 2023.

Federal contributions

Although the Department of Infrastructure does not provide budget details for individual road projects, there are initiatives under the National Trade Corridor Fund in 2023-24 with dollar figures attached:

-Mackenzie Valley Highway environmental assessment and planning: $7.7 million

-Slave Geological Province access corridor: $7 million

-Great Bear River Bridge: $2.2 million

-Mount Gaudet access road: $366,000

Electric gears up

The GNWT is putting $1 million towards what’s known as the Electric Vehicles Fast Char-

ger Corridor in 2023-24 as well as $200,00 for the Electric Vehicles Rebate Program. The fast charger corridor runs between Yellowknife and the Alberta border.

The territorial government also has $6.2 million designated for winter roads in 2023-24.

The Tibbitt to Contwoyto winter road, which stretches almost 400 km and is operated by a joint venture among the diamond mines, shut down for the season on April 4. The director of winter road operations said 6,557 loads of supplies were delivered to the mines in 2023, down from 7,295 loads in 2022.

Kivalliq road proposal

In Nunavut, there remains talk of connecting some Kivalliq communities via roads. Economic and Transportation Minister David Akeeagok again raised that prospect in the legislative assembly on March 8, stating that his department awarded a contract to an engineering consultant to prepare a report on all-season road connections between Arviat, Whale Cove, Rankin Inlet, Chesterfield Inlet and Baker Lake. The study is expected to come up with cost estimates and provide details on design, economic analysis, regulatory groundwork and community consultations.

“Although the geography, population, and economy of this part of the Kivalliq region are very promising for road construction, we still do not have sufficient information to say whether building road connections between these five communities would be a good investment,” Akeeagok said. “This project will provide the answers we are looking for and could help build the case for major capital funding.”

Chipseal work is set to take place along highways 2, 4 and 5 as well as the Dettah and Liard access roads in 2023. Photo courtesy of the GNWT Department of Infrastructure

MTS finishes in the red for second year

Airlift to Sachs Harbour adds to operating losses; 18,478 tonnes of deck cargo delivered in 2022

By Derek Neary Northern News Services

A division of the Department of Infrastructure, Marine Transportation Services (MTS) brought in $41 million in revenue in 2022, up from $27.4 million the previous year, according to the GNWT’s budget.

Expenses for fuel sales, delivery costs, and shipyard and terminal operations also climbed, reaching $39 million in 2022-23, considerably higher than the $25.8 million expended in 2021-22.

When other expenses are added to the mix — such as staff compensation, insurance, administration, amortization and utilities and interest — MTS finished the year with annual operating losses of $7.1 million, exceeding the $5.8 million in losses recorded in 2021-22, the territorial government’s budget shows. However, there’s an extraordinary expense that wasn’t yet fully reflected in the MTS budget.

A barge that was destined for Sachs Harbour was cancelled on Oct. 13 due to high winds. Consequently, the GNWT or-

ganized a two-part airlift to deliver the deck cargo, gasoline, diesel and jet fuel that never arrived in the community via marine transport.

“The airlift operation has resulted in additional expenditures outside of what was contemplated in the 2022 MTS budget. The fuel portion of the airlift operation will not be complete until approximately mid-May. MTS expects to know the full costs of the operation by June 2023 after the airlift is complete and final invoices are received,” the Department of Infrastructure stated in early May, adding that residents will not be paying for the additional costs of this operation.

MTS will have an operating and general expenditures budget of $32.1 million for the 2023-24 fiscal year. That revolving fund has an authorized limit of $35 million.

During the 2022 shipping season, the operation delivered fuel and cargo to nine NWT communities, one Nunavut community and two fishing lodges on Great Slave Lake. A total of 18,478 revenue tonnes of deck cargo was delivered. MTS used industry contractors to transfer millions of litres of fuel to Inuvik, Tuktoyaktuk, and Norman Wells in 2022.

MTS

Northwest Passage traffic continues to

climb 184 vessels transit storied waterway in 2022

By Derek Neary Northern News Services

The pace of shipping activity in the Northwest Passage ramped up in 2022, reaching 184 vessels, according to the Canadian Coast Guard.

That comes on the heels of 150 vessels in 2021, marking a 22.7 per cent increase year over year. There were 111 ships in 2020.

The most common type of ship in 2022 was bulk carriers, which numbered 40, essentially on par with the year before when there were 39.

Twenty-four pleasure craft also cruised through the passage.

There were 21 general cargo vessels, 18 fishing boats, 17 passenger ships, 15 tugs, 13 research vessels and 12 tankers and several icebreakers among the traffic in the far Northern channel.

Sealift

In 2023, Nunavut Eastern Arctic Shipping (NEAS) has six cargo vessels sailing from the Port of Becancour, Que. NEAS is majority-owned by Nunavut-based Inuit businesses. Competitor Nunavut Sealink and Supply Inc. (NSSI) has 10 cargo vessels based in the ports of Sainte-Catherine, Que., Becancour, Que., and Valleyfield, Que. NSSI and Taqramut Transport Inc. (TTI) carry cargo to Nunavik and Nunavut. The venture is planning more than 30 resupply trips in 2023, which will include services for private and commercial customers.

With offices in Quebec and Iqaluit, NSSI is a joint-venture between Arctic Cooperatives Ltd., Desgagnes Transarctik Inc., Qikiqtaaluk Corporation, Sakku Investments Corporation and Kitikmeot Corporation.

A Marine Transportation Services barge at Shingle Point, northwest of Inuvik. Photo courtesy of the Department of Infrastructure

The Nunavut Eastern Arctic Shipping (NEAS) vessels Mitiq and Qamutik. The company has six cargo vessels sailing from the Port of Becancour, Que. Photo courtesy of NEAS/Frank Reardon

The government operation also delivered approximately 3.3 million litres of fuel to 19 coastal North Warning System radar sites in Yukon, NWT and Nunavut on behalf of the Department of National Defence.

creates jobs for 10 GNWT staff and numerous contractor employees.

Mineral exploration spending drops in both territories

NWT experiences 6% decline in 2023; 27.6% in Nunavut

By Derek Neary Northern News Services

Spending intentions for mineral exploration in the Northwest Territories registered at $74.8 million for 2023, down six per cent from $79.6 million in 2022.

Junior companies are positioned to vastly outspend their senior counterparts in the NWT in 2023: $63.6 million compared to $11.2 million.

Precious metals are the most sought-after commodity in the NWT at $30.4 million. Diamonds rank second at $22.1 million. Base metals are third at $21.4 million.

In the Northwest Territories, 177 mineral claims were recorded or were pending in 2022 while eight claims were cancelled.

Ninety-nine leases were allowed to lapse, overshadowing the 83 new leases that were registered.

In Nunavut, companies reported that they were prepared to put up $171.7 million for exploration and the appraisal of deposits. That’s a 27.6 per cent reduction from $237.2 million the year before.

The opposite effect from the NWT is occurring in Nunavut with senior companies leading the way at $119.3 million compared to $52.3 million among juniors.

Precious metals, primarily gold, is what

spurs most exploration in Nunavut at $198.8 million. Base metals amount to $21.8 million. The search for uranium, iron and diamonds each attract less than $10 million in investment.

In addition to the $1.5 million devoted to the Mining Incentive Program in 2023-24, the GNWT provides $100,000 in funding to the Indigenous Mineral Development Support Program, $80,000 for NWT prospector training and the NWT Chamber of Mines gets $55,000 toward its operations.

In Nunavut, as of November 2022, 80 mineral claims covering 82,857 hectares were issued. Overall, a total of 2,507 mineral claims were on the books, up from 2,373 in 2021.

There were 88 prospecting permits granted in 2022 compared to 112 in 2021.

And the 568 leases that existed in 2022 were equivalent to the number registered in 2021.

The Government of Nunavut has earmarked $1.9 million for the Mineral Exploration Support Program in 2023-24, on par with the amount that provided the previous year. The Nunavut Mine Training Program carries on with $200,000 in territorial funding. In addition, the Nunavut Prospectors Program will again receive $150,000 for this fiscal year. The Nunavut Geoscience Program remains funded at $450,000.

fact FILE

THIS IS HOW THE $1.3 MILLION THROUGH THE MINING INCENTIVE PROGRAM WAS DISBURSED AMONG CORPORATE AND INDIVIDUAL PROSPECTOR APPLICANTS IN 2022-23:

Arctic Star Exploration (diamonds, North Slave) — $168,000

Fireweed Zinc (zinc, Gwich’in-Sahtu) — $132,000

Gold Terra (gold, North Slave, Campbell Shear) — $132,000

Gold Terra (gold, North Slave, Nib North) — $60,642

Golden Planet (gold, North Slave) — $129,344

Kennady Diamonds (diamonds, North Slave) — $136,800

NICAN Resources (nickel, South Slave) — $67,879

Nighthawk Gold (gold, North Slave) — $124,800

Redbed Resources (copper, Dehcho) — $136,800

StrategX Elements (cobalt, North Slave) — $120,000

Voyageur Exploration (rare earth elements, North Slave) — $22,349

Danny Yakeleya (gold, Sahtu) — $17,500

Dave Nickerson (uranium, North Slave) — $6,840

Dave Webb (gold, North Slave) — $11,690

Jared Suchan (diamonds, North Slave) — $20,000

Ryan Bachynski (rare earth elements, North Slave) — $15,784

The Government of the Northwest Territories has $1.5 million devoted to the Mining Incentive Program, which aids prospectors, while the Government of Nunavut has $150,000 set aside for the Nunavut Prospectors Program and another $1.9 million earmarked for the Mineral Exploration Support Program. Pixabay photo

Gold ramps up, diamonds change hands, rare earths hit roadblock

An overview of operating mines in the NWT and Nunavut

By Derek

Below is a summary of developments from operating mines in the NWT and Nunavut.

NWT Gahcho Kue

Owner: De Beers Canada (51 per cent) and Mountain Province

Diamonds (49 per cent)

Resource: Diamonds

Location: 280 km northeast of Yellowknife

Update: Mountain Province Diamonds sold 961,024 carats to bring in $128.7 million during quarter one of 2023, marking the highest quarterly revenue in the history of the company.

Mountain Province yielded 1.3 million carats at Gahcho Kue during Q1, an 11 per cent improvement over the first quarter of 2022, the company stated on April 13. The average grade was 1.72 carats per tonne, which marked a three per cent increase compared to the first three months last year.

For the 2022 full year, the company reported total sales revenue of $388.9 million, a significant increase from $298.3 million recorded in 2021.

Also among its 2022 highlights, Mountain Province alluded to “a significant discovery beside and connected to the Hearne open pit that has potential to transition Gahcho Kue to an underground producer, and potentially increasing mine life.”

Senior partner De Beers does not publicly report its recoveries or sales figures.

Diavik

Owner: Rio Tinto

Resource: Diamonds

Location: 300 km northeast of Yellowknife

Update: Rio Tinto extracted 954,000 carats at Diavik during

the first quarter of 2023. That figure was down 28 per cent from the final quarter of 2022 and retreated by four per cent compared to the first quarter of 2022.

With 2022 marking the first full year of 100 per cent Rio Tinto ownership of Diavik — after taking over the 40 per cent previously held by Dominion Diamond Mines in November 2021 — Rio Tinto realized 4.65 million carats recovered in 2022.

In February, the global mining giant announced that it had approved a $40-million investment to proceed with underground mining of Diavik’s A21 pipe, below the existing A21 open pit. During the first phase of underground mining of Diavik’s A21 pipe, an additional 1.4 million carats of rough diamonds are expected to be delivered.

Diavik is now expected to end commercial production in the first quarter of 2026 instead of in 2025.

“Rio Tinto’s decision to support the underground development of the A21 pipe was prefaced on compelling industry fundamentals,” stated Sinead Kaufman, chief executive of Rio Tinto’s minerals portfolio. “Our proven capacity is to safely develop diamond mines in extreme conditions and a track record in competing successfully in the global diamond industry. This is good news for our employees, partners, suppliers and local communities in the Northwest Territories.”

Since mining began at the site in 2003, Diavik has produced more than 100 million carats of diamonds.

Ekati

Owner: Arctic Canadian Diamond Company

Resource: Diamonds

Location: 310 km northeast of Yellowknife

Update: Australia’s Burgundy Diamond Mines Ltd. announced in March its intentions to purchase the Ekati diamond mine from Arctic Canadian Diamond Company for approximately

$186 million.

Rio Tinto extracted 954,000 carats at the Diavik mine during the first quarter of 2023. NNSL file photo

Ekati generated revenue of (US)$494 million based on the sale of 4.2 million carats of diamonds in 2022.

The mine, with a workforce of close to 1,100, has probable ore reserves of 26.1 million carats.

Arctic Canadian Diamond Company acquired Ekati in February 2021 after Dominion Diamonds filed for insolvency protection in April 2020. Prior to that, the Washington Companies, a private entity, purchased Ekati for (US)$1.2 billion in November 2017.

The site has been in production since October 1998. The mine life is currently projected to run until 2028, however, ongoing exploration could extend that.

Burgundy’s CEO is Kim Truter, who was formerly the CEO of De Beers Canada, making him familiar with the NWT mining scene. He also has past experience as a senior manger with Rio Tinto.

The prospective new Ekati owner stated that its immediate strategy will consist of “optimizing Ekati’s current mine performance and extending mine life through, among other things, underwater remote mining, assessment of the Jay deposit and Fox Underground opportunities, and systematic exploration using newly applied machine learning (artificial intelligence) technology, capturing incremental margins along the diamond value chain by cutting and polishing coloured Ekati diamonds at Burgundy’s commercial facilities in Perth (Australia) and leveraging collaborative sales and agreements with international jewelers.”

Nechalacho

Owner: Avalon Advanced Materials

Resource: Rare earths

Location: 100 km southeast of Yellowknife

Update: The rare earths processing facility under construction in Saskatoon that is intended to intake ore from the Nechalacho mine was halted in April as Vital Metals, parent company to operator Cheetah Resources, announced that it would spend three months seeking other sources of funding to potentially build a sustainable business model for the facility.

Future mining, shipping and processing from the mine’s North T zone, as planned, “will not achieve positive cashflow from the project,” Vital Metals stated in a news release.

The Saskatoon plant is approximately half built and has cost the company close to $20 million so far.

Richard Crookes, Vital’s interim chairman, said low rare earth prices and increased costs have been taking a toll, weaking markets.

“There is no economic imperative to complete this demonstration project at the current time, however, the Saskatoon processing facility can provide valuable intermediate processing capacity for a downstream rare earth hub in Saskatchewan,” Crookes stated in a news release. “North America needs independent downstream processing to further enable the transition to the green economy and Vital is looking forward to working with like-minded parties to deliver a completed project.”

NUNAVUT Mary River

Owner: Baffinland Iron Mines

Resource: Iron

Location: 160 km south of Pond Inlet

Status: Baffinland Iron Mines Corp. is seeking to maintain a shipping limit of six million tonnes of iron ore per year rather than having to revert to its former 4.2 million tonne cap at Milne Inlet, which was in effect prior to 2018. Without such approval, the company stated that scaled back operations will translate into job losses at the Mary River mine.

Baffinland is looking for a recommendation from the Nunavut Impact Review Board on this matter by August.

The company’s bid for a production and shipping increase to 12 million tonnes through its phase two expansion proposal was rejected by Northern Affairs Minister Dan Vandal in November 2022 due to environmental and socio-economic concerns. Baffinland has since abandoned its proposal for a 110-km railway to Milne Inlet and is rekindling the idea of a previously approved 149-km railway railway south to Steensby Inlet. However, the latter project is estimated to cost five times more,

so the company is looking for financial backing. The project certificate for the Steensby site permits the shipping of 18 million tonnes of iron ore per year. The company has stated that its objective is to eventually reach 30 million tonnes annually.

Meliadine

Owner: Agnico Eagle Mines

Resource: Gold

Location: 25 km north of Rankin Inlet

Status: At Meliadine, the expectation is to extract up to 375,000 ounces of gold this year. The first quarter saw 90,467 ounces produced. The cash cost to mine each ounce was $937, making it 12.6 per cent higher than the $832 average among Agnico Eagle’s dozen operating mines globally. The company is proposing to expand Meliadine by developing the Tiriganiaq-Wolf underground deposit and going underground at the Pump, Fzone and Discovery zones. The initiative is projected to extend the mine life at Meliadine to 2043, an additional 11 years. It would entail an additional 225 camp rooms for staff, a new airstrip, a wind farm and disposal of tailings and waste rock in a designated pit and a wind farm. Exploration plans at Meliadine in 2023 will cost $16.6 million to pay for 63,200 metres of drilling at the Tiriganiaq, Pump, Normeg, Wesmeg and F-Zone deposits and to further development of the exploration drift.

Amaruq

Owner: Agnico Eagle Mines

Resource: Gold

Location: 160 km northwest of Baker Lake

Status: The objective for the Meadowbank Complex in 2023, where gold from the Amaruq deposit is processed, is to produce just over 400,000 ounces, a significant increase from 275,000 ounces in 2022. The first quarter of this year resulted in 111,110 ounces mined. The cash cost per ounce produced was $1,134, the highest among all of Angico Eagle’s 12 operating mines around the world.

Agnico Eagle expects to spend approximately $15.1 million in 2023 to do 40,000 metres of drilling at Amaruq underground deposits and at near-surface satellite deposits close to the road and infrastructure around the Meliadine and Meadowbank/ Amaruq operations. Any new discoveries at open-pit depths have the potential to extend the life of each mine in conjunction

with the extensions of higher-grade underground mineralization at each site, according to the company.

Hope Bay

Owner: Agnico Eagle Mines

Resource: Gold

Location: 125 km southwest of Cambridge Bay

Status: The Doris North gold mine at Hope Bay was not in production in 2022 and it’s looking doubtful that mining will resume in 2023.

Agnico Eagle has been concentrating on exploration in the area. This year will entail $30.6 million worth of work to complete 72,200 metres of drilling, including 30,800 metres of underground exploration drilling at the Doris deposit in hopes of adding to the existing mineral reserves. Surface drilling is also planned at the nearby Madrid deposit.

Martin Plante, the company’s vice-president of Nunavut operations, wouldn’t put a date on when gold production will resume at Hope Bay.

“We need a sufficient volume (of gold) to make that project sustainable,” he said. “Our goal is not to start and shut down again. We want to come with a project that will be opening for a longer-term and for the benefit of the Kitikmeot region.”

A welder works at Baffinland’s Mary River mine. The mining company is seeking to extend its licence to ship six million tonnes of iron ore per year with plans for a railway to Steensby Inlet to the south. Photo courtesy of Baffinland Iron Mines

Neary Northern News Services

Nunavut tourism in rebound mode

Cruise ship passengers number 3,000 in 2022; mentorship and training programs offered to businesses

By Derek Neary Northern News Services

The tourism industry has been in a gradual rebound from the Covid-19 pandemic.

Travel Nunavut, a not-for-profit membership association that encourages tourism development, has roughly 140 tourism operators as members. Approximately 75 per cent of them are based in Nunavut and 69 of them are Inuit-owned businesses.

A total of 3,011 cruise ship passengers visited the territory in 2022. That represented the start of a promising recovery from 3,400 cruise passengers in 2018 and 4,219 passengers in 2019, prior to the pandemic. In 2019, there were 47 community visits to 17 Nunavut communities by cruise ships. That brought an economic impact of $848,000 just among the cruise operators, who paid to access tours, performances and logistics support for their passengers, according to the Department of Economic Development and Transportation (ED&T).

Cruise ships were not permitted in Nunavut’s Arctic waters in 2021 due risks associated with Covid19. The Government of Nunavut (GN) stated that it expects “to see improvement in the following years” in cruise ship traffic.

Community Tourism and Cultural Industries will have $1.3 million to work with through GN funding in 2023-24, which matches the amount

Cruise ship passengers numbered just over 3,000 in Nunavut in 2022. That’s not too far from 3,400 cruise passengers that visited the territory in 2018, but there’s a ways to go to reach the 4,200 passengers who came in 2019, prior to the pandemic. Photo courtesy of the Department of Economic Development and Transportation

granted a year earlier. The territorial government also provides $1 million to Travel Nunavut under a partnership agreement.

To help develop and market Nunavut attractions, ED&T is also responsible for Destination Nunavut, the territory’s designated marketing organization and part of the Tourism and Cultural Industries Division.

In addition, $89,000 will go to the Visitors Centre Program in 202324, the same amount designated in 2022-23.

ED&T stated that tourism businesses can also be supported through

the Small Business Support Program (SBSP) and Strategic Investment Program (SIP), if they meet eligibility requirements. This is application-based and varies from year to year. ED&T also offers mentorship opportunities for those in the tourism industry. The department was inviting applications from tourism business owners and operators up until June 10 for participation in an Inuit Tourism Business Mentorship Program. Five applicants would be accepted for mentorships lasting four to six months and involving up to 10 days of “dedicated project

time” through in-person and virtual sessions.

“This program supports tourism business owners in Nunavut to leverage their skills, knowledge, and professional capacity to grow their businesses,” the department stated.

Another training program is the Inuit Cruise Internship Program, where 12 Inuit can receive an introduction to working aboard a cruise ship.

Additionally, the department provides training to communities — hamlets, artists, and various businesses — to prepare them to maximise benefits from cruise ship visits. The program is called Cruise Ready! and is delivered to two communities a year, based on demand.

Revenue losses among Nunavut tourism operators ranged between 70 and 90 per cent in 2020-21 amid the pandemic, according to the Department of Economic Development. An estimated 74 per cent of Nunavut tourism operators temporarily shut down their ventures, 61 per cent laid off staff and 12 per cent went out of business permanently. By comparison, during surging tourism in 2018, prior to the pandemic, the GN estimated that visitor spending reached $476 million between April and September. There were 141,900 visits to the territory at that time, including business, leisure or travel for other personal purposes, including Nunavummiut visiting other communities.

The spectacular Northern lights are an attraction that winter tourists are eager to see in Nunavut. Photo courtesy of Alexander Pissuk

Hunting for treasure among the rocks

Exploration presses ahead in the NWT and Nunavut

By Derek Neary Northern News Services

Here are updates on the progress that active exploration companies are making in attempting to uncover the next big metal and mineral finds in the NWT and Nunavut.

NWT

Colomac Gold

Owner: Nighthawk Gold Corp.

Resource: Gold

Location: 200 km north of Yellowknife

Status: Nighthawk Gold’s preliminary economic assessment (PEA) for the Colomac Gold Project envisions average annual gold production of 290,000 ounces for 11.2 years. The cost to build the mine is pegged at $654 million but the study estimates that the open-pit project, located on a 930 square km property, could pay for itself after two years.

“Only a handful of gold projects in the world (owned by junior gold companies) have similar favourable economics,” said Nighthawk Gold president and CEO Keyvan Salehi. “As such, we believe our project belongs in this rare class of global gold assets and that there is runway for the project to continue to grow as we start exploring for other meaningful deposits across our massive greenstone property.”

Released on April 26, the PEA suggests the potential for $1.2 billion after-tax net present value at a five per cent discount rate, based on a gold price of $1,600 per ounce. The after-tax internal rate of return is estimated at 35 per cent. However, the study is based on inferred resources that are considered “speculative geologically” and “there is no certainty that the PEA will be realized,” Nighthawk acknowledged.

The company announced in March that it’s planning 20,000 to 25,000 metres of exploration drilling in 2023.

Yellowknife City Gold

Owner: Gold Terra Resource Corp.

Resource: Gold

Location: 10 km northeast of Yellowknife

Status: Gold Terra began a deep drilling program on April 17 in hopes of expanding on the Con Mine Option property’s 109,000 ounces of indicated gold and 432,000 ounces of inferred gold, all underground. The initial hole in 2023 will be more than 2,000 metres below the surface. The company has negotiated the rights to acquire the site from subsidiaries of gold miner Newmont Corporation, if certain conditions are met.

The adjacent Yellowknife City Gold Project, which Gold Terra fully owns, boasts an inferred 1.2 million ounces of gold.

Pine Point

Owner: Osisko Metals

Resource: Lead, zinc

Location: 42 km east of Hay River

Status: Osisko is planning to undertake a feasibility study for Pine Point by the middle of this year following winter/ spring drilling that wrapped up in April.

In early April, Osisko announced an arrangement in its joint venture with London, England-based Appian Capital Advisory LLP, which will provide just over $75 million over the next four years. Appian has the option of investing up to $100 million to acquire 60 per cent interest in the Pine Point mining venture. The Pine Point mine could produce 329 million pounds of zinc and 141 million pounds of lead per year over its 12-year mine life, according to an updated preliminary economic assessment (PEA) that Osisko Metals released in 2022. The estimated cost to build the mine is $653.3 million, while the overall gross revenue from the project is pegged at $5.6 billion, after royalties.

DeStaffany

Owner: North Arrow Minerals

Resource: Lithium

Location: Approximately 115 km east of Yellowknife, on the shore of Great Slave Lake

Status: North Arrow Minerals has turned its focus to this 18.4 square km lithium property, which is 18 km northeast of the Nechalacho rare earth mine. DeStaffany has two two known pegmatites — Moose 1 and Moose 2 — that bear lithium-tantalum-niobium, with some historical assessment completed, according to the company. On April 24, North Arrow announced its intention to raise up to $2 million through the stock market, the bulk of which would be used to explore DeStaffany.

Kennady North

Owner: Mountain Province Diamonds/Kennady Diamonds

Resource: Diamonds

Location: 280 km northeast of Yellowknife

Status: Following its 2022 summer exploration program, consisting of more than 5,000 metres of drilling, Mountain Province Diamonds announced that it discovered a new kimberlite area at the 1,130 square km Kennady North project. Twenty-five of 35 exploration drillholes intersected kimberlite, the company stated, noting that the new kimberlite site appears to be “new and distinct” from the nearby Kelvin deposit. Mountain Province indicated that it plans to resume drilling in 2023. The Kelvin kimberlite contains an indicated 13.6 million carats while the Faraday 2 kimberlite contains an estimated 5.45 million carats.

Mon

Owner: Sixty North Gold Mining

Resource: Gold

Location: 40 km north of Yellowknife

Status: The company has mobilized equipment and supplies in anticipation of mining beginning this spring. Crews were expected to be on site as of May. Of particular interest is a vein that previously produced 30 grams of gold per tonne.

“Stopes will be developed and some of the gold-bearing quartz vein will be extracted and stockpiled on surface,” Sixty North stated in January.

“The company has always believed that restarting the Mon mine and extracting gold from the high-grade quartz veins is the best way to deliver value to shareholders,” said president and CEO Dave Webb. “All of the gold mines in Yellowknife, the Con, Giant, and Discovery mines started at 100 (tonnes per day) to 235 (tonnes per day) and allowed production to grow as reserves were developed. Over 14 million ounces of gold at grades greater than 15 (grams of gold per tonne) were produced in this manner. Investing many millions of dollars in exploration may not be the wisest plan when operations can commence mining for less than $10 million.”

Prairie Creek

Owner: NorZinc

Resource: Zinc, lead, silver

Location: 90 km northwest of Nahanni Butte

Status: NorZinc completed construction of the first phase of its all-season access road to the Prairie Creek mine, the company announced on April 20. The full route runs 170 km from Highway 7 and will “ultimately consist of a five-metre wide, single lane road to support the resupply of the Prairie Creek Mine and for concentrate transportation,” the company stated.

Last December, an entity known as RCF VI CAD LLC acquired Norzinc.

NICO

Owner: Fortune Minerals

Resource: Gold, bismuth, cobalt, copper

Location: 50 km northeast of Whati

Status: Unable to outright afford the $5.5-million purchase of a former steel fabrication plant located on 77 acres outside of Edmonton, Fortune Minerals in December once again extended its option to purchase the site for use as a hydrometallurgical refinery. Fortune is paying the land owner $15,000 per month for keeping the door open to a possible deal. In March, Fortune revealed that it raised $552,465 through the stock market and that the Wek’eezhiı Land and Water Board renewed the company’s land use permit for five years.

Muskox

Owner: Gama Explorations

Resource: Lithium

Location: 40 km east of Yellowknife

Status: Gama Explorations is moving ahead with the first phase of its exploration program involving a lidar and orthophoto survey planned for May; prospecting, mapping, and channel sampling slated for June; and drilling planned for July/August. The company recently completed $6 million in financing.

The Muskox property spans 50 square km in the centre of the Yellowknife Pegmatite Province.

“We believe that the Muskox project is highly prospective and the detailed groundwork during phase one will put our technical team in a strong position to delineate high-quality drill targets,” said Gama CEO Mick Carew on April 24.

Diagras

Owner: Arctic Star Exploration/Margaret Lake Diamonds

Resource: Diamonds

Location: 22 km northeast of Diavik diamond mine

Status: After completing delineation drilling in 2022, Arctic Star Exploration announced in December that caustic fusion results from a 1.65 tonne of HQ split core from the Sequoia kimberlite complex at the Diagras joint venture project showed that the microdiamonds continue to be predominantly white and clear. Variations in diamond counts “reflect variations in grade from various rock types and areas in the complex,” the company stated.

Astro

Owner: Orogen Royalties

Resource: Gold

Location: Along the Canol Road, near the Yukon border

Status: Rackla Metals Inc., which is a partner and operator at the 288-square-km Astro gold project, announced in April that it has a permit for a drill program at Astro and has agreements in place for a camp management contractor (Archer Cathro and Associates Ltd.), an airborne geophysical contractor (Precision GeoSurveys Inc.) and a diamond drill contractor (Superior Diamond Drilling Inc.) for its 2023 exploration program.

O’Connor Lake

Resource: Zinc, lead

Owner: Slave Lake Zinc Corp.

Location: 185 km west of Yellowknife

Status: Based on a review of historical drill logs, Slave Lake Zinc has identified additional exploration targets at its O’Connor Lake project, including lithium targets, the company stated in March. The property was developed and subsequently closed in the early 1950s due to poor economics at the time.

“As part of the proposed summer work program, Slave Lake plans to locate the old core to determine if sampling it for lithium is feasible after this length of time,” the company wrote in a March 21 news release.

Li property

Owner: Lake Winn Resources

Resource: Lithium

Location: 37 km northwest of Cantung mine; near the Yukon border

Status: In late March, Lake Winn Resources stated that the only work expected to take place at its Li property, which hosts the Little Nahanni pegmatite group, over the next six month is a $50,000 squid magnetometer survey, which was already in progress. The company was also awaiting the conclusion of a satellite radar study.

Lake Winn Resources also tripled its holdings at Little Nahanni, announcing in March that the exploration property now stands at 71 square kilometres.

Yellowknife Lithium

Owner: Li-FT

Resource: Lithium

Location: 60 km east of Yellowknife

Status: Li-FT made a deal to acquire the Yellowknife Lithium project last November. The site “is comprised of mineral leases that cover the majority of the lithium pegmatites that make up the Yellowknife Pegmatite Province … one of the largest lithium resources in the Western world,” the company stated, citing Equinox Resources from 1987.

Gayna River

Owner: Fireweed Metals Corp.

Resource: Zinc

Location: Mackenzie Mountains, within the Gwich’in and Sahtu settlement areas

Status: Fireweed Metals carried out its first exploration activities at the Gayna River project in 2022. In November, the company stated that its efforts resulted in eight rock samples that graded at better than seven per cent zinc, including one at 51 per cent zinc. Another sample graded 74 per cent lead. This confirms the presence of massive sulphide mineralization at the 129 square km property, according to the company. Fireweed Metals has also signed a letter of intent to acquire the Mactung tungsten deposit from the Government of the Northwest Territories.

The setting for the Con Mine deep drilling program in the twilight outside of Yellowknife. Photo courtesy of Gold Terra Resource Corp.

Loki

Owner: North Arrow Minerals

Resource: Diamonds

Location: 30 km southwest of Ekati

Status: Samples collected at depths of five to 25 metres revealed “very high” kimberlite indicator minerals, including three samples with more than 100 kimberlite indicator minerals, North Arrow stated in February. Samples from closer to the surface returned zero to seven kimberlite indicator minerals, which is consistent with earlier till sampling in the area. The property spans 21,300 acres.

Sparta

Owner: Silver Range Resources

Resource: Gold

Location: 84 km northeast of Yellowknife

Status: The Sparta property features multiple gold-rich quartz veins and it attracted the interest of Treminco Resources in the 1980s and drilling as long ago as the 1940s.

Project: Seahorse

Owner: Talmora Diamond Inc.

Resource: Diamonds

Location: About halfway between Colville Lake and Paulatuk

Status: Covid-19 restrictions prevented Olivut Resources, which can earn a 50 per cent option on the property, from getting into the field in 2020 and 2021. The company previously stated that it considers the property to “have the potential to host diamondiferous kimberlite bodies of significant size.”

HOAM

Owner: Olivut Resources

Resource: Diamonds

Location: 15 km north of Fort Simpson, stretching to 20 km from Deline

Status: Olivut Resources has “numerous” targets ready to drill and would like to proceed with helicopter-supported geophysical mapping to identify more targets and prioritize its drill list but that’s subject to the raising of funds.

Fox Lake

Owner: BNT Gold Resources

Resource: Gold

Location: 275 km northeast of Yellowknife

Status: Mapping, prospecting, soil sampling, glacial till sampling, and geophysical surveys have been done on the 47,400-acre property.

Courageous Lake

Owner: Seabridge Gold

Resource: Gold

Location: 240 km northeast of Yellowknife

Status: Seabridge hasn’t provided any updates since 2018 when it identified two new gold zones as a result of a winter drilling program. A prefeasibility study in 2012 indicated that the nearby FAT deposit is home to 6.46 million ounces of proven and probable gold, which could be produced at an average of 385,000 ounces per year over 16 years.

LDG

Owner: North Arrow Minerals/Dominion Diamond Mines

Resource: Diamonds Location: Lac de Gras region

Status: North Arrow and then-senior joint venture partner Dominion Diamond Mines conducted $3.5-million worth of exploration at LDG in 2020 that included a geophysical survey program. The 1,472-square-km claim is located south of the Diavik diamond mine. No further announcements followed as the financially-troubled Dominion Diamond Mines sold its assets in early 2021.

Up Town Gold

Owner: Silver Range Resources

Resource: Gold

Location: West side of Giant Mine, six kilometres from downtown Yellowknife

Status: Spanning nearly 8,000 acres, Up Town Gold hosts 10 high-grade gold occurrences.

Bishop, Zeus, Rhombus, ZIP

Owner: GGL Resources

Resouce: Diamonds

Location: Lac de Gras diamond district

Status: GGL’s holdings are located in the Lac de Gras area, a district that is home to the Ekati and Diavik mines. GGL has concentrated on its Nevada interests over the past year.

Hidden Lake

Owner: Far Resources and Gaia Metals Corp

Resource: Lithium

Location: 40 km northeast of Yellowknife

Status: Results from a 2018 drill campaign included 1.6 per cent lithium oxide over 9.2 metres. The exploration comprised 1,079 metres of drilling at 10 holes, producing 197 core samples from the 4,568-acre property.

AYE 1 and Handle 1

Owner: Dave Nickerson

Resource: Gold

Location: Near the Ingraham Trail turnoff, close to Yellowknife

Status: Prospector Dave Nickerson carried out grid sampling during summer 2018. He previously reported 59.7 grams of gold per tonne from the Fox vein at his 100-per-cent-owned Aye claim based on 2017 trench work and 36.9 grams of gold per tonne at the No. 9 vein on his wholly-owned Handle 1 property based on a 2017 mini-bulk sample.

Hangstone

Owner: Wayne Kendrick

Resource: Gold

Location: 47 km north of Yellowknife

Status: Grab samples have returned 26.5 and 23.5 grams of gold per tonne at Hangstone.

Itchen

Owner: Silver Range Resources

Resource: Gold

Location: 348 km northeast of Yellowknife

Status: This property is located 78 km southwest of the former Lupin gold mine. Silver Range Resources did some staking and sampling at Itchen in 2016 but no activity has been highlighted in the years since.

Terra

Owner: DemCo Limited Partnership

Resource: Silver

Location: Camsell River, south of Great Bear Lake

Status: Owned by the Dene Nation, DemCo acquired more than 97 square kilometres in minerals claims in 2013. The site encompasses four past producing mines, including the Terra Mine. In 2016, DemCo performed some work on historical cores from Terra but no work has been reported since then.

NUNAVUT

Back River Owner: B2Gold

Resource: Gold

Location: 364 km southwest of Cambridge Bay

Status: Sabina Gold and Silver shareholders approved a $1.2 billion takeover offer on April 12 from Vancouver-headquartered B2Gold, a miner with international holdings.

Prior to that, Sabina accepted a $139-million joint bid in January from CGT Industrial (“CGT”) — comprising Clark Builders, Gisborne Industrial Construction Ltd. and PTW Energy Services — to build the process plant for the Goose mine and other related buildings.

In March, the company released its 2022 year-end financial results, which showed a net loss of $14.4 million as Sabina focuses on the construction of the Goose mine. The company ended 2022 with cash and cash equivalents and short-term investments of $65.8 million. In February 2022, Sabina secured US$530 million in financing to proceed with building the mine.

Angilak

Owner: Labrador Uranium

Resource: Uranium

Location: 350 km west of Rankin Inlet

Status: ValOre Metals agreed on March 13 to sell the rights to Angilak to Labrador Uranium for $3 million in cash and 100 million common shares of Labrador Uranium valued at 40 cents apiece.

The 686-square km property has a historical inferred resource estimate of 2,831,000 tonnes containing an inferred 43.3 million pounds of U3O8 and 10.4 million pounds of molybdenum.

Hunter Tootoo, executive assistant to Kivalliq Inuit Association (KIA) President Kono Tattuinee, said Labrador Uranium had not been in touch with KIA as of April 3. In regards to the potential for uranium mining, Tootoo stated, “ValOre Metals have a licence to explore. Exploration is allowed but if and when it comes to mining, any company would be required to follow the established regulatory process.”

Tom Hoefer, executive director of the NWT and Nunavut Chamber of Mines, expressed his hope that the draft Nunavut Land Use Plan will undergo significant revisions in the future to help protect “Nunavut’s great mineral development opportunities in its next version.”

“With respect to critical minerals, uranium is now listed as critical mineral, and Canada has adopted a supportive approach to nuclear power and small modular reactor technology,” said Hoefer. “The EU (European Union), I understand, considers nuclear a green energy to invest in. And nuclear is now recognized as necessary to successfully address climate change. We expect that the public’s support will also increase with this … I understand uranium prices are also increasing as a result, and this would bode well for the higher costs of mining in Nunavut. With both the price and public acknowledgement of uranium, I’m hopeful we will see something happen in Nunavut.”

Chidliak

Owner: De Beers

Resource: Diamonds

Location: 120 km northeast of Iqaluit

Status: Chidliak, which De Beers has said it would like to turn into a diamond mine, is heading for an environmental review after federal ministers endorsed such a proposal from the Nunavut Impact Review Board (NIRB) in February. NIRB expressed a desire to further analyze unfamiliar technologies that De Beers is proposing to use through its FutureSmart Mining program, such as a modular nuclear reactor and remotely-operated vehicles and mining techniques. There are also concerns relating to impacts on Inuit harvesting and wildlife.

Nagvaak

Owner: StrategX Elements Corp.

Resource: Graphite, nickel, vanadium, cobalt, copper, silver and platinum group metals

Location: On the Melville Peninsula, southwest of Sanirajak, northeast of Naujaat

Status: StrategX touted on March 7 that, based on drill core intersections and surface grab samples, it has added graphite to the assorted metals found at Nagvaak.

The graphite is described as high grade and jumbo flake. Samples taken from drill intersections included 22.2 per cent graphitic carbon over eight metres.

“Our exploration team is putting the Melville Peninsula on the map as a major new prospective region to discover critical minerals for the global energy transition,” stated Darren Bahrey, CEO of StrategX.

The company indicated that its next steps are to “further evaluate the quality of the graphite in additional surface and drill core samples and determine the extent and dimensions of graphite mineralization at Nagvaak.”

In December, StrategX announced a best drill result of 2.63 per cent copper equivalent over 58 metres, starting at a depth of 27 metres below surface.

Opportunities NORTH

Ferguson Lake

Owner: Canadian North Resources Inc.

Resource: Nickel, copper, cobalt and platinum group metals

Location: 250 km west of Rankin Inlet

Status: The field season is underway and 20,000 metres of drilling is planned for 2023, the company announced on April 3. This follows a 18,144-metre, 68-hole campaign in 2022 at the 254-square-kilometre property. The indicated mineral resource stands at 24.3 million tonnes grading at 0.85 per cent copper, 0.60 per cent nickel, 0.07 per cent cobalt, 1.38 grams per tonne palladium and 0.23 grams per tonne platinum. The inferred mineral resources is estimated at 47.2 million tonnes at 0.91 per cent copper, 0.53 per cent nickel, 0.06 per cent cobalt, 1.4 grams per tonne palladium and 0.25 grams per tonne platinum.

Naujaat

Owner: North Arrow Minerals

Resource: Diamonds

Location: Nine km northeast of Naujaat

Status: Australia’s Burgundy Diamond Mines officially earned a 40 per cent interest in the Naujaat project in February with the cutting and polishing of 0.31 carat and 0.21 carat fancy colour diamonds that were extracted as part of the 2021 bulk sample at Naujaat’s Q1-4 diamond deposit. The refining of the diamonds marked the final step in a $5.6-million financing agreement that the two companies signed in June 2020.

Seal/Storm

Owner: Aston Bay Holdings

Resource: Copper, zinc, silver

Location: 120 km south of Resolute Bay

Status: Following the discovery of near surface high-grade copper by project partner and operator American West Metals Limited last year, that company released news in late March that it’s planning to use two drills to bore 10,000 metres this year, almost five times the amount of drilling done during the last exploration season.

Storm encompasses a staggering 3000-sq-km area, including the Seal zinc and silver project.

Bathurst Inlet Lithium

Owner: North Arrow Minerals

Resource: Lithium

Location: 80 km southwest of the Doris gold mine

Status: North Arrow acquired 100 per cent interest in a Bathurst Inlet lithium property in late February. The site, formerly held by Panarc Resources, is within nine kilometres of tidewater and 12 km from Sabina (now B2Gold’s) port. “With the help of recent satellite imagery, we’ve been able to prioritize target areas for follow up detailed mapping and prospecting for lithium mineralization in early summer 2023,” said Ken Armstrong, president and CEO of North Arrow.

North Thelon

Owner: Forum Energy Metals Corp.

Resource: Uranium

Location: 50 km west of Baker Lake

Status: Forum Energy announced on April 17 that it was turning to the markets with a goal of raising $2 million to drill at its 1,020-square-km Nunavut Uranium Project later this year. The company refers to the territory’s Thelon Basin as “a geological equivalent to the Athabasca Basin,” which is a prolific source of high-grade uranium in northern Alberta and northern Saskatchewan.

Ulu, Hood River, Roma

Owner: Blue Star Gold Corp.

Resource: Gold

Location: 125 km west of Bathurst Inlet

Status: Blue Star Gold is planning another drilling campaign in 2023 and the company is shooting to surpass the one million ounces of gold mark. Blue Star Gold has amassed a resource estimate of 572,000 ounces of measured and indicated gold as well as 303,000 of inferred gold as it advances its Ulu project. Both estimates are at approximately seven grams of gold per tonne.

Turner Lake, McGregor Lake, Gela Lake, McAvoy Lake, Speers Lake

Owner: Bathurst Metals

Resources: Gold, silver, copper, nickel, platinum, palladium

Location: Kitikmeot region

Status: Bathurst Metals has acquired five properties in the Kitikmeot that offer prospects for a wide range of metals. The company’s most recent update came last November when it announced high-grade gold assay results from a summer sampling program at the TED gold showing, which is part of the Turner Lake Project. Six of the 18 grab samples returned values greater than 20 grams of gold per tonne. One sample exceeded the assay limit of 100 grams of gold per tonne, according to the company, which noted that the area has not been drill tested.

Sundog Gold

Owner: New Break Resources

Resource: Gold

Location: 235 km west of Arviat

Status: New Break reached terms with Nunavut Tunngavik Incorporated (NTI) in October 2021 to explore 94 square km of Inuit-owned lands. The project is known as Sundog. The Kivalliq Inuit Association will manage surface rights while NTI will administer mineral rights. Terms of the deal stipulate that if New Break formally files a discovery of one million estimated ounces of gold, then NTI will get a $1 million bonus payment, or $5 million for five million ounces. A Sundog feasibility study would be worth $3 million to NTI, while commercial production would result in a payment of $5 million to Nunavut Tunngavik.

No further news has since been released.

New Break’s other Kivalliq exploration properties consist of Sy, Noomut/Esker and Angikuni Lake, which cover 220 square km in total.

Meadowbank

Owner: Western Atlas Resources

Resource: Gold

Location: Adjacent to Agnico Eagle’s Meadowbank mine

Status: Although the Meadowbank property garnered interest for its gold potential, Western Atlas Resources announced in April that it found nickel and polymetallic mineralization near the surface. One hole intersected 0.14 per cent nickel, 0.01 per cent cobalt, 0.28 per cent chromium, 9.11 per cent iron and 0.8 per cent sulfur over 95 metres from a depth of 18.73 metres. In September, the company served notice that it had amended its permits to allow it to drill up to 20,000 metres per year and enlarge the camp to a maximum of 40 people. Meadowbank covers 580 square km.

Committee Bay

Owner: Fury Gold Mines

Resource: Gold

Location: 130 km southwest of Kugaaruk

Status: Fury Gold announced in September that a fivehole, 2,587 metre drill program was complete. The focus was on an eight kilometre shear zone where the Raven prospect is located. In the past, Raven has yielded 31.1 grams of gold per tonne over 2.8 metres and 9.49 g/t gold over 7.57 metres. Results from this summer’s drill program had not been released publicly as of the first week of November. The overall property encompasses 270 square km along the Committee Bay Greenstone Belt.

Mel

Owner: North Arrow Minerals

Resource: Diamonds

Location: 140 km south of Sanirajak

Status: The last update regarding the Mel property came in February 2021 when North Arrow announced a data-sharing agreement with StrategX Elements Corp, which acquired the non-diamond mineral rights in the area. However, North Arrow retains a per cent royalty on non-diamond production. The Mel property encompasses 560 square kilometres.

CSI

Owner: North Arrow Minerals

Resource: Diamonds

Location: West of the Jericho and Muskox kimberlites

Status: North Arrow undertook a modest till sampling program in June 2021. The property covers an area that “could potentially host a bedrock source for regionally anomalous kimberlite indicator mineral samples reported by earlier work-

ers,” according to the company.

South Kitikmeot Gold

Owner: Silver Range Resources

Resource: Gold

Location: 276 to 432 km south of Kugluktuk

Status: Silver Range revealed in August that it optioned the South Kitikmeot Gold Project to Australian company Viridis Mining. The property covers “known gold occurrences along a 200 km long package of metasedimentary rocks which host the Lupin Mine (3.4 million ounces gold production to date) and the Back River Project (5.3 million ounces gold measured and indicated resources) currently being advanced to production by Sabina Gold and Silver Ltd.,” Silver Range stated.

Yava

Owner: Blue Moon Metals

Resource: Zinc, lead, copper, silver, gold

Location: 450 km northeast of Yellowknife

Status: The 14,216-acre Yava project lies 32 km from Glencore’s Hackett River deposit. Historical resource estimates at Yava indicate 1.3 million tons of resource containing 4.96 per cent zinc, 1.03 per cent copper, 1.60 percent lead, 3.42 ounces per ton of silver, and 0.008 ounces per tons gold to a depth of 91.5 metres. Blue Moon stated that next steps for the project include exploring the five shallow holes the company has drilled.

Hard Cash and Nigel

Owner: Silver Range Resources

Resource: Gold

Location: 700 km east of Yellowknife

Status: Hard Cash and Nigel are located at the western end of the Ennadai-Rankin greenstone belt, which extends from Rankin Inlet to southwestern Nunavut. Agnico Eagle Mines Ltd. has built the Meliadine high-grade gold mine at the eastern end of the belt.

Tree River

Owner: Silver Range Resources

Resource: Gold

Location: 155 km southeast of Kugluktuk

Status: University of Albera researchers brought back three alluvial, kimberlitic diamonds from two small, separate samples in 2020, according to Silver Range Resources in October of that year. Subsequent sampling from the property showed 36.3 grams of gold per tonne from a one-metre by one-metre panel. The company expressed its intentions to systematically test the gold and diamond potential in the area.

Qaiqtuq

Owner: Solstice Gold

Resource: Gold

Location: 26 km from Rankin Inlet

Status: Solstice carried out mapping and sampling at the Qaiqtuq project – formerly known as Kahuna – during the summer of 2020. Aiming to identify drill targets, the work was done within a 40 square km area containing gold-bearing boulders on the 866-square-km property. Qaiqtuq is only seven kilometres from Agnico Eagle’s Meliadine gold mine.

At North Arrow Minerals’ DeStaffany lithium property, the lower western wall of the Moose 2 historic mining pit is seen in this photo. The wall height is approximately eight metres. Photo courtesy of North Arrow Minerals

This 31-gram button of gold was recovered from the gravity circuit on a 245 kg bulk sample from the crown pillar at the Mon project in 2018. Photo courtesy of Sixty North Gold Mining

Drill core from a winter drilling program south of Con mine. Photo courtesy of Bill Braden/ Gold Terra Resource Corp.

Opportunities NORTH

Kiyuk Lake

Owner: Cache Exploration

Resource: Gold

Location: 350 km west of Arviat

Status: Kiyuk Lake comprises 70 mineral claims over 590 square km. The site’s mineralization trend covers a 13-km strike length and is open in all directions.

Baffin Gold

Owner: ValOre Metals Corp.

Resource: Gold

Location: 230 km southwest of Clyde River

Status: Baffin Gold has turned its attention to a platinum group metals property in Brazil.

A summer exploration program at Baffin Gold in 2018 gathered airborne data, 431 till samples and 31 rock geochemical samples. The survey work gave ValOre continuous airborne geophysical data covering 120 km of the prospective Foxe Fold Belt. The entire property sprawls over one million acres. Fieldwork in 2017 returned numerous high-grade gold assays.

Atlantis

Owner: Silver Range Resources

Resource: Gold

Location: 55 km northwest of Agnico Eagle’s Amaruq deposit

Status: “Silver Range considers the Atlantis Project to be highly prospective to host economic gold mineralization given the proximity of the project to the Meadowbank mine complex and the fact that the target is underlain by the same rock types hosting the Amaruq Deposit,” the company stated in a 2019 news release regarding the 78,500-acre Atlantis project.

Yandle, Noomut, Quartzite

Owner: Silver Range Resources

Resource: Gold

Location: 151 km northwest of Arviat, 149 km northwest of Arviat, 143 km north of Arviat, respectively

Status: Silver Range Resources disseminated news in November 2017 of the existence of a gold trend over three kilometres at Yandle. Grab samples gathered along the trend returned up to 15.1 grams of gold per tonne. Past grab samples at Noomut have shown values of up to 89 grams of gold per tonne while Quartzite grab samples have graded up to 27.3 grams of gold per tonne. The properties lie in the Ennadai-Rankin greenstone belt.

Grumpy, Happy Thought

Owner: Silver Range Resources

Resource: Gold

Location: 182 km and 262 km southeast of Kugluktuk, respectively

Status: These two properties host nine documented gold showings. Up to 20 grams of gold per tonne over one metre were found in historical trench samples from the Grumpy site while Happy Thought historical samples have returned up to 13.44 grams of gold per tonne.

Muskox/Contwoyto/Hood

Owner: Benchmark Metals

Resource: Gold/diamonds

Location: 14 km southwest of the former Jericho diamond mine

Status: Benchmark Metals continues to focus on its properties in British Columbia.

The Muskox Project encompasses an enormous 600-squarekm. De Beers discovered the Muskox kimberlite in 1996 and the property has been explored by several companies.

Coppermine

Owner: Kaizen Discovery

Resource: Copper, silver

Location: 80 km south of Kugluktuk

Status: Kaizen Discovery has turned its attention to a property in Peru. There’s been no reported activity at Coppermine since public acknowledgment in 2016 that some of the company’s 3,500-square-kilometre property was identified in the draft Nunavut Land Use Plan as being under limitations or prohibitions relating to exploration and mining. The company’s website identifies the property as a possible sale option or joint venture opportunity.

Pistol Bay

Owner: Northquest Ltd.

Resource: Gold

Location: 35 km northwest of Whale Cove

Status: Nordgold announced in March that it would discontinue activity at Pistol Bay until 2023. The company more than doubled mineral resources at Pistol Bay in February 2020. Inferred open pit resources increased to 1.58 million ounces of gold at a grade of 2.2 grams of gold per tonne from the previous estimate of 739,000 ounces at 2.95 g/t. Pistol Bay is a vast property encompassing 860 square km.

Arcadia Bay

Owner: Transition Metals Corp./Nunavut Resources Corp.

Resource: Gold

Location: 153 km southeast of Kugluktuk

Status: The 26.5-square-km property, located in close proximity to the Coronation Gulf and the proposed Grays Bay road and port project, has a number of gold showings. However, Arcadia Bay didn’t even get a mention in Transition Metals’s 2019 year in review and shareholder update as other projects are at the forefront.

Kuulu

Owner: International Consolidated Uranium Inc.

Resource: Gold

Location: 40 km northwest of Rankin Inlet

Status: International Consolidated Uranium Inc. became a shareholder of Meliadine Gold Ltd. in January 2020. Work on the Kuulu property encountered delays due to an inability to renew the land-use agreement. “Both groups recognize the potential of the project but also that the path forward requires a patient and focused approach which the team at MGL is well equipped to undertake,” Glen Dickson, president and CEO of Meliadine Gold stated in January 2020. There have been no updates since.

Kiggavik

Owner: Areva

Resource: Uranium

Location: 80 km west of Baker Lake

Status: Areva suffered a major setback in July 2016 when the minister of Indigenous and Northern Affairs reinforced the Nunavut Impact Review Board’s decision to reject the Kiggavik project due to the lack of a date to begin mining. Areva expressed its disappointment after spending tens of millions of dollars and eight years advancing the project.

Mountain Lake

Owner: ISOEnergy Ltd.

Resource: Uranium

Location: 95 km west of Kugluktuk

Status: IsoEnergy established five claims in the Hornby Bay Basin in February 2017. Several companies have explored

the Mountain Lake uranium deposit since the mid-1970s. The company has been concentrating on its properties in Saskatchewan.

Izok Corridor

Owner: MMG Resources

Resource: Zinc, lead, copper, silver, gold

Location: 260 km southeast of Kugluktuk

Status: Izok remains in care and maintenance status. The last work done at the property was in 2014. Izok has a mineral resource of 15 million tonnes of 2.3 per cent copper and 13 per cent zinc. The High Lake deposit, to the north of Izok, contains 2.5 per cent copper and 3.8 per cent zinc over 14 million tonnes.

Hackett River

Owner: Glencore

Resource: Silver, gold, copper, zinc, lead

Location: 355 km southeast of Kugluktuk

Status: Glencore has yet to submit a draft environmental impact statement for Hackett River. No drilling has been announced since 2013. Hackett River has 25 million tonnes of indicated resource containing 4.2 per cent zinc and 130 grams of silver per tonne. It also has 57 million tonnes of inferred resource with 3.0 per cent zinc and 100 grams of silver per tonne.

Haig Inlet Iron

Owner: Hemlo Explorers

Resource: Iron

Location: 22 km south of Sanikiluaq

Status: Hemlo Explorers’ 230-square-km property contains an indicated 230 million tonnes of 35.17 per cent iron and an inferred 289 million tonnes of 35.47 per cent iron, according to a mineral resource estimate. The company’s focus has been on its Ontario properties, however.

Dave Webb, president and CEO of Sixty North Gold Mining, collects samples of the northernmost exposure of the West Limb in the A-Zone at the Mon mine. Photo courtesy of Sixty North Gold Mining

A drill operates at Blue Star Gold Corp’s Ulu project, 125 km west of Bathurst Inlet. The company is aiming to surpass one million ounces of gold in its resource estimate through its 2023 drilling campaign. Photo courtesy of Blue Star Gold Corp.

Slave Lake Zinc Corp’s O’Connor Lake project is located 185 km west of Yellowknife. Photo courtesy of Slave Lake Zinc Corp.

This historic headframe at Slave Lake Zinc Corp’s O’Connor Lake zinc-lead project signals some of the work done at the site several decades ago. Poor economics forced the project to shut down in the early 1950s. Photo courtesy of Slave Lake Zinc Corp

Higher oil and gas prices drive up revenues

the next half century.

So far, the project has employed more than 5o Inuvialuit beneficiaries and eight Gwich’in beneficiaries, bringing $7 million in local business to the area.

Moratorium causes frustration

Inuvialuit Regional Corporation President Duane Ningaqsiq Smith expressed frustration in January over the federal government’s extension of a moratorium on oil and gas exploration in the western Arctic Ocean.

Ottawa prolonged the 2016 order in December. Included in the moratorium is a 2019 decision to bar any oil and gas offshore work in the western Arctic Ocean.

Smith said the IRC was not consulted on the decision and the federal government is undermining Inuvialuit “efforts to enhance sovereignty and security in our region.”

“On behalf of the Inuvialuit, we are discouraged by the federal government’s arbitrary decision to extend the moratorium on oil and gas development in Canada’s Arctic waters, without meaningful consultation,” he stated. “This is a setback to the Inuvialuit Settlement Region, who are in need of new economic opportunities. Our livelihoods are impacted, and it is unacceptable this decision has been made without exploring alternative ways to bring jobs, growth and energy security to Canada’s North. This decision undermines ongoing efforts to enhance sovereignty and security in our region and will have a lasting impact on the strides Inuvialuit have made in these key areas.

“For thousands of years the Inuvialuit have been conscientious and sustainable stewards of our land and water. If the federal government truly respects Indigenous sovereignty and self-determination, they would explore opportunities along with us that are mutually beneficial.”

A month later, energy analyst Doug Matthews told Inuvik Drum that he was pessimistic about a resurgence in offshore oil and gas activity in the Beaufort Delta, which experienced a boom in the 1970s and ’80s. Matthews said there’s a low probability of oil prices remaining buoyant for long enough to justify the high cost of offshore drilling in Arctic waters.

“Offshore exploration projects can take more than 15 years to reach production so the important number is the best estimate of oil prices in 15 years, not today,” he said.

A spokesperson with the Canadian Energy Regulator said the Government of Canada’s most likely projection — called the Evolving Policies scenario — has Canadian oil demand peaking by 2032 and declining from there.

Oil production slips, natural gas rises slightly, but robust markets fill coffers

Higher commodity prices showed that there was still some oil and gas revenue in the tank in the NWT in 2022.

The value of petroleum production rose substantially in the territory last year. Oil brought in $274 million, a 53.1 per cent hike over $179 million in 2021 and the greatest value since 2014’s $406 million.

Natural gas produced in the territory was worth $36.6 million in 2022, a 64.9 per cent improvement from $22.2 million a year earlier and the most valuable year for natural gas since $50.1 million in 2008.

The volume of oil extracted in the NWT actually dropped year over year — to 321,000 cubic metres in 2022 (just over two million barrels) from 324,000 cubic metres in 2021 — but rising market prices spurred the substantial windfall.

Natural gas production rose modestly in 2022, hitting 62,000 cubic metres, better than the 58,000 cubic metres yielded in 2021.

Despite “steady output” between 2019 and 2022, NWT oil and gas production “remain well below what they once were,” the GNWT acknowledged in a report.

Growth in oil and gas in NWT doesn’t appear to be on the horizon either. No new wells were drilled, no seismic exploration work was done and no rights issuance processes were undertaken in 2022.

Nevertheless, the Department of Industry, Tourism and Investment distributed $1.1 million through the Mineral Development Strategy and Implementation Plan in 2021-21. Close to 30 organizations were approved, and the single largest amount, $300,000 went to the Inuvialuit Petroleum Corporation to help cover the cost of design and engineering work for the Inuvialuit Energy Security Project.

Inuvialuit plan gains ground

Diesel, propane and other natural gas products could soon be sourced from the Beaufort Delta as the Inuvialuit Energy Security Project edges closer to reality.

With approval from the Canada Energy Regulator expected this summer, work on reopening the 3,000-metre deep TUK M-18 well and preparing the site for extraction and refining could begin later this year. The Inuvialuit Regional Corporation also gets a final say on each step of the project before it proceeds. Officials are hoping to have the site, which lies about 20 km south of Tuktoyaktuk, active by 2025. The well could cover much of the Beaufort Delta’s fossil fuel needs for

A look at oil and natural gas production in the Northwest Territories between 2017 and 2022. Image courtesy of the Department of Industry, Tourism and Investment

By Derek Neary Northern News Services

Fur freefall persists in Nunavut, NWT

By Derek Neary Northern News Services

Fur payouts in Nunavut and the Northwest Territories continue to decline.

Nunavut’s Department of Environment paid $187,782.52 to Inuit harvesters through the fur assessment and advance program in 2022-23. That’s a 20.4 per cent decline from $235,767.17 in 2021-22. As an example of how far payouts have fallen, the Department of Environment shelled out $431,053.24 to harvesters in 2017-18.

Seal skins once again dominated the scene in Nunavut, accounting for 74 per cent of the pelts or hides that harvesters submitted through the fur assessment and advance program in 2022-23. However, payments fell year over year in every category except wolverine.

The Government of Nunavut has budgetted $150,000 for its seal contribution program in 2023-24, the same as the previous year. The $12,000 toward marketing through the Seals and Sealing Network and $10,000 dedicated to the Seal Grant Program are also on par with 2022-23.

In the NWT, the $235,000 fetched at auction as of the year ended June 30, 2022 represented a 39.5 per cent decrease from 2021. There were approximately 9,800 pelts harvested in the NWT in 2021-22, which was 4.8 per cent fewer than a year earlier, and only one-third of those pelts found buyers at auction.

The most recent sale held through Fur Harvesters Auction Inc. in North Bay, Ont., was on May 26-28.

The GNWT operates the Fur Marketing Service Revolving Fund, which has a limit of $1.5 million. This fund provides trappers with “interest-free advances on furs sent to southern auction houses.” The GNWT envisions $965,000 owing through this fund in 2023-24, but notes that some furs require extended periods to sell at auction.

The Department of Industry, Tourism and Investment invests $155,000 annually for the marketing and promotion of the Genuine Mackenzie Valley Fur Program. Trappers in decline

There were just 434 commercial trappers in the NWT as of 2022, which was the lowest number on record, according to the GNWT. The Covid-19 pandemic had a “significant negative impact on the fur trade,” the government noted.

In 2023-24, territorial government funding for the Fur Price Program amounts to $605,000. These are grants provided to trappers “in the form of a minimum price for the fur of selected species. The grant is available on good quality and well-handled pelts,” the GNWT states.

Although many NWT furs are sent to the North Bay auction, muskox, polar bear, seal and moosehide are, instead, tanned and sold at cost to NWT craftsmakers through the GNWT’s Hide and Fur Program. Polar bear hides were recently added to that program because the market demand for them has all but disappeared. Harvesters earn a $1,750 advance for polar bear hides and another $450 is available through a prime fur bonus.

Auction results

At the May Fur Harvesters Auction in North Bay, Ont., where many NWT furs go on the block, 100 per cent of the 1,809 lynx pelts on offer sold with the average price fetching $114.22 and a high of $180. That marked a significant rebound from the auction held in March 2022 when lynx went for $67.82 on average.

Timber wolf was in demand with 99 per cent sold and the average price for specimens from the Arctic region reaching $251.06.

Mink was largely in line with last year at $8.84 on average ($8.14 in March 2022). However, only 32 per cent of the inventory sold.

The muskrat market remained extremely poor with most of the 266,541 hides going unsold.

Just $235,000 was realized at auction for the one-third of NWT pelts that sold in 2021-22, according to the GNWT, down 39.5 per cent from the previous year. In Nunavut, the payout to harvesters declined by 20.4 per cent to $187,782.52 in 2022. Photo courtesy of the Department of Industry, Tourism and Investment

fact FILE

NUNAVUT FUR ASSESSMENT PROGRAM ADVANCE PAYMENT TO HARVESTERS IN 2022

Seal skin $139,059.65

Prime white fox $25,540

Prime cross fox $985

Regular white fox $340

Regular cross fox $249

Wolf $11,916.74

Wolverine $5,192.13

Polar bear $4,500

Source: Department of Environment

Payouts to harvesters continue to decline

Question marks hang over NWT tourism recovery

Some data points lost; tourism and parks to receive $16.8 million in GNWT funding

By Derek Neary Northern News Services

The territorial government describes tourism as a “growth sector,” and recognizes that three years of Covid-19 pandemic disruptions have had a “damaging effect” on NWT tourism. The worst months of the pandemic saw 77 per cent of tourism operators temporarily closed with bookings haven fallen by more than 80 per cent for almost half of industry operators, according to the GNWT.

Because airport surveys were discontinued during the pandemic, that data is unavailable but the Department of Industry, Tourism and Investment (ITI) points to recovering air travel as a positive sign, although it admits that details relating to the types of travellers aboard those planes are unknown.

Tourism and parks will receive $16.8 million in funding from the GNWT in 2023-24, which is essentially the same as last year, but down from $20.7 million in 2021-22.

ITI has budgetted $3.66 million as a contribution to Northwest Territories Tourism for core funding and a tourism marketing plan in 2023-24 — that’s up from $3.34 million in 2022-23.

The Tourism Product Diversificaiton and Marketing Program came to the aid of 15 projects in 2021-22 by making available $861,537. The North Slave region took advantage of $290,567 for five initiatives. The Dehcho received $265,000, $132,603 went to the South Slave and $71,812 helped the Sahtu. That program has a budget of $1.15 million in 2023-24.

ITI issued $605,500 through the Community Tourism Infrastructure fund in 2021-22. The Yellowknife Historical Society put $200,000 of that

towards its Mining Heritage Museum while the Town of Norman Wells, the next largest recipient, devoted $100,000 towards the expansion and development of Jackfish Lake.

In 2023-24, the GNWT has $411,000 budgetted for visitor information centres in the NWT, $350,000 set aside to help employ community tourism coordinators and $300,000 ready for community tourism infrastructure.

In 2021-22, with the pandemic practically putting a halt to tourism, ITI doled out $2.1 million in Tourism Restart Investment Program funds to close to 80 businesses and tourism operators. Another $1.7 million benefitted close to 40 NWT tourism businesses through the Pandemic Relief Extension Program.

A third pandemic program, Support for Tourism Accommodation Relief, provided an additional $935,569.

Marketing plan Spectacular NWT’s 2023-24 marketing plan sets out eight key objectives: grow tourism visitation and tourism-related expenditure in the NWT; expand destination and brand awareness of the NWT; encourage regional distribution of the visitor economy benefits; expand awareness of Indigenous experiences within the NWT; promote the NWT as a meetings, conferences and incentive travel destination; ensure effectiveness and high engagement in media marketing channels — earned, paid, shared, and owned; build awareness of the NWT, develop relationships, instill resilience and and support in travel trade networks; and ensure marketing.

The plan focuses heavily on marketing through various types of media, particularly digital.

Some of the points of emphasis include building on the Spectacular NWT

brand to grow domestic and U.S. markets; telling stories that engage as part of content marketing; leading with the NWT’s best attractions and experiences; forming strategic partnerships to maximize impacts and strengthening how research and results drive decision-making.

Among the challenges identified within the NWT tourism sector are costly and limited access to the NWT; lack of tourism infrastructure, products and services; the limited digital presence of some NWT tour operators; and an undersized tourism workforce.

The industry champion plans to encourage repeat visitation, leverage the marketing efforts of national tourism partners, reduce travel barriers by simplifying travel to and within the territory and create more opportunities for tourism businesses to be successful.

Yellowknife forming tourism strategy

The City of Yellowknife is investing $75,000 in a new tourism strategy, which includes signing a contract with Vancouver-based InterVISTAs Consulting Inc. to develop a new strategic plan for the NWT capital. The municipality plans to hold engagement sessions with the public as well as interview representatives in the tourism industry and staff from various levels of government to get an idea of what should be included in the new plan.

The former plan expired in 2019. The new strategy will “provide a post-Covid outlook for Yellowknife and the surrounding area and establish a vision for the future,” according to a statement from the city.

The municipality and the Department of Industry, Tourism and Investment each put up half the funds for this project.

A SNAPSHOT OF NWT TOURISM IN 2019-20, PRIOR TO THE PANDEMIC

Aurora viewing

Number of visitors: 37,100

Percentage of total visitors: 31.5%

Total visitor spending: $59.8 million

Percentage of total visitor spending: 29.2%

Average spend per trip per visitor: $1,611.86

Business travel

Number of visitors: 32,300

Percentage of total visitors: 27.5%

Total visitor spending: $78.6 million

Percentage of total visitor spending: 38.4%

Average spend per trip per visitor: $2,433.44

Touring

Number of visitors: 20,100

Percentage of total visitors: 17.1%

Total visitor spending: $ 20.5 million

Percentage of total visitor spending: 10%

Average spend per trip per visitor: $1,019.90

Visiting friends and relatives

Number of visitors: 15,000

Percentage of total visitors: 12.8%

Total visitor spending: $ 10.4 million

Percentage of total visitor spending: 5.1%

Average spend per trip per visitor: $693.33

Outdoor adventure

Number of visitors: 7,300

Percentage of total visitors: 6.2%

Total visitor spending: $14.4 million

Percentage of total visitor spending: 7.0%

Average spend per trip per visitor: $1,972.60

Fishing

Number of visitors: 5,300

Percentage of total visitors: 4.5%

Total visitor spending: $13.7 million

Percentage of total visitor spending: 6.7%

Average spend per trip per visitor: $2,584.91

Outfitting

Number of visitors: 520

Percentage of total visitors: 0.4%

Total visitor spending: $7.2 million

Percentage of total visitor spending: 3.5%

Average spend per trip per visitor: $13,846.15

*Indigenousexperiencesisanotheracknowledgedtourism category,butnoequivalentstatisticswereprovidedinthe SpectacularNWT’s2023-24marketingplan.

Source: Spectacular NWT

Lady Evelyn Falls near Kakisa is a captivating spot to take scenic pictures while travelling through the southern NWT.

Photo courtesy of Geoffrey Rodriguez

Tough times for agriculture

Agricultural partnership funds from federal government remain, but key player meets demise

By Derek Neary Northern News Services

Agriculture has largely been stunted in the NWT over the past year.

The Northern Farm Training Institute (NFTI), one of the longstanding strongholds in the territory’s agricultural sector, collapsed.

The Hay River-based “experiential farm school,” as it billed itself, began downsizing last summer — including laying off staff and butchering and selling farm animals as cost-cutting measures. The group’s president, Jackie Milne, who has been critical about what she feels is too little agricultural funding available through the government, announced that NFTI would start closing for the winter.

But the organization never reopened in the spring and its land lease was cancelled.

It marked a dramatic downturn from the optimism of May 18, 2018 when approximately $5.6 million over five years was announced

in Hay River through the Canadian Agricultural Partnership, a joint federal-territorial agreement.

That partnership remains in the territorial budget, however, with $1.2 million in place for 2023-24. The Government of Canada supplies 60 per cent of those funds.

“Its goals are to build sector capacity, diversify local economies and encourage market access to fresh food in the NWT,” the budget states.

Eggs sent south Hay River’s Polar Egg, another mainstay in the industry, also faced challenges last year. For most of 2022, its eggs were not found in its own branded cartons but were instead were mixed with eggs from southern Canada. The company’s product had to be shipped south for grading due to complications with overhauling its own grading facility.

Sahtu top region for funding

Regionally in 2021-22, the Canadian Agriculture Partnership provided the most funds

to the Sahtu region, at $166,990. McNeely Gardens was the largest recipient at $73,942.

The partnership doled out $141,873 for projects in the North Slave with Boreal Cultivation Ltd. receiving the largest total at $43,911 for various initiatives.

The South Slave region took in $139,370. Riverside Growers was granted the bulk of the funding at $72,526.

A total of $135,076 was disbursed in the Dehcho. Midnight Sun Growers in Fort Simpson made use of $74,601 of those regional funds.

The Beaufort Delta benefitted from $125,470 and the Community Garden Society of Inuvik accounted for that entire sum by offering training to community garden coordinators, purchasing and installing a solar array for its

hydroponics unit as well as needing funds for buying plants and supplies.

Another $383,952 was given out through the Northern Food Development Program in 202122, helping individuals, businesses, educational institutions and Indigenous governments.

The Northern Food Development Program will have $550,000 to work with in 2023-24. $500,000 in Nunavut

In Nunavut, the 2023-24 territorial budget shows $500,000 being contributed through a Canadian Agricultural Partnership agreement with the federal government.

The GN’s 2021-22 Grants and Contributions report contains no mention of any agricultural initiatives. There are, however, a number of greenhouse initiatives in communities across the territory.

Retail sales rise in NWT and Nunavut

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NWT 2022 RETAIL SALES BY MONTH (SEASONALLY ADJUSTED)

January $74.3 million

February $72.5 million

March $75.1 million

April $76.4 million

May $79.6 million

June $80 million

July $75.5 million

August $75.8 million

September $78 million

October $79 million

November $75.1 million

December $75.2 million

NWT climbs to $916.5 million; Nunavut reaches $583.3 million

By Derek Neary Northern News Services

The Northwest Territories racked up approximately $916.5 million in retail trade in 2022, outpacing 2021’s $888.8 million in retail sales by 3.1 per cent.

In Nunavut, the $583.3 million rang up at cash registers across the territory in 2022 was 5.1 per cent stronger than the $555 million recorded in 2021.

The first quarter of 2023 showed continued strength in retail sales in the NWT with January bringing in $79.1 million, February seeing commerce hit $79.4 million and March valued at $75 million, with the latter being a preliminary figure.

Nunavut also got out of the gate with a flourish in 2023 with $50.3 million in retail sales in January, $51 million in February and, preliminarily, $50 million in March.

Retail trade weighed in at 4.3 per cent of the NWT’s gross domestic product in 2022, a reduction from 4.8 per cent in 2021.

In Nunavut, retail trade represented 2.84 per cent of the territory’s gross domestic product in 2022, which was almost identical to 2.86 per cent in 2021.

Liquor and cannabis

The NWT Liquor and Cannabis Commission reported alcohol sales of $55.7 million for the 2021-22 fiscal year. That was down from $60.4 million in 2020-21.

Cannabis sales of $7.4 million in 2021-22 exceeded the $5.1 million worth of cannabis sold in 2020-21.

The GNWT is projecting $57.2 million in liquor sales for 2023-24 and $9.5 million in cannabis sales. After expenses, profit is expected to be $8.5 million, essentially on par with 2022-23.

In Nunavut, the territorial government is forecasting sales of close to $21.1 million through the Nunavut Liquor and Cannabis Commission in 2023-24. That’s essentially consistent with $21.2 million in sales revenue generated in 2022-23. Subtracting the cost of goods sold and various other expenses, it left the territorial government with approximately $3.4 million in profits.

The commission supports 33 jobs.

NUNAVUT 2022 RETAIL SALES BY MONTH (SEASONALLY ADJUSTED)

January $50.1 million

February $48.3 million

March $46.9 million

April $48.6 million

May $47.2 million

June $47.1 million

July $47.3 million

August $48.2 million

September $48.6 million

October $50.6 million

November $50.6 million

December $49.8 million

Source: Statistics Canada

Source: Cheetah Resources

Arctic Connection became a new player on the retail scene in Rankin Inlet by opening a location in the community in December 2022. NNSL file photo

The year was 2018. The the Canadian Agricultural Partnership was announced in Hay River. It was worth $5.6 million over five years. Over the past year, the Northern Farm Training Institute shut down its operations. NNSL file photo

Opportunities NORTH FISHERIES

Nunavut turbot catch nets $125.8 million

Federal government slices turbot allotment by nine per cent; Baffin Seafood to be launched

By Derek Neary Northern News Services

The value of turbot from Nunavut-adjacent waters in 2022 came in at $125.8 million based on 17,473.9 tonnes. That was a 4.1 per cent decrease from $131.2 million in value the previous year.

The northern and striped shrimp harvest was worth $86.7 million with 19,279 tonnes landed, according to the Department of Fisheries and Oceans.

Some of Nunavut’s turbot and shrimp catch is brought in by fishers from Canada’s East Coast, such as those from Newfoundland and Labrador.

For Arctic char, the 85,249 kilograms caught in 2022 was worth $284,800. That’s up from approximately 62,000 kg in 2021.

Troubling news came in February 2023 when the federal government announced that it would be cutting

the turbot allotment off of Nunavut-adjacent waters by nine per cent. The reason for the reduction was due to a lack of research on the species since 2017, which is the federal government’s responsibility.

The Nunavut Fisheries Association calculated that as a loss of close to $13 million for future fishing seasons.

Several pots

The Government of Nunavut (GN) has several pots of funding for the territory’s fisheries in 2023-24.

There’s $525,000 designated for the Fisheries Development and Diversification Program, $190,000 for the Commercial Fisheries Freight Subsidy, $150,000 for the Seal Contribution Program, $12,000 for the Seals and Sealing Network and $10,000 for the Seal Grant Program.

The GN’s 2021-22 grants and contributions program reveals that $150,000 in Fisheries Development and Diversification Funding went to

each of the Qikiqtaaluk Corporation and Qikiqtani Resource Institute; Pangnirtung Fisheries Ltd. received $68,930.46 in Fish Freight Subsidy Funding; the Gjoa Haven Hunters and Trappers got $63,432.29 in Fisheries Development and Diversification Funding; and the Nunavut Fisheries Association benefitted from $60,377.27 in Fisheries Development and Diversification Funding.

Baffin Seafood is birthed

In April, Baffin Fisheries announced that it is creating Baffin Seafood, an offshoot to internationally market and sell cold-water seafood products, such as turbot and shrimp. The Inuit-owned company represents industry participants in Clyde River, Iqaluit, Kimmirut, Pangnirtung and Pond Inlet.

Inshore fishery

Last November, the Qikiqtaaluk Corporation (QC) declared its intentions to develop an inshore fishery through a $1 million commitment.

Scallops, sea urchins and sea cucumbers will be harvested.

“QC is excited to enter into this partnership with the Future Skills Centre on skills development related to inshore fisheries development in our member communities in the Qikiqtani region,” said Peter Keenainak, vice-president of fisheries with QC. “This support will focus on developing the management and entrepreneurial skills of local Inuit to help them lead the development of inshore fisheries in their communities.”

Jerry Ward, director of QC’s fisheries division, said the first year would involve a pilot project in two Qikiqtani communities with a desire to eventually expand to 13 communities in the region.

An independent study released in 2020, commissioned by the Nunavut Fisheries Association, concluded that Nunavut’s fisheries created close to 1,000 full-time jobs in 2019

NWT fishery ‘small and shrinking’

Payout to fishers drops by six per cent; new Hay River fish plant to be run by Winnipeg-based marketing corporation for 3 years

By Derek Neary Northern News Services

The territorial government has $450,000 in place for the NWT’s commercial fishery in 2023-24, less than the $600,000 budgetted last year.

The money is intended to offset high freight and production costs.

The territorial government acknowledges that the NWT’s commercial fishery is “small and shrinking.”

Payouts to fishers through the Winnipeg-based Freshwater Fish Marketing Corporation, which purchases NWT product, dropped to $435,000 in 2022, a six per cent reduction from 2021.

There were only 27 active fishers in the territory last year, which the GNWT attributed, in part, to the Covid-19 pandemic. The coronavirus “disrupted trade and depressed demand,” the GNWT’s 2022-23 Economic Review states, noting five straight years of decline in the industry, including three years prior to Covid.

The Department of Industry, Tourism and Investment provided financial assistance in the amount of $564,373 through the Commercial Fishery Assistance Industry Support fund in 2021-22. The vast majority — $424,564 — went to the Tu’Cho Fishers Cooperative for items such as freight support and administrative costs, purchasing a truck to haul fish, covering costs to keep the fish plant open during the fall of 2021

and winter of 2022, and assisting with human resources and contractor fees.

The department spent $205,000 in support for individual fishers — calculated at $0.23 per pound for lake whitefish, lake trout, Northern pike and walleye — to offset shipping costs for NWT fish sent to the Freshwater Fish Marketing Corporation (FFMC) plant in Winnipeg.

The corporation, which also takes

in catches from the Great Lakes, admits to challenges of its own in its 2021-22 annual report due to smaller fish deliveries causing “increasing operating costs per kilogram, and decreasing processing efficiency.”

The FFMC also blames the pandemic for disruptions. The volume of fish delivered in 2022 was 14 per cent below the expected 11.3 million kilograms.

Favourable news came from the

FFMC’s sales revenue, which, at $19.4 million, was 38 per cent higher than 2021 and 24 per cent higher than the 2022 estimate. This was attributed to a return in demand for the products. However, it only left the FFMC with a profit of $700,000 before taxes and the final payment made to fishers, who received a 39 per cent return overall.

Hay River fish plant

A new $15-million, 1,600-squarefoot fish plant in Hay River, built by Arctic Canada Construction, was expected to open in June.

The GNWT announced in May that the Freshwater Fish Marketing Corporation will operate the facility for three years, to enable training and capacity building for the operation to be run locally.

The corporation’s 2021-22 annual report makes mention of the impending new fish plant in Hay River, but as the owners of the old plant, the FFMC didn’t seem to have a clear vision of what the future would hold at that time.

“The corporation plans to divest of its facility and land in Hay River by the end of 2023. With the support of Crown-Indigenous Relations and Northern Affairs Canada, FFMC is currently consulting with Indigenous groups in the area regarding the future of FFMC’s Hay River assets,” the report reads.

Industry, Tourism and Investment Minister Caroline Wawzonek acknowledged in the legislative assembly in late May that the territorial government was continuing its

— with 367 of them being direct employees.

Wages paid in 2018 were estimated at $31.7 million. The association comprises the Arctic Fishery Alliance, Baffin Fisheries, Pangnirtung, Fisheries/Cumberland Sound Fisheries Partnership and the Qikiqtaaluk Fisheries Corporation.

More collaboration

In February, the Government of Nunavut signed a memorandum of understanding with government leaders in Newfoundland and Labrador to work cooperatively in developing their natural resources, including fisheries; internet infrastructure; transportation; tourism; healthcare; addressing climate change; transportation; and workforce training.

The two governments agreed to strike a committee that will set out a framework for cooperation and coordination between the governments in “areas of mutual interest.”

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DATA FOR CATCH AND PRICES PAID IN 2022

Walleye (pickerel): 4.2 million kilograms at $3.74 per kg for a total of $15.7 million

Whitefish: 2.2 million kilograms at $2.41 per kg for a total of $5.3 million

Northern pike: 900,000 kilograms at $1.11 per kg for a total of $1 million

Source: Freshwater Fish Marketing Corporation dialogue with the Tu’Cho Fishers Co-operative, a group of South Slave Indigenous fishers, to find common ground on fish production and raising the price of fish for industry participants in the NWT.

The GNWT also held fisheries training programs in Hay River and Yellowknife this past March, with additional sessions scheduled in June for Hay River, Fort Resolution and Yellowknife.

“The program gives new fishers the skills and knowledge to have successful winter harvests and presents an opportunity to expand fishing operations year-round once fishers get established,” said Wawzonek.

This new fish plant in Hay River is considered to be a key component in reviving the NWT’s Great Slave Lake fishery, but it will be operated by the Freshwater Fish Marketing Corporation in Winnipeg for the next three years.

Photo courtesy of GNWT Department of Industry, Tourism and Investment

Fishing tubs lined up in Pangnirtung. A total of 17,473.9 tonnes of turbot was hauled in off of Nunavut’s shores in 2022. Photo courtesy of Pangnirtung Fisheries

Manufacturing sales reach $47 million

12.9 per cent increase over 2021 and highest figure since 2018

By Derek Neary Northern News Services

Led by Nunavut’s blistering pace, the Northwest Territories and Nunavut combined for manufacturing sales of $47 million in 2022, a 13.8 per cent improvement over $41.3 million in sales in 2021.

The 2022 figure was the best performance since 2018 when the two territories achieved $50.2 million in combined sales.

Statistics Canada usually does not break down Nunavut and the NWT’s manufacturing sales figures separately month by month because sales can be so small for either territory and could thereby reveal belonging to a

single manufacturer, depriving that company of privacy.

However, the national statistics agency did reveal manufacturing details independently for each territory throughout 2022 and it showed that Nunavut did a brisk $34.5 million in sales compared to $12.5 million for the NWT.

Nunavut’s best month came in June, which brought in $4.9 million in transactions. The NWT’s top month was March at $2.3 million.

The first few months of 2023 saw Statistics Canada once again release only combined figures for the two territories and March, at approximately $2 million in sales based on preliminary data, was 40.6 per cent slower

than March 2022. February also resulted in close to $2 million in combined sales while January was stronger at $4 million.

In Nunavut, manufacturing represented 0.52 per cent of the territory’s gross domestic product (GDP) in 2022, up from 0.46 per cent in 2021. Manufacturing only accounted for just 0.32 per cent of the NWT’s gross domestic product in 2022, down slightly from 0.35 per cent in 2020 and 2021.

In the NWT, the industry received $54,693 in Support for Entrepreneurs and Economic Development (SEED) funding in 2021-22, representing 1.3 per cent of that financial assistance.

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MANUFACTURING SALES FOR NWT AND NUNAVUT IN 2022 (SEASONALLY ADJUSTED)

Nunavut

January $631,000

February $1.9 million

March $1.5 million

April $1.9 million

May $3.3 million

June $4.9 million

July $4.7 million

August $4.3 million

September $2.8 million

October $3.1 million

November $2.6 million

December $2.9 million

NWT

January $1.4 million

February $2 million

March $2.3 million

April $584,000

May $958,000

June $737,000

July $936,000

August $984,000

September $696,000

October $695,000

November $400,000

December $804,000

the

Source: Statistics Canada

Crates of Sunrise Cabinets and Millwork product bound for the north. Based in Enterprise, the company is a GNWT-approved manufacturer and has been a member of

Northern Manufacturer’s Association since 1998. Photo courtesy of Sunrise Cabinets and Millwork