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Hailed as green energy source, northern Quebec lithium project divides Cree

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NEMASKA, QUE. — Type the word “Nemaska” into a search engine and most results refer to Nemaska Lithium, the company that sought bankruptcy protection in 2019 before being partly bought out by the Quebec government’s investment agency. The episode resulted in tens of thousands of small investors losing significant savings.

However, Nemaska is above all a Cree community in the heart of the boreal forest, more than 1,500 kilometres from Montreal. They share their territory with a wide variety of species, and caribou herds have long visited the area, drawn by its abundance of lichen.

These fragile ecosystems are home to a multitude of threatened species that will soon have to deal with new visitors: starting in 2025, approximately 15 heavy trucks a day will roar through these ancestral hunting grounds carrying the thousands of tonnes of ore that Nemaska Lithium plans to mine.

According to the promoters, the region contains some of the world’s largest deposits of spodumene, a rock from which lithium — key to the energy transition and the electrification of transport networks — is extracted.

Nemaska Lithium describes itself as a corporation that “intends to facilitate access to green energy, for the benefit of humanity.”

The Whabouchi open pit mine will be located about 30 kilometres from the village of Nemaska, in the watershed of the Rupert River, considered one of Quebec’s ecological gems.

“If the water becomes contaminated by the mine, I don’t see how we can limit the damage to the food chain,” says Thomas Jolly, who was chief of Nemaska from 2015 to 2019, stressing the importance of fishing to his community.

Nemaska means “Place of Plentiful Fish,” and that is what led the Cree to build their community here in 1979 after a proposed Hydro-Québec dam project threatened to flood their ancestral village. (In the end, the Crown corporation chose to build its reservoirs elsewhere, and the flooding of Old Nemaska never occurred.)

“At the time, the Department of Indian Affairs wanted to impose another site on us, but it was partly a swamp … so we chose to settle here instead, where it’s dry, in a place where there is everything we need to hunt and fish,” Jolly said in an interview in Nemaska.

Various other Hydro-Québec projects have led to an increase in mercury levels in lakes and rivers near Nemaska, to the point where for some bodies of water, public health authorities recommend eating no more than two fish of certain species per month.

According to public health data, one of the waterways with the highest mercury levels is the Nemiscau River, which is also set to receive mine effluent from Nemaska Lithium.

“How much more contamination can these streams handle?” Jolly wonders.

He explains that history has taught him to be wary of the studies carried out by the mining company on the environmental impacts of lithium extraction. “Hydro-Québec said they didn’t know (the mercury contamination) would happen,” he says. “Come on!”

The construction of the mine will cause the elimination of a lake and a stream in addition to modifying several other bodies of water. In total, the negative effects on fish and fish habitat are estimated at 54,600 square metres, according to the Impact Assessment Agency of Canada, and Nemaska Lithium is working to implement a compensation plan for this loss of habitat.

The federal government’s approval of the mine comes with dozens of conditions, including protecting water quality. In an interview with The Canadian Press, Vincent Perron, the director of environment and stakeholder relations at Nemaska Lithium, says the company has “a very comprehensive and rigorous water quality monitoring program.”

Perron explains that Nemaska Lithium, among other things, is committed to verifying every three years “the level of heavy metals in the flesh of fish, starting during the construction of the mine and until the end of a five-year period following its closure.”

He stresses that “a water treatment plant will be installed to treat the excess drainage water before it is released into the Nemiscau River.”

Company documents show that 10 species of mammals with a special status — either threatened, vulnerable or at risk — may frequent the mine area, including the wolverine and the woodland caribou as well as various species of birds, such as the golden eagle.

The Impact Assessment Agency of Canada cited potential “habitat loss and fragmentation” for those species but said the impact would not be significant because of the availability of similar habitat nearby and mitigation measures proposed by the proponent.

For Jolly, regardless of mitigation measures, “it’s obvious” that animals will be negatively affected by the blasting, the extraction and transportation of ore. He wants the mine administrators to consider traditional Indigenous knowledge and not just “book science” in managing the risks.

“You, people from the south, when you talk about animals and plants, you use the word species,” he says, “but we call them educators.”

Nemaska Lithium says it wants its mine project to set a benchmark for environmental responsibility. Powered by renewable electricity from Hydro-Québec, it will be one of “the greenest lithium producers in the world,” says Perron.

The project will have “one of the lowest intensities of production in the world in terms of CO2 equivalent emissions from processing and transportation combined,” he said. “It is nearly three times lower than the global average, and more than six times lower than China.”

However, Jolly stresses that hydro power is not as green as some people make it out to be. The environmental impacts of large dams are considerable, he says, citing examples of entire communities that have had to relocate because of flooding. Hunting grounds were submerged and mercury levels shot up in fish, among other upheavals in the James Bay Cree’s traditional way of life.

The Quebec government has invested hundreds of millions of dollars in Nemaska Lithium. Premier François Legault, who wants Quebec to export electric vehicle batteries worldwide and be a leader in 21st-century transportation, considers the company “an important component of the green economy.”

Jolly questions why lithium mined from Cree lands should be a central part of the government’s plan to combat climate change. “Who is responsible (for the climate crisis)?” he asked. “Is it up to us to pay and suffer for what they have done?”

He says the project was approved by the band council without properly consulting the population, a critique echoed by another former chief, George Wapachee. In his book “Going Home”, published last fall, Wapachee writes that the decision to accept the lithium mine “was made without the approval of community members.”

But while many in Nemaska are worried about the mine, it also gives hope to those who see it as an important tool for economic development. At a hearing in 2015, former Chief Matthew Wapachee presented a petition that included about 100 signatures in support of the project.

“Nemaska Lithium should be commended in recognizing and ensuring that this partnership is founded on mutual trust, protection of the environment and respect of Cree rights and traditional way of life,” Matthew Coon Come, who was then grand chief of the Grand Council of the Crees, said in a press release at the time.

Even though some in Nemaska say they were not sufficiently informed about the mine project, Nemaska band council spokesperson Laurence Gagnon maintains that the community was regularly consulted at annual general meetings. The council accepted the project “100 per cent for the economic benefits,” she said in an interview.

She said the village is expected to receive annual royalties. “We are talking about several million dollars over 30 years for the community,” she said. This money “returns to our citizens for better infrastructures, better services.”

Current Chief Clarence Jolly was among the elected officials who in 2014 voted to ratify the agreement with the mine.

Over a period of several months, The Canadian Press made numerous attempts to speak with him to discuss the impacts of the mine and its social acceptance, but he declined all requests. Gagnon explained the chief’s refusal by noting that the lithium mine was “a sensitive subject” that he preferred “not to discuss during an election period.”

The chief offered to provide an interview after the community elections later this month.

This report by The Canadian Press was first published Feb. 5, 2023.

Stéphane Blais received the support of the Michener Foundation, which awarded him a Michener–Deacon Investigative Journalism fellowship in 2022 to report on the impact of lithium extraction in northern Quebec.

 

Stéphane Blais, The Canadian Press

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A timeline of events in the bread price-fixing scandal

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Almost seven years since news broke of an alleged conspiracy to fix the price of packaged bread across Canada, the saga isn’t over: the Competition Bureau continues to investigate the companies that may have been involved, and two class-action lawsuits continue to work their way through the courts.

Here’s a timeline of key events in the bread price-fixing case.

Oct. 31, 2017: The Competition Bureau says it’s investigating allegations of bread price-fixing and that it was granted search warrants in the case. Several grocers confirm they are co-operating in the probe.

Dec. 19, 2017: Loblaw and George Weston say they participated in an “industry-wide price-fixing arrangement” to raise the price of packaged bread. The companies say they have been co-operating in the Competition Bureau’s investigation since March 2015, when they self-reported to the bureau upon discovering anti-competitive behaviour, and are receiving immunity from prosecution. They announce they are offering $25 gift cards to customers amid the ongoing investigation into alleged bread price-fixing.

Jan. 31, 2018: In court documents, the Competition Bureau says at least $1.50 was added to the price of a loaf of bread between about 2001 and 2016.

Dec. 20, 2019: A class-action lawsuit in a Quebec court against multiple grocers and food companies is certified against a number of companies allegedly involved in bread price-fixing, including Loblaw, George Weston, Metro, Sobeys, Walmart Canada, Canada Bread and Giant Tiger (which have all denied involvement, except for Loblaw and George Weston, which later settled with the plaintiffs).

Dec. 31, 2021: A class-action lawsuit in an Ontario court covering all Canadian residents except those in Quebec who bought packaged bread from a company named in the suit is certified against roughly the same group of companies.

June 21, 2023: Bakery giant Canada Bread Co. is fined $50 million after pleading guilty to four counts of price-fixing under the Competition Act as part of the Competition Bureau’s ongoing investigation.

Oct. 25 2023: Canada Bread files a statement of defence in the Ontario class action denying participating in the alleged conspiracy and saying any anti-competitive behaviour it participated in was at the direction and to the benefit of its then-majority owner Maple Leaf Foods, which is not a defendant in the case (neither is its current owner Grupo Bimbo). Maple Leaf calls Canada Bread’s accusations “baseless.”

Dec. 20, 2023: Metro files new documents in the Ontario class action accusing Loblaw and its parent company George Weston of conspiring to implicate it in the alleged scheme, denying involvement. Sobeys has made a similar claim. The two companies deny the allegations.

July 25, 2024: Loblaw and George Weston say they agreed to pay a combined $500 million to settle both the Ontario and Quebec class-action lawsuits. Loblaw’s share of the settlement includes a $96-million credit for the gift cards it gave out years earlier.

Sept. 12, 2024: Canada Bread files new documents in Ontario court as part of the class action, claiming Maple Leaf used it as a “shield” to avoid liability in the alleged scheme. Maple Leaf was a majority shareholder of Canada Bread until 2014, and the company claims it’s liable for any price-fixing activity. Maple Leaf refutes the claims.

This report by The Canadian Press was first published Sept. 19, 2024.

Companies in this story: (TSX:L, TSX:MFI, TSX:MRU, TSX:EMP.A, TSX:WN)

The Canadian Press. All rights reserved.



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S&P/TSX composite up more than 250 points, U.S. stock markets also higher

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TORONTO – Canada’s main stock index was up more than 250 points in late-morning trading, led by strength in the base metal and technology sectors, while U.S. stock markets also charged higher.

The S&P/TSX composite index was up 254.62 points at 23,847.22.

In New York, the Dow Jones industrial average was up 432.77 points at 41,935.87. The S&P 500 index was up 96.38 points at 5,714.64, while the Nasdaq composite was up 486.12 points at 18,059.42.

The Canadian dollar traded for 73.68 cents US compared with 73.58 cents US on Thursday.

The November crude oil contract was up 89 cents at US$70.77 per barrel and the October natural gas contract was down a penny at US2.27 per mmBTU.

The December gold contract was up US$9.40 at US$2,608.00 an ounce and the December copper contract was up four cents at US$4.33 a pound.

This report by The Canadian Press was first published Sept. 19, 2024.

Companies in this story: (TSX:GSPTSE, TSX:CADUSD)

The Canadian Press. All rights reserved.



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Quebec premier calls on Bloc Québécois to help topple Trudeau government next week

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MONTREAL – Quebec Premier François Legault says the Bloc Québécois must vote to topple the federal Liberal government next week and trigger an election.

Legault called on Parti Québécois Leader Paul St-Pierre Plamondon to summon the “courage” to ask the Bloc to support the expected Conservative non-confidence motion against Prime Minister Justin Trudeau’s minority government on Tuesday.

The Bloc and PQ, which both campaign for Quebec independence, are ideologically aligned and have historically worked together.

But moments later Bloc Leader Yves-François Blanchet said on X that he would not vote to topple Trudeau, saying he serves Quebecers “according to my own judgment.”

Legault made the comments after expressing frustration with what he described as Ottawa’s inaction on curbing the number of temporary immigrants in Quebec, especially asylum seekers.

Conservative Leader Pierre Poilievre has said he will put forward a motion of non-confidence in the government on Sept. 24, and specifically challenged NDP Leader Jagmeet Singh to back it.

The Conservatives don’t have enough votes to pass the motion with just one of the Bloc or the NDP.

This report by The Canadian Press was first published Sept. 19, 2024.

The Canadian Press. All rights reserved.



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