Resource World Magazine

58 www.resourceworld.com D E C E M B E R / J A N U A R Y 2 0 1 8 SASKATCHEWAN THE FRASER INSTITUTE's Survey of Mining Companies, 2016 listed Saskatchewan as the world's top jurisdiction for invest- ment based on investment attractiveness, up from second place in 2015. According to the institute, Saskatchewan also performed well in terms of "limiting the time it takes to receive permits." In a survey on permitting, 91% of respondents said that they received "the necessary permits in six months." Saskatchewan has a wealth of natural resources. The province is world renowned for its extremely high-grade uranium; the Athabasca Basin leads the world in ura- nium production. Saskatchewan is also the world's second largest producer of potash. And while the uranium and potash industry are currently dealing with slug- gish prices due to oversupply, the long term outlook is more positive. Inevitably, when new reactors are brought on line and as the pressure to feed growing popula- tions in developing countries increases, Saskatchewan's resource sector could expe- rience sudden and significant growth. Though Saskatchewan is lesser known for gold exploration and production, there are companies producing and exploring for the precious metal there. John DeCooman, Vice President, Business Development and Strategy for SSR Mining spoke to Resource World about exploring for and producing gold in Saskatchewan. SSR Mining produces and explores for precious metals in Canada, US and South America. The company acquired the Seabee Gold Operation in Northern Saskatchewan, comprising two producing, underground gold mines, the Santoy Mine and the Seabee Mine, on May 31, 2016 when they acquired Claude Resources Inc. It was the Santoy deposit that attracted SSR Mining to Saskatchewan. DeCooman told Resource World that the deposit is a "distinctly more attractive ore body than it had historically been known to be." It is what drew them to the province. DeCooman said the deposit is part of a larger belt that extends from the south from the Homestake region, host of the historic Homestake Mine in South Dakota that pro- duced more than 39 million gold ounces. He said, "That trend continues up all the way through Saskatchewan for the most part." Much of it he said is not "over explored." As to Saskatchewan's #1 spot designation by the Fraser Institute, DeCooman says it is well deserved. The province has developed a world class mining industry. "Based on our experience, Saskatchewan rates quite well," said DeCooman. When you compare Saskatchewan with other jurisdictions, particularly in terms of geopolitical risks, a greater consideration for investors today, Saskatchewan is that much more attractive. The following companies are exploring and producing in Saskatchewan. POTASH Agrium Inc. [AGU-TSX] and Potash Corporation of Saskatchewan Inc. [POT-TSX; POT-NYSE] have been granted regulatory approval from Canada, Brazil and Russia for their proposed merger; the approval process continues in the US and China. The companies expect to close the transaction by the end of the fourth quar- ter of 2017. The new company, to be named Nutrien, will become the world's largest provider of crop inputs and services. In Saskatchewan, Agrium has the Vanscoy Potash mining and milling opera- tion and Potash Corp. has the Allan, Cory, Lanigan and Rocanville conven- tional underground potash mines and the Patience Lake underground solution mine. On September 20, 2017, Potash Corp. announced inventory adjustment shutdowns "due to supply to market con- ditions," stating that Allan will curtail production for 10 weeks, beginning in November 2017 and Lanigan will curtail production for eight weeks in December 2017. On a more positive note, In October, 2017, Potash Corp. announced the success- ful expansion of its Rocanville operation, "now the world's largest potash mine." BHP Billiton Ltd. [BHP-ASX] holds mineral rights at the Jansen potash proj- ect in Saskatchewan about 140 km east of Saskatoon. The company announced in August 2017 that it would not seek board approval in 2018 for capital to finish build- ing Jansen "due to uncertainty in the potash market". Encanto Potash Corp. [EPO-TSXV], with their First Nations partner, is devel- oping their flagship Muskowekwan potash project where proven and prob- able reserves will support a solution mine for over 50 years. In September, Encanto announced that it has secured funding to be used to commence the "engineering and design phase of the mine in anticipa- tion of a shovel-ready construction date of September 2019". Encanto is also explor- ing two southeastern Saskatchewan potash properties and has the SPAR property located on Provincial lands. Gensource Potash Corp. [GSP- TSXV] teamed up with ADROK Ltd. to use their patented and exclusive Atomic Dielectric Resonance (ADR) imaging technology to identify and begin to define additional project areas at their 100%-owned Vanguard potash prop- erty in central Saskatchewan subject of a Preliminary Economic Assessment. Gensource also has the Lazlo Area Project in central Saskatchewan where a historical NI43-101 report indicates excel- lent grades, thickness and temperatures. Saskatchewan Exploration and Mining by Kathrine Moore

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