The Chemistry Industry Association of Canada (CIAC) sees a significant opportunity for business with Quebec’s proposed Plan Nord project. An economic development strategy launched by the government of Quebec last May 2011, Plan Nord would develop the natural resources extraction sector in the part of Quebec north of the 49th parallel.
The territory covered by Plan Nord produces all of Quebec’s nickel, cobalt, platinum group metals, zinc, iron ore and ilmenite, and accounts for a significant portion of gold production.
Lithium, vanadium and rare-earth metals are also found there.
“Our members are looking at this as quite an opportunity,” said Fiona Cook, director, business and economics, CIAC. “There are several elements to the plan itself. Overall, there is
the regional development aspect, new infrastructure and communities all that will involve a great demand for chemistry products. This involves water purification, putting in infrastructure and piping, housing, etc. Chemistry is involved in all of that. It’s an indirect effect but a more global effect. Something a little bit more direct is the development of the mining sector. Mining uses a lot of chemical products in its processing.” For example, there could be the need for additional hydrogen peroxide capacity in the province if there is enough demand.
The CIAC at the moment, isn’t directly involved with the government of Quebec in terms of planning, but are communicating with them. “At their prompting, we met with the people at the Quebec Department of Natural Resources and Wildlife, the Quebec Department of Economic Development, Innovation and Export Trade and the Quebec Department of the Environment back in December, when a very impressive presentation on Plan Nord was shown to us. So we are plugged in. We’re not involved in the planning of Plan Nord, but making sure that, from the procurement perspective for Quebec businesses, we’re involved as an interested party,” said Cook.
Jules Lauzon, CIAC’s regional director for Quebec, is now working with the Association miniere du Quebec to draw up a list of all the chemicals that will be needed and this work is being overseen by the Department of Economic Development in Quebec City. The list is a work-in-progress. A first draft is ready and will soon be submitted to CIAC and to the Quebec mining industry.
Lauzon believes minerals taken from the ground should be refined as much as possible in northern Quebec, rather than shipped off in raw form to bustling Asian economies. To justify the enormous investment in Plan Nord, new refining and purification industries must be developed in northern Quebec, creating a self-sustaining economy and better jobs.
The newly elected PQ said it would keep Plan Nord but proposes to change the current tax royalty on profits to another system that would increase tax revenues.