Boomerang Land Issues

Boomerang Land Use Permit Issues

The Corporation held an approved Land Use Permit (LUP) for its Boomerang project, which expired in May 2008. In April 2007, the Corporation submitted two new LUP applications to the Mackenzie Valley Land and Water Board (MVLWB) to provide drilling access to favorable un-permitted areas on the northern Boomerang property. These LUP applications, if approved, would have provided LUP coverage over the northern extension of the F- and G-conductive trends (i.e. G-extension and H series conductors).  In August 2007, the Mackenzie Valley Land and Water Board (MVLWB) determined there was cause for 'potential public concern', based on comments received from the Aboriginal communities and other non-government organizations (NGOs) regarding the Corporation's LUP applications. Based on 'public concern' issues the MVLWB referred the Corporation LUPs to the Mackenzie Valley Environmental Review Board (the "Review Board") for an environmental assessment (EA), pursuant to the Mackenzie Valley Resource Management Act.  As determined through various submissions between the Corporation, the Aboriginal community interest, NGOs and the Review Board, the scope and work plan of the Boomerang EA was defined and commented on by various interested parties. All comments and submissions by interested parties were concluded June 16, 2008 and the Review Board closed the public record on June 26, 2008.

On September 11, 2008, the Review Board submitted the Report of Environmental Assessment and Reasons for Decision (the "Review Board Decision") on the Boomerang EA to the Honourable Chuck Strahl, Minister of Indian and Northern Affairs Canada (INAC). The Review Board Report recommended the project LUP be rejected based on : "...in combination with the combined impacts of all other past, present and reasonably foreseeable industrial developments in the area are likely to have significant adverse cultural impacts on the Aboriginal peoples who value the Upper Thelon River Basin. It is the opinion of the Review Board, informed by the evidence on the public record, that the likely adverse cultural impacts are so significant that the development cannot be justified.

Withdrawal of Rejected LUP

As a first step to working collaboratively with the leadership of the Akaitcho First Nations (AKFN) and the local Aboriginal communities to resolve public concern issues involving uranium exploration in the Thelon Basin, on May 7, 2009 the Corporation and its partner, Cameco, withdrew its Boomerang project LUP application.  Uravan and its partner Cameco believe the withdrawal of the Boomerang project LUP application is in the best interest of all stakeholders and for the positive future development of the Boomerang project. Uravan's withdrawal of the Boomerang LUP does not mean the abandonment of the Boomerang project or the underlying mineral tenure.  Uravan and Cameco, with the help of INAC, the NWT government and industry associations, plan to work with the AKFN leadership to develop a collaborative course of action for the development of future exploration plans for the Upper Thelon River Basin area.  Most importantly, direct community engagement will include a series of workshops, providing education on the health and safety of uranium exploration, development and the uranium fuel cycle.

Uravan hopes that by withdrawing the Boomerang LUP application and working in a collaborative manner with the local communities, and with the help of INAC, future Boomerang LUP applications and exploration activities will be supported by the local communities.

Relief under Section 81

During the Corporation's EA process and the subsequent withdrawal of the Boomerang project LUP no new LUP can be issued prior to resolving these key concerns, thereby prohibiting the Corporation access to the Boomerang property to fulfill assessment work requirements under Section 41 of the Northwest Territories and Nunavut Mining Regulations. Therefore, the Corporation requested relief from its assessment work requirements of its mining claims and leases making up the Boomerang property pursuant to Section 81 - Prohibitions and Reservations of the Northwest Territories and Nunavut Mining Regulations. This relief is necessary based on the circumstances described above to maintain the mining claims in good standing for the period within which fulfillment of the assessment work requirements are prevented. On February 28, 2008, the Mining Record of the Northwest Territories granted relief under Section 81 thereby lengthening the work period on the Boomerang claims by one or two years so that work may be done and filed with the Mining Recorder. Pending the length of time the Corporation continues to be prohibited from carrying out work on its Boomerang property further relief under Section 81 will be requested.  On August 19, 2009 the Corporation submitted an extension of the Section 81 on the Boomerang property for an additional two years.