Local Connections
Developing and maintaining positive relationships with the local community is a priority to Canadian Royalties. “We recognize that the Nunavik Nickel properties are on Category land in Inuit territory,” Arnold says. “Our objective is to develop the project while having a positive impact on the Inuit territories and the people.”

The Nunavik Nickel site is located within Inuit hunting and fishing grounds. “We want to maximize the benefit that we bring to the area by preserving the land and incorporating the Inuit people into the work force,” Arnold says.

Developing local relationships doesn’t happen overnight, and Canadian Royalties founder Glenn Mullan has been very active in reaching out to the Inuit community for years.

“Glenn keeps the local community apprised of the developments, informing them every step of the way, as well as offering employment opportunities,” Arnold explains.

Fostering Relationships
Prior to the Nunavik Nickel project transitioning to production, Canadian Royalties will have signed an agreement with the Makivik Corp. and the Inuit community to give its members a share of the benefits.

“We’ve done a lot to foster local relationships, by virtue of obtaining operating rights and offering employment opportunities,” Arnold explains.

“This type of relationship doesn’t happen over the phone,” he says. “It takes a lot of interaction and in-person communication to keep everyone informed.”

Building a Team
At peak, the Nunavik Nickel project will have about 270 workers on site. Even with the employment pool of the Inuit community, the labor market is tight.

“Especially for mining personnel, the labor market is very limited,” Arnold continues, noting that the company is “looking for people who can help bring our project to fruition, and we’ve been doing that primarily through networking.”

Canadian Royalties was able to recruit experienced mining professionals from other mining companies by offering competitive salaries and benefits.

“We needed a good team to help get us off the ground, and I think we’ve done an excellent job – especially those challenged with the task of recruiting,” Arnold continues. “We’re faced not just with a manpower shortage, but also a shortage of mining engineers and exploration geologists.

“The market is hot, so we need to offer competitive benefits to attract and retain people,” he adds.

Offering an attractive work schedule with generous time off is appealing to laborers with family commitments.

“Some guys don’t mind the long work rotations, but for those with families and other obligations at home, keeping a healthy work-life balance is important,” Arnold continues. “From a production perspective, as well, it’s beneficial to have laborers that are rested and content.”

The Right Resources
Canadian Royalties has invested significant funds in new equipment and capital. Arnold estimates Nunavik Nickel is a $465 million project, and the company’s total committed expenditures to date are around $95 million to $15 million in services and $75 million in new equipment.

“Because we’re a pit operation, we need to look at various things, such as moving the material,” Arnold says. “We will have a fleet of trucks to haul the material from the pit, and we’re dedicated to optimizing truck movement. We have a purchase/lease agreement with Caterpillar, along with other large suppliers.”

‘Lofty Goals’
Canadian Royalties uses the scheduling program Primavera to stay on track. “It’s been excellent for mine planning to help avoid bottlenecks,” Arnold notes.  

This year, Canadian Royalties has “lofty goals,” Arnold notes. In addition to initiating construction at Nunavik Nickel, the company also hopes to conduct a concurrent exploration program.

“Construction is obviously our priority, but we have made two new and significant discoveries on the property last year – one of which is reasonably well advanced,” Arnold explains. “We’ve put together information, which we intend on using in our upcoming feasibility study update.

“The property is really delivering results, and we’re not staying static or depleting what’s there,” he says. “We’re constantly identifying new resources, and we have a strong commitment from management to mount large exploration campaigns because the indication is there that it’s worthwhile to do so.”

New and Known Discoveries
Since Canadian Royalties began drilling, Arnold says, it has discovered, and placed in the Indicated resource category, approximately 3,000 pounds of nickel and 3,700 pounds of copper per meter of core drilled.

“We’ve been expanding on our known discoveries and making new discoveries – and we plan to continue exploring,” Arnold continues. “With nickel at $12 a pound, continued exploration is a compelling business case and it makes drilling seem cheap.”