Government of Canada awards new contracts to advance clean-up of Faro Mine

WHITEHORSE, YT, Aug. 17, 2022 /CNW/ - The health and safety of Canadians, environmental protection and advancing reconciliation with Indigenous Peoples are priorities for the Government of Canada.

Following 4 open and competitive processes, Public Services and Procurement Canada, on behalf of Crown-Indigenous Relations and Northern Affairs Canada, has awarded 3 new contracts and 1 standing offer for the Faro Mine Remediation Project, totalling more than $57 million.

These contracts and the standing offer will significantly advance remediation design planning; environmental and geotechnical monitoring, including the assessment of the quality and flow of water on site, meteorological monitoring and engineering inspections of earthen structures. They will also advance regulatory support for the project, including addressing the application and review process of a Water Licence and the Fisheries Act Authorization.

Together, these awards build upon efforts already taken at the Faro Mine Complex, and will create and sustain long-term northern jobs while improving the environment for First Nations and local communities.

"Our government is taking action to protect the environment, advance reconciliation and strengthen the economy in Canada's North. These contracts and the standing offer provide the necessary, crucial next steps towards the full remediation of the Faro Mine Complex in Yukon. At the same time, they will provide opportunities for socio-economic development and capacity-building for local First Nations."

The Honourable Filomena Tassi
Minister of Public Services and Procurement

"Protecting the environment, advancing reconciliation and creating economic opportunity for Indigenous and Northern communities are top priorities for our government. These contracts and the standing offer will create employment for local First Nations and Northerners while advancing the remediation of the abandoned Faro Mine. Our government will continue to work in partnership with Indigenous and Northern communities in identifying opportunities and ensuring that local First Nations and neighbouring communities benefit from the Faro Mine Remediation Project."

The Honourable Dan Vandal
Minister of Northern Affairs, Minister responsible for the Canadian Northern Economic Development Agency and for Prairies Economic Development Canada

"The Faro Mine Complex was a fixture of Yukon mineral development for decades. I am pleased to see progress in the remediation of this mine through 3 new contracts and 1 standing offer. Environmental sustainability and collaboration with local First Nations, including job opportunities, continue to be vital components of this project. I look forward to the efforts of these contracted organizations to improve the long-term revitalization of the area."

Brendan Hanley
Member of Parliament for Yukon

• The Faro Mine Remediation Project is one of the largest and most complex abandoned mine clean-up projects underway in Canada.
• Once the largest open-pit lead-zinc mine in the world, Faro Mine was a major economic driver for Yukon and Canada from its opening in 1969 to its abandonment in 1998.
• Nearly 30 years of processing materials at the mine has left behind 70 million tonnes of tailings and 320 million tonnes of waste rock.
• The mine spans 25 square kilometres, an area roughly the size of the city of Victoria, British Columbia.
• The contracts have been awarded as follows:
• Environmental Monitoring Services (EMS) awarded to Ensero Solutions Canada Inc. for $18,157,561.40
• Remediation Plan Design and Support Services (RPDSS) awarded to AECOM Canada Ltd. for $31,705,000
• Regulatory Support Services awarded to Golder Associates Ltd. for $3,150,000
• The standing offer for Geotechnical Support Services was awarded to Tetra Tech Canada Inc. for $4,500,000.
• As part of Canada's commitment to reconciliation, the RPDSS and EMS contracts include firm commitments by the contractor to ensure employment and training opportunities for Kaska Dena citizens and subcontracting to Kaska Dena-owned businesses.
• First Nations, the Town of Faro, and other partners are members of the collaborative team that will deliver this project. Affected First Nations include the Kaska Dena First Nations and Selkirk First Nation.
• Remediation of the mine is expected to take 15 years to complete, followed by testing, monitoring and care, and maintenance into the long term.

• Government of Canada awards contract for construction management and care and maintenance services for the Faro Mine Remediation Project
• Environmental Monitoring Services, Faro Mine Remediation Project (EZ897-220593/001/FAR): Buyandsell.gc.ca
• Remediation Plan Design and Support (Quality Assurance) Services (EZ897-212881/001/FAR): Buyandsell.gc.ca
• Regulatory Support Services, Faro Mine Remediation Project (EZ897-221594/001/FAR): Buyandsell.gc.ca
• Geotechnical Support Services (EZ897-221705/001/FAR): Buyandsell.gc.ca
• Faro Mine Remediation Project: Yukon

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Date: August 17, 2022

Three new contracts and one standing offer awarded for the Faro Mine Remediation Project

Faro Mine was once the largest open-pit lead-zinc mine in the world. Spanning over 25 square kilometres, it is now the site of one of the most complex abandoned mine remediation projects in Canada. It is located in south-central Yukon, near the town of Faro, in the traditional territory of the Kaska Nation, and upstream from Selkirk First Nation. The Ross River Dena Council is the closest First Nation community to the site.

In February 2022, the Main Construction Management and Care and Maintenance services contract was awarded to Parsons Inc. for an initial amount of $108.2 million, covering Term 1 services until March 31, 2024. The contract is structured to accommodate the phased approach of the remediation plan, and includes options to extend through the duration of active remediation, which is expected to be completed by 2038. The Main Construction Manager and Care and Maintenance services contractor will work alongside a number of other contractors engaged by Canada. These contracts and standing offer include: Environmental Monitoring Services (EMS), Remediation Plan Design and Support Services (RPDSS), Regulatory Support Services and Geotechnical Support Services.

These contracts and standing offer, together with the Main Construction Management and Care and Maintenance services contract, will provide significant benefits for those in Faro and surrounding communities, including socio-economic benefits and capacity-building for local First Nations. The amount and length of work at the Faro Mine Complex will provide positive impacts to the local economy, including job creation. As part of Canada's commitment to reconciliation, the RPDSS and EMS contracts include firm commitments by the contractor to ensure employment and training opportunities for Kaska Dena citizens and subcontracting to Kaska Dena-owned businesses.

The Environmental Monitoring Services contract was awarded on March 1, 2022, to Ensero Solutions Canada Inc. for an initial amount of $18.2 million, covering services until February 28, 2025. The contract has options to extend the contract period for up to 2 years. The EMS contract consists of conducting the monitoring programs on site, including assessing the quality and flow of water (surface water, groundwater, seep water and contact water). Within their contract, Ensero Solutions Canada Inc. will also be doing meteorological monitoring, ambient air monitoring, terrestrial and wildlife monitoring and will collect measurements from geotechnical monitoring instruments.

The Remediation Plan Design and Support Services contract was awarded on March 4, 2022, to AECOM Canada Ltd. for an initial amount of $31.7 million, covering services until March 31, 2024. The contract has options to extend the contract period until March 31, 2043. The RPDSS contractor is responsible for advancing the remediation plan through the design process and will ultimately be responsible for providing field support services during active remediation. This contractor will also provide design support services where required for ongoing site activities and will address urgent issues that may arise.

The Regulatory Support Services contract was awarded on May 20, 2022, to Golder Associates Ltd. for an initial amount of $3.15 million, covering services until May 19, 2025. The contract has options to extend the contract period for up to 2 years. The Regulatory Support Services contract mainly consists of supporting Crown-Indigenous Relations and Northern Affairs Canada through the Yukon Environmental and Socio-Economic Assessment Board process with the screening, reporting and decision phases. The contract will also address the application and review process of a Water Licence and Fisheries Act Authorization for the remediation of the site.

The Geotechnical Support Services standing offer was awarded on May 25, 2022, to Tetra Tech Canada Inc. for an initial amount of $4.5 million, covering services until May 24, 2025. The standing offer has options to extend the standing-offer period for up to 2 years. A standing offer is an offer from a potential supplier to provide goods and/or services at pre-arranged prices, under set terms and conditions, when and if required. It is not a contract until the government issues a call-up against the standing offer. The geotechnical team will complete engineering inspections of earthen structures (including dams, ponds, waste rock dumps, diversion channels, weir structures and pit wall surfaces) using visual inspection, instrument monitoring and photogrammetry to keep track of the condition, movement and safety of these structures on the site. The team will assess measurements from geotechnical monitoring instruments on site, which are used to help detect any changes happening within earthen structures over time. These include stream gauges, weir notches, ground temperature devices, piezometers and slope inclinometers. 

SOURCE Public Services and Procurement Canada