UPDATE 1-Canada again blocks Taseko copper-gold mine development

Thu, 27 Feb - 12:12pm

(Adds quotes from minister, background on project)

VANCOUVER, Feb 26 (Reuters) - The Canadian government has again blocked the development of a controversial copper and gold mine owned by Taseko Mines Ltd , Environment Minister Leona Aglukkaq said on Wednesday.

The decision came after Aglukkaq concluded that the New Prosperity mine project is "likely to cause significant adverse environmental effects that cannot be mitigated," a statement from the minister's office said.

However, Ottawa left the door open for Taseko, a small Canadian copper miner, to submit a new development proposal for the planned open-pit mine in British Columbia.

"The government will continue to make responsible resource development a priority and invites the submission of another proposal that addresses the government's concerns," Aglukkaq said.

In making its decision, the federal government considered an October 2013 report from an independent review panel on the project and agreed with its conclusions about the environmental impacts of the project.

This is the second time that Ottawa has blocked the project. In 2010, it overruled British Columbia's provincial government and refused to allow the development of what was then called the Prosperity project because of worries over its environmental impact.

Taseko revised its mine plan to address regulator concerns and reapplied in 2012, but aboriginal groups and other opponents say the revised proposal, if approved, would still harm Fish Lake and the rights of indigenous groups in the area.

(Reporting by Nicole Mordant; Editing by Richard Pullin and Michael Perry)

((nicole.mordant@thomsonreuters.com)(+1-604-664-7315)(Reuters Messaging: nicole.mordant.thomsonreuters.com@reuters.net))

Keywords: CANADA MINE/

URN: 
urn:newsml:reuters.com:20140227:nL1N0LW0FQ:2
Topics: 
ENV CMPNY CA BASMTL COM CPPR PREC MINE METL LEN RTRS GEN BACT PREMTL MIN GDM BMAT GOL REGS MTAL AMERS MEMI

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