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(MERAF) for the Base Metals Smelting Sector - CCME

(MERAF) for the Base Metals Smelting Sector - CCME

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• Recommendations to address in<strong>for</strong>mation gaps and improve data<br />

where uncertainties exist.<br />

While reading this report, it is important to keep in mind <strong>the</strong> main assumptions<br />

that support <strong>the</strong> facts and figures presented. It is assumed that:<br />

• <strong>the</strong> current facility capacities will remain unchanged;<br />

• no new facilities will be opened between now and 2015;<br />

• no existing facilities will be closed between now and 2015;<br />

• no new major players will join or leave <strong>the</strong> market between now and<br />

2015.<br />

These assumptions may not reveal to be right 13 years from now. Hence, <strong>the</strong><br />

possibility of new facilities at Voisey’s Bay or somewhere else does exist;<br />

however, this possibility is not considered <strong>for</strong> <strong>the</strong> purpose of this report because<br />

of inherent uncertainties and because such new facilities would likely have very<br />

low emissions and contribute a small fraction of <strong>the</strong> sector’s releases.<br />

Also, on March 28, 2002, Noranda Inc. announced that, effective April 30, 2002,<br />

it permanently closed its Gaspé copper smelter, located in Murdochville.<br />

Noranda had previously announced on November 30, 2001, that it would<br />

temporarily close <strong>the</strong> smelter a six month period.<br />

Finally, it should be noted that <strong>the</strong> industry is in a period of global consolidation.<br />

S.2 Industry Profile<br />

The Canadian base metals smelting and refining sector is composed of primary<br />

producers of copper, lead, nickel, zinc and cobalt,.<br />

With <strong>the</strong> recent permanent closure of <strong>the</strong> Noranda copper smelter in<br />

Murdochville, <strong>the</strong>re are now twelve (12) base metals metallurgical complexes in<br />

Canada which are located in British Columbia (1), Alberta (1), Manitoba (2),<br />

Ontario (4), Québec (3) and New Brunswick (1). They are operated by Teck-<br />

Cominco Ltd., Sherritt International Corporation, Hudson Bay Mining & <strong>Smelting</strong><br />

Co. Ltd., Inco Limited, Falconbridge Ltd., and Noranda Inc.<br />

Except <strong>for</strong> one, <strong>the</strong>y are all members of <strong>the</strong> Mining Association of Canada<br />

(MAC).<br />

Economic data shows that:<br />

• In 2000, <strong>the</strong> mining and mineral processing industries contributed<br />

$27.97 billion to <strong>the</strong> Canadian economy, an amount equal to 3.5% of<br />

<strong>the</strong> national Gross Domestic Product<br />

• In 2000, <strong>the</strong> mining and mineral processing industries directly employed<br />

401,000 Canadians. Although <strong>the</strong>re is no statistic on <strong>the</strong> number of<br />

employees directly engaged in base metals smelting and refining, <strong>the</strong><br />

number can be estimated at about 10,000 persons.<br />

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