Thank you, Mr. Speaker. Mr. Speaker, the mineral resource sector plays a significant role in the development of the Northwest Territories. This 19th Legislative Assembly recognized that fact and committed support to increase resource exploration and development.
Mr. Speaker, over the last several decades, the community of Hay River has played an integral part in the development of the North. For years, Hay River has been a staging point for goods and equipment transported to the community by rail and truck prior to loading on barges for points farther north. Not only are remote northern communities dependent on the marine transportation services offered by MTS, the oil, gas and mineral resource sectors have and continue to rely on those services.
Mr. Speaker, for the next two to three years Cheetah Resources will be moving approximately 5,000 tonnes of rare earth mineral concentrate from the Nechalacho North T pit. Pending receipt of authorization for the Tardiff expansion from the Mackenzie Valley Land & Water Board, and a bankable surface lease from the GNWT, the shipments would increase to 25,000 tonnes per year in 2024-2025.
Through use of marine, rail, and truck services, Cheetah's Rare Earth Resource Project will have a significant and positive impact on the community of Hay River. Concentrate will be shipped via barge from the east side of Great Slave Lake to Hay River where it would be stored waiting further shipping south via rail and/or transport trucks.
Mr. Speaker, next month, Cheetah is making a trial shipment of 500 tonnes of rare earth concentrate to its extraction plant in Saskatoon. This will provide Cheetah an opportunity to evaluate the intermodal systems this project will require going forward.
To put these quantities into perspective, 25,000 tonnes would be 25 to 35 of MTS's 1000 or 1500 series barges. With three barges per tug, this would be eight to twelve sailings a year. If all the southbound shipments went by rail, it would be about 500 southbound railcar loads and, if by truck, it could be as high as 1300 trucks per year. Ideally, back hauls from the diamond mines would be utilized to avoid an increase in the number of trucks emitting CO2 into the atmosphere. Mr. Speaker, I seek unanimous consent to conclude my statement.
---Unanimous consent granted
Mr. Speaker, the impact on MTS would be increased fleet utilization and additional revenues to offset current operating losses.
Mr. Speaker, for the community of Hay River, it would translate into additional jobs, opportunities for local businesses, increase utilization of the marine training centre, and solidifying Hay River's position as the marine transport hub for the Northwest Territories. Thank you, Mr. Speaker.
