B.C. mining proposal could spark Canada’s first magnesium refinery

As a legal challenge over the proposed Record Ridge magnesium mine near Rossland plays out in B.C. Supreme Court, the company behind the project says it remains committed to building a Canadian critical minerals industry, but will export ore to the United States in the interim. 

Ore extracted from the proposed Record Ridge magnesium mine will be shipped to a processing facility in the United States, Calgary-based West High Yield Resources confirmed in a written response to the Trail Times. 

The company described this arrangement as a transitional step while it prepares for downstream development in Canada. 

“The project’s immediate focus is to begin small-scale mining under strict environmental controls and generate early cash flow,” wrote company president and CEO Frank Marasco. 

He said this early phase is intended to lay the groundwork for future investment in domestic refining capacity. 

In response to questions from the Times regarding operations should the mine proposal proceed, Marasco said the company plans to establish Canada’s first magnesium and critical minerals refining facility. 

West High Yield’s long-term vision includes domestic production of magnesium oxide and silica, pharmaceutical-grade products, magnesium wall boards, future magnesium battery materials, and other advanced products. 

Together, these downstream verticals could create hundreds of construction jobs and long-term operational roles in British Columbia, he said. 

“Developing such facilities requires hundreds of millions of dollars in investment and collaboration between industry, government, Indigenous and local partners,” Marasco noted. 

“Until that is achieved, the ore will be exported under a short-term offtake arrangement to generate early revenues and demonstrate project viability.” 

At this early stage, Marasco said, value is generated through employment, contracting, and taxes related to mining and hauling the ore. 

As the company transitions to domestic refining, he said the aim will be to keep the majority of the value chain, including high-purity magnesium oxide, silica, nickel and iron products, within Canada. 

Asked how local communities will benefit directly from the project, Marasco said most site and hauling work will be carried out by local contractors and Indigenous partners, including the Osoyoos Indian Band’s Skemxist Solutions. 

He said the company also plans to purchase local goods and services and fund community infrastructure, training, and other long-term initiatives. 

“Once the processing facility is established, these benefits will expand significantly, with hundreds of stable, high-quality jobs and the creation of a new critical-minerals hub in southern British Columbia,” he said. 

Marasco said the company intends to construct its first processing facility in southern B.C., near the mine and existing infrastructure. 

He said the plan aligns with Canada’s Critical Minerals Strategy and B.C.’s clean-tech manufacturing goals. 

In response to concerns about whether the majority of economic value would be realized outside Canada, Marasco described the Record Ridge project as a low-impact, small-scale operation with community safety and environmental protection as top priorities. 

“It involves only drilling, blasting, crushing, and hauling, with no chemical processing or refining onsite,” he wrote. “There are no tailings, no process water, and no smelting emissions.” 

Marasco said the company’s approach is to start small, protect the environment, generate local benefits, and scale up responsibly. 

Meanwhile, the Save Record Ridge Action Committee has filed a petition in B.C. Supreme Court, asking a judge to overturn the province’s decision not to require a full environmental review of the mine. 

The committee says the province acted unreasonably in accepting the company’s reduced production capability of 63,500 tonnes per year, just under the legal threshold for triggering a mandatory review. 

The proposed mine, located about seven kilometres from Rossland and even closer to Paterson and Big Sheep Creek, would be the company’s first operating mine, the committee says. 

If developed, they say, it would become the closest open-pit mineral mine to any municipality in British Columbia. 

The group argues that provincial regulators failed to question the company’s numbers and ignored evidence suggesting the project could operate at a much higher capacity. 

They say expert assessments, and even the company’s own public materials, indicate production capabilities well above the review threshold. 

The committee has also raised concerns about health risks from asbestos and other contaminants in the ore, as well as threats to water quality, wildlife habitat, Indigenous rights, and cross-border environmental impacts. 

The mine site is located in an ecologically sensitive grassland and Old Growth Management Area, home to the federally red-listed Mountain Holly Fern and the Seven Summits Trail, a popular mountain biking route. 

West High Yield says the project has undergone rigorous scrutiny through provincial processes. 

In August, the B.C. Environmental Assessment Office confirmed that Record Ridge would not be designated as a reviewable project under the Environmental Assessment Act. 

The office concluded that potential effects are being addressed through existing legislation, including the Mines Act and Environmental Management Act. 

“We are extremely pleased with the Environmental Assessment Office’s final designation decision, which validates the rigorous review our project has already undergone,” Marasco said in an Aug. 20 statement. 

He added that the company remains committed to building a sustainable operation that delivers critical minerals while protecting the environment and creating lasting benefits for local communities and Indigenous partners. 

In the same August statement, Chief Clarence Louie of the Osoyoos Indian Band also expressed support for the decision. 

“We are pleased that the Environmental Assessment Office respected the opinion of the Osoyoos Indian Band and has allowed the project to proceed,” he said. “We look forward to working with the leadership of West High Yield to ensure this project is of the highest standards in keeping with the traditions and expectations of our people.” 

Last month, the company announced it had received a draft permit from the Ministry of Mining and Critical Minerals. 

The draft outlines proposed conditions for the project’s development, which the company said it is reviewing with internal and external experts. 

In the mid-September statement, the company said a final permitting decision was expected in the coming weeks. 

Meanwhile, Ben Isitt, legal counsel for the Rossland action committee, said the court challenge is aimed at ensuring provincial law is properly applied to resource projects of this scale. 

“By disregarding expert findings and the broader record, the province failed in its duty to protect the public interest,” he said. 

“This legal action seeks to correct that failure and protect both human health and the environment in the Rossland area.” 

Save Record Ridge Action committee members argue that the province’s decision contradicts its stated commitment to world-class oversight of resource development. 

The committee said it is seeking a judicial review to ensure environmental safeguards are upheld and public trust in the regulatory process is maintained. 

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