Does the Dumont Project include metals other than nickel?
Yes, there is some cobalt, copper, platinum and palladium, but nickel clearly accounts for the greatest value in the deposit. Our preliminary assessment only considered two metals: nickel and cobalt.
How many tonnes of rock must be extracted to produce one pound of nickel?
We expect to produce an average of 4 pounds (1.8 kg) of nickel from each tonne (metric ton) of treated ore. One tonne of ore is the size of a cube measuring 73 cm on each side.
How far is the project from the village and the Launay esker?
The distance from the nearest end of the pit to the Launay esker is 5 km according to the current preliminary pit outline. The distance to the tailings site will be 1 km. We decided to maintain a minimum distance of 1 km from the esker when developing the project.
How much land will be affected by the mining operations?
We can estimate the amount of land to be affected by the Dumont mining operations using the preliminary mining model for the project. Based on the most current scenario, the project's overall footprint would be about 33.6 km
2 and the affected areas for each of the main components are estimated as follows:
| Type of infrastructure |
Surface area in km2 |
| Waste rock pile 1 |
3.11 |
| Waste rock pile 2 |
1.77 |
| Overburden stockpile |
2.27 |
| Pit |
3.74 |
| Tailings site |
15.19 |
You have already acquired some properties. Will you buy more?
We did already buy several properties that lie directly over the deposit, but only one of these had an inhabited house. For the time being, we have acquired all of the key land holdings we currently need for the project. We will definitely require more properties in the future if we are to continue developing the project, but we are not sure exactly which ones just yet.
RNC did not have a public information-consultation process in place at the time of the initial property acquisitions, and we sincerely apologize if this caused any misunderstandings or concern among other residents not involved in those transactions.
Do you have the government's approval to move ahead with this project?
We currently hold mineral claims that allow us to conduct exploration on the property and also give us priority when it comes time to request a mining permit. There are still a number of steps to complete before obtaining an order in council authorizing the mining project. These include specific consultations, government proceedings, and many more studies. It will take about 2 years from the time RNC announces to the government it intends to obtain a permit until the company can expect to receive approval following the required public environmental hearings (BAPE).
Do you have an agreement to buy land from the municipalities?
No. Intramunicipal lots are public land. Even if the municipalities and the government have agreements regarding these lots, they still belong to the Crown.
How do I let you know about any concerns, suggestions or comments I might have?
There are several options for those who wish to address a specific issue, express concerns, or share their suggestions for improving the project. The first is to participate in public information sessions on the project or attend open house days. The second is to contact members of the Advisory Committee or the RNC people in charge of sustainable development.
Does RNC plan on mining the deposit and processing the ore itself, or does the company plan on selling the project?
We intend to manage and operate the future mine ourselves. The current working scenario is to produce a high-grade nickel concentrate from the deposit and put it on the market, which means that the second or third order transformation will be done by other parties.
The Board of Directors and the team at RNC have an excellent track record in nickel project exploration, development and mining, and they will continue to add the necessary people to ensure successful management and operation of the future mine.
What do you expect in terms of cost, revenue and profit when mining this deposit?
These predictions were part of the preliminary assessment (NI 43-101 compliant) and are presented in the online technical report available from the RNC website.
The mining costs will be US$3.87 per pound based on a mining scenario of 100,000 tonnes per day. The greatest costs for this type of project are related to ore transportation and processing.
Profits will vary according to fluctuations in a number of parameters that influence the economic value of the project. The price of nickel, the value of the Canadian dollar, construction costs, and the costs of various other production factors, such as the price of gasoline, will all have a significant impact. The sensitivity of the project to variations in these parameters and the results of the project's assessment can be consulted in the technical report under the headings "Commercial Terms" and "Evaluation". According to the current assumptions (100,000 tonnes per day, long-term nickel price of US$7.50/lb), the after-tax net present value (NPV) at a discount rate of 10% will be US$694 million.
How can I send RNC my personal résumé, an offer of services, or a business opportunity?
You can send your personal résumé directly to the Amos office or email it to
careers@royalnickel.com. It will be classified according to your competencies and you will be contacted if the need arises for someone with your qualifications. Companies can also send their offer of services or business opportunity directly to the Amos office. Thanks to the chamber of commerce for the Amos region, RNC staff has already had the pleasure of meeting many of the region's business people face to face.
When will the project start generating jobs?
At the beginning of 2011, there were about 30 people working for RNC in Amos, not including employees of the drilling company and other subcontractors. We can expect the number of RNC employees to rise to 40 or 50 over the next year.
The majority of jobs for this project will be created after the feasibility study is finished, if we receive a positive answer from the government and the host communities. The construction of the mine planned for 2013 and 2014 will likely employ more than 1,400 workers through contractors and various subcontractors. And more than 500 jobs will be created once production starts in 2015.
Mining will continue for 25 years based on current scenarios, and during this time, progressive reclamation will also create jobs. Reclamation work will continue after the end of the mining operations until the site is in a satisfactory condition for the surrounding communities.
How will you train the people you need?
RNC is in touch with the Corporation de l'enseignement et de formation d'Amos-région, which joins together the school commission, the region's college (Cégep), and its university (UQAT). We plan on discussing our future needs with this organization and any other organization or group that wishes to work with us as we advance our project.
Can you recycle the overburden (soil cover) and waste rock?
Yes, the overburden can be reused as needed to progressively restore the site. Once we complete our ongoing ore and waste rock characterization studies, we will be able to decide how to reuse the waste rock.
Will the project affect our residential wells?
It is possible that water levels in wells will be lower due to an overall lowering of the water table once we start pumping the pit during mining operations. According to current scenarios, the final pit depth will be 450 metres.
The current drilling program should not have any impact on the water table level, and a hydrogeological study is underway. If you notice a change in your well, please contact Pierre-Philippe Dupont.
What kind of water management practices do you use while drilling?
The water we use for drilling is taken from streams. For each drill hole, we use biodegradable products (lubricants and additives) and dig a basin next to the site to collect suspended matter (rock powder and topsoil). Bales of hay are also strategically placed to filter the water again as it flows past the settlement basin, before being released into the environment. RNC has adopted a strict policy for drilling procedures. We are responsible for following up on this policy and making sure that subcontractors adhere to it. We have also hired a consulting engineering firm to conduct monthly inspections.
What will happen to the streams and other waterways presently on the project site?
While drilling, we stay at least 25 metres from any waterway and try to drill as far away as possible without compromising our drilling objective. When mining operations start, we will be looking for ways to recycle as much water as possible from the sedimentation pond and tailings (mill waste). We will also collect as much water as possible on the site, especially in the pit. Dumont Project activities will inevitably modify some portions of the existing waterways, but RNC will carry out mitigative and remedial actions appropriate to the nature and magnitude of the effects.