Chief Cree negotiator expects Quebec mining royalties to slow development

Chief Cree negotiator Abel Bosum predicts slowed mining activity in northern Quebec as a result of the Parti Québécois' new mining tax and royalty regime.

Bosum cautioned that investors were likely to reconsider involvement in mining projects in the region now that companies will have to pay 1% on the "first $80 million of output, and more taxes depending on how much material they take out of the earth," the CBC reported Tuesday.

Bosum claimed that the Cree people will receive a smaller share of mining profits because of the extra taxes but, overall, they would not be dramatically affected.

 

Sources: The CBC; The Globe and Mail