Two British Columbia mining groups slammed a report on mine development delays as “flawed” but noted it shows the need for overhauling the province’s permitting process.

The study, Does regulation delay mines? A timeline and economic benefit audit of British Columbia mines, published by researchers from two BC universities blames delays on economic factors. But the mining industry says the permitting process is the major roadblock.

This week, the Mining Association of British Columbia (MABC) and tye Association for Mineral Exploration (AME) argued that the Dec. 11 report ignored key issues in the province’s regulatory framework. As a result, it harmed the province’s image on global competitiveness, they said.

MABC CEO Michael Goehring called the study’s methodology unsound and its conclusions deceiving. He cited the 11- and eight-year permitting processes for two new mines in BC as proof of excessive delays.

“This study ignores the additional layers of federal and provincial permitting beyond environmental assessments,” Goehring said this week in a statement to The Northern Miner. “It also fails to recognize that permitting delays significantly impact our ability to attract investment and keep projects aligned with market conditions.”

A matter of perspective

The study, published in FACETS Journal by researchers at Simon Fraser University and the University of British Columbia, analyzed 27 mining projects granted environmental assessments since 1995. It found only seven mines opened on time, while fluctuating commodity prices and financial issues caused most delays. Regulation, according to the study, played a role in just three cases.

The FACETS paper suggested that BC mines consistently underperform economically, producing only 23% of forecasted output and 12% of predicted employment. Both organizations criticized the report for using limited data. They said it fails to reflect the broader contributions of operational mines. They also said it ignores the delays that stifle projects before they begin.

The mining sector contributed C$18 billion to BC’s economy in 2022, the latest year for which totals have been calculated, supported 35,000 jobs and generated nearly C$3 billion in taxes, according to MABC data.

Goehring said the study missed these benefits and downplayed the challenges from regulatory inefficiencies. “Permitting must align with global demand for critical minerals,” he said.

The FACETS study acknowledges several people sharing a link to environmental and social justice activism for their input. They include Shiri Pasternak, Justina Ray, Nikki Skuce and Jamie Kneen who co-founded MiningWatch Canada, an organization focused on mining-related environmental issues.

Lack of clarity

The AME’s response echoed MABC’s concerns but emphasized regulatory inefficiencies throughout the project lifecycle.

CEO Keerit Jutla noted delays in issuing ‘notice of work’ permits. Exploration companies need these permits to start early-stage mineral exploration.

“Processing times for these permits have increased significantly, creating uncertainty for companies and discouraging investment,” Jutla said in a Dec. 13 statement.

The study found that 13 of the 27 mines approved since 1995 never began production. Three lost their environmental certificates for missing deadlines to start operations.

Jutla acknowledged the report was right to point out these outcomes, saying they demonstrate a lack of clarity and efficiency in BC’s regulations. Those results undermine investor confidence and misalign projects with commodity cycles.

“Permitting delays don’t just affect timelines — they damage BC’s reputation globally,” he said.

He underlined the need for certainty at every regulatory stage. “BC’s regulatory system must be clear, efficient, and fair if we want to remain competitive and deliver the critical minerals the world needs,” he said.

Reform

Both organizations called for a comprehensive overhaul of BC’s permitting process.

Goehring urged the government to ease regulations while keeping the province’s environmental protections.

“The world needs BC’s critical minerals for the transition to a low-carbon economy, but we won’t deliver without a permitting process that matches the pace of global demand,” he said.

Source: MINING.COM – Read More