Eskay Creek Mine Revival Could Fuel Northern B.C. Economy Amid Forestry Downturn
The potential reopening of British Columbia's Eskay Creek gold mine is generating significant buzz in the province's northwest, with industry leaders touting it as a potential economic powerhouse for a region grappling with substantial job losses in the forestry sector. According to the Mining Association of B.C., this project is among 24 major mine proposals that could help offset the approximately 15,000 forestry jobs lost since 2022.
Major Economic Impact Projected
Skeena Resources Ltd.'s proposal to revive the mothballed Eskay Creek mine involves converting the underground operation to open-pit mining, which would create more than 1,000 construction jobs during the transition phase. Once operational, the facility is expected to provide approximately 770 permanent positions, offering substantial employment opportunities in a region that has faced economic challenges.
The project recently advanced through environmental permitting, marking a significant milestone toward potential development. This progress comes as the Mining Association of B.C. actively promotes mining as the economic engine needed to fill gaps left by forestry's decline, particularly in northern communities.
Local Community Perspectives
In Terrace, a community of about 13,000 located approximately 690 kilometres north of Vancouver, news of the mine's environmental approval has been met with optimism. Terrace Mayor Sean Bujtas described the development as exciting news for local businesses.
Businesses are thriving in the community, Bujtas noted, highlighting increased traffic and economic activity. You're getting all these people in the community, you get all these mines shopping and purchasing products in the communities, if it's Smithers or Terrace, and that's wonderful.
However, the mayor expressed some trepidation about the impending mining boom, acknowledging that while new mines bring jobs and spending, they don't fully replace the industrial tax base lost through mill closures in the forestry sector.
Broader Economic Context
Bryan Yu, chief economist at Central 1 Credit Union, provided context about the economic landscape. Forestry, while it has been in a long period of decline, still dominates B.C.'s exports, Yu explained. He noted the difficulty in directly comparing the impact of mines, which typically export raw minerals, with sawmills classified as value-added manufacturers.
Yu also highlighted that mines take considerable time to develop, and whether some proposed projects proceed remains an open question. This uncertainty underscores the complex economic transition facing northern British Columbia.
Industry Momentum Building
The Mining Association of B.C. recently published a revised edition of its economic impact study, adding four new advanced mining proposals to the list of 20 possible mines across northern B.C. The association first presented this list at the B.C. Natural Resources Forum in Prince George.
The comprehensive list includes:
- Projects already proceeding, such as Centerra Gold Inc.'s expansion of the Mount Milligan mine northwest of Prince George
- Projects nearing decision points, like the Eskay Creek revival
- More speculative proposals still in earlier development stages
This collective mining activity represents what industry advocates describe as a transformative opportunity for northern British Columbia's economy, potentially creating thousands of jobs and injecting billions of dollars into regional development.
As the province navigates this economic transition, the Eskay Creek project stands as a prominent example of how resource development might help stabilize communities affected by forestry's decline while creating new economic pathways for northern British Columbia.
