April 21, 2016
On April 15, 2016, Bill No. 149, The Mineral Resources Act (2016) (2016 Act), passed its second reading in the NS House of Assembly. Although the 2016 Act does contain some good news for the industry, there’s some risky news too: its provisions could have a significant impact on the mining industry in Nova Scotia, even though it’s not a complete overhaul of the current regime.
Here’s what’s good, what’s risky and what’s neutral in the 2016 Act.
THE GOOD NEWS
The 2016 Act does contain some “good news” for industry members:
Extended Timing. The 2016 Act extends several timelines relative to The Mineral Resources Act (1990) (1990 Act), arguably making them both more realistic and administratively feasible for both industry members and the government:
New Planning Requirements. The 2016 Act also mandates new planning requirements for certain industry participants that generally reflect current industry trends and best practices, despite imposing additional obligations on participants and permitting the Minister to intervene in the event of non-compliance:
THE RISKY NEWS
But the 2016 Act isn’t a completely “good news” story for industry members; the 2016 Act raises some real uncertainties and risks of which industry members must be aware and for which they must be prepared:
Provincial royalties in limbo. The 2016 Act is notable for what it doesn’t contain: provisions on royalties payable to the province that are detailed in the same degree as those in the 1990 Act. In particular, the 2016 Act doesn’t address the amount and calculation of the royalty; instead, the instructions for determining rates and amounts of royalties payable will be set out in the regulations – which haven’t yet been developed – creating a high degree of uncertainty around a very important issue. The government, in the second reading debates, indicated that the regulations will be drafted in the next few months.
New investigation powers & new privacy concerns. The 2016 Act gives the Mine Assessor and other officers expanded powers of entry and investigation that may cause industry members some concern about privacy. In particular an officer, when obtaining information on the amount and value of the output of a mine, may “use any computer system at any place to examine any data contained in or available to the computer system”, amongst other powers (sections 123, 124 and 128). From a risk management perspective, industry members should consider data storage and retention policies for sensitive information not required to be provided to the Crown or retained under the 2016 Act. The 2016 Act also gives conservation officers a new enforcement role (section 20) and with it, powers of arrest (section 129).
More offences & graver penalties. The 2016 Act adds offences and stiffens the penalties for them, and an industry member’s obligations for making a mistake under the 2016 Act could look very different than it did under the 1990 Act:
Ministerial consent for lease and registration transfers. The Minister’s written consent is still required for a transfer of a lease or non-mineral registration, but the 2016 Act will expand the scope of what is deemed to be such a transfer. Absent proper planning, this expanded requirement could delay certain transactions. Both the sale of a controlling interest in a corporation holding a mineral right or non-mineral registration or the transfer of a mineral right or a non-mineral registration from a parent to a subsidiary will be deemed to be a transfer requiring the Minister’s written consent (section 105). The 1990 Act was silent in this respect.
THE NEUTRAL NEWS
There are some changes in the 2016 Act that, while different from the 1990 Act, may have limited practical impact on industry participants:
Lease distinctions. The 2016 Act eliminates the distinction between a “special lease” and a “mineral lease” found in the 1990 Act. However, this seems more a change in name than practical substance because the Minister still retains the authority to withdraw lands from being subject to an application for a mineral right for all or certain minerals (section 59).
Administrative Decision-Makers. Cabinet may appoint a commissioner or establish a board to hear appeals of decisions made under the 2016 Act, and the Minister may delegate decision-making for surface access rights to this new decision-maker (section 22). However, this structure must first be enabled through regulation and it’s not yet apparent whether Cabinet will ultimately appoint a board or commissioner or if it does, what decisions it will delegate.
Please contact your McInnes Cooper lawyer or any member of our McInnes Cooper Mining Law Team to discuss this topic or any other legal issue.
McInnes Cooper has prepared this document for information only; it is not intended to be legal advice. You should consult McInnes Cooper about your unique circumstances before acting on this information. McInnes Cooper excludes all liability for anything contained in this document and any use you make of it.
© McInnes Cooper, 2016. All rights reserved. McInnes Cooper owns the copyright in this document. You may reproduce and distribute this document in its entirety as long as you do not alter the form or the content and you give McInnes Cooper credit for it. You must obtain McInnes Cooper’s consent for any other form of reproduction or distribution. Email us at [email protected] to request our consent.
Nov 1, 2023
On October 13, 2023, the Supreme Court of Canada issued its judicial reference opinion: a significant portion of Canada’s federal…
Aug 8, 2023
We updated this publication on August 10, 2023. The Nova Scotia commercial net-metering regime just took another step toward implementation.…
Jan 25, 2023
Buzz around the potential of hydrogen as a green energy source has been growing. And the Atlantic Canadian provinces are poised to become a key…
Nov 10, 2022
We updated this publication on August 8, 2023. October 2022 amendments to the N.S. Renewable Electricity Regulations ushered in a new…
Oct 28, 2022
Finally closing on October 27, 2022, the tumultuous Elon Musk/Twitter M&A deal drama has been unfolding for months, with both sides making…
Jun 24, 2022
The New Brunswick Court of Queen’s Bench has issued a court order to stop Indigenous fishers (all apparently members of the Wolastoqey Nation)…
Jun 6, 2022
The Federal Court’s April 22, 2022 decision in Mowi Canada West Inc. v. Canada (Fisheries, Oceans and Coast Guard) has implications for the…
Apr 20, 2022
If you’ve reached the stage in your financing lifecycle where you’re ready to take your company public, you might think you’ve only got…
Feb 3, 2022
On January 26, 2022, the British Columbia Court of Appeal extended an injunction preventing protesters from interfering with a logging…
Nov 10, 2021
On November 5, 2021, the Province of Nova Scotia passed the Environmental Goals and Climate Change Reduction Act. The Act will serve as the…
Oct 29, 2021
The New Brunswick Reduction of Greenhouse Gas Emissions Regulation, effected under the N.B. Climate Change Act, establishes specific…
Oct 19, 2021
Canada’s aquaculture industry is poised for growth but that growth is being challenged by regulatory uncertainty and a lack of confidence…
Jul 27, 2021
Canadian entities regularly contract with foreign companies to provide services in Canada. To complete its obligations under the contract, the…
Jun 24, 2021
Many employers use equity compensation plans like employee stock option plans to attract, motivate, and retain talent. One reason stock options…
Jun 1, 2021
We updated this publication on July 22, 2021. On May 26, 2021, the Hague District Court in the Netherlands ordered Royal Dutch Shell (RDS) to…
Apr 13, 2021
On April 7, 2021, the Nova Scotia government introduced Bill 97, amendments to the N.S. Electricity Act aimed at growing the solar industry in…
Mar 26, 2021
Merger and acquisition deals are still happening across all sectors, perhaps at an even higher rate than pre-COVID-19 pandemic, even if the…
Jan 20, 2021
We updated this publication on July 8, 2022. 2020 was a year filled with challenges, including in the relationship between Indigenous…
Nov 24, 2020
An economic downturn can result in an M&A uptick: there can be more attractive targets on the market, and sellers can be more motivated to…
Sep 29, 2020
We updated this publication on December 22, 2022. It’s a forgone conclusion that diversity in thought and in leadership makes good business…
Jun 12, 2020
The financial technology (Fintech) industry uses technology to support and enhance financial and banking services.
Apr 20, 2020
As countries around the world grapple with the spread of COVID-19, global restrictions and containment measures have presented a range of…
Mar 17, 2020
Business corporations laws and stock exchange policies mandate that issuers hold annual general meetings (AGM) and set requirements for when and…
Feb 4, 2020
Tidal developers considering responding to the FORCE Berth D procurement now have a clearer view of just what the successful proponent will get.…
Jan 30, 2020
NOTE: The new tax rules for employee stock option plans take effect on July 1, 2021. Learn more at Limited Options: New Employee Stock Option…
Jan 22, 2020
All issuers must comply with both periodic and ongoing securities law corporate governance (and other) disclosure requirements. This can,…
Nov 22, 2019
The Environmental Emergency Regulations, effected under section 200(1) of the Canadian Environmental Protection Act (CEPA) and in force since…
May 21, 2019
We updated this publication on February 17, 2023. As of June 13, 2019, private companies incorporated under the Canada Business Corporations…
Nov 16, 2018
Companies engaged in the cannabis supply chain are highly regulated by federal and provincial cannabis-specific laws as well as a myriad of…
Jul 10, 2018
If enacted, Bill C-69, An Act to enact the Impact Assessment Act and the Canadian Energy Regulator Act, to amend the Navigation…
Jun 29, 2018
The Crown’s duty to consult Indigenous Peoples has evolved considerably since the Supreme Court of Canada’s first detailed articulation of…
Jun 12, 2018
This publication has been updated as at July 8, 2022. Changes to the Canada Business Corporations Act (CBCA) over the past several years have…
Apr 2, 2018
Equity compensation plans are a valuable and versatile tool for many corporations, from early-stage startups to established blue-chips.…
Feb 20, 2018
The Canadian federal government has finally revealed how it proposes to regulate offshore renewable energy developments in federal waters. On…
Feb 20, 2018
On February 8, 2018, the Canadian federal government proposed a new Impact Assessment Act in Bill C-69, An Act to enact the Impact Assessment…
Feb 13, 2018
The much-anticipated Nova Scotia marine renewable energy regime finally has the force of law. First introduced over two years ago, the Nova…
Feb 9, 2018
NOTE: On June 21, 2019, Bill C-68, An Act to Amend the Fisheries Act and other Acts in consequence, took effect. On February 6, 2018, Bill…
Feb 8, 2018
Over the past 15 years, most of the Supreme Court of Canada’s decisions respecting Indigenous Peoples in Canada have revolved around the…
Dec 22, 2017
Blockchain technology has already been a transformative force in a number of sectors. Its most prominent use to date has been as the…
Nov 30, 2017
On November 30, 2017, the Supreme Court of Canada denied Geophysical Service Incorporated’s (GSI) application for leave to appeal the decision…
Nov 17, 2017
It’s official: as of October 31, 2017, “facilitation payments” contravene Canada’s Corruption of Foreign Public Officials Act (CFPOA).…
Nov 9, 2017
On November 3, 2017, the Newfoundland and Labrador Government published new Offshore Oil Royalty Regulations replacing the Royalty Regulations,…
Nov 7, 2017
On November 2, 2017, the Supreme Court of Canada was faced with the Ktunaxa Nation’s claim that a Ministerial decision to approve a project…
Nov 2, 2017
On October 19, 2017, the Toronto Stock Exchange (TSX) announced it had adopted amendments to its Company Manual. Originally proposed in Spring…
Oct 11, 2017
The fourth round of NAFTA negotiations is set to start on October 11, 2017. But in the meantime, the Canada-European Union Comprehensive…
Oct 6, 2017
On October 5, 2017, the N.S. government took another step toward creating a globally competitive marine renewable energy industry and associated…
Sep 29, 2017
Atlantic Canada is at a turning point. The region’s history and economic development have historically been inextricably linked to the ocean.…
Aug 16, 2017
In the not-so-distant past, Canadian enforcement of its anti-corruption and anti-bribery legal regime has been relatively laid-back. But the…
Jul 28, 2017
All stakeholders in any major project development already know that adequate consultation before - rather than after - a project is approved is…
Jul 17, 2017
A corporation does not always sail in calm or safe waters. Cash shortages, unattainable or unmet goals, Board disagreements over the best course…
Jul 11, 2017
The Canada-European Union Comprehensive Economic Trade Agreement (CETA) is making waves in Canada, and for good reason: it casts the net of…
May 26, 2017
On May 19, 2017, the Supreme Court of Canada agreed to hear the appeal of the Federal Court of Appeal’s 2016 decision in Canada v Mikisew Cree…
May 11, 2017
The Extractive Sector Transparency Measures Act is one of several anti-bribery and anti-corruption laws aimed at fighting corruption in the…
May 1, 2017
NOTE: On November 30, 2017, the Supreme Court of Canada denied Geophysical Service Incorporated’s (GSI) application for leave to appeal the…
Apr 20, 2017
On April 13, 2017, Canada’s federal government introduced legislation that, if passed into law, will legalize recreational cannabis in Canada.…
Apr 17, 2017
Recreational cannabis isn’t legal yet - but much of the associated stigma is already gone, usage is up and employers are feeling the workplace…
Apr 6, 2017
Adding a third jurisdiction to Gard Update’s comparison between privilege in the corporate context under U.S. and English law, McInnes Cooper…
Apr 5, 2017
NOTE: Consultants who were already lobbying and in-house lobbyists already employed by an organization when the new Act took effect were…
Mar 31, 2017
Legal uncertainty is never a good thing for industry: it’s a barrier to investment, and thus an adversary to growth. Unfortunately, the law is…
Mar 30, 2017
Social media platforms, like Instagram, Twitter, LinkedIn, YouTube, Facebook and GooglePlus, arguably have more followers and are more closely…
Feb 24, 2017
This publication has been updated as at January 12, 2023. Many organization (66%) store the personal information of customers. employees,…
Jan 25, 2017
Doing business with the public sector creates an often overlooked – but very real – risk that the confidential information a business…
Jan 13, 2017
On January 11, 2017, Emera Inc. offered an electrifying opportunity for renewable energy developers to potentially access the New England…
Dec 20, 2016
As 2016 draws to a close, Oil & Gas Team @ McInnes Cooper offers its picks for the top three legal developments of 2016 that impacted the…
Dec 15, 2016
On December 13, 2016, the Province of Nova Scotia released for comment draft regulations that will establish the Solar for Community Buildings…
Dec 7, 2016
Recently, the Nova Scotia Supreme Court denied a motion for a temporary stay of proceedings to prevent the deployment of certain tidal devices…
Nov 9, 2016
The balance between the public’s interest in accessing offshore petroleum resources data and operators’ commercial interests is at the heart…
Sep 12, 2016
On September 9, 2016, the Supreme Court of Canada decided in Musqueam Indian Band v. Musqueam Indian Band (Board of Review) that an Indian band…
Aug 15, 2016
The standards expected of market participants are steadily increasing in response to demand to address white collar crime – including…
Jul 7, 2016
On July 6, 2016, the Federal Department of Fisheries and Ocean’s (DFO) accepted the Ministerial Advisory Panel (MAP) recommendation in the…
Jun 20, 2016
As of July 1, 2016, packed cargo containers to which the International Convention for the Safety of Life at Sea (SOLAS), Chapter VI, Regulation…
Jun 17, 2016
In its June 16, 2016 decision in Rogers Communications Inc. v. Châteauguay (City), the Supreme Court of Canada decided a municipality’s…
Jun 10, 2016
Administrative monetary penalties, or “AMPs”, are a new phenomenon in the Canadian offshore. AMPs were introduced to the Newfoundland &…
Jun 6, 2016
On June 2, 2016, the Supreme Court of Canada denied an Alberta First Nation’s request to appeal the Court of Appeal’s dismissal of its bid…
Jun 6, 2016
Each Provincial government is under the legal duty to consult; the manner in which each carries out its legal duty to consult differs depending…
Jun 6, 2016
On June 30, 2016, amendments to National Instrument 45-106 Prospectus Exemptions and related changes to Companion Policy 45-106 Prospectus…
May 31, 2016
You’re on a tight timeline to issue a press release. You finish your draft and ‘cut & paste’ your standard “forward-looking…
May 10, 2016
This publication has been updated as at April 18, 2022. Access to sufficient capital is always a business issue, from the startup stage right…
May 2, 2016
Amendments changing the early warning reporting system take effect on May 9, 2016, provided all necessary approvals are obtained (except in…
May 2, 2016
Amendments changing the early warning reporting system take effect on May 9, 2016, provided all necessary approvals are obtained (except in…
May 2, 2016
We updated this publication on October 4, 2023. Workplace accidents regularly lead to charges under occupational health and safety (OHS) law.…
Apr 19, 2016
On April 14, 2016, the Supreme Court of Canada decided that Métis and “non-status Indians” are “Indians” under section 91(24) of the…
Mar 24, 2016
When a business responds to a public sector Request for Proposal or Expression of Interest (both of which we’ll refer to as an RFP for these…
Mar 9, 2016
On January 11, 2016, the Ontario Superior Court of Justice sentenced a front-line supervisor to imprisonment for 3½ years for four counts of…
Feb 15, 2016
On February 26, 2016, the bulk of the offshore-related amendments of the Energy Safety and Security Act (ESSA, formerly known as Bill C-22) take…
Feb 1, 2016
On January 29, 2016, the New Brunswick Power Corporation (NB Power) kicked-off compliance with its obligations under the new Electricity from…
Jan 18, 2016
Things have gotten a bit easier for venture issuers, such as those listed on the TSX Venture Exchange, with recent changes to their obligations.…
Dec 21, 2015
A practical and current guide created to help you navigate the increasingly important issues surrounding offshore decommissioning and…
Oct 19, 2015
Access to sufficient capital to fund operations, research and development, and other costs is a key challenge for start-ups and for some small…
Jul 17, 2015
On the heels of National Aboriginal Day, we pause to take a look back at two significant Aboriginal law cases decided in the last year, how…
Jul 10, 2015
On April 15, 2015, British Columbia’s Court of Appeal confirmed that First Nations can make certain legal claims grounded in Aboriginal rights…
Jun 25, 2015
We updated this publication on October 4, 2023. Most people know a company itself has occupational health and safety (OHS) obligations and…
Dec 10, 2014
“Corporate Social Responsibility” (CSR) as a concept has been floating around in business-speak for years – but stakeholders in the mining…
Sep 16, 2014
This publication has been updated as at August 25, 2022. Many believe that only public companies or large, established companies with many…
Jun 26, 2014
On June 26, 2014, in its groundbreaking decision on Aboriginal title in Read the SCC’s decision in Tsilhqot’in Nation v. B.C., 2014 SCC 44,…
Jun 11, 2014
Note: For an update on Crowdfunding, read: New Kid on the Block – Crowdfunding Joins Traditional Equity-Based Funding Options for Start-ups…
Nov 1, 2013
Recent decisions of securities regulators and amendments to Canadian securities laws demonstrate regulators' lowered tolerance for insiders who…
May 21, 2013
In its April 2013 decision in Re Stan, the Alberta Securities Commission provides issuers with a practical approach to the assessment of both a…
Feb 8, 2013
While much of the developed world struggles with debt and chronically low growth, Canada, one of the best-performing members of the G-7,…
Aug 27, 2012
Introduction and Purpose Staff of the Canadian Securities Administrators (CSA Staff or we) are publishing this Staff Notice (the Notice) to…
Jun 1, 2012
Multilateral Instrument 51-105, Issuers Quoted in the U.S. Over-the-Counter Markets will come into effect on July 31, 2012. Once effective,…
Dec 22, 2011
On May 26, 2010, the Canadian federal government released the proposed Canadian Securities Act (the Act) which would, among other things, create…
Nov 1, 2011
Entrepreneurs need to be ready for due diligence, so it’s essential to involve legal advisors and accountants early in the process. Click…
Oct 6, 2011
In 2009 Canadian securities regulators changed the rules relating to securities “registration” – these rules determine who is required to…
Apr 6, 2010
Carole Chan was the Co-author of the following publication: A Review of the Project Scope and Environmental Assessment Scope for Mining and…
Subscribe to McInnes Cooper to stay current with our leading insights on legal updates, trends, news, events, and services.