As Gold Terra evolves plan to reopen Con Mine, residents query changes

Gold Terra’s plans to revive gold mining at Yellowknife’s former Con Mine could bring hundreds of jobs to the city, though some residents question how the project would affect housing, electricity and the environment.

At a town hall Wednesday evening at the Yellowknife Ski Club, Gold Terra boss Gerald Panneton outlined the company’s exploration work and hopes of restarting mining operations as early as 2029. 

The company is drilling near Tin Can Hill, south of Con Mine and in its historic tailings area, where it hopes to recover gold left behind by previous operations. 

Panneton said higher gold prices have improved the project’s outlook. Gold Terra previously believed it needed two million ounces of gold to make reopening viable, but now believes one million ounces could be sufficient. 

The company hopes to complete an economic assessment in early 2027, begin permitting that year and potentially start construction in 2028 or 2029.

While reopening a gold mine would have significant economic benefits for Yellowknife, the city is still dealing with the toxic legacy of another mine – nearby Giant – and some residents at Wednesday’s meeting expressed concern about aspects of Gold Terra’s proposal.

For example, one resident questioned where the mine would get its electricity, given Yellowknife’s existing power constraints.

Panneton acknowledged Yellowknife’s electricity system would not have enough capacity to support the project, which would require approximately 15 megawatts. 

He said Gold Terra is considering generating its own electricity using liquefied neutral gas rather than waiting for the proposed Taltson hydroelectric expansion.

Another resident suggested building a larger generating facility that could also supply electricity to Yellowknife. Panneton said he would be open to exploring that possibility, potentially with federal support. 

Mill location changes

Noise was another concern, particularly after Panneton confirmed Gold Terra now intends to build its mill at the former Con Mine site. The company previously proposed building the mill north of Yellowknife to keep dust and noise away from residential areas. 

Panneton acknowledged the mill and ventilation equipment would generate noise, but said the company would try to enclose the equipment to reduce its impact. He could not estimate how loud operations would be. 

Gold Terra is also considering a bypass road around Kam Lake to prevent mining trucks travelling through the city. 

Environmental concerns were raised, with one resident questioning how Gold Terra could reassure Yellowknifers that reopening Con Mine would not repeat the environmental problems associated with Giant. 

Panneton argued the sites have different histories and said remediation at Con has been largely completed. He maintained that modern mining methods would allow the company to operate responsibly. 

Housing and employment were another focus, with residents questioning where hundreds of construction workers would live amid Yellowknife’s housing shortage. 

Panneton estimated construction could require approximately 400 workers over 12 to 16 months, while an operating mine would employ around 200 people. 

He said the company hopes to prioritize local workers, particularly those affected by closures in the NWT’s diamond mining industry. Accommodation arrangements for workers coming from outside the territory have not yet been determined.

The company’s plans have also attracted attention beyond Yellowknife. 

Bank of Canada Governor Tiff Macklem visited Gold Terra’s projects in September as part of a trip to better understand the NWT economy.

In an interview with Cabin Radio, Panneton said he spent approximately three hours with Macklem discussing private investment and mining’s economic potential in the North. 

He said the visit resulted in no specific commitments but helped raise awareness of opportunities in the NWT. 

“I hope it’s going to be big, and I hope it’s going to be sustainable,” Panneton said of Gold Terra’s potential role in Yellowknife’s economic future. 

Gold Terra must still establish the project’s financial viability, secure permits and complete its purchase of Con Mine before construction can begin.