Thank you for your email regarding Northback Holdings Corporation’s (Northback) applications to conduct test drilling on Grassy Mountain. As Minister of Energy and Minerals, I am pleased to respond on behalf of the Government of Alberta.

Government is tasked with overseeing responsible resource development for the benefit of all Albertans. We cannot comment on this matter, or any other matter, that is before the courts or other decision-making processes.

There are currently a small number of limited exploratory applications from Northback to conduct test drilling on Grassy Mountain. These applications are being reviewed by the independent quasi-judicial Alberta Energy Regulator Hearing Commission.

The test drilling is intended to provide information about the nature and type of coal on the mountain and it may support a future mining application, should Northback choose to submit such an application. The current test drilling application proposes to use water from the end pit lake from the un-reclaimed legacy coal mine on Grassy Mountain, and no application has been made to take water from any stream, creek, or river in the area.

Should Northback choose to make a future application for a mine development, that decision will be made by Alberta Energy Regulator using established processes.

Alberta’s government protects what is important to Albertans and they have let us know that we should protect our foothills and the rivers and streams that originate there —that is exactly what we are doing. We are protecting the Eastern Slopes and will continue to do so. Coal development activities in the area are limited on Category 2, 3 and 4 lands. Activities have never been allowed within Category 1.

Alberta’s rigorous regulatory system set out in the 1976 Coal Development Policy remains in place. We have further introduced a rigorous Coal Industry Modernization Initiative (CIMI) which will prevent new open pit coal mines and mountain top removal mining in all the foothills. The CIMI will set new standards for what types of coal mines will be allowed and new tougher requirements of the mining techniques to be used to protect our waterways from selenium.

The Government of Alberta will not interfere with operating mines that are safely underway or put the hardworking Albertans who operate those sites out of work. Activities in active mines and applications related to advanced coal projects can continue, under the supervision and scrutiny of the Alberta Energy Regulator.

Modernizing Alberta’s management of coal resources is a complex undertaking, and we recognize the strong interest from communities. We are committed to protecting our waters, protecting the foothills, and protecting taxpayers.

Thank you again for sharing your views on this important issue.

Sincerely,
Brian Jean, K.C., ECA
Minister [of Energy and Minerals]