Xatśūll First Nation Calls for Halt to Osisko Development's Cariboo Gold Project

The Xatśūll First Nation is calling for a halt to the Cariboo gold project in Central BC, Canada, citing unresolved environmental, economic and cultural concerns related to the proposed mine.

Owned by Osisko Development (TSX:OSK,OTC Pink:OBNNF), Cariboo is located within a historically significant mining region, but also overlaps the territory of several First Nations, including that of the Xatśūll.

Xatśūll Chief Rhonda Phillips has emphasized that while the First Nation has engaged in discussions in good faith, it cannot endorse the project without acknowledgment of Indigenous title and decision-making authority.

“Xatśūll has acted in good faith in our discussions, and we will not stand down until we are treated respectfully as partners and acknowledged as Aboriginal title holders and decision-makers in relation to the Project, as we rightfully should be,” she said in a press release shared on November 7.

Phillips also highlighted the importance of developing a consent-based framework, stressing the necessity of respecting Indigenous rights as stipulated in both the Declaration on the Rights of Indigenous Peoples Act and the United Nations Declaration on the Rights of Indigenous Peoples.

If such terms are not satisfactorily met, Osisko risks facing legal action from the First Nation.

Cariboo, which is situated within the Wells-Barkerville region, is anticipated to create nearly 500 jobs and yield about 1.87 million ounces of gold over its expected lifespan of 12 years.

While Osisko obtained an environmental assessment certificate in October 2023, allowing the project to proceed with specific conditions, the Xatśūll First Nation has expressed that the certificate was issued without its consent.

The community’s concerns extend to specific environmental and health risks, including the project’s potential impact on the threatened Barkerville Woodland caribou herd, air quality and the contamination of food and water sources.

Phillips pointed to the 2014 Mount Polley mine disaster, where a tailings spill affected local waterways, as an example of the long-term impact of mining projects on Indigenous lands. She further stated that Cariboo should be subject to a more stringent regulatory framework, with Indigenous consent at the core of any development in Xatśūll territory.

Osisko maintains that it has taken significant steps to address Indigenous concerns and integrate community input.

The company pointed to a robust consultation process that included approximately 1,800 comments from various Indigenous communities; these were reviewed and addressed as part of the permitting process.

In a November 7 statement, Chairman and CEO Sean Roosen noted that the company has focused on establishing economic and environmental partnerships with affected Indigenous nations. He cited financial benefits similar to those accepted by other Indigenous groups, such as the Lhtako Dené Nation and Williams Lake First Nation.

“Our efforts have focused on providing meaningful benefits to all Indigenous nations, whilst ensuring the project remains viable,” he maintained, also saying that the company remains open to ongoing dialogue with the Xatśūll.

The Lhtako Dené Nation has since expressed support for Cariboo. According to representatives, its stewardship efforts with Osisko have already led to positive initiatives, such as caribou tracking and salmon restoration programs.

Government officials, meanwhile, have acknowledged the need to balance economic development with environmental and Indigenous rights. BC's Ministry of Energy, Mines and Low Carbon Innovation said the province is engaging with the Xatśūll First Nation on resource projects within its territory and is committed to “timely statutory decision-making.”

Cariboo is nearing the final permitting stage, with a decision anticipated by the end of 2024.

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Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.