Future of Canada mines threatened by dam burst and mining waste spill

This aerial photo shows the damage caused by a tailings pond breach on Lake Polley, British Columbia. The minister responsible for British Columbia's mines says residents living along waterways affected by a mining-waste spill could catch a lucky break because the waste may not be poisonous. (AP Photo/The Canadian Press: Jonathan Hayward) — This aerial photo shows the damage caused by a tailings pond breach on Lake Polley, British Columbia. The minister responsible for British Columbia’s mines says residents living along waterways affected by a mining-waste spill could catch a lucky break because the waste may not be poisonous. (AP Photo/The Canadian Press: Jonathan Hayward)

By Christopher Donville and Liezel Hill
Bloomberg News / Business News Network

A dam failure that sent billions of gallons of mine waste flowing down a British Columbia creek threatens to put a chill on new mining projects across Canada.

The Aug. 4 accident at Imperial Metals Corp.’s Mount Polley copper-and-gold mine led the local district authority to declare a state of emergency amid concerns about drinking water and the fate of millions of migrating salmon. Provincial government officials are at the mine, about 248 miles northeast of Vancouver, and are testing local rivers and lakes for contamination.

The dam breach has been stabilized and the waste isn’t acidic, Vancouver-based Imperial said in a statement the day after the accident. The company is trying to investigate the spill and mitigate its effects, it said yesterday.

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