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RoadtonewYukonminetogothroughNWT8TuesdayJuly152014OPPORTUNITYTOBEEXCEPTIONALApplynowforthe201415DeBeersNWTPost-SecondaryScholarshipProgramAreyouinterestedinacareerinMiningDeBeersScholarshipsfor201415areavailabletoNWTstudentsregisteredinthefollowingstudyareasMineEngineeringGeologyFinanceAccountingCommerceHumanResourcesOccupationalHealthSafetyEnvironmentalScienceMetallurgyChemicalEngineeringMechanicalElectricalEngineeringFAXDEADLINEJULY3120141.867.766.7347CALLUS1.867.766.7300E-MAILNWT.SCHOLARSHIPSDEBEERSGROUP.COMONLINEWWW.DEBEERSGROUP.COMCANADAByJACKDANYLCHUKPropertyownersinYel-lowknifesKamLakebusi-nessdistrictarecryingfoulovertaxbillsthatjumpedbyasmuchas300percentaftertheywereassuredthepainwouldbeslight.Itsexcessiveridicu-lousEricSputekownerofHovatConstructionandadirectoroftheKamLakePropertyOwnersAssocia-tionfumedlastweekafterreceivinghistaxbillfromthecity.Wewereblind-sided.Wewereledtobelievethattheincreasewouldbearoundthreepercentthisyear.PropertyownersworriedinJanuarywhenthenewpropertyassessmentstherstsince2006cameinat40percenthigher.CarlBirdthecitysdirectorofcorpo-rateservicesassuredthemthatamillrateadjustmentwouldlimittheaveragetaxincreasetolittlemorethanthreepercent.Birdemphasizedthathewastalkingaboutproper-tiesacrossthecitynotKamLakewherelotpricesandthevalueofimprovementshaverisendramaticallyinthepastdecade.ReassuredbyBirdsmes-sageKamLakepropertyownersdidnotappealtheassessmentsandnowfaceaverageincreasesof34percentsaidSputekwhoknowsoftaxbillsthatjumpedasmuchas300percent.CityadministratorDen-nisKefalassaidofcialswillmeetwithpropertyownersnextSaturdaytodiscussthereasonsandmethodologybe-hindthetaxincreases.Atleastpartofthenewassessmentappearstobebasedontherevenuepoten-tialaccordingtoFiberglassNorthownerBruceElliottwhoalsooperatesastoragefacilityononeofhisKamLakeproperties.Thatmightbeokayifitwasbasedonrealearn-ingsbuttheyjustcountedthenumberofdoorsonthebuildingandbasedtheassessmentonthatEl-liottsaid.Imnowpaying20000ayearonjustthatonelot-moreforastoragebuild-ingthanfortheberglassfactoryhesaid.ThisisdisgustingElliottsaidlastweekafterdigestingthenews.Wevebecomeacashcowforacitymanage-mentthatdoesasitpleases.IanMatherssawhistaxbilljump48percentto10600from7000onaKamLakepropertythatisusedforstorage.IexpectedsixorsevenpercentthisisshockingsaidMatherswhohasex-periencewiththecitystaxappealsystemandexpectslittleinthewayoftaxrelieffromtheweekendmeetingwithcityofcials.IwounduppayingmoreMatherssaid.Weredealingwithacorporationthatsetsitsownprices.Ifwerefusetopaythecitycansellourproperty.TaxbitedrawshowlsfromKamLakepropertyownersIndustryMiningPoliticsMunicipalByMEAGANWOHLBERGAsecondtungstenmineintheSelwynMountainswillneedtouseanaccessroadthroughtheNWTdespitethedepositrestingontheYukonsideoftheborder.NorthAmericanTung-stenCorp.NATCwhichrecentlyreceivedpermit-tingfromtheYukonreviewboardforitsMactungproj-ectnowhastoapplytotheSahtuLandandWaterBoardSLWBtoupgradeanexist-ing11-kmstretchofroadac-cessiblefromtheCanolTrailtoreachitsdeposit.Thoughthecompanyoriginallyproposedcon-structinganew31-kmac-cessroadentirelyontheYukonsideoftheborderhopingtoavoidtwoseparateregulatoryreviewprocessesconcernsfromFirstNationsandouttterspromptedtheYukonassessmentboardtodemandanalternativethatposedfeweradverseimpacts.TheydideverythingintheirpowertotrytokeepitontheYukonsideoftheborderbuttherewasoppo-sitiontobuildinganewroadtheresaidMichaelMilt-enbergerNWTsministerofEnvironmentandNatu-ralResources.TheboarddecidedthatupgradingthespurfromtheCanolTrailbuiltinthe1970swouldresultinfeweradverseenvironmentalandsocio-economiceffectsandallowedtheprojecttopro-ceedtopermittingwithoutanenvironmentalassess-mentbutsubjectto86termsandconditions.NATCwillnowneedtoapplytotheSLWBforalandusepermitandpossiblyawaterlicencebeforebeingabletoproceed.AccordingtoMiltenbergertheGNWThasmetwithNATCtodiscusstheirproj-ectplanning.MactungNATCssec-ondtungstenmineneartheNWT-Yukonborderisex-pectedtomilloreatarateof2000tonnesperdayfor11yearsandliestothenorthofitsexistingCan-tungproject.Cantungwhichisacces-siblebya300-kmall-weatherroadfromtheYukonsitsontheNWTsideoftheborder.NATCreceivedave-yearlandusepermitfromtheMackenzieVal-leyLandandWaterBoardearlierthismonthtodoex-ploratorydrillingontheCantungpropertyinordertoextenditsminelifewhichisestimatedtoexpirearoundMarch2015.Overtheve-yearterm18-kmofroadtothevariousdrillsitesistobeconstructedorupgradedifalreadyex-isting.Threedrillsarecur-rentlyunderway.YukonservicedmineThoughanNWTresourcethemajorityofearningsfromCantungowwestintotheYukon.MiltenbergersaidlocalNWTemploymentiseffectivelyzeroattheminewhichusesYukonlabour.Itsbasicallyamineser-vicedoutoftheYukonMiltenbergersaid.IntermsofthewagedollarsthewageeconomystuffthatowsintotheYukonbecauseitsser-vicedfromthatside.NATCwillbelingaroy-altyreturnforCantungwiththeGNWTforthersttimeinJanuary2015.Priortode-volutionthatwasdonewiththefederalgovernment.TheGNWTalsocollectsvarioustaxesfromthemineincludingpayrollfuelandpropertytaxes.NoroyaltiesortaxeswillbecollectedbytheGNWTfromtheMactungproject.MiningroyaltiesunpredictableMiltenbergerwasunabletosayhowmuchearningstheGNWTexpectstomakefromNATCscorporatetaxesorroy-altiesattheendofthisscalyearasthosenumbersvaryandareoftenunpredictable.UndertheNWTregimeroyaltiesfromminingproj-ectsaresubtractedfromacompanysnetprotwhichaftertheaccountingisdonecanbesmallornon-existent.Thereareanumberofac-countingopportunitieswhenitcomestohowcompaniescanleMiltenbergersaid.Theycanreachbackandadjustl-ingsoverathree-yearperiodorsoandtheyofcoursehavetheabilitytowriteoffalloftheircapitalinvestmentsbe-foretheypayroyalties.HesaiditsalwaysawaitandseesituationastohowmuchtheGNWTisgoingtocollect.Lastyearbothcorpo-rateandincometaxesintheNWTwerelowerthanthegovernmenthadanticipated.Miltenbergersaidtheterri-torialgovernmentislookingintopossiblechangestotheroyaltyandtaxationregimebutisnotrushingmadlytooverhaulthesystem.WehavetomakesurewegetourfairshareforNorthern-ersbutnotdrivebusinessawaykeepinginmindthatwehavethehighestoperatingcostsinthecountryhesaid.Wedontwanttokillthegoosethatlaysthegoldeneggsbutwealsowanttoensuretheeggsweregettingaregolden.PhotocourtesyofTrevorMacInnisExploratorydrillingcontinuesatNorthAmericanTungstenCorp.sCantungminelocatedontheNWTsideoftheSelwynMountains.MactungthecompanyssecondtungstenprojectthistimeontheYukonsiderecentlyreceiveditspermitsfromtheYukongovernmentbutawaitsadecisionbytheSahtuLandandWaterBoardregardingitsaccessroadthroughtheNWT.