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NEW GEOLOGICAL PICTURE OF NORTHERN SASKATCHEWAN EXPECTED TO TRIGGER STAKING

Released on May 24, 2001

New geological maps may help exploration companies find deposits of gold,

silver and other metals in northern Saskatchewan.



The maps, released this week, are created from detailed geological

information from airborne surveys of the remote Phelps Lake and Uranium

City areas. The data will help companies predict the probability of

mineral deposits and develop exploration strategies.



The surveys were funded through the Government of Canada's $15-million,

three-year Targeted Geoscience Initiative (TGI), Saskatchewan Energy and

Mines and Saskatchewan Northern Affairs from the provincial Centenary Fund.



"Communities in these areas will benefit from opportunities for new

economic development, employment and skills training created by increased

exploration and mining," Natural Resources Canada Minister Ralph Goodale

said. "And the knowledge from these surveys will help the communities make

decisions about land use that balance economic, environmental and social

factors."



Accessible geological maps and survey data are among Canada's key

advantages in the global competition for mining investment.



"Mining and mineral exploration are important for our northern economy,"

Saskatchewan Northern Affairs Minister Keith Goulet said. "The new data

could lead to increased economic activity and benefits for the residents of

the Athabasca region."



Information collected under the surveys also helps communities assess the

environmental and social impact of proposed development projects. For

example, by evaluating the mineral potential of the Phelps Lake area,

geologists will help the province select boundaries for its protected areas

that avoid mining lands valuable to the local communities.



"We are excited about the possibilities of further exploration in these

areas," Energy and Mines Minister Maynard Sonntag said. "The keen interest

and new investment by the exploration companies heralds a renewed focus on

mining in northern Saskatchewan."



Mining in Canada today is a $28-billion industry and the lifeblood of some

600,000 Canadians in more than 100 rural, remote and Aboriginal

communities. Mining is a significant contributor to Saskatchewan's

economy, with 20 communities that rely on mining. Principal minerals in

Saskatchewan are potash, uranium, coal, salt, sand and gravel.



"There is no doubt that this data will be beneficial for Saskatchewan and

Canada," Churchill River, Saskatchewan, MP Rick Laliberte said. "The

survey will provide key information as northern Saskatchewan continues to

build on its mineral exploration capacities."



The Government of Canada's Targeted Geoscience Initiative (TGI), led by

NRCan's Geological Survey of Canada, was established to produce new

geological maps and data about underexplored areas with a high potential of

mineral deposits and to make this information publicly accessible through

the Internet.



Funding for the Targeted Geoscience Initiative was provided for in the 2000

federal budget, in which the government made specific commitments to build

a dynamic economy for the 21st century through innovation, knowledge and

technology.



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For more information, contact:



Pat Breton George Patterson

Natural Resources Canada Energy and Mines

Ottawa Regina

Phone: (613) 996-2007 Phone: (306) 787-2560





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