The Government of Canada has announced more than $55 million in funding for two major Arctic projects. The investments will support the construction of transportation infrastructure and the deployment of low-emission technologies at mining operations. The initiative is expected to accelerate the development of zinc, copper, and other critical mineral deposits, strengthen Canada’s Arctic sovereignty, and provide long-term economic growth for northern and Indigenous communities.
Minister of Energy and Natural Resources Tim Hodgson announced the funding on Friday. Under the First and Last Mile Fund program, up to $50 million has received conditional approval for engineering and preparatory work on the Grays Bay Road and Port project led by West Kitikmeot Resources Corporation. The project includes the construction of a deepwater Arctic port and a 230-kilometre all-season road. In March, Prime Minister Mark Carney referred the project to the Major Projects Office, a move expected to accelerate implementation. The new road will connect the port with existing infrastructure and provide access to zinc and copper deposits in the region.
A second tranche of $5 million will go to Glacies Technologies. The funding will support the development of a low-emission alternative to diesel fuel for mine heating and ventilation systems. The technology is scheduled to be tested at B2Gold’s gold mine in the western Kitikmeot region of Nunavut. Its implementation is expected to reduce emissions and lower operating costs for northern mining companies.
These investments build on broader government measures outlined in Canada’s 2026 Spring Economic Statement. The strategy focuses on developing nationwide infrastructure, strengthening critical mineral supply chains, and enhancing Arctic security.
According to Minister Hodgson, as global demand for raw materials rises and Arctic shipping routes become increasingly important, Canada must remain a responsible mining superpower. Investments in infrastructure, he said, will generate long-term benefits for communities across the country.
Canada is positioning Arctic transportation and energy infrastructure as a key driver for the development of critical mineral resources. The strategy is expected not only to strengthen the economies of northern regions, but also to reduce the country’s dependence on foreign supplies of strategic raw materials.
Source: Mining Weekly
Image: Mining Weekly
