Financial assurance
Under Part VII of the Mining Act, a proponent must provide financial assurance to the Ministry to cover the closure costs identified in the Closure Plan of a site.
The following outlines the forms of financial assurance allowed under the Subsection 145(1) of Part VII of the Mining Act.
Subsection 145(1)
The financial assurance required as part of a closure plan shall be in one of the following forms and shall be in the amount specified in the closure plan filed with the Director or any amendment to it.
- Cash.
- A letter of credit from a bank named in Schedule I to the Bank Act (Canada).
- A bond of a guarantee company approved under the Insurance Act.
- A mining reclamation trust as defined in the Income Tax Act (Canada).
- Compliance with a corporate financial test in the prescribed manner.
- Any other form of security or any other guarantee or protection, including a pledge of assets, a sinking fund or royalties per tonne, that is acceptable to the Director.
For inquiries concerning financial assurance, please contact
Ed Solonyka
Co-ordinator,
Financial Assurance
(705) 670-5829
ed.solonyka@ontario.ca
