Yukon approves Kudz Ze Kayah mine over Kaska First Nation opposition
Federal and Yukon regulators approved the Kudz Ze Kayah copper, lead and zinc project on April 10, clearing BMC Minerals to develop a mine the Kaska Nation says will damage a region they describe as their breadbasket. The decision, which came with 52 terms and conditions, arrives roughly 18 months after the Yukon Court of Appeal quashed an earlier approval for inadequate consultation.
The Ross River Dena Council and Liard First Nation called the new decision an unjustified infringement of Kaska title and said it was issued without their consent. The site sits 115 km south of Ross River on territory where no modern land claim has been settled, and the Finlayson caribou herd ranges across the surrounding watershed.
What the approval allows
Vancouver-based BMC Minerals can extract up to 2 million tonnes of ore annually over a 10-year mine life. The conditions require the company to secure a water licence and a quartz mining licence before construction, and BMC expects a final investment decision by late 2027.
Regulators said the conditions attached to the decision address wildlife, water quality and closure planning. The company has framed the project as a significant source of jobs and tax revenue for the territory during a period of weak base-metal demand.
Kaska response
The Ross River Dena Council says the approval ignores findings from the 2024 Court of Appeal ruling, which instructed regulators to conduct renewed consultation on the project's economic feasibility before reissuing any decision. Council leadership has signalled further legal action is likely.
The region is our breadbasket. This decision puts our water, our caribou and our way of life at risk.
Community members point to the Finlayson caribou herd, which calves and winters within the project footprint, as a central concern. The herd has declined across parts of its range over the past decade.
Territorial politics
The approval lands as the Yukon government courts mining investment to offset weakness in other business and law sectors. Premier Ranj Pillai has repeatedly pointed to critical-minerals demand as a rationale for accelerating permitting, while opposition MLAs argue the government is sidestepping the duty to consult.
The federal Impact Assessment Agency signed off on the project alongside the territory, a rare joint approval that the Kaska say compounds the harm by leaving fewer avenues for appeal within the regulatory system.
What's next
BMC Minerals still needs a water licence from the Yukon Water Board and a quartz mining licence before breaking ground. Both processes will include public hearings and are expected to draw further Kaska intervention. A judicial review of the April 10 decision remains an option and would likely be filed within 30 days of the approval.
Coverage of mining and Indigenous rights across the territories continues on the the North desk.
