For 117 years, the Canadian Government mistreated the First Nations people—making their children attend residential schools designed to assimilate their original culture. The Government was allowed to do this under the Indian Act. Now, the Indian Act has been amended in order to protect the native population. Nevertheless, how is this external factor (First Nations) impacting Taseko Mines?
Taseko Mines is a $1.1 billion company that is looking to manufacture a copper-gold mine located in Dasiqox Park. However, the Tsillhqot’in people have declared Dasiqox Tribal Park as their sovereign territory. Taseko was forced to abandon their potential prosperity mine. Taseko then went on to purchase Curis Resources, a copper developer, in Arizona.
This is a photo of the land that Taseko is looking to exploit for their mining site.
The situation between Taseko and the Tsillhqot’in exemplifies how a P.E.S.T analysis can be utilized. For instance, the Tsillhqot’in people declared Dasiqox a Tribal Park as they believed Taseko’s development on their property would destroy the terrestrial and aquatic ecosystems. Therefore, if Taseko were to continue with their project they must appease the Social-Cultural sector. This is possible for Taseko. However, in order to reduce pollution and destruction of the ecosystem the company must hire more skilled workers to meet the required protocol. Consequently, the economic sector will be affected. An increase in the price of labour will increase the total revenue and ultimately reduce the total profit. In summary, a P.E.S.T analysis can be useful. For example, Taseko weighed its viable options and in the end declared that continuing to build their proposed New Prosperity mine would be inefficient.
How could this problem have been solved from the beginning?
Taseko should have discussed their business plan with the Tsillhqot’in people. By doing this, Taseko would either agree to meet the terms of the Tsillhqot’in people or abandon the idea before resources were devoted to the project.
Source(s) Used:
Pynn, Larry. “Tsillqot’in Set To Declare Site Of New Prosperity Mine A Tribal
Park.” The Vancouver Sun 11 Sept. 2014: n. pag. Print.
Montpetit, Isabelle. “Background: The Indian Act.” CBC News 30 May 2011: n. pag.
Print.
http://www.cbc.ca/news/canada/background-the-indian-act-1.1056988