Baffinland asks judge to allow sale of assets to avoid mine closure

Source: Territories - Northern Affairs (Yukon, NWT, Nunavut)
Date: 2026-10-05 20:07:08.0
Tags: [National, Mining, Economy, Resources, Labour, Indigenous]

Debt-stricken Baffinland Iron Mines Corp. has asked the Ontario Superior Court of Justice to approve the sale of its shares, assets, or the Mary River Mine on northern Baffin Island to prevent liquidation and mine closure. As of May 14, the company owed $2.6 billion to 231 creditors—including a dozen northern businesses and organizations—following creditor protection granted in May and a subsequent $660-million loan from federal Export Development Canada. The company's financial crisis was partly driven by spending more than $1.5 billion on its failed Phase 2 railway expansion proposal, which was rejected by the federal government after opposition from north Baffin communities. The potential liquidation threatens the loss of over 1,200 jobs at one of Nunavut's largest private sector employers, with a court appearance scheduled before an Ontario judge.