1. their right to a 5% share of ore mining revenues at Voisey`s Bay was not properly calculated in light of the refining costs of ore in Newfoundland; The construction of the refinery had to wait for numerous delays and cost overruns, which led the proponent to provide certain exemptions under the Mining and Mineral Rights Tax Act, S.N.L. 2002, c.M-16.1 (Act) to allow the shipment of concentrates from the province, which goes beyond what had been agreed. This resulted in various amendment agreements and additional payments to the province in compensation, including a municipal investment fund for the citizens of Newfoundland and Labrador (the “additional payments”). The Nunatsiavut government did not receive any participation in the additional payments and the province authorized certain mineral tax deductions on the construction, operation and depreciation costs of the refinery, resulting in a drastic reduction in payments to the Nunatsiavut government. For example, between 2006 and 2014, Inuit revenues from the Voisey`s Bay project were approximately $53 million. Once the developer started making the deductions, the Inuit`s share of revenue was significantly reduced and would become zero. 3.13 In “Renewing the Comprehensive Land Claims Policy: Towards a Framework for Addressing Section 35 Aboriginal Rights,” the federal government recognizes the importance of basing its relationship with Aboriginal people on mutual recognition and respect. It stresses the need to cooperate with Aboriginal groups in the implementation of foment requirements and self-management agreements. It also recognizes that departments and federal authorities should retain the honour of the Crown in implementing these agreements. In particular, these institutions and their officials must act with honour, integrity and fairness at all times when dealing with the Aboriginal parties involved.
The honour of the Crown also assumes that the obligations of these agreements are interpreted in a reasonable and “specific” manner, which means that the Crown must fulfill its obligations by pursuing its objective and not edifying them narrowly.