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Industry Stories

Read the latest stories about the current challenges and future expectations of Ontario’s aggregate industry.

Why in my Backyard?

Understanding all the ins and outs of choosing the best site for a pit or quarry in Ontario

by: Matthew Bradford

For the average Ontarian, the distribution of pits and quarries in the province can appear unbalanced from one community to the next. However for an industry insider, there are plenty of reasons why one region might host more extraction sites than its neighbours – and the natural location of aggregate deposits tops the list.

“Deposits are only found where nature laid them down,” says David Hanratty, director of land, resource and environment, North America, with Votorantim Cimentos. “So that’s first and foremost where we have to look.”

There is far more to this than looking at a site and signing a lease or purchasing it, Hanratty adds. After a company narrows in on a potential deposit, the real qualifying work begins. “Think of the decisionmaking process like a funnel. At the top are the broad strokes: does this look like a good site? Is it in a good location?” says Hanratty. “After that comes the more complicated balancing of geological conditions and operational logistics with hydrogeological, societal and natural environment constraints. You have to take all of these into consideration in order to narrow in on the right site and find something that actually works for the material you’re trying to extract.”

An understanding of how and where aggregate deposits can be found can help raise public awareness for the site selection process. In the case of sand and gravel, for example, producers will turn their attention to deposits formed during the last glacial period, which occurred nearly 12,500 years ago. “That means they can only be found in specific places,” says Kevin Mitchell, director of property, planning and proposals with CRH Canada Group Inc. “Some areas of the province have a lot because they were spillways from the glacier meltwater, whereas some don’t. So, ultimately, we’re limited to go where nature has placed these deposits.”

Bedrock formations are more abundant but can be buried deep beneath sites that might make extraction unfeasible or uneconomical. Limestone can also be found in deposits across Ontario but can vary in quality and volume.

To narrow in on these deposits, companies will draw upon research and resources to point them in the right direction. The Ontario Geological Society’s Aggregate Resources Inventory Papers (ARIP), for instance, are highly detailed surficial geology maps and reports that provincial stakeholders often refer to in their initial sourcing stages.

As in real estate, location counts. For aggregate stakeholders, it can be appealing from a logistics and cost-saving perspective to consider locations closer to established sites, customers or pre-existing infrastructure

Still, says Mitchell, while resources like ARIP are beneficial, they only reveal part of the picture. “One challenge with the ARIPs is they reflect the entire deposit and don’t show depleted areas or regions that are sterilized by development and/or environmental constraints. Another is that many of the locations they point to have already been depleted,” he explains.

More challenging still is that everyone is looking at the same maps and reports. Throughout the sourcing process, multiple aggregate producers may be hovering around the same location, turning it into a race to identify and secure a good spot. Companies must act fast to validate and secure the sites that show potential. “In our experience, we’ve found that if a desirable location for a site has been determined, then companies do have to move quickly to secure the rights to either purchase or lease the property,” says Matt Bertram, senior project engineer with Skelton, Brumwell & Associates Inc.

In some cases, companies can work a due diligence period into their offer that allows them time to review the site and make preliminary determinations concerning its geology, hydrogeology, environmental considerations or potential restrictions. For example, says Bertram, “We were involved with a company that secured a due diligence period as part of their offer to purchase a large parcel of land, and it was very fortunate for them that they did because we learned through our preliminary work that there were some severe constraints found both on the property and within relevant planning policy that would have [made it] very difficult to successfully license the property.”

“The company ended up walking away from their purchase disappointed that they couldn’t proceed on that site,” Bertram continues, “but they were grateful that they avoided what could have been a very long and very expensive process that may not ultimately have yielded them anything.”

Adding that extra due diligence time is not always possible, especially in more competitive markets. That is when companies will weigh all the risks when making a purchase or leasing decision.

DIGGING DEEPER

While there are many regions to explore for extraction, it is not simply a matter of pointing at a map and getting ready to dig. A better understanding of the due diligence process can help the public understand why some areas are more feasible than others. “We have to find the areas with the best potential first, and even when we do narrow in, we still have to gauge the site for quality of the aggregate, the volume of aggregate, the feasibility of the location, and the ‘licensability,’” says Mitchell.

Chris Galway is senior land manager, East GTA, Eastern and Northern Ontario, for Lafarge Canada. After years in the business, he is well acquainted with the need to quickly, accurately and thoroughly access a site’s geology through resource drilling and testing. “It comes down to testing and assessing the physical properties of the sand, gravel or limestone to confirm that you can produce the highquality aggregate you need to serve the construction industry,” he says. “There are high standards to meet, and we need to makes sure we’re providing the aggregate that makes high-quality concrete or asphalt for things like condo towers, new hospitals, bridges and key infrastructure.”

A large part of the site validation process is identifying and assessing the presence and potential impact of groundwater or surface water. This too needs to be taken into consideration. “The first layer is that geology mapping, but the next is looking at the site in relation to the natural environment,” says Hanratty. “So it’s asking things like: Are there wetlands on the site or in close proximity to the site? What about the nearby landowners? Do they rely on wells, and could those be impacted from a water standpoint?”

This is where hydrogeology (groundwater) and hydrology (surface water) assessments are critical to pinpointing water issues and triggering remediation considerations. If such conditions are found, decisions must be made as to whether or not the reserve is of good enough quality to warrant the additional efforts and expenses needed to investigate and mitigate the potential impacts of extraction.

That said, sites will not typically be screened out based solely on their water conditions. True, there are “no touch” features – like provincially significant wetlands and coldwater fisheries that will likely deter future exploration – but for most other scenarios the industry is well versed in remediation efforts. “I would say we get pretty creative with respect to mitigation opportunities,” says Hanratty. “We can address a lot of groundwater and surface water challenges, but if we can select sites that have a better environmental footprint from a water standpoint, that certainly helps us narrow down potential impacts in a more manageable way.”

GETTING CLOSE

As in real estate, location counts. For aggregate stakeholders, it can be appealing from a logistics and cost-saving perspective to consider locations closer to established sites, customers or pre-existing infrastructure. “The first thing we try to find is a site with the right geological conditions. But then, we look at things like if they’re near our existing sites,” says Hanratty. “If they are, that means they can maybe become an extension of that existing operation and [we can] use the infrastructure that’s already in place, like the traffic routes, scales and processing plant.”

There are also important business considerations. For example, says Betram, “If they’re looking at virgin property, or even property already licensed but that they want to extract deeper or expand, they then have to consider the cost and time to go through the process of getting approvals either for a new licence, licence expansion, tonnage amendments, or even an amendment to go to lower depth of extraction.”

Market pricing can also come into play. In an area where there are multiple existing sites, companies must determine if the remaining material is of good enough quality, and if so, if the market demand is enough to set up operations and if their rates can be competitive with others already operating in the area.

Ultimately, even when the science and geology pan out, producers still have several site logistics and licensing considerations to work through before locking themselves in. If the question among the general public is, “Why are so many pits and quarries in my backyard?” the answer is that there was much deliberation in the decision, and every possible aspect was weighed in the balance.

“It’s an extremely complicated process to find the right site,” says Hanratty. “And while some community members might take issue with the fact that there are more aggregate sites in close proximity to them than another community down the road, that’s really from a lack of understanding of what goes on in the selection process.”

Still, understanding where those public misconceptions and frustrations come from can help everyone find common ground. “We have to empathize with their position and work with them through the process,” stresses Hanratty. “We need to show that we’re going to be taking them into consideration, operate in a way that minimizes disturbance to them, and ultimately leave the land in better condition than when we took it over.”

Carly Holmstead