The Canadian government has rejected Glencore’s proposal to develop the Sukunka coal mine project in northeastern British Columbia (BC) owing to substantial adverse environmental effects that cannot be mitigated.

The federal decision has been driven by the British Columbia government’s refusal to issue an environmental assessment certificate to the proposed open-pit metallurgical coal mine.

Assessment of the Sukunka coal mine project was undertaken by British Columbia on behalf of the Canadian government.

According to the environmental assessment, the project will have considerable adverse and cumulative effects on the vulnerable and red-listed Quintette caribou herd, increasing the probability of its extinction.

Besides, concerns were raised regarding the discharge of mercury and selenium into local waterbodies and the project’s impact on the Grizzly bear population. The coal mine project was also expected to adversely impact Indigenous peoples.

Canada Minister of Environment and Climate Change Steven Guilbeault said: “The scientific evidence gathered in assessing this project showed that its negative impacts were significant and could not be mitigated.

“While encouraging sustainable resource development, Canadians expect the Government of Canada to take concrete actions to protect our country’s natural landscapes, its people and wildlife today and for the generations that follow.”

To be located near Tumbler Ridge, the proposed open-pit mining operation and coal processing plant was expected to produce three million tons per year of hard coking coal for export to overseas markets.

With an estimated capital investment of about C$450m ($330.3m), the Sukunka coal mine project was anticipated to have a mine life of up to 20 years.

Earlier this month, Glencore abandoned its plans to develop the A$2bn ($1.3bn) Valeria coal project in the Bowen Basin in Queensland, Australia amid rising global uncertainty.