【Rouyn-Norand】Without an agreement with Quebec, “we are heading towards closure,” says Glencore

Editor’s Note

Glencore has suspended a major environmental investment in Quebec, citing failed negotiations with the provincial government. The decision puts the future of the Horne Smelter and its operations at risk.

Les cheminées de la Fonderie Horne lors d'une journée glaciale de janvier.
Investment Suspension Announced

Due to a failure to reach an agreement with the Quebec government, the company Glencore announces the suspension of its $300 million investment in the Horne Smelter in Rouyn-Noranda aimed at reducing pollutant emissions. Company executives are on-site to announce the news to employees. By March 2027, the Smelter will be unable to comply with the terms of its permit, meaning the plant will be threatened with closure.

“What this means is that by March 2027, if we don’t find a solution with the government, we will indeed have to make difficult decisions. The current situation is not final; however, we are heading towards closure,” says Marc Bédard, Chief Operating Officer, Metallurgical Assets at Glencore Canada.

In a press release, Glencore Canada announces it is forced to immediately suspend all investments related to emission reduction and upgrade projects at the Horne Smelter and to deploy a demobilization plan, effective February 3, 2026. At the CCR Refinery in Montreal, investments will also be reduced in the medium term.

Negotiations and Conditions

Since the summer of 2025, Glencore Canada says it has undertaken several approaches with the Quebec government to ensure the sustainability of its operations in Rouyn-Noranda and Montreal-East.

Le site de la Fonderie Horne en hiver.
“Our employees have the right to have clear benchmarks for the future. We have acted in good faith and explored all options available to us. Protecting jobs and ensuring operational continuity are at the heart of the company’s priorities, but the conditions are not in place to move forward at this time,” mentions Marc Bédard, Chief Operating Officer, Metallurgical Assets at Glencore, in the company’s statement.

Glencore Canada emphasizes that it was prepared to commit to major investments: $300 million for emission reduction and nearly $700 million for facility upgrades to ensure competitiveness, totaling nearly $1 billion over five years. The company adds that it would be irresponsible to authorize an investment of such magnitude without assurance regarding the Horne Smelter’s ability to continue operations within a predictable and realistic long-term framework.
Thus, Glencore Canada says it has clearly communicated two conditions to the government on multiple occasions: adjusting the current ministerial authorization to allow for the full implementation of the emission reduction plan according to a realistic timeline, and confirming a stable regulatory framework for the coming years, at least for the duration of the next authorization, including maintaining a target of 15 ng/m3 for arsenic.

Open to Alternatives and Progress Claims

While awaiting this regulatory certainty, Glencore Canada says it is open to exploring other mechanisms, including financial ones, to reduce the short-term risk associated with investments of this scale. But according to the company, the necessary conditions are not in place to allow Glencore Canada to move forward, despite sustained efforts from both parties.

Portrait de Marc Bédard.
“In our view, it is unreasonable to be potentially on the path to closure when we are convinced that the Horne Smelter’s operations are safe for the population,” states Marc Bédard. “Our immediate priority is to be on the ground with the teams. We will communicate transparently with employees and concerned partners.”

Glencore Canada says it is proud of the progress made in recent years. Between 2022 and 2024, the average concentration of arsenic in ambient air measured at the Horne legal station decreased by 46.5%. In 2024, 99% of the urban area of Rouyn-Noranda had a concentration equal to or less than 15 ng/m3, the company points out.
The Horne Smelter indicates it continues its operations in accordance with the current ministerial authorization. However, without the realization of the planned projects, it will become impossible to achieve some of the targets it will be subject to starting March 2027, signals Glencore Canada. The situation will need to be reassessed in the coming months, according to the company.

Union Reaction

The United Steelworkers union (Syndicat des Métallos) receives the news with anger and desolation. The union’s director, Nicolas Lapierre, accuses Quebec of signing the death warrant for the copper sector in Quebec.

Nicolas Lapierre est assis devant une table.
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⏰ Published on: February 04, 2025