“The next decade here is going to be amazing.”
Those are the optimistic and most likely prophetic words of Jason Jessup, CEO of Magna Mining, a Sudbury-focused nickel exploration and development company formed in 2016. In truth, Jessup has an extremely good reason to be optimistic about his relatively young company and its role in growing Sudbury’s reputation as a global ‘metallic super power.’
“We started Magna in 2016 as a private company at a time when nickel was not a favourable metal and trading at US$4 per pound” said Jessup, a passionate advocate for the local Sudbury community.
“Today nickel is trading at over US$12 per pound and we’re a company with a $190 million market capitalization, and we just raised $18 million to spend on exploration over the next two years. We also closed a $20 million financing in September of last year for the acquisition of the Crean Hill mine, meaning that in the last six months we’ve raised a total of $38 million. So we’re absolutely delighted with our recent growth trajectory, and in the last couple of months we’ve released an impressive new resource along with some spectacular drill results”.
This isn’t the first time a team of local Sudbury mining entrepreneurs have built a wildly successful nickel mining company in rather quick fashion.
Those involved in the mining industry would remember the story of FNX Mining, a highly successful Canadian owned and operated mining operation with a unique culture and operating style. FNX grew to join mining giants Inco and Falconbridge as a top three mineral producer in Sudbury in the early 2000s. At its height, FNX employed nearly 600 people in the Sudbury area, a success that Jessup was a part of and is aiming to replicate with Magna Mining.
“In 2020 Magna had two full time employees, a handful of consultants and a part time employee. We’re now sitting with 14 full time employees and three part time employees, but we’re really just getting started. We expect to be doing a lot of hiring this year, and I love to emphasize that we are hiring for jobs in Sudbury. My belief in founding this company is we can create a $2 billion company right here in this city. FNX started off as a small operation before executing an incredible growth strategy and subsequently being acquired for $1.8 billion. We think the potential exists to do that again.”
Besides the obvious growth and success his team has enjoyed since founding Magna, Jessup says it’s a really exciting time to be in the mining industry, especially in the Sudbury basin.
“What we’re seeing right now is the perfect storm and an exciting decade ahead of us in Sudbury,” he said. "The tailwinds for the nickel sector are very strong given the projected growth in demand for nickel from electric vehicles. Sudbury has a wonderful opportunity to be at the centre of this paradigm shift given the incredible geological endowment of the region. But equally importantly, there is huge support in Sudbury for mine development and for technological advancement, along with a wealth of service providers and support staff. All levels of government, the local First Nations, and the community are supportive of mining and the benefits mining can provide. This broad stakeholder support also helps us to raise the necessary capital for exploration and mine development. I think Sudbury is being recognized as one of a small handful of areas where you can build mines and operate them successfully, while simultaneously raising the necessary capital to get them started.”
Nickel is a crucial strategic metal, with primary demand now being driven by the automotive industry’s push to reduce carbon emissions through the development of electric vehicles – cars and trucks fueled by lithium batteries which require a high percentage of Class 1 nickel which Magna is aiming to produce from their two mining projects.
“The demand for nickel is growing very quickly,” said Jessup. “That’s the biggest driver right now and why so many companies and governments are investing in it. Both the Canadian and US Governments have identified nickel as a critical and strategic mineral, so they are both supportive of new projects that can bolster the nickel supply chain.”
With a bright future ahead of it, Magna Mining is now turning their attention towards finding the right people to share in the company’s vision. The company offers an exceptional opportunity to be part of Sudbury’s rapidly growing mining sector.
“Our company is looking for people who want to be part of a rapidly growing company where they not only have influence but also ownership over the work they do. Responsibility, ownership and entrepreneurial spirit are at the centre of the culture of this company. We are looking for people who want to seize the moment, and who are motivated by the opportunity to help grow a company that can capitalise on this once in a generation growth in demand for battery metals. Whether that’s a geologist, an engineer, an administrator or an accountant, we want people who are excited about what we’re doing and how we’re doing it. It’s all about culture.”
To learn more, visit Magna Mining online here.