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Baffinland’s Milne Port on Baffin Island in Nunavut.Courtesy of manufacturer

The company that operates Canada’s northernmost mines is offering use of its Baffin Island port and facilities to the Department of National Defence: Infrastructure that could provide a new deep-water Arctic supply hub for the Canadian military.

Baffinland Iron Mines built Milne Port in order to ship out iron ore from its Mary River Mine, which has been operating for more than 10 years. The port, on northwestern Baffin Island, is deep enough to accommodate Newcastlemax bulk carriers, among the biggest ships in the world.

Tom Paddon, the non-executive chair of the company, said Baffinland has not made a formal proposal but has told the Canadian government that it’s open to a conversation. He said Ottawa could compensate Baffinland for use in a number of ways, from leasing to pay-per-use, and that this remains to be worked out.

The port is open for ships from midsummer to early fall, when the ice cover has receded. In 2024, the shipping window was more than 70 days; in 2025, it was more than 90 days.

The mine complex has a 6,500-foot gravel runway, jet-fuel storage, and accommodations for more than 300 people.

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Defence Minister David McGuinty was non-committal when asked about the possibility of the military using Milne Port on northern Baffin Island.

He noted that Canada on March 12 referred a proposal to the Major Projects Office to build a deep-water port at Grays Bay, Nunavut. It’s on the central Arctic coast in the middle of the Northwest Passage and is part of a plan that would connect it to the national highway systems in the Northwest Territories.

“It’s a strategic location on the Arctic Ocean. It includes a deep-water export terminal for minerals, and it’s got an airstrip,” Mr. McGuinty said of Grays Bay. “This is something that the navy and the coast guard and our operational experts have told us is the right next step.”

Construction of Grays Bay, however, is not expected to begin until 2029.

The advantage of Milne Port, currently the northernmost major industrial port in the Northwest Passage region, is that it’s already built and operating.

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Baffinland is building a rail line to the central-western coast of Baffin Island where it will locate a new port at Steensby and plans to reduce use of Milne Port once this is operational. It expects to be mining ore from Mary River for another 50 years.

Mr. Paddon said the company has played host to Canadian Armed Forces personnel who are engaged in search and rescue missions as well as the Coast Guard when they need a staging ground or refuelling.

David Perry, president of the Canadian Global Affairs Institute, a think tank, said the Forces for many decades have tended to treat the Arctic as a place they visit rather than a region where they conduct routine operations.

He said the navy should take advantage of existing private infrastructure in the North where possible so it can have access to local refuelling and port facilities.

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The Canadian Navy has very few existing deep-water port options in the North. These include Nanisivik Naval Facility on the northwestern side of Baffin Island and Iqaluit Deep-Sea Port. The Port of Churchill is also accessible.

“I think if we wanted to send a really strong message that we’re here in the Arctic and we’re intending to stay and really put a stamp on things, having more permanent presence would send a diplomatic signal, both to our allies and adversaries, that we’re really serious,” Mr. Perry said.

The Department of National Defence, asked for comment on the Baffinland offer, said the federal government welcomes ideas from industry that strengthen Canada’s defence capabilities.

“Proposals from industry are considered within broader defence planning and investment processes to ensure they align with operational requirements and Canada’s long-term security priorities,” spokesperson Andrée-Anne Poulin said in a statement.

Editor’s note: A previous version of this article incorrectly stated that the mine complex has a 6,500-metre gravel runway. The runway is 6,500 feet long.

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