Nunavut’s subsoil is rich in natural resources, including base metals, diamonds, gold, iron and uranium. Since the creation of the territory in 1999, there have been significant investments in exploration ($426 million in 2012), yet most of the territory’s natural resources remain untapped and underground. Nunavut’s resources are difficult to access; this presents a daunting challenge for the territory to realize its potential for economic development through mining. And yet, extensive underground wealth contrasts with the territory’s dependence on the federal government for financing 91% of its $1.5 billion annual budget.

A major barrier to resource development in Nunavut is the high cost and overall lack of transportation infrastructure. The territory’s infrastructure challenges are stark: Nunavut is the only jurisdiction in North America without any ground transportation infrastructure connecting it to other provinces, states, or territories. It has no deep water ports, and no railways. Yet Canadian history teaches us that governments across the federation have faced transportation infrastructure challenges in the past, and have consistently found ways to overcome them and create lasting benefits for Canadians.