The Pessamit Innu community in Quebec's North Shore region has reached what it is calling a historic agreement for mining development on its ancestral lands.

The agreement with St-Georges Platinum Ltd., Litewave Corporation and Argex Silver Capital, announced on Tuesday, would prioritize the hiring of Innu workers in addition to providing training and infrastructure for the community.

The companies are currently exploring the Innu lands south east of Baie Comeau and have found indications of titanium, iron, vanadium, platinum, copper and nickel.

Should the mining projects move to the development phase, about 150 jobs would be created in the community, where less than a third of the population is employed, said Pessamit Chief Raphaël Picard.

"Putting even one-tenth of our active population to work would make a big dent," said Picard.

The agreement could also save the companies involved tens of millions of dollars because it should speed up government approval of the projects, said St-Georges Platinum Ltd. president Frank Dumas.

"We basically bypassed the government in a good way," said Dumas. "When we go to them, we'll both be prepared — the company and the tribal council."

The agreement would allow the companies to use community roads.

Not without risk

The lack of an agreement with the Innu community could have created difficulties in seeking financing for the projects, said Dumas.

What payment the community will get will be negotiated once it is known whether the projects will go ahead, Dumas said.

"The biggest risk at this point is that we don't know how much this agreement will cost down the road," he said. "But we're convinced of one thing — no matter what type of economic model we are using, … we know it will cost less than a best-case scenario where we have to negotiate with them five years from now."