Although he owns little of Goldcorp now, the shadow of that company, his former baby, looms over much of what he is trying to do. A former investment banker, he recognized the untapped potential in a lacklustre mine in Red Lake, Ont., from which he built Goldcorp as a productive, low-cost operator. He merged it with Wheaton River Minerals in 2005, but he left in a messy dispute with senior management.
Even when he is angry, Mr. McEwen speaks gently with a knowing little smile – much like another libertarian, U.S. presidential hopeful Ron Paul, who exudes that same sense that he didn’t create this mess, but he has the inside scoop on why it is happening.
But while Mr. Paul sits on the political fringe, Mr. McEwen stands at the centre of Canadian public life, as a business leader whose vocation is one of the country’s oldest – making money from mines – and whose avocation is giving it away – $50-million so far, largely to fund research in regenerative medicine and stem cell applications.
He and wife Cheryl have joined other blue-chip titans in putting their family name on a research centre in the health care hub of downtown Toronto, and he gives to his alma mater, the York University business school, where fellow gold magnate Seymour Schulich has enlisted his support. He talks of some day donating 50 per cent of his wealth, as Warren Buffett advocates, but his perverse challenge is that he cannot give it away, carefully and strategically, as quickly as he makes it.
He has found that health care and mining have much in common, and he equates medical research with risky exploration. “It’s capital intensive, with low probability of success; it’s highly regulated and the people don’t talk to each other.”
Mr. McEwen was always imaginative in seeking out mining innovation, and he brings that same spirit to funding networks of scientists. He supports projects with a strong chance of reaching the clinical stage at an accelerated rate – and his dollars go to such fields as lung transplants, tracheal repopulation, heart-cell patches, and diabetes.
And there is yet another facet of the complex Mr. McEwen – the arch-nationalist who would use public procurement and tax policy to guide investment in health innovation and advanced manufacturing.
While Canada is very good at spending on research, it is abysmal at product development, he says. He wants to direct a small piece of the many billions spent on health-care procurement – and now handed over to foreign-based giants – toward Canadian products, and, thus, domestic development.
“We’re very good at selling what you can grab – you grab water, you grab trees, you grab crops,” he says. But we don’t have value-added capability, he laments, putting the blame on excessive foreign ownership of our economy.
In that vein, he is a critic of the Keystone XL pipeline because it would ship our oil south, rather than feeding upgraders and refineries in Canada to capture the value-added component. Thus, he argues, we are missing out on the development of entire industries. The solution might be a tax system that encourages long-term holding of Canadian assets, he muses.
“If we don’t do something soon, our children will become tenants in their own country,” he warns.
There are moments like this when Mr. McEwen has to reassert his libertarian credentials. His major complaint, he states, is that too much government puts a cap on human ingenuity, of the kind that would allow Canada to compete. Libertarian rhetoric, perhaps – but in his quest for a strong economic future, Rob McEwen is as conflicted as any mainstream Canadian.
* Born in Toronto, April 15, 1950.
* Father, Donald, ran a securities firm with a mining focus. Holds BA from University of Western Ontario, MBA from Schulich School of Business, York University.
* He and wife Cheryl have two grown sons.
* The couple have given away $50-million, including $20-million toward the McEwen Centre for Regenerative Medicine in Toronto.
* Started off as investment banker.
* In 1993, began restructuring Goldcorp, whose market capitalization over two decades has gone from $50-million to $39-billion In 2005, led merger with Wheaton River, but later broke with management over takeover of Glamis Gold.
* In 2012, merged US Gold and Minera Andes to form McEwen Mining.
* Cycling: Joined Cheryl and their sons recently for bicycle tour of Southeast Asia.
* Swimming: Every summer morning at his cottage on Ontario’s Stoney Lake, he takes a one-kilometre swim.
* Reading history: Is diving into City of Fortune: How Venice Won and Lost a Naval Empire, by Roger Crowley.