May 1, 1996
(Industry, Trade and Technology)
Three mining projects approved for EDGE
Chuck Furey, Minister of Industry, Trade and Technology, announced today that three mining projects have been granted Economic Diversification and Growth Enterprises (EDGE) status. The companies Richmont Mines, Roycefield Resources Limited, and Atlantic Minerals Limited are the first mining operations to receive EDGE status. The projects will have a combined capital investment of $39 million and will generate employment for more than 200 Newfoundlanders and Labradorians.
"The province's EDGE program was certainly an important factor in bringing the project to the commercial production stage," Steve McAlpine, general manager of Richmont Mines said. The Quebec-based company plans to develop the Nugget Pond gold deposit located near Snooks Arm on the Baie Verte Peninsula. In addition to the mining operation, the company intends to construct a modern gold mill at the site and process the ore into a marketable product. It is anticipated that this project will stimulate the development of a number of smaller gold deposits on the Baie Verte Peninsula.
"EDGE status for Roycefield Resources has enhanced the project's viability. This type of business environment makes for an attractive investment opportunity," Bert Bourgoin, president of Roycefield Resources Limited said. "Government's EDGE program will therefore help us raise the financing necessary to make this business venture happen." Roycefield Resources, a New Brunswick operation, will develop an Antimony mining and milling operation at its Beaver Brook property, off the Bay d'Espoir Highway near Bishop's Falls. Antimony has many industrial uses as a flame retardant in plastics, vinyl and synthetic fibers. As well, it strengthens lead and is used in ammunition and batteries. The antimony deposit at Beaver Brook is believed to be the largest known antimony deposit in North America.
"In reactivating the Lower Cove quarry operation on the Port au Port Peninsula, Atlantic Minerals will encourage the development a number of product lines," William Fitzpatrick, president of Atlantic Minerals said. "This type of development is good news for the area because it maximizes the resources' benefits." The local company said that the EDGE program was certainly the catalyst that encouraged them to pursue this business opportunity. Atlantic Minerals Limited will reactivate the Lower Cove quarry operation on the Port au Port Peninsula. This project was initially shut down in 1995. In addition to aggregates, this operation has large deposits of high purity limestone and dolomite.
Mr. Furey said: "There are a wealth of opportunities in this province for mineral development. Government is working to attract those companies that can develop the industry, harness the resources, and create the jobs. The EDGE program provides the incentive by creating a favorable business environment. We are telling industry that this is the right place to do business."
Contact: Public Relations, Industry, Trade and Technology, (709) 729-0050.
| 1996 05 01 | 3:50 p.m. ct |
