April 8, 1998
(Canada/Newfoundland Agreement on Economic Renewal)

Research and Ocean Technology Funds Established

Fred Mifflin, Minister of Veterans Affairs and Secretary of State for the Atlantic Canada Opportunities Agency (ACOA), and John Efford, Minister of Fisheries and Aquaculture, today announced the establishment of two initiatives to foster research and development as well as to promote technological innovation in the high tech field. Totalling approximately $5 million, the Ocean Technology Fund and the Research Infrastructure Fund are initiatives of the advanced technology component of the Canada/Newfoundland Agreement on Economic Renewal.

Valued at $3 million, the three-year Ocean Technology Fund, provides investment in strategic areas of marine technology which have a local user industry and strong commercial growth potential nationally and internationally. At Memorial University of Newfoundland, a $2 million Research Infrastructure Fund will enhance the institution's research and development capability. This fund focusses on four strategic areas: Medical Research ($500,000); Information Technologies and Informatics ($500,000); Biotechnology and Pharmaceuticals ($500,000); and Marine Sciences and Environmental Research ($500,000). The fund supports research and development for products and services with international market opportunities in areas where the province enjoys strong scientific and technological advantages.

Under the Ocean Technology Fund, two research and development contracts valued at more than $600,000 were awarded to private sector companies. The contracts are the first from the $3 million fund designed to support R&D initiatives. Axiom Engineering Ltd. of Mount Pearl will receive $257,759 to develop an Oil Slick Tracking Buoy while Lotek Marine Technologies Inc. (LMTI) of St. John's will receive $355,121 for development of a Combined Acoustic Radio Transmitting (CART) system for the Aquaculture industry. The fund is accessed through a competitive solicitation process.

Axiom's Oil Slick Tracking system will employ a low profile drifter buoy, capable of being deployed by ship or aircraft. The buoy is designed to remain with an oil slick and can be tracked by satellite. Its movement and direction can be plotted on an electronic display system thus permitting monitoring agencies to track the movement of an oil slick. In the long term, the company aims to export the system to international markets in need of highly accurate environmental monitoring equipment.

LMTI will develop a combined acoustic and radio signal transmitting (CART) tag to track and monitor fish in both fresh and salt water. Deployable at remote sites, the system will incorporate power generation and satellite communication capabilities. Successful development of the technology will position Lotek as the only biotelemetry company in the world that can provide a single receiver and transmitter capable of operating in both radio and acoustic mode, that is in salt and fresh water.

Minister Mifflin views the establishment of the new funds as another example of private and public sector cooperation. "The Ocean Technology Fund aims to build on the technology base of local companies with niche market core competencies in the broad field of ocean technology. We are developing the technical and human resource capabilities to create innovative products and services which meet the demands of evolving markets. Similarly, the Research Infrastructure Fund places Memorial University in a more competitive position to access other funding sources. A vigorous research institution is a source of technology, expertise and skills transfer, and a magnet for high technology industries seeking to locate close to a major research institution such as Memorial University. The value of university research to economic and industrial development cannot be overstated."

Minister Efford emphasized the importance of developing the high-tech capability in Newfoundland. "To remain competitive in the knowledge-based economy, there must be continued product development. The creation of new products will yield increased business activity and improved technical capabilities for existing and future enterprises established in our province. Likewise, the enhancement of research and development infrastructure at Memorial University is a strategic investment in the economic development of our province. We are ensuring that Memorial has the appropriate equipment and top-notch researchers to enhance its long-term competitiveness for research and development dollars. The core component of research infrastructure is trained people and an institution's ability to maintain teams of knowledgeable research personnel."

Memorial president Dr. Arthur May said: "The Research Infrastructure Fund will help the university to leverage funds from national and international competitions. It will also support upgrading of operating capabilities and personnel in order to sustain ongoing basic research and provide underlying support for contractual research and development. It is important to remember that, in addition to its teaching role, Memorial is committed to meeting its objectives as the province's largest research facility."

The Canada/Newfoundland Agreement on Economic Renewal is a $100 million, five-year program implemented on behalf of the Government of Canada by the Atlantic Canada Opportunities Agency and by Executive Council on behalf of the Government of Newfoundland and Labrador. The agreement aims to improve the competitiveness of the province through investment in key growth areas such as aquaculture, tourism, and advanced technology.

Contact:

Ellen Alcock
Canada/Newfoundland Agreement on Economic Renewal
(709) 772-5116

Josephine Cheeseman
Department of Fisheries and Aquaculture
(709) 729-3733

Ivan Muzychka
Memorial University of Newfoundland
(709) 737-8665

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Ocean Technology Fund

The Ocean Technology Fund is an initiative of the Advanced Technology component of the Canada/Newfoundland Agreement on Economic Renewal. The Fund is designed to support ocean-related, market-driven technology initiatives in strategic areas of marine technology.

Investment dollars available through the fund are accessed through a competitive solicitation process, initiated through Requests for Proposals. The process requires that proponents:

• Demonstrate a market-driven demand

• Indicate high commercial potential

• Outline a commercialization plan including a market strategy

• markets Identify export potential, including international

• Develop partnerships which advance the project's long-term goals

• province. Demonstrate net economic benefits to the

Successful proponents will show the ability and the intention to commercialize and market high-tech products with applications beyond their own requirements.

Lotek Marine Technologies' Combined Acoustic Radio Transmitting (CART) system has considerable applications in diverse markets. In the development and testing of the CART system, Lotek has built partnerships with:

• The Newfoundland Salmonid Growers Association

• The Council of the Conne River Mi=Kmaq

• Department of Fisheries and Oceans

• Centre for Aquaculture and Seafood Development, Marine Institute

• Centre for Fisheries Innovation

• The Waterloo Biotelemetry Institute

Axiom Engineering's Oil Slick Tracking Buoy combines a low profile drifter buoy with Global Positioning System (GPS) technology. This unique new system for monitoring oil slicks will be developed in partnership with:

• Nautical Data Inc. (NDI)

• International Communications and Navigation Ltd. (ICAN)

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Research Infrastructure Fund

The Research Infrastructure Fund is a new initiative under the Advanced Technology Component of the Canada/Newfoundland Agreement on Economic Renewal. The fund will provide support for research and development infrastructure at Memorial University of Newfoundland.

The Research Infrastructure Fund will allow Memorial University to leverage resources available through national and international competitions. This strategic investment in the economic development of the province will support upgrading of operating capabilities and increase the university=s competitiveness in attracting R&D resources and excellent research personnel.

The $2 million dollar Research Infrastructure Fund focusses on four strategic areas:

• Medical Research

• Information Technologies and Informatics

• Biotechnology and Pharmaceuticals

• Marine Science and Environmental Research

Within these disciplines, the fund will provide start-up and seed funding, operational infrastructure investment, leverage and bridging funds. Application may be made by individual researchers, groups of collaborating researchers, Departments, School or Faculties. Criteria for access to the Research Infrastructure Fund are:

• Quality of proposal and investigators

• Potential to increase advantage in national/international competitions

• Fit with university, provincial and federal planning and priorities

• Potential for human resources development

• Potential for ongoing development of applied project and personnel

• Opportunity to build on existing strengths in international competitiveness

• Benefit to the community

The Research Infrastructure Fund will be managed by a selection board consisting of three members of the private sector, one of whom will act as chair, and three members from the university. The fund totals $2 million over three years. Requests for application will be made twice in years one and two, and once in the final year.