June 15, 1998
(Forest Resources and Agrifoods)

Abitibi Consolidated to invest in silviculture to offset unaccounted for wood lost at Star Lake Project

Kevin Aylward, minister responsible for forestry, announced today the successful conclusion to the investigation into missing wood at the Star Lake Project under development by the Star Lake Hydro Partnership (Abitibi Consolidated - CHI Hydroelectric Company Inc.). "The partnership will be making a significant new investment in silviculture to offset the wood that was unaccounted for after the shoreline was cleared," said the minister. "This investment will replace what was destroyed."

Officials from the Department of Forest Resources and Agrifoods became aware that some stockpiled trees had been burnt or otherwise disposed of by a sub-contractor working on the site in the summer of 1997. The conditions for timber clearing stated in the Environmental Impact Statement Release documents indicated that all merchantable timber had to be salvaged. However, this action was taken without the knowledge or permission of the partnership. Upon conclusion of the department investigation, the company was requested to invest in new silviculture activities in addition to the monies already allocated for silviculture in 1998. These projects must be approved by the department.

"In recognition of the value of the wood that was disposed of by a sub-contractor of the project, the partnership is investing an additional $150,000 into silvicultural work," said Minister Aylward. "This satisfies my department's concerns about the implications of this action during a time when there is a wood shortage in insular Newfoundland."

Contact: David Wells, Communications, (709) 729-6183.

1998 06 15 10:50 a.m.