August 3, 1999
(Environment and Labour)

Voisey's Bay Mine/Mill Project discharged from Environmental Assessment

Premier Brian Tobin announced today the provincial government's response to the Voisey's Bay Environmental Assessment Panel report. The premier was joined by Environment and Labour Minister Oliver Langdon, Mines and Energy Minister Roger Grimes and Ernest McLean, Minister Responsible for Labrador.

"I am announcing today that government is discharging the Voisey's Bay mine/mill proposal from further environmental assessment subject to the terms and conditions contained in the Voisey's Bay mine/mill discharge order," stated Premier Tobin.

The premier said discharge from further environmental assessment does not mean the Voisey's Bay project has been approved.

"What we are announcing here today is another significant step in the on-going process towards a mine/mill operation at Voisey's Bay," Premier Tobin said. "Before the company can begin construction of the mine/mill, it must negotiate an agreement with government that ensures full and fair benefits for the people of the province."

Minister Langdon said: "The panel concludes, and government concurs, that the mine/mill development at Voisey's Bay can be operated in an environmentally acceptable way. The environmental review process was thorough and involved as full participants the provincial government, federal government, the Labrador Inuit Association and Innu Nation."

The panel's report and recommendations have been examined by all four parties and the province believes there to be consensus on those which are of a straightforward, technical nature that can be adequately addressed through normal federal, provincial and municipal permitting and other regulatory processes, the minister said.

He noted that once a project clears the environmental assessment process, further environmental protection measures are required as part of government's licensing and permitting process.

"Government is committed to continued and meaningful participation of Aboriginal groups on the Voisey's Bay project through the establishment, in a timely manner, of a comprehensive consultation process," said Premier Tobin. "We will endeavour to meet the spirit and intent of the panel's recommendations in this regard. We believe that the project-specific interim measures we are negotiating, which will be finalized independently of project approval, will meet the spirit of the panel's report and address Aboriginal concerns."

Minister Grimes said he is pleased that the environmental assessment process has come to a successful conclusion. "We continue to look forward to future discussions with the company on how we can cooperatively develop the Voisey's Bay property. We are awaiting a proposal from the company that provides the people of the province with full and fair benefits from the development."

"The development of the mine/mill at Voisey's Bay is important to Labrador," said Minister McLean. "Labrador is rich in resources and development of those resources means new economic opportunities for Labrador and the province as a whole. The announcement today brings us one step closer to that objective."

The summary of the province's response to the environmental assessment panel report and the Voisey's Bay mine/mill undertaking order are available by contacting the Department of Environment and Labour, Environmental Assessment Division, Fourth Floor, West Block, Confederation Building, P.O. Box 8700, St. John's, NF, A1B 4J6 or by calling (709) 729-2562 or 1-800-563-6181.

Media Contact: Heidi Bonnell, Director of Communications, Premier's Office, (709) 729-3564, or Lynn Barter, Communications, (709) 729-0084.

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MAIN ELEMENTS
Voisey's Bay Nickel Company Limited Mine and Mill Environmental Assessment Discharge Order

Some of the key stipulations contained in the order are summarized herein.

Voisey's Bay Nickel Company must:

• abide by all commitments made in the Environmental Impact Statement (including Additional Information and related documents) and throughout the Panel Hearings, unless specifically waived by the Minister of Environment and Labour;

• abide by all project authorizations and regulatory requirements required by law such as a mining lease issued under the Mineral Act, a certificate of approval for construction and operation of mine/mill under the Environment Act, a water use authorization for water extraction and use issued under the Environment Act, and exploration permits issued under the Mineral Act;

• prepare, obtain approval and abide by the terms of all Environmental Protection, Management and Effects Monitoring Plans;

• submit an annual report to the Minister of Environment and Labour describing socio-economic benefits delivered to the residents and businesses of the Province as a result of the project;

• reimburse the Province's costs related to the project environmental assessment and future site surveillance, environmental effects and socio-economic monitoring;

• submit supplier development, training and employment plans (including a women's employment plan) for government approval, with regular monitoring and reporting to the appropriate government agencies.

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CHRONOLOGY OF ENVIRONMENTAL ASSESSMENT OF THE VOISEY'S BAY MINE / MILL PROJECT

• Environmental assessment (EA) of the Voisey's Bay project was required under both provincial and federal legislation. A panel review process was agreed to in a Memorandum of Understanding (MOU) involving Newfoundland, Canada, Labrador Inuit Association (LIA) and Innu Nation.

• On January 31, 1997 the MOU was signed and a five member independent panel was appointed.

• On February 10, 1997, an Exemption Order was issued by the Province under the Environmental Assessment Act substituting the MOU for the Newfoundland environmental assessment process.

• On June 20, 1997, after holding public scoping sessions and receiving comments on draft guidelines, the Panel issued the final guidelines for the environmental impact statement (EIS) to be prepared by Voisey's Bay Nickel Company (VBNC).

• On December 17, 1997, VBNC submitted its EIS for public review, including approximately 45 background reports. The Panel subsequently issued a deficiency list and on June 1, 1998 VBNC provided additional information to the EIS.

• On July 30, 1998, after extensive input from the public and government, the Panel determined that the EIS was sufficient to proceed to public hearings.

• From September 9 to November 6, 1998, the Panel carried out public hearings in nine communities in Labrador and St. John's, resulting in 449 written submissions/oral presentations to the Panel.

• On March 31, 1999, the Panel released its report, which recommended that the project should proceed, subject to the 107 recommendations contained therein.

• From April to June of this year, consultations have been held among the four parties of the MOU on the Panel's report.

The response of the Government of Newfoundland and Labrador to the Voisey's Bay Environmental Assessment Panel recommendations

1999 08 03                 2:15 p.m.