Voisey�s Bay negotiations final - awaiting ratification by legislature

Premier Grimes is looking forward to a full and thorough debate on the merits of the recently concluded negotiations between the province and INCO. Premier Grimes reiterated that the Statement of Principles, signed on June 11, 2002, is a clear acknowledgment that there will be no further negotiations and that the arrangement reached between the provincial government and INCO is final pending ratification by the House of Assembly.

Premier Grimes stated that the debate on the Statement of Principles will provide every Member an opportunity to publically declare a position on the final agreement because, after ratification, those principles will simply be turned into legal text. Legal language, which is part of the process, will be applied based entirely and solely on the Statement of Principles. Absolutely nothing will change in the principles negotiated between the province and the proponent- there will be no additions, deletions or variance with the agreed Statement of Principles.

Premier Grimes is concerned by recent suggestions that any members of the Official Opposition would not indicate their position on the Statement of Principles in the House of Assembly and instead reserve judgement. Premier Grimes is also concerned about incorrect suggestions by the Official Opposition Leader that �the Statement of Principles is not the final Voisey�s Bay development agreement,� and further that �the final agreement is to be negotiated by September 30, 2002. Such comments indicate a misunderstanding of the process or a deliberate attempt to misrepresent the facts, serving only to mislead the public into believing that negotiations will continue after the ratification.

"The Official Opposition knows that the Statement of Principles is the final negotiated document with all the components of the tentative deal fully laid out for the people of the province. I ask the Official Opposition to live up to its responsibility to the people of the province by clearly indicating support or rejection of the Statement of Principles during the upcoming debate in the House of Assembly," said Premier Grimes.

Media contact: Carl Cooper, Office of the Premier, (709) 729-3960.

June 18, 2002

Mr. Danny Williams, M.H.A
Leader of the Opposition
House of Assembly
5^th Floor, East Block
Confederation Building

Dear Mr. Williams:

Thank you for your letter of June 14, 2002 regarding the special legislative debate with respect to the Voisey�s Bay agreement.

I understand all parties have agreed to the special debate rules and I look forward to proceeding with a full debate on this important topic in the House of Assembly.

I must correct your statement that "the Statement of Principles is not the final Voisey�s Bay development agreement". The Statement of Principles is the final negotiated document with all components of the arrangement fully specified.

You also state that "the final agreement is to be negotiated by September 30, 2002". This statement shows a clear misunderstanding of the process or is a deliberate attempt to misrepresent the facts.

The exercise from now to September 30, 2002 involves no negotiation, but rather a translation of the principles into legal text. There will be no additions, deletions, or variance from the Statement of Principles. Assuming ratification, the process of applying legal language to the provision of the Statement of Principles will commence immediately.

When the legally binding agreements are completed they will be made available to the public in accordance with the requirements of the Freedom of Information legislation.

Sincerely,

ROGER GRIMES

2002 06 18                               9:35 a.m.