Call for Proposals issued for mineral development on Bell Island

Ed Byrne, Minister of Natural Resources, advised today that a Call for Proposals is being issued for the exempt mineral land on Bell Island.

Minister Byrne indicated the department has received an unsolicited proposal from a company interested in the iron ore resource on Bell Island. However, the former mine was declared Exempt Mineral Lands under the Mineral Act in 1977. The underground mine on Bell Island closed in 1966 due to a combination of market requirements and competition after 73 years of operation.

"We want to facilitate and gauge a broader interest in the resources of Bell Island in light of the fact that we have received an unsolicited proposal," said Minister Byrne. "Through this Call for Proposals we are asking proponents to come forward and inform us of their level of interest."

The Call for Proposals is also required in order to approve any exploration activity on Bell Island due to its designation as Exempt Mineral Lands. The analysis of proposals will be based on the information submitted and on any further information the department would obtain in subsequent discussions with proponents. Each proposal will be judged on the basis of information submitted and an estimation of its overall economic impact to the province.

"To this point, we have not engaged in discussions nor are we involved in negotiations with any potential proponent related to this Call for Proposals," said Minister Byrne. "I also point out that we are not obliged to accept any proposal we may receive as a result of our effort to determine the level of interest in this property."

The deadline for the submission of proposals is September 17, 2004. The complete Call for Proposals is available at: www.gov.nl.ca/mines&en/cfp/bellisland.pdf

Media contact: Carmel Turpin, Communications, (709) 729-5282

2004 08 20                                       12:45 p.m.