Business opportunities of Voisey�s Bay identified in reports

Ed Byrne, Minister of Natural Resources, today released two reports which are designed to assist companies in Newfoundland and Labrador take advantage of service and supply opportunities arising from the operations of the Voisey�s Bay mine and concentrator, as well as construction and fabrication related to the construction phase of a hydromet demonstration facility at Argentia. The release of these reports coincides with the Opportunities Argentia Conference and Exhibition being held this week.

"These studies are an excellent source of information for businesses in Newfoundland and Labrador wishing to participate in this project," said Minister Byrne. "It is anticipated the mine and concentrator operations will have annual expenditures of between $90 to $100 million - more than half of this will be non-labour expenditures. Additionally, $180 million is committed to the construction and operation of the hydromet demonstration facility. There are certainly ample opportunities here for our local businesses to benefit from these projects."

The Government of Newfoundland and Labrador and Voisey�s Bay Nickel Company Limited have committed, through the Industrial and Employment Benefits Agreement (IEBA), to ensure maximum benefit is achieved for Newfoundland and Labrador businesses from the Voisey�s Bay project.

"This agreement contains the commitment for full and fair opportunity and first consideration for qualified Newfoundland and Labrador businesses," said Minister Byrne. "We will remain diligent and continue to work with Voisey�s Bay Nickel Company to ensure adherence to this commitment."

Funded under the Canada/Newfoundland Economic Development Agreement (CEDA), these studies were conducted by Davis Engineering and Associates Limited under the direction of a federal/provincial steering committee of officials from the Department of Natural Resources and the Atlantic Canada Opportunities Agency (ACOA). The primary objective of these studies is to provide timely supplier information that will enhance the ability of the Newfoundland and Labrador business community to participate in the Voisey�s Bay open pit mine and concentrator operations phase and the hydromet demonstration phase.

"The Voisey�s Bay project will require a wide variety of goods and services over the life of the project," said Minister Byrne. "I am confident that these reports will help identify specific business opportunities ranging from construction-related activity to catering, security and office supplies. The report also provides a good insight and understanding into some of the unique issues and challenges that the business community should be aware of to best position themselves to avail of these opportunities."

A copy of Study of Provincial Business Opportunities - Voisey�s Bay Mine and Concentrator Operations and Hydromet Demonstration Facility can be accessed at:
//www.gov.nl.ca/voiseys/

Media contact: Carmel Turpin, Communications (709)729-5282 or (709)685-4624

2004 09 30                   4:00 p.m.