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Transportation and Works
Executive Council
June 15, 2012

Contract Awarded for Labrador Ferry Freight Service

Freight vessel service from Lewisporte to coastal communities in Labrador will be maintained by the Provincial Government through a three-year investment in excess of $8 million. The contract for the freight service is being awarded to Labrador Marine Incorporated, which will provide the service via the MV Astron, a vessel that has serviced the communities in previous years.

“I am pleased to award this contract to a company that is very knowledgeable of the challenges associated with shipping to Labrador and has a proven vessel that is up to the task,” said the Honourable Tom Hedderson, Minister of Transportation and Works. “This arrangement allows the Provincial Government to maintain the service while we explore longer-term options that include the possibility of constructing a custom built vessel.”

The Provincial Government issued a Request for Proposals (RFP) last March for the provision of a two-week freight delivery cycle from the primary ports of Lewisporte and Happy Valley-Goose Bay to northern coastal ports to Nain for the next 15 years. Labrador Marine Incorporated was the only company to respond with proposals, and all proposals put forward by the company involved the use of the MV Astron to serve the communities for a period of time at the start of the contract. Having reviewed the proposals, the Department of Transportation and Works decided it would be best to cancel this RFP and to issue a revised RFP in due course in order to ensure an appropriate long-term service for the region would be secured. In the interim, the department has secured this three-year contract to provide freight delivery to communities on the north coast of Labrador.

“This freight service is very important to the social and economic well-being of communities along Labrador’s north coast,” said the Honourable Nick McGrath, Minister for Intergovernmental and Aboriginal Affairs and Minister Responsible for Labrador Affairs. “I am pleased to see this valuable service commence in a timely manner for the short term and look forward to securing an acceptable solution for the long term.”

The service provided by the MV Astron is set to commence on Monday, June 18. For more information about placing freight on the vessel, contact Labrador Marine Incorporated at 1-866-535-2567 or visit www.labradormarine.com.  

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Media contacts:

Jason Card
Director of Communications
Department of Transportation and Works
709-729-3015, 699-0470
jasoncard@gov.nl.ca
Carol Ann Carter
Director of Communications
Intergovernmental and Aboriginal Affairs
Labrador Affairs
709-729-1674, 631-9505
carolanncarter@gov.nl.ca

2012 06 15                           4:10 p.m.

 
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