Province and Inco to continue discussions on Voisey's Bay

Premier Roger Grimes announced today that the province and Inco are interested in re-opening discussions on the Voisey's Bay project.

The premier made the comment today following a meeting that was held Saturday in Toronto with Inco. Mines and Energy Minister Lloyd Matthews also attended the meeting. It was the first meeting held between the province and Inco since negotiations were suspended in January of 2000.

"The purpose of the informal meeting Saturday was to determine if there was a continuing interest in the Voisey's Bay project. We believe there is, and as such, further discussions should occur," Premier Grimes said.

The premier said the meeting presented him with an opportunity to introduce his new Mines and Energy Minister to the Inco executives.

"I have now asked Mr. Matthews and his officials to take the lead in any future discussions," the premier said.

The premier said there is considerable public interest in these negotiations. "I want to take this opportunity to assure the public of Newfoundland and Labrador that they will receive timely updates on the general nature of these discussions as appropriate. However, Inco is a publicly traded company and because of the sensitive nature of the investment community, it will not be possible to conduct these discussions in the media. Such a situation does restrict government's ability to comment publicly on these discussions."

The premier said the government's objective is to ensure that the project maximizes the benefits associated with the processing of nickel concentrate to a final nickel product in this province. "The province is committed to securing long-term benefits from this project," the premier said.

Media contact: Gary Callahan, (709) 729-4890.

2001 03 05                                       4:00 p.m.