Minister said companies will meet White Rose commitments

Mines and Energy Minister Walter Noel said that he has been assured by Husky General Manager for East Coast Development, Will Roach, that White Rose commitments will be kept.

Husky Energy and Petro-Canada sanctioned the White Rose project on March 28, 2002, and committed to undertaking at least 80 per cent of the White Rose topsides engineering, fabrication, assembly and integration work in Newfoundland and Labrador. Work has been ongoing in the province since that date.

"We have spoken to officials from Aker Maritime Kiewit Canada (AMKC) and have been advised that the work program at Marystown has been slightly delayed due to detailed engineering which must be completed before certain fabrication activities can take place," said Minister Noel. "This is not unusual for a project of this size. We have been assured that the overall project schedule, with first oil planned for the second half of 2005, will be maintained and the anticipated job numbers will be reached within a couple of months.

"Husky Energy remains committed to undertaking a minimum 80 per cent of the topsides fabrication, assembly and integration work in Newfoundland and Labrador. Marystown, and other areas of the province, are positioned to benefit substantially from this project. All of the detailed engineering and design work for the project is being completed in the province and there are currently in excess of 250 people engaged in these activities in St. John�s and over 300 people working in Marystown."

The minister also commented on rumours that contracts have been awarded to fabrication yards outside of the province. "The companies have advised us that to date one contract has been awarded to a yard in New Brunswick. We have been assured that this contract was part of the planned maximum 20 per cent work scheduled to be completed outside of the province. Government will continue to monitor the benefits commitments made by the White Rose proponents and ensure the people of Newfoundland and Labrador receive the maximum benefit from the development of their resources."

Media contact: Darrell Mercer, Communications, (709) 729-5777.

2003 02 26                                          10:20 a.m.