Natural Resources
May 14, 2007

Government Seeking Interest to Develop Labrador�s Forest Industry

The Provincial Government is proceeding with its strategy for developing the Labrador forest industry by seeking proposals to establish forest product industry operations in central Labrador.

A formal call for Expressions of Interest has now been issued as part of government�s plans to assess the potential for the establishment of industry operations in central Labrador, as identified in the Strategic Plan to Develop Labrador Secondary Manufacturing and Value Added Wood Products Industry. The independent study was completed last year and identified potential forestry operations suitable for Labrador.

"The forest sector in Labrador holds opportunities for development and we are now attempting to determine the level and type of interest in pursuing projects that hold the most promise for growth," said the Honourable Kathy Dunderdale, Minister of Natural Resources. "We look forward to receiving the proposals and see work start on the creation of a new diversified industry in Labrador for the benefit of the people in Labrador."

The department is seeking proposals that would include the harvesting, sawmilling and secondary processing sectors. The independent study included analysis of the constraints and opportunities within the Labrador forest sector and provided recommendations on areas worth pursuing. The proposals submitted will be evaluated against their linkage to the recommendations in the study. The study recommends the establishment of a sawmill and manufacturing plant in Happy Valley-Goose Bay to produce construction lumber and packaged homes both for local and northern markets. It can be found at //

A senior management team with representation from a number of Provincial Government departments has been working through the issues identified in the study, including the viability of the recommendations, identification of investors and proponents. Nunavut has been identified as a potential market.

The Honourable John Hickey, Minister Responsible for Labrador Affairs and MHA for Lake Melville, is optimistic the forest industry in Labrador has a positive future. "With the right strategic approach, we can identify the appropriate industry activities that can be sustained in Labrador. Government consulted with major interest holders in the area at every step in the process and we will continue to work with the people of Labrador to make the most of the opportunities available in the forest sector."

All Expressions of Interest must be completed in accordance with set terms and conditions and should include a detailed work plan describing objectives, priorities and timetables for implementation. The terms and conditions and mailing address are available on the department website at

Expressions of Interest will be accepted until 4:00 p.m. on June 8, 2007, at the Department of Natural Resources Labrador Regional Office in Happy Valley-Goose Bay. For more information, please contact Tanya Schlossek, regional planner, at 709-896-3405 ext. 242.


Ministerial Statement

Media contact:
Tracy Barron
Director of Communications
Department of Natural Resources
709-729-5282, 690-8241

2007 05 14                                                      1:45 p.m.


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