Resource Development Creates a Sustainable Economy in Newfoundland and Labrador

Minister Reflects on Achievements of 2013

There has been plenty to celebrate this year with natural resource development in the province. Successes in the areas of energy and mining have helped to propel the economy forward and generate jobs for residents and businesses in Newfoundland and Labrador.

“This has been a remarkable year for our province. It is exciting to contemplate future opportunities that will help to secure a diversified resource economy, as well as long-term growth and success for the benefit of Newfoundlanders and Labradorians.”
- The Honourable Derrick Dalley, Minister of Natural Resources

The offshore petroleum industry is poised for growth with sanction of the Hebron Project and an agreement achieved on the White Rose Extension. The discovery of oil in the frontier area of the Flemish Pass Basin and implementation of a new scheduled land tenure system will help encourage exploration activity and attract investment into the province.

The mining industry will continue to evolve with Canadian and overseas investors demonstrating a healthy interest in the province’s mineral potential and investment opportunities.

Completion of the Federal Loan Guarantee and financing are major milestones completed this year for the Muskrat Falls Project. The loan guarantee will result in projected savings of $1 billion in interest costs for ratepayers and contribute to stable electricity rates for consumers in the province.

“The Muskrat Falls Project will be a source of renewable electricity generation in Newfoundland and Labrador and will accrue significant benefits directly to the people of our province for generations to come.”
- Minister Dalley

Through sound fiscal management and responsible decisions, the Government of Newfoundland and Labrador is strengthening the business environment, encouraging the development of innovative industries and building a vibrant economy.

QUICK FACTS

• The offshore petroleum and mining industries continued to add substantially to the provincial economy in 2013, and significant milestones were reached for the Muskrat Falls Project.
• The value of oil production was over $8 billion with royalty revenues of $2 billion in 2012.
• The value of mineral shipments was forecast to be $3.9 billion in 2013, with exploration expenditures of over $200 million.

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Media contact:
Diana Quinton
Director of Communications
Department of Natural Resources
709-729-5282, 631-8155
dianaquinton@gov.nl.ca 

2013 12 24             10:55 a.m.