Han Beck To Begin Production

Production is about to begin at Han Beck Sea Products in Louisbourg. The company will start recruiting up to 50 additional workers as soon as the fish can be delivered to the plant.

"I'm very pleased that we'll soon be producing our fish products for export," said Yong Taek Kim, company principal. "Depending upon our ability to acquire fish, which is subject to weather conditions, we expect to be very busy by mid-December."

The province is providing $750,000 in interim financing to the company so production can begin. The loan will not have to be repaid if the company meets and maintains 75 jobs for five years.

These funds will enable the company to hire more production workers, taking advantage of the current fishing season, and to produce product it can sell to existing buyers. In conjunction with the province, an equipment manufacturer has agreed to provide interim support.

"This investment makes sense for the company and for the economy of Cape Breton County," said Economic Development and Tourism Minister Manning MacDonald. "Han Beck has succeeded in securing customers for its products. This interim support will give the company the time it needs to find alternative sources of financing to replace the $800,000 previously committed to by the federal government."

The province made an earlier financial commitment of $5.1 million to Han Beck in December 1997. The province later amended its offer at the request of the company to $3.4 million after Enterprise Cape Breton Corporation/ACOA support for the project was withdrawn.

The amended commitment includes a $2,650,000 loan and the $750,000 forgivable loan, the latter of which is now being disbursed. The provincial loan of $2,650,000 is subject to the company obtaining an additional $800,000 in financing from other sources.

Han Beck Sea Products produces value-added products from under-utilized species for export to specialty markets in North America and Asia. The company currently employs 12 people.