Investment in Halifax Shipyard Will Create New Jobs

NOTE: A social media release, including downloadable high-resolution photos, video and audio clips, will be available later today, Feb. 25, at gov.ns.ca/news/smr/2010-02-25-shipyards.asp .

Premier Darrell Dexter, today, Feb. 25, announced a $20-million investment in the Halifax Shipyard to help create jobs and grow the economy. The investment is a repayable loan and will be used to modernize and upgrade infrastructure to increase competitiveness.

"This is a sound investment in a successful company," said Premier Dexter. "This investment will not only improve infrastructure at the shipyard and create jobs during construction, it will help the shipyard modernize its facility so it will stay competitive and able to bid on more contracts in the future."

Premier Dexter said that investing in the shipyard will help secure a stronger future for the yard. The new the investments in wharves, cranes, fabrication areas and office upgrades will provide employment for hundreds of Nova Scotia workers and suppliers across the province in the years to come.

Last fall, with the support of the province, the Halifax Shipyard secured a contract worth $219 million to build nine mid-shore patrol vessels for the Canadian Coast Guard.

The government of Canada has committed roughly $40 billion in shipbuilding and ship repair contracts over the next two to three decades. A commitment to purchase Canadian-built vessels is part of the plan.

"We must continue to embark on opportunities for economic growth," said Economic and Rural Development Minister Percy Paris. "Investments like this bring significant benefits to the province and move us another step closer to our goal of economic sustainability and prosperity."

The infrastructure investment represents a significant opportunity for the Halifax Shipyard. Once the project is complete, the shipyard will be one of the most modern on the eastern seaboard, positioning it for future bids and contracts.

"We thank the province for its commitment to a strong future at the Halifax Shipyard and its vote of confidence in the world-class capability of the men and women who work here," said CEO of Irving Shipbuilding Inc., Jim Irving. "Today's news is about investing for the long term and securing this Nova Scotian centre of excellence for made-in-Canada ships."

The province has a long history of working with Irving Shipbuilding, bringing major economic benefits for Nova Scotia.

"On behalf of the members of Local 1, I want to thank the province for its support of these important improvements," said president of Local 1 of the CAW Marine Workers Federation, Karl Risser. "There are many of us whose roots go deep at this shipyard and today's news is the best signal to the next generations of shipyard workers."

The loan is being provided through the province's Industrial Expansion Fund. The fund helps industries with innovation and technology, and contributes to a prosperous and sustainable business climate for Nova Scotia. It provides access to capital and helps protect jobs, as well as support to businesses to be more competitive and sustainable. The Industrial Expansion Fund provides financial support, such as loans and guarantees, when many traditional sources are reluctant to do so.