Newfoundland and Labrador

In 1996, Inco acquired the rights to the Voisey's Bay nickel-copper-cobalt deposits located on the eastern edge of a vast expanse of northern wilderness 300 kilometres north of Happy Valley-Goose Bay in Labrador.

Today, development is underway. We are building a road network on site, an airstrip, a deepwater port facility and a housing and recreation complex for 400 permanent employees. The mine and concentrator facility is currently scheduled to ship the first concentrate in 2006.

The fact that we have reached this first phase of the Voisey's Bay project is a testament to a remarkable journey that has involved seven years of dialogue and negotiation, a significant community relations effort and one of the most comprehensive environmental assessments ever undertaken in Canada. Over time, our relationships with everyone involved, the province, aboriginals and communities, have evolved. We have developed partnerships based on trust and respect, the result, in good part, of our willingness to balance interests and recognize the needs and entitlement of the people in Newfoundland and Labrador.

At the signing of the Voisey's Bay Development Agreement with the provincial government on October 7, 2002, Scott Hand, Chairman and Chief Executive Officer, commented, “The public debate over the last few years has at times been difficult, at times frustrating, but I see it as a healthy part of the democratic process that has resulted in a broad understanding of the project and its benefits. All the public discussion has helped forge an agreement that we think will stand the test of time for all the people of Newfoundland and Labrador, as well as Inco.”

Moving forward, the success of this project will be determined by our ability to maintain these strong and respectful relationships with all Communities of Interest, particularly at the government and community levels.

Our progress to date reflects our commitment to long-term meaningful participation in the project and innovative partnerships in areas ranging from research and development to human resources training and environmental stewardship. We have built our relationships with aboriginal people, with the people of Newfoundland and Labrador and with contractors and trade unions in ways that help keep jobs and business opportunities in the province.

At the same time, we have applied high standards of safety and environmental management. It's good for our business, and it's to everyone's benefit.

• Signed separate Impact and Benefits Agreements (IBAs) with Innu Nation and Labrador Inuit Association (LIA).
• Reached comprehensive Development Agreement with the province of Newfoundland and Labrador to develop Voisey’s Bay.
• Committed $13 million (Cdn. $20 million) to the Innovation Centre at Memorial University, St. John's, Newfoundland.
• Donated $850,000 (Cdn. $1.2 million) to the Innu Healing Foundation.
• Completed our $10 million (Cdn. $15 million) commitment toward development of a new hospital at Happy Valley-Goose Bay.
• Continued to work with the Government of Canada for support up to $100 million (Cdn. $150 million) for initiatives in areas such as aboriginal training and research and development that would result in highly skilled jobs in the province.

• Continue to honour our commitments as outlined in the IBAs with LIA and Innu Nation and the Development Agreement with the province.
• Continue to build relationships with key Communities of Interest in Newfoundland and Labrador as we move closer to operational readiness.
• Focus on our research and development program, continuing to use the mini-pilot plant as an ongoing vehicle for training in preparation for the construction and development of the demonstration plant in Argentia, Newfoundland.
• Provide regular updates to the people of Newfoundland and Labrador on the development of the Voisey's Bay site and the research and development program.