Rodney Macdonald News

Atlantic Towing is the successful bidder for EnCana Corporation’s offshore supply vessel services contract for the Deep Panuke Project. This award includes building a new state-of-the-art offshore supply vessel at the Halifax Shipyard. The building and commissioning of the new vessel will employ over 200 shipyard workers at the peak and provide 426,000 person hours of employment. The new contract will raise total employment levels at the shipyard to over 600 at peak. The building of the new ship will generate an estimated payroll of $20m and will result in about $14m in purchases of goods and services from approximately 50 Nova Scotia suppliers. Atlantic Towing will operate the new vessel on long term contract with EnCana.

According to reports, Ottawa and the province of Nova Scotia will hand over a combined $6m to keep the vital Bay of Fundy cargo ferry service afloat. Nova Scotia Premier Rodney MacDonald announced a $2m lifeline to Bay Ferries Ltd. in order to keep the Digby-Saint John cargo service operating, reports the Halifax Chronicle Herald. That's on top of the $4 million Ottawa says it will kick-in. New Brunswick is also expected to contribute. The government money is a short-term solution to keep the ferry sailing while a long-term solution is developed, MacDonald added. In July, Bay Ferries announced skyrocketing fuel costs, a drop in tourism and forestry exports, were forcing the company to anchor its service permanently.

Bay Ferries Ltd. announced on June 30 that the Princess of Acadia will make its final three-hour trip between Digby and Saint John, N.B., on Oct. 31.High fuel prices and declining tourist and commercial traffic were among factors in the decision, the company said in a news release. Local government officials are working together to find a way to maintain the area’s ferry service. Many officials are expected to travel to Halifax for talks with cabinet ministers and, possibly, the premier, with the hope that the Bay Ferries decision can be reversed if there is some financial help from the federal government. At the legislature, Premier Rodney MacDonald said the government is playing an active role in finding a solution, although that won’t include an operating subsidy from taxpayers.