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Acho Dene Koe lose contract bid

Parrish accuses mine of not understanding how business is done in the North

Derek Neary
Northern News Services

Fort Liard (Sep 24/01) - Beaver Enterprises bid on a contract to provide catering and janitorial services at Cantung mine has been turned down and Shane Parrish is not happy about it.



The kitchen at Beaver Enterprise's base camp in Fort Liard feeds between 60-180 workers. - Merle Robillard/NNSL photo


Parrish, CEO of the Acho Dene Koe Group of Companies, said the contract would have created 15 jobs. He acknowledged that his company's proposal would likely have been more costly than those from southern outfits, but that's the cost of doing business in the North, Parrish contended.

"Labour was higher. We pay our people better than industry standards ... I have to question whether he (North American Tungsten president Udo von Doehren) really understands how business is done in the North," Parrish said. "It was a fair proposal ... we're not sure what the Deh Cho is getting out of this. It doesn't seem like much if anything."

Von Doehren said Beaver Enterprises' bid was not competitive and called Parrish's comments "irresponsible." He said he has met with several First Nations leaders in the Deh Cho and made them fully aware of economic opportunities surrounding the mine.

"Quite frankly the feedback has been less than satisfactory ... we're somewhat frustrated," von Doehren said. "We stick by our commitment to hire Northerners."

As a junior mining company, North American Tungsten doesn't have a huge budget, but it will consider Northern bids as long as they are within reason, von Doehren noted.

He added that every contract awarded, including the catering contract, will require that First Nations in the Deh Cho and Kaska region of the Yukon be approached regarding job opportunities.

North American Tungsten expects to have the CanTung mine, located near the NWT/Yukon border, back in production by the end of the year. Because the mine was operational decades ago, it hasn't been subject to providing impact benefit agreements to nearby communities as new ventures would, Parrish noted. He added that when North American Tungsten seeks to renew its water licence or applies for new licences, it could face opposition from local communities and organizations that feel shortchanged.

Von Doehren said he doesn't know what more his company can do.

"I really take exception to the point that we exclude the NWT," he said forcefully. "We're trying our utmost to encourage (First Nations) to let us know what their capacity is ... it's not that we haven't tried."