Thorunn Howatt
Northern News Services

Yellowknife (Sep 25/02) - Miramar Con Mine Ltd. is selling its Bluefish hydroelectric dam to the Northwest Territories Power Corporation (NTPC) for $10 million and free power until the end of 2004.

For four years after that, Miramar will get an additional five million kilowatts free power to use during its clean-up of the Con mine. The industrial rate in Yellowknife is 11 cents per kilowatt per hour.

"This really is a good news story for the North," said the power corporation's president and chief operating officer, Leon Courneya. "If Kyoto ever does get signed we are already 47 per cent under our emission (limit)."

The power company won an award last year for limiting its release of greenhouse gases. The purchase of the dam will go farther toward clean energy but the company still plans to use diesel as its main fuel for smaller communities.

"Diesel is the least expensive and the most reliable," said Courneya.

By 2005, Bluefish's power will go to Yellowknife consumers, replacing the need for the Jackfish diesel generating plant.

NTPC has been bargaining for Bluefish since 1995.

"This acquisition is a significant move by the corporation to reduce reliance on fossil fuels. By 2005 the corporation will have reduced its diesel consumption from a high of 60 million litres in 1994 to 14 million litres," said Courneya. And it looks like the sale could be a good move for Miramar as well.

"This transaction is another step in our strategy to monetize our non-core assets," said Tony Walsh, Miramar's president and chief operating officer. He added the money will be used to clean up Con after it shuts down.

Miramar also wants to develop its proposed Hope Bay gold mine in the Kitikmeot.

Miramar will save about $400,000 annually when the power corp. takes over the operating cost of Bluefish by the end of this year.

Bluefish is located 40 kilometres northwest of Yellowknife.