Rankin Inlet (Jun 26/06) - A proposed passenger and cargo ferry connecting the Kivalliq region with Churchill, Man., is drawing interest from at least two members of the business community in Nunavut.

Kivalliq Marine, which operates the port of Churchill and sealift services to the Kivalliq, wants to run a weekly service between Churchill and Baker Lake.

"Our goal is to offer more alternatives to local people," said Kivalliq Marine co-owner Grant Cool in a telephone interview from Aurora, Ontario. "The next step before roads is a ferry service. It's just a natural progression."

Cool said Kivalliq Marine is looking at spending $2-$3 million on a ferry capable of carrying 300 passengers and 2,000 tonnes of cargo. The model in question also has the capability of unloading directly onto a beach.

The service would run once a week, from mid-July until late October, from Churchill to Baker Lake, with weekly stops in larger communities like Rankin Inlet and by-weekly stops in places like Chesterfield Inlet. Cool expects half the business to come from passengers.

A round trip fare for the whole route would cost around $500.

Cool hopes to tap into the 20,000 tourists who already visit Churchill every year.

While the Manitoba town isn't connected to the south by road, it has regular air and rail passenger service to Winnipeg.

The ferry should also help bring down shipping costs, he said.

"This service would be a new level of infrastructure," Cool said. "Cargo costs would drop significantly, tourism revenues would increase dramatically (and) resource development projects would be attracted to the area with improved infrastructure."

Norma Lefurgey of the Keewatin Business Development Centre said she's skeptical the service would reduce shipping costs, but supports the idea of new infrastructure and jobs for the region.

"If this group is successful, hats off to them," she said.

Brian Webb, marketing director of Nunavut Tourism, said his organization likes the possibility of cheaper access to the territory for southern tourists.

"The idea they're tossing around... we think looks very promising," he said. "It's beneficial any time you have second form of access to the territory."

Kivalliq Marine still needs regulatory approval from the governments of Nunavut and Manitoba.

Service would begin in the summer of 2008 at the earliest, said Cool.