April 22, 2013 - Nalcor Energy

Lower Churchill Project
Project Update
April 13, 2013
Safety Moment
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Nalcor safety culture
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Project Overview
Muskrat Falls Generating Facility
Project Update
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Sanction decision made by
the provincial government
in December 2012
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Preliminary site work
completed at Muskrat Falls
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Moving forward with site
construction
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Contracts and packages
awarded for several major
project components
Key Construction Activities: 2013
Muskrat Falls – 2013
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Bulk excavation work
underway
Start reservoir clearing
North Spur geotechnical
engineering
Accommodations complex
to be constructed
First concrete to be poured
for spillway
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Labrador Transmission (2013)
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Commence Right of Way (ROW) clearing
– Muskrat Falls to Churchill Falls
Commence transmission construction
Commence earth works at Churchill Falls switchyard
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Labrador-Island Link/SOBI (2013)
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Anticipated release from Environmental Assessment
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Following release:
Commence earthworks at Soldier’s Pond (Avalon Peninsula)
– Start ROW clearing in
Labrador and Northern
Peninsula
– Begin transmission
construction late 2013
– Begin Strait of Belle Isle
Horizontal Directional
Drilling (HDD) program
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Muskrat Falls Construction Site
Muskrat Falls Site Today
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Seven contractors working
on site today
Approx. 300 workers on site
Security and medical
services located on site
Health, Safety and
Environmental personnel
onsite
Temporary camp
operational in April
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Muskrat Falls Site
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South Dam Area
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Drilling at the Powerhouse Area
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Temporary Accommodations
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Permanent Accommodations Pad
Bulk Excavation
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Line Stringing Across Churchill River
Bringing
construction
power and
high speed
broadband
into site.
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North Spur Substation
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North Spur Substation – Control
Building Foundation
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Newfoundland and Labrador Benefits
Benefits to NL will include:
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Long-term stable electricity rates for generations
Reliable, long-term supply of clean, renewable energy
Energy independence – an enviable position
Energy for future mining and industrial development in
the province
Diversified economy, jobs and benefits
Link to North America’s electricity grid and ability to
export power to other markets
Long-term revenue generation
Project Benefits
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The construction of Muskrat Falls
will mean significant economic
benefits for Newfoundland and
Labrador, including:
– $1.9B in income to labour and
business
– $320M in average income
benefits per year
– $290M in taxes to the
Government of NL
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Project Benefits
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Approx. $500M in income to
business and labour will be
earned by Labradorians and
Labrador-based businesses.
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23,300 person years of direct,
indirect & induced employment 8,000 in Labrador.
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9,100 direct person years of
employment during construction 5,800 in Labrador.
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Employment & Training Opportunities
Jobs and Benefits
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Average 3,100 direct jobs at peak
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1,500 direct jobs/year on average
across 70+ occupations
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1,330 direct jobs/yr in Labrador
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More than 75% of the direct labour
for the Muskrat Falls generation
facility will be undertaken in
Labrador.
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After construction, NL employment
will continue with an estimated 80
direct full time jobs during the
operational life of the Project.
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Hiring Protocol
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Effective upon finalization of collective agreements and
Special Project Orders.
Hiring protocol for the generation portion of the project:
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IBA Commitments
Qualified and experienced residents of Labrador
Qualified and experienced residents of Newfoundland
Qualified and experienced Canadians
Qualified and experienced non-Canadians
Hiring protocol for the transmission portion of the
project:
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IBA Commitments
Qualified and experienced residents of Newfoundland & Labrador
Qualified and experienced Canadians
Qualified and experienced non-Canadians
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Labrador Employment
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January 2013
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February 2013
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369 people working in Labrador
101 residents of Labrador, 54 are members of Aboriginal
groups
466 people working in Labrador
144 residents of Labrador, 76 are members of Aboriginal
groups
As work at the Muskrat Falls construction site
increases, employment opportunities will also ramp
up, with more people and trades required month over
month, year over year.
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Attracting Skilled Workers
Direct and indirect employment
across a variety of industries
• Project will largely require:
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Labourers
Carpenters
Ironworkers (rebar)
Truck drivers
Surveyors
Crane operators, drillers and heavy equipment mechanics
Skill sets typically more accessible in the local labour
market with accessible training
Attracting Skilled Workers
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Labour market pressures around the province and across the
country
Need to be competitive to attract highly skilled and qualified
workers
Competitive terms and conditions of employment throughout
construction include:
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wages
quality accommodations
travel and transportation
accessible training
work site close to home
Employment growth and ramp up will occur in steady
numbers, month over month.
Quarterly Labour Demand 2013-17
How to Apply
Register online at
muskratfallsjobs.com
• Contact contractors
working on the
project
• Contact a union in
your trade
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muskratfallsjobs.com
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Helps ensure Newfoundlanders and Labradorians benefit
from jobs/opportunities generated through Project
Help meet anticipated labour requirements for the Project
Provides easy access to employment information
Job database specific to Muskrat Falls construction
Database for potential candidates and Project
contractors/unions
Use of database by contractors/unions will be tracked by
Nalcor
Over 4,000 registered applicants
Labrador Aboriginal Training
Partnership
Working closely with LATP, CNA, and other
stakeholders to ensure Aboriginal people from
Labrador have access to programs and training that
will help them become qualified to work on the
project.
• Number of success stories through these partnerships,
which will continue to build as we increasing
employment demands on the project.
• Training programs facilitated by LATP do not relate
specifically to current labour needs for Muskrat Falls.
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Procurement Opportunities
Project Procurement
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Full and fair opportunity on a competitive basis
Availability and competitiveness of businesses to provide goods and
services determines level and nature of economic benefits
All businesses must demonstrate value and competitiveness in their
bids, and develop business opportunities with primary contractors
to successfully secure work with the project.
Nalcor is employing best practices in project and contract
management to ensure project costs and schedule are effectively
managed.
Nalcor, SNC-Lavalin Inc. and any contractors and suppliers must
adhere to provisions of:
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Impacts and Benefits Agreement (IBA) with Labrador Innu
NL Benefits Strategy
NL/NS Benefits Memorandum of Understanding
Procurement Opportunities
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Range of opportunities will be available:
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Primary contractor or direct supplier to Nalcor
Subcontractor or supplier to project’s primary contractors
Forecasted, active and awarded packages available on Nalcor’s
website
Contact information available for approved bidders and successful
contractors
Businesses encouraged to regularly monitor the site for potential
opportunities
Subcontractors encouraged to contact bidders and successful
contactors directly to sell their product/service and demonstrate
value
Majority of procurement activity for the Project will be initiated in
2013/14
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Innu Business Opportunities
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Nalcor is committed to enhancing Innu business
participation in the project in accordance with the IBA
Innu Businesses have first bidding opportunity on $400
million of business opportunities, split between Phase 1
(Muskrat) and Phase 2 (Gull Island)
First bidding opportunities cover a wide range of goods
and services
Interested businesses should contact the Innu Business
Development Centre or Innu Nation to discuss
partnership opportunities
Procurement Activities to Date
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Contracts awarded to Labrador and Aboriginal companies:
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Site Clearing for Muskrat Falls Access Road and Ancillary Areas
(Nukum Forestry)
Southside Access Road (Liannu Limited Partnership)
Supply of temporary construction camp (Liannu Limited Partnership)
Bulk excavation (IKC-ONE Earthworks Constructors)
Security Services (Speuata Security Inc.)
Site Medical Services (Innu - Med Inc.)
Temporary site services (Labrador Catering Limited Partnership)
Snow clearing (Shukapesh Construction Ltd.)
To date, more than $8.5 million in expenditures has been made to
Labrador based companies.
• More than $200 million in contracts awarded to Innu
partnerships/businesses to date.
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Procurement Forecast
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Accessing Procurement Information
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Community Liaison Committee
Community Liaison Committee
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Nine-member committee of municipal,
community, and Nalcor representatives.
Objectives of the committee are to:
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Help Nalcor better understand local interests of the
residents and organizations of the Upper Lake Melville
region.
Provide feedback, knowledge and suggestions to
Nalcor on Project related issues.
– Ensure healthy, two-way flow of information
between Nalcor and community.
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Summary
Summary
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Approx. 95% of the engineering work carried
out in NL
Construction work has commenced and will
continue as per the schedule
Significant economic, business and
employment opportunities for NL
Procurement opportunities available – bulk of
contracts to be awarded in 2013/early 2014
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Learn More
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Visit the Happy Valley –Goose Bay Project Office
Nalcor Energy website: nalcorenergy.com
Muskrat Falls Jobs website: muskratfallsjobs.com
Email: lowerchurchill@nalcorenergy.com
Call toll-free: 1-888-576-5454
Participate in supplier development sessions,
public meetings and open houses
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