$56 million just to build Nanisivik refuelling facility

- July 5th, 2013

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Don’t let the $56 million price tag fool you.

That estimated construction cost for a military gas station in Nanisivik, Nunavut only covers about half the budget set aside for the project.

Earlier this week, I reported on the feds’ search for qualified contractors to build an arctic refuelling facility, first announced in 2007.

Officials say building the facility will chew up about half of the $116 million included in the latest federal budget for the facility.

So, what will the rest of the budget cover?

“The remaining funds in the overall project budget include allocations for design, geotechnical and environmental studies, various contingencies and allowances, inflation, and other project management costs associated with implementation of the overall project,” said a National Defence official in an email.

We’ve also learned a few details about what the facility will include.

“The infrastructure will include wharf upgrades, a one-year fuel storage supply, and storage and accommodation buildings,” said the official.

The feds have yet to choose a company to build the facility, and even after that happens, it won’t be a simple process.

“Due to the challenges posed by the Arctic’s shorter construction season, and the remoteness of the site, work for the Nanisivik facility is expected to occur over two to three summer seasons,” said the official.

The Nanisivik refuelling stop is supposed to be ready for full operations in 2016.

Categories: Budget, Environment, Foreign affairs, General, Government, Military, Politics, United States

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6 comments

  1. Chris says:

    $116 million to safeguard our arctic sovereignty and ensure that our children have access to Northern mineral rights! WFT?! scandal! media storm! Oh, wait, this article was written by a journalist who knows nothing about military strategy and international geopolitics.

  2. Daniel Proussalidis says:

    Actually, you’re the only one who mentioned scandal and media storm. The blog post neither questions the wisdom of the facility, nor approves it. It merely reports details that both supporters and detractors of the project would probably like to know.

  3. Fred says:

    $116 million is a small price to protect our artic territory. All they have to do is eliminate the senate and use their budget for this. One useless budget supporting a worthwhile project.

  4. bart says:

    If the Ontario Liberals had just finished the two Toronto power projects as planned, the several hundred million dollars wasted in cancelling them could have funded several of these necessary facilities.

  5. Eric Weder says:

    This is great news! Finally we are going to do something serious about defending our northern territory. I hope to see more projects like this one.

  6. Graham says:

    For all of you salivating over the militarization of the arctic, may I ask: what do you think the Canadians are going to do? Fire on American and Russian vessels they find in disputed waters?

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