The Mineral Incentive Program was established in 1999 by the former Liberal administration and had an annual budget of $2.23 million. Government, as revealed in today’s press release, chopped this funding to $1.6 million, a reduction of over $600,000.

"While I am pleased to see many prospectors and Junior Exploration Companies receive funding under this program, I am very disappointed to learn that government cut over $600,000 from this very worthwhile initiative," said Mr. Parsons. "This is another very important program, especially in rural Newfoundland and Labrador. If this government is going to grow the rural economy, it is programs such as this that will help facilitate this growth.

"Over the past five years, this initiative helped boost exploration and encouraged new investment in the mining sector, especially in rural areas of our province. It is absolutely shameful that the minister would come out today with a press release in an effort to cover up their cutbacks of over $600,000.

"It is obvious that this government does not understand rural Newfoundland and Labrador. We continuously hear cutback after cutback from this government. If Minister Byrne does not understand that exploration is the key to future mining development, I fear greatly for the future of our mineral sector. Cutting important initiatives such as the Mineral Incentive Program make no sense when trying to encourage new exploration and development.

"If this government wants to grow rural Newfoundland and Labrador, they should stop sending out glossy press releases trying to cover up their cutbacks. Minister Byrne should immediately lobby his cabinet colleagues, especially Minister Dunderdale, to have this money restored to previous levels."