Deadline for Muskrat Falls agreement extended

East coast energy companies Nalcor and Emera have agreed to extend the Nov. 30, 2011 deadline for the completion of final agreements on the Muskrat Falls hydroelectric development until Jan. 31, 2012.

"We are making good progress on the agreements," said Ed Martin, president and CEO of Nalcor Energy in a news release.

"However, we need more time to complete the volume of work required. Our relationship with Emera remains strong and both parties are committed to a quality outcome. These are important agreements and we’ll take the time to do them right."

The governments of Newfoundland and Labrador and Nova Scotia announced on Nov. 18, 2010 that Nalcor Energy, Newfoundland and Labrador's Crown energy company, and Emera Inc., a private utility company, had signed a term sheet to partner on the $6.2 billion development of Muskrat Falls generating station, the Labrador‐Island Transmission link and the Maritime link.

Since that time, both companies have been working to convert the term sheet into legal agreements.

"We remain committed to the principles of the term sheet and look forward to finalizing an agreement with our partner Nalcor this year," said Chris Huskilson, President and CEO of Emera Inc.

"This is an agreement that will be mutually beneficial for our customers in the region for decades to come. The additional time we are taking is modest in the grand scheme of things."