News Release

For immediate release                                              September 18, 2001

NEW PRODUCT LINES WITH EXPORT POTENTIAL 
MANUFACTURED BY LOCAL COMPANY 

SYDNEY, N.S. -- Pending regulations for the New England fishing industry to protect endangered whale species have created a potential large new market for a locally developed product. Polysteel Atlantic Limited, Sydport Industrial Park, in conjunction with its affiliated corporation, East Coast Rope, North Sydney, is preparing to meet that future market demand with new product development. 

Grace Structural Fiber is a unique reinforcing material used in a variety of concrete applications. Traditionally, wire and steel reinforcement materials are used to strengthen concrete but in this new process synthetic fibers are blended into the concrete to add strength. As a result, this product is more economical and easier to use than the traditional methods. 

The second product, Hydropro, is a neutrally buoyant rope designed for the fishing industry. Hydropro rope has been developed to target the New England lobster fishing industry where new regulations are expected to be implemented requiring the use of a specially designed rope to reduce the entanglement of whales in fishing gear. 

Polysteel will acquire the production equipment to manufacture the two new products with Government of Canada assistance. The total estimated cost of the project is $616,200. Enterprise Cape Breton Corporation will make a repayable contribution of $308,100. It is estimated that 16 jobs will be created.

"This project will bring a variety of benefits to the region including employment opportunities, the expansion of a local business and export development," said Mark Eyking, Member of Parliament for Sydney-Victoria, speaking on behalf of Robert G. Thibault, Minister of State for Enterprise Cape Breton Corporation and the Atlantic Canada Opportunities Agency.

"We are excited by the potential these strong new products have for expanding our business. We are also excited and pleased that the Government of Canada has faith in our business decisions and has offered this financial support," said Sean Burke, Vice President and General Manager, Polysteel Atlantic Limited and East Coast Rope Limited.

Both products are relatively new and will require further market development. Once the markets are developed the company will have the capacity to manufacture sufficient product for its customers. 

Polysteel Atlantic Limited and East Coast Rope Limited currently employ 50 people in the manufacture of cordage and other products using plastic resins.

Funding for this project was provided for in the February 2000 Federal budget and is therefore built into the existing financial framework.

Enterprise Cape Breton Corporation offers programs in support of economic development initiatives and is responsible for delivering ACOA's programs on Cape Breton Island and in the Mulgrave area.


FOR ADDITIONAL INFORMATION CONTACT:

Jennifer Savoy
Minister Robert G. Thibault’s Office
Tel: (613) 941-7291
Fax: (613) 941-7844

Mark Eyking, M.P.
Tel:(902) 567-6275

Marcie Stanley, ECBC 
Communications Officer
Tel: (902) 564-7876
Fax:(902) 564-3825

Sean Burke or Steve Roper
Polysteel Atlantic Limited 
Tel: (902) 562-8889