$350M spent so far on Lower Churchill

The Lower Churchill hydro-electric project has cost hundreds of millions of dollars since work first began on the site decades ago and there are still billions more to be spent, according to Nalcor officials.

The $6-billion mega-project began in the early 1970s and since then the Newfoundland and Labrador government, through a variety of Crown corporations, has spent $350 million.

Gilbert Bennett, Nalcor vice president of the Lower Churchill Project, said nearly half the amount has gone to engineering work.

"It's important for us to understand the geotechnical conditions, the scope of the project," he said. "We want to make sure that there aren't any surprises that will cost us more during construction."

While much of that work can still be used for the upcoming construction project, nearly $120 million was written off in 2003.

The amount spent is only a small portion of the total project cost, Bennett said.

"The expenditure that we're talking about is less than two per cent of the $6-billion capital budget we're working with," he said.

The pre-construction spending isn't over yet, as the government has set aside another $350 million for preliminary work.