Quinlan Bros. says new Bay de Verde crab plant to be ready next year

Officials with Quinlan BrothersLtd. say that construction on a new seafood processing plant in Bay de Verde will begin "in the coming days," and is scheduled to be ready for operation next spring.

• Quinlan Brothers to rebuild 'bigger and better than ever' in Bay de Verde

The company confirmed the timelinein a statement to CBC News Wednesday, and says ithas awarded a contract to Marco Group to build the new facility.

QuinlanBrothersdid not disclose the cost of construction, but it's expected to be in the millions of dollars.

Nearly $5 million more is expected to be spent on harbour infrastructure by the federal government, while another $1.5 million is being invested into municipal infrastructure.

"The company has ordered the building and foundations and site work areexpected to commence in the coming days," according to thestatement.

Company vice-president Robin Quinlan is expected to providean update to Bay de Verde Mayor Gerard Murphy and the entire town council on Thursday evening.

No immediate plans for shrimp processing

One lingering question, however, is the fate of the shrimp processing side of the operation.

Last year, the plant processed some 13 million pounds of northern shrimp.

An official with the company said the focus will be on crab for now, but the facility will be designed to accommodate other species.

But with the shrimp resource on the decline and groundfish on the way back, the official would not rule out the possibility of cod processing at the plant in the coming years.

The company won't be out of the shrimp business, however. Quinlan Bros. owns a 50 per cent share in the shrimp processing plant in Black Duck Cove, on the province's Northern Peninsula.

Devastating fire flattens plant

It's been three months since the old plant was flattened by a devastating fire, just as the 2016 processing season was about to begin.

The plant was one of the leading seafoodfacilities in the province, processing millions of pounds of snow crab and northern shrimp annually, and was the backbone of the area's economy.

But it all went up in flames on April 11, threatening the livelihoods of hundreds of workers.

The community has a population of less than 400 andis located at the extreme northern tip of the Bay de Verde Peninsula, about 64 kilometres north of Carbonear.

Most employees will qualify for EI

The fish plant attracted workers from all over the province, along with temporary foreign workers from Thailand.

The company acted quickly to find work for its employees at plants in Brigus and Winterton, and also reached agreements with other companies to process the seafood it purchased from harvesters.

Most employeesare expected to work enough hours to qualify for employment insurance, but their incomes are expected to be lower because of fewer hours worked. This will also lower their EI benefits during the off-season.

"Government officials remain in regular communication with the company to monitor employment levels of those affected," the company statement read.

QuinlanBrothersoffered thanks to its suppliers, employees,other processing companies and politicians at all levelsfor their support and co-operation.

"We remain confident that with the continued commitment and support we can fully recover from the loss."