HOPEDALE, LABRADOR (April 5, 2005) - Funding to assist with the expansion of the Grace Hotel Ltd in Hopedale, Labrador in the amount of $319,000 was announced today by the Honourable R. John Efford, Minister of Natural Resources on behalf of the Honourable Andy Scott, Minister of Indian Affairs and Northern Development and Federal Interlocutor for Métis and Non-Status Indians, and William Anderson, III, President of the Labrador Inuit Association. "The Government of Canada is a committed partner when it comes to generating opportunities for First Nations and Inuit," said Minister Efford. "Expansion of the hotel will encourage further tourism opportunities and help support services for further economic development in the community of Hopedale. "We are very pleased by this funding to assist in expanding the hotel," stated Mr. Anderson. "Hopedale's economy is growing through initiatives such as the stone processing plant, fish plant and day care centre, as well as tourism sites including the Moravion Mission site. The expansion of the hotel is important as it supports the local job market and the potential influx of business and tourism travelers. This is very positive news for the residents of Hopedale." The expansion of the Grace Hotel, also known as Amaguk Inn, will see the hotel going from a 12 unit to a 18 unit hotel. Included in this expansion will be a multi-purpose meeting room/lounge facility. The hotel currently employs 12 individuals and the expansion will create two full-time and two part-time Aboriginal positions. It is anticipated the hotel will be a key component in Hopedale's overall plan to create and promote eco-tourism in the community. The funding contribution was provided through Indian and Northern Affairs Canada's Economic Development Opportunity Fund. Hopedale, with an approximate population of 559, is located on the northern Labrador coast, amongst the large bays that open up to the Labrador Sea. With the recent signing of the Labrador Inuit Land Claim Agreement, Hopedale has been selected to house the legislative assembly for the government of the new territory of Nunatsiavut. - 30 - For more information, please contact: Patricia Ellis Communications Officer Indian and Northern Affairs Canada (902) 661-6232 Jennifer Daly Communications Consultant Perry & Butland Communications (709) 753-0794