Vancouver Port Authority (VPA) President and CEO, Captain Gordon Houston recently welcomed the decision by the Honourable Rona Ambrose, Minister of Environment and Minister responsible for the Canadian Environmental Assessment Agency, that the Deltaport Third Berth Project (DP3) is not likely to cause significant adverse environmental effects. The project has been referred back to the responsible authorities, Environment Canada (EC) and Fisheries and Oceans Canada (DFO) to proceed with final authorizations. The project received provincial approval on September 26, 2006.

The Deltaport Third Berth Project will increase capacity at Deltaport by 50% by adding a third-berth and 20 hectares of container storage facilities to the existing terminal located at Roberts Bank, in Delta, British Columbia.

It is a critical component of Canada’s Pacific Gateway Strategy and the VPA’s initiative to expand container handling facilities to capture the significant increases in container volumes predicted over the next 20 years.

“The Deltaport expansion is part of the VPA’s overall strategy to ensure that Canadians benefit from increased trade opportunities with the Asian market,” said Captain Gordon Houston, President and Chief Executive Officer of the VPA. “We have worked hard to develop the project in a sustainable manner and are confident that project mitigation strategies effectively address local issues and concerns - specifically traffic, air quality, marine habitat and seabirds.”

The harmonized environmental review of the project included extensive consultation with the public, relevant agencies and First Nations. The VPA will carry out over 150 key commitments to protect the environment throughout various phases of project development. Some of these key commitments include an Adaptive Management Strategy to ensure the effective monitoring and management of the Roberts Bank inter-causeway ecosystem, a Habitat Compensation Plan to mitigate for project impacts, and a Construction Environmental Management Plan to address environmental issues during the project construction phase.

The Deltaport expansion project is an agreement between the VPA and terminal operator TSI Terminal Systems Inc. (TSI), who will share the capital cost of approximately $300 million CAD. The VPA will oversee the marine construction, habitat compensation, and long-term environmental monitoring components while TSI will undertake the yard construction and equipment acquisition.

“We are pleased that the expansion of the third-berth is moving forward after a very comprehensive environmental review process,” said Norman Stark, President and CEO of TSI. “As the terminal operator, we are faced with the task of moving increased volumes of cargo every day. This expansion is needed to help us meet the import and export requirements of our customers.”

TSI has operated container terminals in the Port of Vancouver for more than 35 years and in 2005 handled more than 1.4 million teus at Vanterm and Deltaport combined.

Committed to the environment and communities in which they operate, TSI is actively involved in numerous environmental initiatives such as the use of biodiesel in its terminal operating equipment, and local community programs.

TSI is a wholly-owned subsidiary of Orient Overseas (International) Limited of Hong Kong.

The Port of Vancouver’s container sector currently generates more than 18,500 jobs nationally, $915 million in wages paid and more than $1.3 million in GDP. By 2020, these economic benefits are expected to increase to more than 38,000 jobs nationally, over $1.8 billion in wages paid, and $4.5 million in GDP.

Canada has faced increased competition from US and international ports due to terminal congestion. Construction of DP3 is scheduled to begin January 2007, with completion in July 2009.

The Port of Vancouver is Canada’s largest and most diversified port, trading more than $43 billion in goods with more than 90 trading economies annually. Port activities generate 69,200 jobs in total with 4 billion in