Right Hon. C. D. Howe (Minister of Trade and Commerce):
I wish to announce that all advances made by Northern Ontario Pipe Line Crown Corporation to Trans-Canada Pipe Lines Limited to finance the construction of the western section of the all-Canadian natural gas pipe line have been repaid. Although under the provisions of the Northern Ontario Pipe Line Crown Corporation Act the corporation has been authorized to make loans to Trans-Canada of 90 per cent of the cost of construction of the western section or $80 million, whichever was the lesser, the actual advances made pursuant to the indenture of mortgage dated June 7, 1956, amounted to $49,750,000. The amount repaid to the corporation was $50,716,603.03, made up as follows: advances, $49,750,000; interest at 5 per cent on advances, $880,071.40; costs of the crown corporation relating to the advances, $86,531.63, making a total of $50,716,603.03.
The Northern Ontario Pipe Line Crown Corporation, in addition to administering the loan to Trans-Canada Pipe Lines Limited to finance the western section, is responsible for the construction of the northern Ontario section of the pipe line which will extend approximately 675 miles from the Manitoba-Ontario border to the vicinity of Kapuskasing.
Subtopic: TRANS-CANADA PIPE LINES ANNOUNCEMENT OF REPAYMENT OF LOAN