Newfoundland Premier Brian Tobin is excited over the potential $1-billion profit from a new deal signed by Hydro-Quebec and Newfoundland Hydro.

The money will come in over the next 40 years and involves increasing production at the Upper Churchill Falls project. The Churchill Falls project will operate at full capacity even during the winter months.

Tobin said this is a significant increase over what the province would have normally received from the Churchill Falls hydroelectric project. The Romane River will be partially diverted into the Smallwood reservoir.

Talks continue on the development of Muskrat Falls. About $10 billion will be needed to go ahead with plans for upgrading the Churchill Falls project. “The $10-billion project will still be the largest in Canada and Newfoundlanders and Labradorians will still enjoy significant job opportunities and spinoffs benefits,” said Newfoundland’s Mines and Energy Minister Roger Grimes.

Meetings are being held between the Innu, Newfoundland Hydro, Hydro-Quebec and both provincial governments.