Muskrat Falls Project Monthly Report May 2018

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1 Muskrat Falls Project Monthly Report May 2018 July 16, 2018

2 Table of Contents 1.0 Monthly Report Overview Highlights this Month Construction Update Muskrat Falls Hydroelectric Generating Facility Labrador Transmission Assets (LTA) Labrador-Island Transmission Link (LIL) Construction Cost Summary Incurred Cost Overview Monthly Expenditure Overview Safety and Environment Safety Environment Employment, Benefits and Community Engagement Employment Highlights Recruitment Activities Workplace Orientation Labrador Aboriginal Training Partnership (LATP) Support Gender Equity and Diversity Employment of Women Promoting Women in Trades Employment of Students and Apprentices Employment of Students Employment of Apprentices Labrador Innu Initiatives - Impacts and Benefits Agreement (IBA) Implementation Activities Community Engagement Definitions Abbreviations and Acronyms Employment Benefits Employment Employment by NOC Code Employment by Location of Work Employment by Aboriginal Affiliation Employment by Gender Expenditures and Procurement Expenditures by Location of Company and Industry Category Procurement Appendix A Employment by 4-Digit NOC Code Appendix B Contracts Awarded Since Project Sanction Muskrat Falls Project May 2018 Project Report

3 List of Tables Table 1: Estimate and Incurred costs for Muskrat Falls Project to May 2018 (Costs in millions of CAD $)*... 9 Table 2: Health and Safety Indicators and Measurements, May 2018 and Project to Date Table 3: Types of Jobs Worked by Females May Table 4: Person Hours of Employment by Location of Work and Residency May Table 5: Person Hours of Employment by Location of Work and Residency Project to Date Table 6: Number of Persons Employed by Location of Work and Residency May Table 7: Person Hours of Employment by 2-Digit NOC Code May 2018 and Project to Date Table 8: Residents Hired by 2-Digit NOC Code May Table 9: Person Hours of Employment by Location of Work May 2018 and Project to Date Table 10: Residents Hired by Location of Work May Table 11: Person Hours of Employment by Aboriginal Affiliation May 2018 and Project to Date Table 12: Persons Employed by Aboriginal Affiliation May Table 13: Person Hours of Employment by Location of Work and Aboriginal Affiliation May Table 14: Person Hours of Employment by Location of Work and Aboriginal Affiliation Project to Date Table 15: Number of Persons Employed by Location of Work and Aboriginal Affiliation May Table 16: Person Hours of Employment by Gender May 2018 and Project to Date Table 17: Persons Employed by Gender May Table 18: Value of Expenditures by Location of Company and Industry Category ($CDN) May Table 19: Value of Expenditures by Location of Company and Industry Category ($CDN) Project to Date Table 20: Contracts Awarded During May Table 21: Request for Proposals Issued Table 22: Upcoming Request for Proposals (RFPs) Table 23: Person Hours of Employment by 4-Digit NOC Code Table 24: Residents Hired by 4-Digit NOC Code May Table 25: Female Workers Hired by 4-Digit NOC Code May Table 26: Aboriginal Workers by 4-Digit NOC Code May Table 27: Labrador Residents by 4-Digit NOC Code May Table 28: Labrador Residents Working in Labrador by 4-Digit NOC Code May Table 29: Contracts Awarded Since Project Sanction List of Figures Figure 1: Cumulative Expenditures to Newfoundland and Labrador Businesses... 9 Figure 2: Employment in Labrador by Affiliation- May Figure 3: Employment of Students by Quarter Since Figure 4: Employment of Apprentices by Quarter Since Muskrat Falls Project May 2018 Project Report

4 1.0 Monthly Report Overview This report 1 provides the monthly update for May 2018 on the following projects associated with the Muskrat Falls development: the 824 megawatt (MW) hydroelectric development at Muskrat Falls (the Muskrat Falls hydroelectric generating facility); two 315 kilovolt (kv) High Voltage alternating current (HVac) transmission lines between Muskrat Falls and Churchill Falls (the Labrador Transmission Assets); and the 1,100 km long High Voltage direct current (HVdc) transmission line between Muskrat Falls and Soldiers Pond (the Labrador-Island Transmission Link). Included in this report are details on construction and procurement activities, construction costs, safety and environmental activities, and details on stakeholder and community engagement initiatives during the reporting period. The report also provides detailed statistical tables summarizing employment and expenditure benefits generated from the Muskrat Falls development. 2.0 Highlights this Month Construction of the Muskrat Falls Project progressed during the month on both the generation and transmission components. As of the end of May: overall construction of the Muskrat Falls Project reached 91% complete; the Muskrat Falls generation project reached 82% complete; the Labrador-Island Transmission Link remained at over 99% complete; the transmission line connecting Churchill Falls to Muskrat Falls remained at over 99% complete; installation of all embedded parts for the four Turbine and Generator (T&G) units in the powerhouse is complete; and energization and testing on the transmission line and associated electrical assets are in progress for the Labrador-Island Transmission Link. 1 This report is prepared by Lower Churchill Management Corporation (LCMC), the Nalcor Energy subsidiary responsible for managing the construction of the Muskrat Falls hydroelectric generating facility, the Labrador Transmission Assets and the Labrador-Island Transmission Link. Muskrat Falls Project May 2018 Project Report 4

5 3.0 Construction Update 3.1 Muskrat Falls Hydroelectric Generating Facility The following outlines some of the construction activities for the components of the Muskrat Falls hydroelectric generation facility undertaken in May: Installation and construction activities continue on the turbine and generator components. Embedment installation is complete and Astaldi is in possession of all four units: Unit 1: Astaldi continued stage 7 concreting. Lifts 1 and 2 have been completed and lifts 3 and 4 are ongoing. Unit 2: Astaldi continued stage 7 concreting, including shoring work. Lift 1 is ongoing. Unit 3: Astaldi continued stage 7 concreting, including shoring work. Unit 4: Andritz completed installation of the pit liner and upper circular passage liner. Unit 4 was turned over to Astaldi for concreting and Astaldi completed stage 6 concreting and commenced stage 7 concreting. Concrete pour activities and other construction activities continue for the intake: powerhouse handover of piping work from Astaldi to Cahill-Ganotec. shoring removal complete in intake 3. shoring removal nearing completion for intake 4. Cahill-Ganotec continued to work on balance of plant activities. Draft tube guide installation is now complete and Andritz is demobilizing from the tailrace. Muskrat Falls powerhouse/intake Muskrat Falls Project May 2018 Project Report 5

6 Foreground to background: Units 3 to 1 in the Muskrat Falls powerhouse. Turbine and Generator Embedment Phase On May 4, the Lower Churchill Project (LCP s) C1 Delivery Team and the Turbine and Generator (T&G) contractor, Andritz Hydro Canada, installed the Unit 4 pit liner, marking the successful completion of the T&G installation embedment phase in the powerhouse at Muskrat Falls. This was the last major embedment required to provide enclosure for the four 206-megawatt Kaplan Turbine units. The embedment phase of the T&G installation consisted of the installation of the draft tube liner, circular passage liner, stay ring and pit liner to create the turbine enclosures. Work was ongoing in all four units simultaneously, and the completion of this phase is an accomplishment that was six years in the making and the result of a 10-month installation campaign. Muskrat Falls Project May 2018 Project Report 6

7 Construction work on the North Dam in May Labrador Transmission Assets (LTA) Construction activities on the LTA continued during the month including punch list work in both the Churchill Falls and Muskrat Falls switchyards. 3.3 Labrador-Island Transmission Link (LIL) Construction activities for the HVdc transmission line continued during the month and included: Static commissioning activities continued, and energization activities at both Converter Stations commenced in May. Turnover of Pole 1 control to Nalcor Energy-Power Supply occurred. Pole 2 construction continued at Soldiers Pond with the cabling complete and precommissioning checks underway. Pole 2 construction continued at the Muskrat Falls Converter Station with construction of the star delta area nearing completion and static commissioning continuing throughout the yard. Muskrat Falls Project May 2018 Project Report 7

8 HVdc area at the Muskrat Falls transmission site. AC Switchyard at Soldiers Pond site. Muskrat Falls Project May 2018 Project Report 8

9 $ Millions 3.4 Construction Cost Summary The current (June 2017) facilities capital cost estimate of the Muskrat Falls Project is $10.1 billion. The total cost including financing is $12.7 billion (see Table 1) Incurred Cost Overview Table 1 summarizes the incurred costs for the project for the month of May and for the project to date. Incurred costs refer to the value of work performed during the period regardless of it being paid during the current period or at some point in the future. Table 1. Estimate and Incurred costs for Muskrat Falls Project to May 2018 (Costs in millions of CAD $)* Project Component June 2017 Cost Estimate Incurred Cost Current Month Incurred Cost Project to Date Muskrat Falls Hydroelectric $5,500 $72 $4,196 Generating Facility Labrador Transmission Assets $894 $2 $844 Labrador-Island Transmission Link $3,723 $94 $3,409 $10,117 $168 $8,449 * Value excludes interest during construction and capitalized financing costs Monthly Expenditure Overview expenditures paid for the Muskrat Falls Project were nearly $63 million in May This included over $24 million to Newfoundland and Labrador businesses. From January 2013 to the end of the reporting period in May 2018, over $2.4 billion has been spent directly with Newfoundland and Labrador-based companies. 2,000 1,500 1, NL Lab Figure 1. Cumulative Expenditures to Newfoundland and Labrador Businesses January 2013 to the end of Quarter Muskrat Falls Project May 2018 Project Report 9

10 4.0 Safety and Environment 4.1 Safety LCP and all contractors working on the Muskrat Falls Project have a relentless commitment to the safety of workers and the public. Table 2 outlines the Health and Safety indicators and measurements for the month of May and for the project to date. Table 2. Health and Safety Indicators and Measurements May 2018 and Project to Date Indicator May 2018 Project to Date Orientations completed ,699 Safety Step Backs completed 34,040 1,693,342 Work site inspections 1,906 86,414 Lost-time injuries 0 16 Medical aid incidents Environment The LCP Environment and Regulatory Compliance (ERC) Team is committed to maintaining a high standard of environmental responsibility that will help to sustain a diverse and healthy environment for generations of Newfoundlanders and Labradorians. During the Environmental Assessment process, Nalcor Energy made a number of commitments related to the protection of historic resources. Stantec was hired in 2012 to execute a historic resources management program which consisted of Stage 1, 2 and 3 assessments. The program included: archaeological site surveys; archaeological site inventories; and Emergency Protocols and Mitigation. Stantec worked in Muskrat Falls during 2012 and 2013 and up river to Gull Lake from 2014 to During the program, Stantec hired 178 employees, with 70% being from Labrador, 17% being from Newfoundland, and 13% being from other parts of Canada. Commitments to workers yielded retention, including 100% returning staff in There were a total of 48 sites on the Muskrat Falls Project area where all periods were recovered including pre-contact, historic Hudson Bay Company fur trade, historic 20 th century trappers and contemporary. Most of the sites were pre-contact and found to be clustered within Muskrat Falls, Sandy Banks, Gull Lake and Happy Valley. Typical pre-contact sites were small campsites, consisting of hearths or firecracked rocks, burned bone, small tools, and debris from making stone tools. These sites date from between 1,200 and 2,000 years ago. During five field seasons from 2013 to 2017 Stantec logged 86,360 artifacts and excavated 343,451 pieces. The program was very successful due to extensive support from Nalcor Energy, consistent guidance from the Provincial Archeological Office, understanding from local Innu, LCP project support teams in Happy Valley-Goose Bay and St. John s, and technical leadership from Dr. Fred Schwarz. Muskrat Falls Project May 2018 Project Report 10

11 Pre-contact period artifacts recovered during the Historic Resources Program. Sandy Banks excavation site of a Hudson Bay Company Post. 5.0 Employment, Benefits and Community Engagement This section provides information on employment benefits generated during the month as well as details on some of the community activities undertaken during the month. Some of these activities are part of commitments made by LCP through the Benefits Strategy with the provincial government, the Impacts and Benefits Agreement (IBA) with Innu Nation, the Gender Equity and Diversity Program, and provincial and federal environmental regulatory commitments. 5.1 Employment Highlights The employment highlights for the month of May are summarized below. Detailed employment information and statistics are outlined in Section 10. In May, over 529,000 hours were worked by 3,443 individuals on the projects, including over 453,000 hours of work in Labrador. During the month of May, 3,137 residents of Newfoundland and Labrador were employed on the projects, representing 91 per cent of the total persons employed. Muskrat Falls Project May 2018 Project Report 11

12 In May, there were 2,860 people working in Labrador, of whom 774 were Labrador residents (approximately 27 per cent). Of these 774 Labrador residents, 294 self-identified as a member of a Labrador Aboriginal group (approximately 38 per cent) , NF Non-NL Lab Innu NunatuKavut Figure 2. Employment in Labrador by Affiliation May Recruitment Activities Employers continue to utilize muskratfallsjobs.com as a tool to find qualified residents of the province to fill available positions. The website also details current opportunities with the LCP Project Delivery Team as well as contact information for LCP recruitment service providers Workplace Orientation To foster a safe and respectful workplace, all workers complete mandatory training in site safety rules and procedures, respectful workplace protocols, and gender and cultural awareness. In May, 394 people received Innu Cultural Awareness training Labrador Aboriginal Training Partnership (LATP) Support The LATP continued to offer client counseling to Aboriginal individuals seeking employment, as well as providing funding support for safety certifications. While LCP is no longer the industry partner in this organization, as the LATP has engaged with Vale for a multi-year project, LATP still has the ability to assist clients who may be connected to employment at Muskrat Falls. 5.3 Gender Equity and Diversity Employment of Women In May, 450 women were working on all project components, comprising approximately 13 per cent of the total workforce. Of these, 193 were working in construction, 11 in engineering, 135 in project management, and 111 in project support. Of the 450 women working on the project, 427 of these women are Newfoundland and Labrador residents. Muskrat Falls Project May 2018 Project Report 12

13 Table 3. Types of Jobs Worked by Females May 2018 Job Type Number Camp and Catering Staff 65 Administrative Staff 59 Carpenter/Scaffolder 44 EMR/security 38 Engineering 37 Electrician 32 Civil Technologist 29 Financial/Accounting Staff 21 Environmental Staff 18 General Labourer 18 Heavy Equipment Operator 15 H&S Staff 14 HR Staff 14 Other trades 12 Procurement 12 Student 11 Other technical 7 Other professional Promoting Women in Trades LCP continued to work closely with the Office to Advance Women Apprentices (OAWA) to support female apprentices gain employment on the Project, as well as addressing issues with those already employed. 5.4 Employment of Students and Apprentices LCP supports the hiring of students and apprentices. Statistical data on the hiring of students and apprentices is provided in the following sections Employment of Students In the first quarter of 2018, there were 53 students working on the Muskrat Falls Project. Figure 3. Employment of Students by Quarter since Muskrat Falls Project May 2018 Project Report 13

14 5.4.2 Employment of Apprentices During the first quarter of 2018, 231 apprentices were working on the project, including 22 females. Figure 4. Employment of Apprentices by Quarter since Labrador Innu Initiatives - Impacts and Benefits Agreement (IBA) Implementation Activities During the month of May, 132 Innu were employed at Muskrat Falls and transmission line sites in Labrador. Innu employees were working in a wide range of occupations, including construction trades, labourers, camp accommodations and food services. The Innu workforce included persons occupying management, apprenticeship, foreperson and shop steward positions. 5.6 Community Engagement LCP has established multiple venues for members of the public to ask questions, seek employment information, and get details about the Muskrat Falls development. LCP has a website for people to apply for jobs (muskratfallsjobs.com) as well as a website that provides information on project construction activities (muskratfalls.nalcorenergy.com). In addition, people can contact LCP through the toll-free number, by , or by visiting the project office in Happy Valley-Goose Bay. 6.0 Definitions Term Benefits Strategy Expenditures Incurred Costs Industry Category Definition Lower Churchill Construction Project Benefits Strategy as agreed by the Province of Newfoundland and Labrador and LCP. Expenditures for the month are defined as those expenditures from invoices which have been approved for payment during the month. Value of work performed during the period (month) regardless of it being paid during the current period or at some point in the future. Based on the North American Industry Classification System (NAICS) and used to categorize companies for expenditure reporting. Muskrat Falls Project May 2018 Project Report 14

15 Term Island or NF NOC Code Person Hours Persons Employed Project to Date Residents Definition Refers to the residency of employees, the location of work completed or the location of a company; includes residents from, work done on or companies located on the island portion of NL. Occupational codes from the National Occupational Classification system, which is the standard system for classifying jobs in Canada. It is a hierarchical structure with four levels of classifications. Both the 2-digit and 4-digit classifications are used in this report. Hours worked by individuals on the project. Any person who has worked at any time on the Project during the time period referenced. Cumulative totals for the period from February 1, 2013 up to the end of the current month. Residents of Newfoundland and Labrador who meet the requirements as defined in the Benefits Strategy. Muskrat Falls Project May 2018 Project Report 15

16 7.0 Abbreviations and Acronyms Abbreviation/Acronym Definition BMRS Benefits Monitoring and Reporting System C&A Construction and Assembly CEC Conduit End Connection CLC Community Liaison Committee CNA College of the North Atlantic CPR Cardiopulmonary Resuscitation CTD Centre Transition Dam DG3 Decision gate 3 E&D Engineering and Design EMC Environmental Management Committee EMS Environmental Management System EPP Emergency Preparedness Plans ERC Environment and Regulatory Compliance FAT Factory Acceptance Testing GIS Gas Insulated Switchgear GPR Ground Penetrating Radar HDD Horizontal Directional Drilling HHRA Human Health Risk Assessment HVac High voltage AC transmission HVdc High voltage DC transmission IBA Impacts and Benefits Agreement ICS Integrated Cover Structure INT International (Location of Work or Company) kv Kilovolt LATP Labrador-Aboriginal Training Partnership LCP Lower Churchill Project LIL Labrador-Island Transmission Link LRM Long Range Mountains LTA Labrador Transmission Assets MeHg Methylmercury MFG Muskrat Falls Hydroelectric Generation Facility MW Megawatt NLESA Newfoundland and Labrador Endangered Species Act NLOWE Newfoundland and Labrador Organization of Women Entrepreneurs OAWA Office to Advance Women Apprentices OC Other Canada OSEM On-site Environmental Monitor PEGNL Professional Engineers and Geoscientists of Newfoundland and Labrador PM Project Management RCC Roller-compacted concrete Res Residents of Newfoundland and Labrador RFP Request for Proposal ROW Right of Way SOBI Strait of Belle Isle T&G Turbine and Generator THg Mercury TTO Transition to Operations WRDC Women in Resource Development Corporation Muskrat Falls Project May 2018 Project Report 16

17 8.0 Employment Benefits All information on employment is provided by both person hours and the number of persons employed for the following categories: employment Employment by NOC Code Employment by Location of Work Employment by Aboriginal Affiliation Employment by Gender 8.1 Employment Tables 4 through 6 break out the project employment in both person hours and persons employed by location of work and residency. Table 4. Person Hours of Employment by Location of Work and Residency May 2018 Residency Island Labrador Other Canada Non-Canadian Work Location at Location % of at Location % of at Location % of at Location % of Island 59, % 1, % 8, % 2, % 71,724 Labrador 307, % 112, % 27, % 5, % 453,446 Other Canada - 0.0% - 0.0% 3, % - 0.0% 3,532 International - 0.0% - 0.0% % % , % 113, % 39, % 8, % 529,002 Table 5. Person Hours of Employment by Location of Work and Residency Project to Date Residency Island Labrador Other Canada Non-Canadian Work Location at Location % of at Location % of at Location % of at Location % of Island 5,803, % 192, % 1,100, % 121, % 7,217,879 Labrador 18,399, % 8,498, % 4,778, % 358, % 32,034,698 Other Canada 8, % - 0.0% 337, % 7, % 353,822 International - 0.0% - 0.0% 7, % 69, % 76,725 24,210, % 8,690, % 6,224, % 557, % 39,683,124 Table 6. Number of Persons Employed by Location of Work and Residency May 2018 Residency Island Labrador Other Canada Non-Canadian Work Location at Location %of at Location %of at Location %of at Location %of Island % 8 1.5% % % 542 Labrador 1, % % % % 2,860 Other Canada - 0.0% - 0.0% % - 0.0% 39 International - 0.0% - 0.0% % % 2 2, % % % % 3,443 Muskrat Falls Project May 2018 Project Report 17

18 8.2 Employment by NOC Code Tables 7 and 8 summarize project employment by 2-digit NOC Code. Appendix A contains an overview of the methodology used to capture employment by job title and how that information is converted to NOC codes. In addition, occupational information by 4-digit NOC code as well as information on employment by NOC code and gender, Aboriginal affiliation and for residents of Labrador is also provided in Appendix A. Table 7. Person Hours of Employment by 2-Digit NOC Code May 2018 and Project to Date Current Month Project to Date 2-Digit NOC Code C&A E&D PM C&A E&D PM 00 - Senior management occupations 1,797-1,719 3, ,750 8,008 64, , Specialized middle management occupations 4,636 1,049 3,226 8, , , , , Middle management occupations in trades, transportation, production and utilities 8,194-4,182 12, ,295 12, , , Professional occupations in business and finance 3,398-4,579 7, ,624 18, , , Administrative and financial supervisors and administrative occupations 5, ,618 14, , , ,238 1,289, Finance, insurance and related business administrative occupations 1, ,645 3, ,341 14, , , Office support occupations 3, , , , , Professional occupations in natural and applied sciences 23,444 5,272 27,643 56,359 1,829, ,246 1,562,118 4,068, Technical occupations related to natural and applied sciences 20,471 2,050 14,244 36,765 1,324, , ,052 2,316, Technical occupations in health 2, , ,682-3, , Professional occupations in law and social, community and government services 1, ,521 4, ,485 99, , , Occupations in front-line public protection services 1, ,184 29, , Service supervisors and specialized service occupations 2, , ,814-6, , Service representatives and other customer and personal services occupations 7, , ,943 10,810 6, , Service support and other service occupations, n.e.c. 16, ,838 1,424,984-4,142 1,429, Industrial, electrical and construction trades 198,937-2, ,274 10,938,175 12, ,154 11,149, Maintenance and equipment operation trades 27,419-1,396 28,815 2,003,969 2,193 37,308 2,043, Other installers, repairers and servicers and material handlers 6, , , , , Transport and heavy equipment operation and related maintenance occupations 45, ,704 5,478,049 2, ,947 5,592, Trades helpers, construction labourers and related occupations 60, ,938 6,095,281 3, ,178 6,206, Supervisors and technical occupations in natural resources, agriculture and related production ,351-7, , Harvesting, landscaping and natural resources labourers , ,723 87, Processing, manufacturing and utilities supervisors and central control operators 552-1,100 1,652 31,345-18,514 49,859 All Occupation Categories 445,998 10,142 72, ,002 33,657,689 1,524,470 4,500,964 39,683,123 Muskrat Falls Project May 2018 Project Report 18

19 Table 8. Residents Hired by 2-Digit NOC Code May 2018 C&A E&D PM 2-Digit NOC Res Persons Res as % of Res Persons Res as % of Res Persons Res as % of Res Persons Res as % of 00 - Senior management occupations % - - 0% % % Specialized middle management occupations % % % % Middle management occupations in trades, transportation, production and utilities % - - 0% % % 11 - Professional occupations in business and finance % - - 0% % % 12 - Administrative and financial supervisors and administrative occupations % % % % 13 - Finance, insurance and related business administrative occupations % % % % 14 - Office support occupations % - - 0% - - 0% % 21 - Professional occupations in natural and applied sciences % % % % 22 - Technical occupations related to natural and applied sciences % % % % 32 - Technical occupations in health % - - 0% % % 41 - Professional occupations in law and social, community and government services % % % % 43 - Occupations in front-line public protection services % - - 0% % % 63 - Service supervisors and specialized service occupations % - - 0% - - 0% % 65 - Service representatives and other customer and personal services occupations % % - - 0% % 67 - Service support and other service occupations, n.e.c % - - 0% - - 0% % 72 - Industrial, electrical and construction trades 1,212 1,244 97% - - 0% % 1,254 1,287 97% 73 - Maintenance and equipment operation trades % - - 0% % % 74 - Other installers, repairers and servicers and material handlers % - - 0% % % 75 - Transport and heavy equipment operation and related maintenance occupations % - - 0% % % 76 - Trades helpers, construction labourers and related occupations % - - 0% - - 0% % 82 - Supervisors and technical occupations in natural resources, agriculture and related production - - 0% - - 0% - - 0% - - 0% 86 - Harvesting, landscaping and natural resources labourers % - - 0% - - 0% % 92 - Processing, manufacturing and utilities supervisors and central control operators % - - 0% % % All Occupation Categories 2,606 2,799 93% % % 3,137 3,443 91% Muskrat Falls Project May 2018 Project Report 19

20 8.3 Employment by Location of Work Table 9. Person Hours of Employment by Location of Work May 2018 and Project to Date Current Period Project to Date Work Location C&A E&D PM C&A E&D PM NL Island 19,110 7,731 44,883 71,724 3,520,239 1,051,294 2,646,345 7,217,879 Labrador 424,866 1,362 27, ,446 29,902, ,870 1,819,896 32,034,919 NL 443,975 9,093 72, ,170 33,422,392 1,364,164 4,466,241 39,252,798 Other Canada 1,893 1, , , ,196 21, ,601 Canada 445,868 10,142 72, ,702 33,593,945 1,524,361 4,488,093 39,606,399 International , ,872 76,725 All Locations 445,998 10,142 72, ,002 33,657,689 1,524,470 4,500,965 39,683,124 Table 10. Residents Hired by Location of Work May 2018 Work Location NL Res C&A E&D PM Res as % Res as % Res as % Persons of Res Persons of Res Persons of Res Persons Res as % of Island % % % % Labrador 2,480 2,652 94% % % 2,657 2,860 93% NL 2,606 2,782 94% % % 3,137 3,402 92% Other Canada % % - 3 0% % Canada 2,606 2,798 93% % % 3,137 3,441 91% International - 1 0% - - 0% - 1 0% - 2 0% 2,606 2,799 93% % % 3,137 3,443 91% Muskrat Falls Project May 2018 Project Report 20

21 8.4 Employment by Aboriginal Affiliation Table 11. Person Hours of Employment by Aboriginal Affiliation May 2018 and Project to Date Current Period Project to Date Aboriginal Group C&A E&D PM C&A E&D PM Labrador Innu (a) 16, ,157 1,239,464-29,672 1,269,135 Nunatsiavut (a) 8, , ,111 22,853 34, ,781 NunatuKavut (a) 16, ,719 1,138,025 11,970 37,881 1,187,875 Other NL Aboriginal (a) 5, , ,106-34, ,612 Aboriginal - Other Canada ,397-2, ,759 Non-Aboriginal (b) 398,235 9,962 71, ,871 29,788,891 1,489,898 4,288,171 35,566,960 All Groups 445,998 10,142 72, ,002 33,730,994 1,524,721 4,427,409 39,683,123 (a) Also NL residents (b) Includes residents and non-residents Table 12. Persons Employed by Aboriginal Affiliation - May 2018 C&A E&D PM Aboriginal Group Persons % Persons % Persons % Persons % Residents Labrador Innu % - 0.0% 2 0.4% % Nunatsiavut % - 0.0% 2 0.4% % NunatuKavut % 1 2.9% 2 0.4% % Other Aboriginal % - 0.0% 4 0.8% % All Aboriginal % 1 2.9% % % Non-Aboriginal 2, % % % 2, % 2, % % % 3, % Non Residents Aboriginal Canada 5 2.6% - 0.0% - 0.0% 5 1.6% Non-Aboriginal % % % % % % % % Summary Aboriginal % 1 1.2% % % Non-Aboriginal 2, % % % 3, % 2, % % % 3, % Muskrat Falls Project May 2018 Project Report 21

22 Tables 13 through 15 summarize the employment of Aboriginal people and non-aboriginal people both in terms of hours worked and persons employed by location of work during the month and for the Project to Date. Table 13. Person Hours of Employment by Location of Work and Aboriginal Affiliation May 2018 Labrador Innu NunatuKavut Nunatsiavut Other Aboriginal Non-Aboriginal Work At At At At At Location Location % Location % Location % Location % Location % Island - 0.0% % % % 70, % 71,724 Labrador 16, % 16, % 8, % 6, % 405, % 453,446 Other Canada - 0.0% - 0.0% - 0.0% - 0.0% 3, % 3,532 International - 0.0% - 0.0% - 0.0% - 0.0% % 300 All Locations 16, % 16, % 9, % 7, % 479, % 529,002 Table 14. Person Hours of Employment by Location of Work and Aboriginal Affiliation Project to Date Work Location Labrador Innu NunatuKavut Nunatsiavut Other Aboriginal Non-Aboriginal At Location % At Location % At Location % At Location % At Location % Island 2, % 65, % 23, % 73, % 7,053, % 7,217,879 Labrador 1,266, % 1,122, % 932, % 629, % 28,083, % 32,034,698 Other Canada - 0.0% - 0.0% - 0.0% % 353, % 353,822 International - 0.0% - 0.0% - 0.0% - 0.0% 76, % 76,725 All Locations 1,269, % 1,187, % 955, % 703, % 35,566, % 39,683,124 Table 15. Number of Persons Employed by Location of Work and Aboriginal Affiliation May 2018 Labrador Innu NunatuKavut Nunatsiavut Other Aboriginal Non-Aboriginal Work At At At At At Location Location % Location % Location % Location % Location % Island - 0.0% 2 0.4% 2 0.4% 3 0.6% % 542 Labrador % % % % 2, % 2,860 Other Canada - 0.0% - 0.0% - 0.0% - 0.0% % 39 International - 0.0% - 0.0% - 0.0% - 0.0% % 2 All Locations % % % % 3, % 3,443 Muskrat Falls Project May 2018 Project Report 22

23 8.5 Employment by Gender Table 16. Person Hours of Employment by Gender May 2018 and Project to Date Current Period Project to Date Gender C&A E&D PM C&A E&D PM Female 44,136 1,535 15,725 61,396 3,335, , ,119 4,507,235 Male 401,862 8,607 57, ,606 30,395,763 1,302,836 3,477,289 35,175, ,998 10,142 72, ,002 33,730,994 1,524,721 4,427,409 39,683,123 Table 17. Persons Employed by Gender May 2018 C&A E&D PM Gender Persons % Persons % Persons % Persons % Residents Female % % % % Male 2, % % % 2, % 2, % % % 3, % Non Residents Female % 1 2.1% 5 7.7% % Male % % % % % % % % Summary Female % % % % Male 2, % % % 2, % 2, % % % 3, % Muskrat Falls Project May 2018 Project Report 23

24 9.0 Expenditures and Procurement Expenditures are captured through direct entry of expenditure breakdowns by contractors which enter directly into the benefits system. For all other contractors, a listing of payments approved during the month from the project s financial accounting system is used. In all cases, expenditure totals are those that are approved for payment during the month. 9.1 Expenditures by Location of Company and Industry Category Table 18. Value of Expenditures by Location of Company and Industry Category ($CDN) May 2018 Industry Labrador Newfoundland Other Canada Non- Canadian Accommodation and Food Services 28,556 3,336, ,364,996 Administrative and Support, Waste Management and Remediation Services 3, , ,159 Agriculture, Forestry, Fishing and Hunting - 2, ,000 Arts, Entertainment and Recreation ,487-10,637 Construction 3,016,918 7,317,934 15,376,744-25,711,597 Educational Services Finance and Insurance , ,854 Health Care and Social Assistance , ,426 Information and Cultural Industries - 12, , ,574 Management of Companies and Enterprises Manufacturing 4,763 7,990 10,183-22,935 Mining, Quarrying, and Oil and Gas Extraction Other Services, Including Maintenance and Repair - 2,108,300 4,400-2,112,700 Professional, Scientific and Technical Services 5,408 3,897,937 21,579, ,245 25,699,684 Public Administration 4,350 12, ,601 Real Estate, Rental and Leasing 16,875 5,939 2,907-25,721 Retail Trade 2, ,776 5, ,580 Transportation and Warehousing 19, , ,611 Utilities - 3,642, ,452-4,278,602 Wholesale Trade 125,876 82,390 8,461 69, ,328 Grand 3,229,123 20,983,476 38,008, ,762 62,805,629 s Muskrat Falls Project May 2018 Project Report 24

25 Table 19. Value of Expenditures by Location of Company and Industry Category ($CDN) Project to Date Industry Labrador Newfoundland Other Canada Non- Canadian Accommodation and Food Services 2,822, ,116,724 18,490, , ,569,263 Administrative and Support, Waste Management and Remediation Services 731,410 10,969, ,858 7,333 11,993,441 Agriculture, Forestry, Fishing and Hunting 15, ,668,474 5,635, ,319,494 Arts, Entertainment and Recreation 301, ,299 17,518 22, ,049 Construction 491,355, ,139,584 3,372,055,703 50,441,550 4,779,992,008 Educational Services 142, ,102 4,934,020 15,580 5,654,356 Finance and Insurance 360,831 25,493,722 35,938,606 4,754,761 66,547,920 Health Care and Social Assistance 4,500 4,171,492 1,862,757-6,038,749 Information and Cultural Industries 44,921 1,415,855 3,484,725 2,680,052 7,625,553 Management of Companies and Enterprises Manufacturing 8,408,551 34,301, ,451, ,343, ,505,344 Mining, Quarrying, and Oil and Gas Extraction 3,835,510 1,495,159 24,831,141 1,200 30,163,010 Other Services, Including Maintenance and Repair 1,033,458 95,116, ,161,259 95,401, ,713,345 Professional, Scientific and Technical Services 7,335, ,220, ,261,188 18,145, ,962,093 Public Administration 18,511,384 3,702,301 1,537,167 3,170 23,754,022 Real Estate, Rental and Leasing 744, ,056 2,227,403 22,500 3,743,086 Retail Trade 1,304,690 13,794, ,046 14,619 15,828,287 Transportation and Warehousing 27,644,819 36,588,076 52,362,216 1,365, ,960,934 Utilities 747, ,532,047 37,515,723 15, ,810,969 Wholesale Trade 5,579,377 3,878,349 2,845,931 16,357,266 28,660,923 s 570,923,349 1,879,042,459 5,140,612, ,732,204 8,033,310,847 s Muskrat Falls Project May 2018 Project Report 25

26 9.2 Procurement Tables provide details on procurement activities for all components of the Muskrat Falls Project. Appendix B contains a list of all contracts awarded to date since Project Sanction. Table 20. Contracts Awarded During May 2018 Package # Package Title Award Date Successful Bidder(s) Table 21. Request for Proposals Issued No contracts were awarded during May 2018 Package # Package Title RFP Issue Status Qualified Bidders There are currently no requests for proposals to be issued for May 2018 Table 22. Upcoming Request for Proposals (RFP) Package # Package Title Forecasted Bidder Selection Start Forecasted RFP Issue Date There are currently no upcoming requests for proposals for May 2018 Muskrat Falls Project May 2018 Project Report 26

27 Table 23. Person Hours of Employment by 4-Digit NOC Code Appendix A Employment by 4-Digit NOC Code Current Month Project to Date 4-Digit NOC Code C&A E&D PM C&A E&D PM Senior Managers - Goods Production, Utilities, Transportation and Construction 1,797-1,719 3, ,750 8,008 64, , Financial Managers ,431-25,381 31, Human Resources Managers 2, , ,370 20,328 49, , Purchasing Managers ,290 9,932 18,140 44, Other Administrative Services Managers ,320 3,023 38, , Advertising, marketing and public relations managers ,382-2,334 7, Other Business Services Managers , ,140 76, Engineering Managers ,566 2,855 75,819 70, , , Computer and Information Systems Managers ,926 10,394 25,151 45, Construction Managers 8,194-4,182 12, ,295 12, , , Financial Auditors and Accountants ,603 1,658 24,263 58, Other Financial Officers 827-2,272 3,098 9,304 3,073 90, , Human Resources professionals 1,683-1,716 3, ,651 13, , , Professional Occupations in Business management consulting Professional occupations in advertising, marketing and public relations , ,508 77, Administrative Officers ,925 49,124 73,074 50, , Human resources and Recruitment Officers ,058 3,741 22,175 28, Purchasing Agents and Officers 2,396-3,921 6, ,183 65, , , Administrative Assistants 2, ,433 5, ,408 38, , , Accounting technicians and bookkeepers 1, ,645 3, ,341 14, , , General Office support workers 3, , , , Accounting and Related Clerks ,325-2,539 3, Geologists, Geochemists and Geophysicists ,849 12,390 14,033 34, Civil Engineers 6, ,832 12, , , ,423 1,013, Mechanical Engineers 3, ,518 8,319 80,285 61, , , Electrical and Electronics Engineers 1,982 2,089 4,596 8,667 93, , , , Industrial and Manufacturing Engineers 6,763-4,570 11, ,597 19, , , Geological Engineers ,304 26,214 5,894 35, Computer Engineers (Except Software Engineers and Designers) ,468 10,339 2,652 16, Other Professional Engineers, n.e.c. 1,501 1,268 6,005 8, , , , , Architects ,746-4, Urban and Land Use Planners ,762 10,793 63,884 87, Land Surveyors 2, , , , , Information Systems Analysts and Consultants ,702 1,872 26,091 14,060 79, , Biological Technologists and Technicians Muskrat Falls Project May 2018 Project Report 27

28 Current Month Project to Date 4-Digit NOC Code C&A E&D PM C&A E&D PM Civil Engineering Technologists and Technicians 7, , ,091 87,182 70, , Mechanical Engineering Technologists and Technicians 2,397-1,076 3, ,105 16,722 14, , Construction Estimators ,024 24,899 25,665 82, Electrical and Electronics Engineering Technologists and Technicians ,801 6,600 36,320 32, , , Industrial Instrument Technicians and Mechanics ,213-7,801 25, Architectural Technologists and Technicians ,789 5, , Drafting Technologists and Technicians 1, , ,328 73,930 14, , Inspectors in Public and Environmental Health and Occupational Health and Safety 6, ,203 10, ,083 87, , , Construction Inspectors 1,007-2,979 3,986 78,786 39, , , Air Pilots, Flight Engineers and Flying Instructors Paramedical Occupations 2, , ,682-3, , Lawyers and Quebec Notaries ,135 4, Natural and Applied Science Policy Researchers, Consultants and Program Officers 1, ,063 3, ,658 99, , , Economists and Economic Policy Researchers and Analysts ,714 25, Other Professional Occupations in Social Science, n.e.c , , Firefighters 1, ,184 29, , Accommodation, travel, tourism and related services supervisors 1, ,169 86,494-4,470 90, Chefs , , Cooks 1, , ,186-1, , Security Guards and Related security service Occupations 7, , ,943 10,810 6, , Food Counter Attendants, Kitchen Helpers and Related support Occupations 16, ,838 1,424,984-4,142 1,429, Contractors and supervisors, machining, metal forming, shaping and erecting trades and related occupations 3, , ,941-7, , Contractors and Supervisors, Electrical Trades and Telecommunications Occupations 2, , , , , Contractors and Supervisors, Pipefitting Trades 1, ,961 68, , Contractors and Supervisors, Carpentry Trades 5, , ,051-22, , Contractors and Supervisors, Other Construction Trades, Installers, Repairers and Servicers 5, , ,944 9,829 31, , Sheet Metal Workers 1, ,391 87,235-1,825 89, Boilermakers , , Ironworkers 35, ,152 1,773,586-4,014 1,777, Welders and Related Machine Operators 3, , , , , Industrial Electricians 26, ,869 1,242,597 1,755 24,041 1,268, Electrical Power Line and Cable Workers 3, , ,611-11, , Plumbers ,534-3,536 77, Steamfitters, Pipefitters and Sprinkler System Installers 7, , , ,258 Muskrat Falls Project May 2018 Project Report 28

29 Current Month Project to Date 4-Digit NOC Code C&A E&D PM C&A E&D PM 7271 Carpenters 86, ,825 4,597, ,691 4,670, Bricklayers 10, , ,090-8, , Insulators , , Painters and Decorators (except interior decorators) 3, ,882 36, , Contractors and supervisors, mechanic trades 1, ,153 88, , Contractors and supervisors, heavy equipment operator crews 2, , ,378-5, , Construction Millwrights and Industrial Mechanics 8,334-1,161 9, ,834-16, , Heavy- Duty Equipment Mechanics 5, , ,829 1,033 2, , Crane Operators 10, , ,003-11, , Drillers and Blasters - Surface Mining, Quarrying and Construction ,717 1, , Other Trades and Related Occupations, n.e.c , , Material Handlers 6, , , , , Transport Truck Drivers 18, ,203 1,746, ,474 1,774, Bus Drivers, Subway Operators and Other Transit Operators 4, , ,168-1, , Heavy Equipment Operators (Except Crane) 22, ,843 3,479,162 1,457 82,933 3,563, Boat and Cable Ferry Operators and Related Occupations Construction Trades Helpers and Labourers 2, ,587 1,066, ,042 1,111, Other Trades Helpers and Labourers 58, ,351 5,029,123 3,807 62,136 5,095, Supervisors, Logging and Forestry , , Logging Machinery Operators ,992-6, , Logging and Forestry Labourers , ,723 87, Power Engineers and power system operators 552-1,100 1,652 31,345-18,514 49,859 All Occupation Codes 445,998 10,142 72, ,002 33,657,689 1,524,470 4,500,964 39,683,123 Muskrat Falls Project May 2018 Project Report 29

30 Table 24. Residents Hired by 4-Digit NOC Code May 2018 C&A E&D PM Res as % Res as % Res as % Persons of Res Persons of Res Persons of Res Persons 4-Digit NOC Code Res Senior Managers - Goods Production, Utilities, Transportation and Construction % - - 0% % % Financial Managers % - - 0% % % Human Resources Managers % % % % Purchasing Managers % - - 0% % % Other Administrative Services Managers % - - 0% % % Advertising, marketing and public relations Res as % of - 1 0% - - 0% - - 0% - 1 0% managers Other Business Services Managers - - 0% - - 0% % % Engineering Managers % - 3 0% % % Computer and Information Systems Managers - 2 0% % % % Construction Managers % - - 0% % % Financial Auditors and Accountants % - - 0% % % Other Financial Officers % - - 0% % % Human Resources professionals % - - 0% % % Professional Occupations in Business management consulting Professional occupations in advertising, marketing and public relations - - 0% - - 0% - - 0% - - 0% % - - 0% % % Administrative Officers % % % % Human resources and Recruitment Officers - - 0% - - 0% % % Purchasing Agents and Officers % - - 0% % % Administrative Assistants % % % % Accounting technicians and bookkeepers % % % % General Office support workers % - - 0% - - 0% % Accounting and Related Clerks - - 0% - - 0% - - 0% - - 0% Geologists, Geochemists and Geophysicists - - 0% - - 0% % % Civil Engineers % % % % Mechanical Engineers % % % % Electrical and Electronics Engineers % % % % Industrial and Manufacturing Engineers % - - 0% % % Geological Engineers - - 0% - 3 0% - - 0% - 3 0% Computer Engineers (Except Software Engineers and Designers) % % - - 0% % Other Professional Engineers, n.e.c % % % % Muskrat Falls Project May 2018 Project Report 30

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