District of

Kitimat

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Welcome to the District of Kitimat Kitimat is a world-class port and manufacturing centre in the Pacific Rim region, occupying a strategic location in Canada’s Asia-Pacific Gateway and Corridor Initiative. Kitimat has substantial existing infrastructure, secondary industries, a skilled workforce and ample space for new industrial development. It is one of a few communities in British Columbia able to respond to the investment needs of senior government agencies and multi-national firms competing in the global, domestic, industrial, transportation, trade, and manufacturing sectors. The District of Kitimat takes investment seriously. The Economic Development Office works confidentially and directly with businesses and investors. An investor can expect dedicated support from Kitimat’s staff, senior administration, and Mayor and Council. Kitimat is investor-ready, able to assist with business needs from site selection inquiries to economic, demographic and community information to detailed weather and navigation data. The District of Kitimat’s goal is to serve you in every way we can. With more than sixty years of hard work and dedication, the District has seen the local heavy industry, essential infrastructure, the experienced labour force, and a comprehensive supply and service sector evolve. Kitimat has assembled an Economic Development staff with extensive knowledge and experience. Their skills include international and domestic business development, economics, law and engineering, procurement and construction management. Once you make the decision to invest in Kitimat, our team will continue to work with you through regulatory and permitting stages. The District can offer assistance with provincial and federal assessment reviews as well as with navigation, safety and ocean transport approval processes.

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Private Port of Kitimat Kitimat is one of only a few private ports in North America. De-proclaimed as a Public Port by Transport Canada during implementation of the Canada Marine Act in 1998, Kitimat has been attracting substantial investment in energy-related projects. It is an underutilized location, with significant potential for further development of manufacturing facilities, and is one of the few locations where private container-terminal development can take place within a private port location. The Kitimat Valley is one of only two wide flat valleys on the West Coast of Canada – the other being the Fraser Valley with Port of Metro Vancouver. Kitimat is the third largest port in Western Canada, and the only one with room for expansion. Kitimat sits on the 54th parallel, in a spectacular natural setting. The natural deep water harbour accommodates ships of any size and is ice-free year round.

The Private Port of Kitimat is the deepest and closest inland port on Canada’s Northwest Transportation and Trade Corridor and offers both inbound and outbound transportation cost savings to shippers. Canadian National Railway, which services Kitimat, recognizes that this location has Vancouver-comparable rail service to Chicago and the mid-west United States. This location has the potential to grow to serve substantial North American import and export markets. Kitimat’s strategic advantages have yet to be fully realized, but current investors are expecting to see it happen, with billions being invested in new terminal infrastructure.

As a private port, all facilities are built, owned, and operated by private enterprise. There is no federal port authority, no harbour dues, and no national labour contracts – just steady, productive levels of shipping. Douglas Channel is a 90 nautical mile-long inland passage, ranging from 1.5-3 nm wide. The natural deep sea harbour is 130-180 metres deep and currently has four inner harbour anchorages and four holding areas. The Private Port of Kitimat has vehicle clearance to 320,000 DWT from the most recent Transport Canada TERMPOL assessment.

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CONTENTS

1. Demographics ............................................................................................................................ 7

Population 7

Household Income 8

Household Income 2011 - Distribution 8

Workforce Education Attainment 9

Language Knowledge 9

2. Labour Force ............................................................................................................................ 10

Employment by Industry 10

Employment By Occupation 11

Top Employers 11

Average Income By Occupation – Northern BC 12

Labour Force 13

Employment Rate 13

Labour Participation Rate 13

Commuting 13

3. PAYROLL Costs ......................................................................................................................... 14

Workers Compensation – 2014 14

Employment Insurance – 2014 14

Social Insurance (Canada Pension Plan) – 2014 15

4. Higher Education...................................................................................................................... 16

Four Year Institutions 16

Training Services 17

5. Transportation ......................................................................................................................... 18

Major Transporation Routes 18

Highways 20

Northern Corridor Specifications 21

Highway Distances 22

Railroads 22

Airports 23

Ports 25

Warehouses 27

Port Shipping Distances 28

6. Industrial Land Use .................................................................................................................. 29

Land Zoned and Designated in Official Community Plan 29

Vacant Land Zoned and Designated in Official Community Plan 29

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Local Permit Approvals 29

7. Utilities .................................................................................................................................... 32

Water System 32

Waste Water System 32

Landfill and Waste Management 32

Licensed Hazardous Materials Disposal 32

Electric Power 33

Natural Gas 35

Telecommunications 36

8. Business Support Services ........................................................................................................ 37

9. Government ............................................................................................................................ 38

Municipal Government 38

Regional District 38

Provincial 38

Provincial Government Representation 39

Federal Government Representation 39

Senators 39

10. Housing Characteristics ............................................................................................................ 40

Average Housing Values 40

11. Taxation .................................................................................................................................. 41

Corporate Income Tax 41

Personal Income Tax 41

Sales / Use Tax 41

Sales Tax Rate by Utility 42

Property Tax 43

12. International Resources ........................................................................................................... 44

Investment and Business Support Offices 44

Financial Institutions 46

Employment Assistance 46

13. Quality of Life .......................................................................................................................... 47

Climate 47

Culture 48

Health 50

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1. DEMOGRAPHICS

POPULATION

KITIMAT

Population By Age Group

Population (2001)

Population (2006)

Population (2011) Distribution % (2011)

0-14 2,210 1,645 1,395 16.7%

15-24 1,500 1,175 1,005 12.0%

25-44 3,005 2,230 1,840 22.0%

45-64 2,765 2,975 2,995 35.9%

65+ 800 955 1,115 13.4%

Total: 10,280 8,980 8,350 100%

Median Age: 36.7 41.4 44.4

NORTHERN BC

Population By Age Group

Population (2001)

Population (2006)

Population (2011) Distribution % (2011)

0-14 74,855 64,820 83,215 25.8%

15-24 48,185 45,470 58,620 18.2%

25-44 101,595 86,450 95,290 29.6%

45-64 81,160 92,615 69,725 21.6%

65+ 27,730 33,260 15,220 4.7%

Total: 333,560 322,615 322,070 100.0%

Median Age: 34.9 38.0 39.6

Data Source: 2001, 2006 and 2011 Census Community Profiles – http://www12.statcan.gc.ca/census-recensement/index-eng.cfm?HPA “Northern BC” includes: Regional District of Bulkely Nechako, Cariboo Regional District, Central Coast Regional District, Fraser-Fort George Regional District,

Kitimat-Stikine Regional District, Northern Rockies Regional Municipality, Peace River Regional District, Skeena-Queen Charlotte Regional District, Squamish-Lillooet Regional District Electoral Areas A and B, Stikine Region,

and Thompson-Nicola Regional District Electoral Areas E and I

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POPULATION PROJECTION KITIMAT

Data Source: BC Stats “Population Projections – Kitimat” - http://www.bcstats.gov.bc.ca/StatisticsBySubject/Demography/PopulationProjections.aspx

HOUSEHOLD INCOME

Household Income 2000 2005 2010

Number of Households 3,790 3,625 3,645

Median Income – All Families $66,799 $74,577 $65,998

Median Income After Tax – All Families n/a $61,669 $59,874

Data Source: 2001 and 2006 Census Community Profile – ‘Kitimat - http://www12.statcan.gc.ca/census-recensement/index-eng.cfm?HPA Data Source: 2011 National Household Survey – ‘Kitimat - http://www12.statcan.gc.ca/nhs-enm/2011/dp-pd/prof/index.cfm?Lang=E

HOUSEHOLD INCOME 2011 - DISTRIBUTION

Data Source: 2011 National Household Survey – ‘Kitimat - http://www12.statcan.gc.ca/nhs-enm/2011/dp-pd/prof/index.cfm?Lang=E

10,280 8,980 8,350

10,139 10,241 10,305

2001 2006 2011 2016 2021 2026

1,575 43%

775 21%

595 16%

705 19%

$80,000 CDN and over

$50,000 to $79,999 CDN

$30,000 to $49,999 CDN

Less than $30,000 CDN

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WORKFORCE EDUCATION ATTAINMENT

Level of Education Number Attained %

Less Than High School 1,710 24.6%

High School Diploma Only 2,150 30.8%

Apprenticeship/Trade Certificate/Diploma 1,095 15.7%

College/University Certificate/Diploma 1,280 18.4%

University Bachelor’s Degree 405 5.8%

University Certificate/Diploma/Degree Above Bachelor Level 335 4.8%

Data Source: BC Stats – National Household Survey 2011”Kitimat - http://www12.statcan.gc.ca/nhs-enm/2011/dp-pd/index-eng.cfm

LANGUAGE KNOWLEDGE

Languages Spoken Citizens

English 6,495

French 235

Portuguese 645

German 210

Italian 85

Punjabi 80

Tagalog (Filipino) 60

Finnish 45

Chinese 40

Dutch 35

Spanish 30

Afrikaans 20

Greek 20

Polish 20

Ukrainian 15

Hungarian 10

Norwegian 10

Data Source: Stats Canada – 2011- “Mother Tongue”

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2. LABOUR FORCE

EMPLOYMENT BY INDUSTRY

KITIMAT NORTHERN BC

Sector (Industry) Number Percent

Agriculture, Forestry, Fishing & Hunting 12,329 7.1%

Mining, Quarrying & Oil and Gas 8,891 5.1%

Utilities 1,182 0.7%

Construction 14,409 8.3%

Manufacturing 15,394 8.9%

Transportation & Warehousing 10,787 6.2%

Wholesale Trade 4,704 2.7%

Retail Trade 19,343 11.2%

Services 64,315 37.1%

Finance, Insurance & Real Estate 6,316 3.6%

Government 12,972 7.5%

Total 173,333 100%

Data Source: Statistics Canada – National Household Survey 2011- Regional Distict Profiles; Bulkley-Nechako, Cariboo, Central Coast, Frase- Fort George, Kitimat-Stikine, Northern Rockies, Peace River, Skeena-Queen Charlotte, Squamish-Lillooet(Areas A &B), and Stikine http://www12.statcan.gc.ca/nhs-enm/2011/dp-pd/index-eng.cfm

Sector (Industry) Number Percent

Agriculture, Forestry, Fishing & Hunting 45 1%

Mining, Quarrying & Oil and Gas 40 1%

Utilities 0 0

Construction 420 10%

Manufacturing 1,205 29%

Transportation & Warehousing 200 5%

Wholesale Trade 80 2%

Retail Trade 345 8%

Services 1,410 34%

Finance, Insurance & Real Estate 140 3%

Government 220 5%

Total 4,105 100%

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Values represent 2011 data *Education; Law and Social; Community and Government Services / Trades; Transport and Equipment Operators

Data Source:Statistics Canada National House Survey 2011 http://www12.statcan.bc.ca/nhs-enm/2011/dp-pd/prof/index.cfm?lang=e

TOP EMPLOYERS

Company Product/Service Number of Employees Ownership Website

Rio Tinto Alcan Aluminum Fab. 1,384 Private www.riotintoalcan.com

School District #82 Public Education 265 Public www.cmsd.bc.ca

Health Council Health Care 140 Public

District of Kitimat Local Government 135 Public www.kitimat.ca

Overwaitea Foods Groceries 90 Private www.overwaitea.com

101 Industries Metal Fab. 50 Private www.101industries.com

Zanron Fabrication Metal Fab. 33 Private

Iron & Metal Works Metal Fab. 30 Private

Lapointe Engineering Engineering 26 Private www.lapointe-eng.com

Envision Financial Financial Services 14 Private www.envisionfinancial.ca

Bank of Montreal Financial Services 12 Private www.bmo.com

Scotia Bank Financial services 11 Private www.scotiabank.com

Envision Insurance Insurance 10 Private www.envisionfinancial.ca

Data Source: City of Kitimat - www.kitimat.ca

85

495 415

210 335

540

195 45

800

1,010 2011

2006

2001

EMPLOYMENT BY OCCUPATION

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AVERAGE INCOME BY OCCUPATION – NORTHERN BC

Occupation Average wage ($/Hour)($CDN) Effective Date

Administrative Clerks 20.76 2013

Bookkeepers 20.09 2013 Business Development Officers, Marketing Researchers ad Consultants 27.69 2013

Carpenters 24.33 2013

Civil Engineers 34.00 2013

Commercial Drivers 36.06 2012

Computer Engineers 29.86 2013

Crane Operators 27.93 2013

Drafting Technicians 23.75 2013

Electrical Engineers 37.99 2013

Forestry Technicians 24.35 2013

Geological Engineers 34.60 2013

Heavy Equipment Operators 27.25 2013

Industrial and Manufacturing Engineers 28.08 2012

Industrial Electricians 33.39 2013

Labourers in Wood, Pulp and Paper Processing 24.96 2013

Labourers, Processing Manufacturing and Utilities 15.02 2013

Logging Machinery Operators 27.44 2013

Machinists 25.95 2012

Mechanical Engineers 35.00 2012

Mine Labourers 21.42 2013

Mining Engineers 34.23 2012

Petroleum Engineers 33.10 2013

Primary Production Managers 42.74 2013

Purchasing Managers 31.87 2012

Sales Representatives 20.76 2013

Senior Managers - Goods Production, Utilities, Transportation and Construction 43.27 2013

Shippers and Receivers 15.00 2013

Steamfitters 32.87 2013

Trades Helpers and Labourers 19.59 2013

For a complete list of Wages and Salaries in Northern BC visit the link below: www.workingincanada.gc.ca/LMI_report_area.do?reportOption=wage&PROVINCE_ID=59&GEOAREA_CD=29304&selectLocation=Continue

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LABOUR FORCE

EMPLOYMENT RATE

2001 2006 2011

Unemployment Rate 12.7% 9.5% 9.2%

Labour Participation 69.4% 66.4% 64.2%

LABOUR PARTICIPATION RATE

Data Source: 2001 and 2006 Census Community Profiles (Kitimat, Terrace, RDKS Electoral Area C – Part1)- http://www12.statcan.gc.ca/census recensement/index-eng.cfm?HPA 2011 National House Survey ( Kitimat, Terrace, RDKS Electoral Area C – Part 1) - http://www12.statcan.gc.ca/nhs-

enm/index-eng.cfm

COMMUTING

Place of Residence Place of Work # of People Average Commute Time:

Ground Average Commute

Time: Air

Kitimat Kitimat 3,675 - -

Terrace Kitimat 260 1 hour -

Thornhill Kitimat 75 .75 hour -

Terrace Rural Kitimat 40 1 hour -

Data Source: 2011 Census Community Profiles - http://www12.statcan.gc.ca/census-recensement/index-eng.cfm?HPA

2001 2006 2011

Total Population 15 and over 19,590 18,270 18,155

In Labour Force 13,600 12,130 11,660

Employed 11,875 10,975 10,585

Unemployed 1,725 1,155 1,075

Labour Participation Rate 2001 2006 2011

Male 76.1% 71.6% 67.0%

Female 62.6% 61.1% 61.6%

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3. PAYROLL COSTS

WORKERS COMPENSATION – 2014

Notes

Average Cost of All Manufacturing

Per $100 Payroll $1.91 CDN Rates set by employer’s business activity. Applies up to

maximum gross earnings of $75,700(CDN) per year.

Average Rate for Office Workers

Per $100 Payroll $0.29 CDN

There is no separate rating for office occupations in BC- the applicable industry rating applies to all workers. Rates for Business Services range from $0.10-$0.290 per $100 of payroll. Average of $0.29(CDN).

Maximum Weekly Benefit (Net)

$999.68 CDN

Maximum per employee set at 90% of average net earnings (after deductions for income taxes, Canada Pension Plan & Employment Insurance), up to maximum wage of $75,700 per year (CDN).

Data Source: WorkSafeBC – www.worksafebc.com

EMPLOYMENT INSURANCE – 2014

Notes

Taxable Base Based on gross payroll up to a gross per worker salary of $48,600 per year (CDN).

Percentage Rate(Employer Premium)

§ Employee Rate 1.93% Maximum annual contribution per worker is $839.97(CDN).

§ Employer Rate 2.70% Maximum annual contribution per worker is

$1,313.17(CDN).

§ Maximum Weekly Benefits $514.00 CDN

Data source: Service Canada - 2014 Premium Rates - www.servicecanada.gc.ca/eng/sc/ei/benefits/regular.shtml

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SOCIAL INSURANCE (CANADA PENSION PLAN) – 2014

Notes

Taxable Base

Gross Payroll

$3,500 CDN

Based on annual gross salary up to $52,500.00, basic exemption of $3,500. Both employers and employees are required to contribute to the Canada Pension Plan.

Employee/Employer Contribution 4.95% Employer premium equal to employee premium

Maximum Annual Employer Contribution Per Employee $2,425.50 CDN Employer contribution matches employee contribution.

Rate 9.9%

Maximum Annual Self Employed Contribution $4,851.00 CDN

Data Source TaxTips.Ca - http://www.taxtips.ca/cppandei.htm

Economic Performance

Kitimat industries have produced up to 12% of BC's manufacturing GDP and currently export approximately $500 million/year in manufactured products. Almost 50% of Kitimat's labour force is directly employed in manufacturing, transportation, trade, and industrial supply and service.

Source: District of Kitimat

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4. HIGHER EDUCATION

FOUR YEAR INSTITUTIONS

Institution University of Northern British Columbia

Campus/Address

Northwest Campus 4837 Keith Avenue Terrace, B.C. V8G 1K7

General Office Tel: 250-615-5578

Other Campuses Prince George (main), Fort St. John, Quesnel

Website www.unbc.ca

Driving Distance from Kitimat 61.2 km

Enrolment (2011/12): 3,588

Data Source: University of Northern British Columbia - http://unbc.ca/

Institution Northwest Community College

Campus/Address

Kitimat Campus 606 Mountainview Square Kitimat, B.C. V8C 2N2 Tel: 250-632-4766 Fax: 250-632-5069 Toll Free: 1-877-277-2288

Other Campuses Terrace (Main Campus), Hazelton, Houston, Kaay Llnagaay, Kitimat, Masset, Queen Charlotte, Smithers

Website www.nwcc.bc.ca

Driving Distance from Kitimat Located in the community

Enrolment (2011/12) (All Campuses) 6,606

Full-Time Equivalent: 1,615

Data Source: Northwest Community College - www.nwcc.bc.ca

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TRAINING SERVICES

Institution Kitimat Valley Institute

Address

1352 Alexander Avenue Kitimat, B.C. V8C 1A2

Website www.kvic.ca

Phone 250-639-9199

Fax 250-639-9669

Programs

§ Post-Secondary Upgrading § Industrial Skills Training § Employment Training § Post-Secondary Degree Programs § Graduate Programs § Health and Safety

LIBERAL & BUSINESS STUDIES UNIVERSITY DEGREE PROGRAM

§ All classes for the program in Liberal and Business Studies take place at Kitimat Valley Institute, faculty from Simon Fraser University travel to Kitimat to offer classes to local students. The program has been in operation since 2002.

§ Liberal Business Studies, offered by Simon Fraser University, is a multidisciplinary part-time degree completion program leading toward a Bachelor of General Studies in Liberal Arts and Business Studies. It is designed specifically for mid-career adults who wish to earn an undergraduate degree in an intellectually challenging environment. The curriculum integrates the broad perspectives of liberal arts education with valued skills in business administration.

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5. TRANSPORTATION

MAJOR TRANSPORATION ROUTES

PACIFIC GATEWAY

British Columbia’s ports in Vancouver, Prince Rupert and Kitimat are Asia’s closest ports of entry on the west coast of North America - up to 58 hours closer than the ports of Los Angeles and Long Beach. Canadian ports and airports are seamlessly integrated with road and rail connections to all major U.S. economic centers. British Columbia is the only gateway on the west coast of the Americas served by three transcontinental railways. Today, Canada’s Pacific Gateway is an integrated, secure, reliable transportation network that includes world-class airports, seaports, railways, roadways, and border crossings, bringing Canada and the North American market to Asia and the world. Canada’s Pacific Gateway, through British Columbia’s ports in Vancouver and Prince Rupert, offers Asian shippers the most direct route between Asia and North America. Canada’s Pacific Gateway and Corridor Initiative is a strong commitment by government and industry partners to make British Columbia’s ports the preferred gateway for Asia-Pacific trade, with the most competitive port system and supply chain on the west coast of the Americas. This commitment builds on Canada’s longstanding and strong cultural and economic ties with Asia. In the new global economy, Canada’s Pacific Gateway is a path to the future.

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NORTHERN CORRIDOR

The Northern Corridor spans over half of continental Canada and reaches into the North American heartland south of Chicago, Illinois. It travels through the Yellowhead Pass, the lowest elevation route through the continental divide, and forms the straightest, shortest, and flattest route for Asian–North American trade. Three Northern British Columbia ports provide efficient access to this corridor: Kitimat, Stewart and Prince Rupert. Each port offers unique advantages and services.

The continental rail system, the Trans-Canada Highway, and direct air service into international air hubs are in place to serve Northwestern British Columbia. The corridor services business covered by the North American Free Trade Agreement, through break-bulk and container services in ports operated by governments and those run by private port interests.

The Northern Corridor is less impeded by road closures, significant weather patterns and avalanches than the Southern Canadian corridor. It provides a one-less-day shipping advantage to or from Asia compared to all other North American Port locations, including Vancouver and the USA pacific Ports.

Existing trade in Kitimat and Prince Rupert includes aluminum shipped via privately owned break-bulk terminals, transhipment of petrochemicals through privately owned facilities, barge service and container port services. Growth is expected in energy exports including liquid natural gas, petroleum, and container capacity.

Canadian National Rail (CNR) has shipping agreements in place with major US rail carriers. CNR has made significant investments in the Northern Corridor rail line including extended sidings, upgrades to signal systems, increased bridge and tunnel clearances. The corridor is serviced by five international airports and four northern airports with Prince George offering international services. The largest passenger service airport west of Prince George and north of British Columbia’s Okanagan region is the Terrace-Kitimat Northwest Regional airport.

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HIGHWAYS

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NORTHERN CORRIDOR SPECIFICATIONS

Commercial Vehicle

Without Permit Specifications

Maximum Width 2.59 metres

Maximum Height 4.15 metres

Maximum Vehicle Weights

Super B 63,500 kilograms

Single Axel 9,100 kilograms

Tandem Axle (set) 17,000 kilograms

Tridem Axle (set) 24,000 kilograms

Commercial Vehicle

With Permit Specifications

Maximum Width 4.4 metres

Maximum Height 4.72 metres

Maximum Vehicle Weights

Super B 64,000 kilograms

Single Axel 9,100 kilograms

Tandem Axle (set) 23,000 kilograms

Tridem Axle (set) 29,000 kilograms

OVERHEAD CLEARANCE

Yellowhead Highway 16 from BC Border to Prince Rupert Clearance

§ Khyex River Bridge 5.95 metres

§ Kitsequcla Overpass 5.7 metres

§ Tete Jaune underpass 4.96 metres

Highway 37 from Hwy 16 North to Yukon Border

§ Irving River Bridge #2 5.74 metres

§ Devil Creek Bridge 5.74 metres

Highway 37 from Hwy 16 South to Kitimat

§ Williams Creek Bridge 4.97 metres

§ Hirsch Creek Bridge 4.72 metres

§ Kitimat River Bridge 5.08 metres

Highway 37A from Hwy 37 To Stewart

§ No Clearances

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HIGHWAY DISTANCES

RAILROADS

CN Rail www.cn.ca

Main or Branch Line Branch & Main

Shortline or National International

Distance to Nearest Switching Yard Located within community

Capability Cargo- Bulk, Container, Liquid, Multi Commodities

VIA Rail www.viarail.ca

Main or Branch Line Main Line

Shortline or National International

Distance to Nearest Switching Yard

Located within community

Capability Passenger

Metro Area Distance

Prince George 630 kilometres

Kamloops 1,151 kilometres

Edmonton 1,369 kilometres

Vancouver 1,410 kilometres

Calgary 1,414 kilometres

Victoria 1,494 kilometres

Seattle 1,523 kilometres

Portland 1,802 kilometres

Rail Service

Kitimat is serviced by CN Rail and is on-par with the Port of Vancouver to serving intercontinental markets in terms of distance to Chicago; with premium service, Kitimat could offer up to a 30 hour time saving.

Source: District of Kitimat

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AIRPORTS

Northwest Regional Airport Terrace-Kitimat http://www.yxt.ca/

Hub Status Commercial

Distance From Community 54.6 kilometres

Hours of Operation 24 Hours

Approved Capital Expansion Not Available

Customs Point of Entry No

Foreign Trade Zone No

Full Instrumentation Instrument landing system

No. of Runways 2

Runway Length 1,829 metres, 1,638 metres

Carriers Air Canada Jazz, Hawk Air, Central Mountain Air

Weekly Non-Stop Flights 51

Helicopter Services Available 2-tenants

Floatplane Services Available 0

Prince George Airport www.pgairport.ca

Hub Status International

Distance from Community 451 kilometres

Hours of Operation 24 hours, 7 days/week

Approved Capital Expansion $2 million - capital expansion

Customs Point of Entry Yes

Foreign Trade Zone No

Full Instrumentation Yes

No. of Runways 3

Runway Length 3,490 metres; 1,714 metres; 1,149 metres

Carriers Air Canada Jazz , Central Mountain Air, Hawkair, Northern Thunderbird Air, West Jet

Weekly Non-Stop Flights (Average) 106/week

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Largest International Airport Vancouver

Vancouver International Airport www.yvr.ca

Hub Status International

Distance from Community 1,232 kilometres

Hours of Operation 24 hours, 7 days/week

Customs Point of Entry Yes

Foreign Trade Zone Yes

Full Instrumentation Yes

No. of Runways 3 plus water runway

Runway Length 3,030 metres; 3,505 metres; 2,225 metres

No. of Weekly Non-Stop Flights (Average)

§ Asia 111/week

§ Europe 47/week

§ Mexico 28/week

§ United States 471/week

Data Source: Northwest Regional Airport - http://www.yxt.ca/

Northwest Regional Airport

The Northwest Regional Airport serves over 100,000 passengers annually, making it the largest airport west of Prince George and North of British Columbia’s Okanagan region.

Source: District of Kitimat

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PORTS

PORT OF KITIMAT

The Private Port of Kitimat is the third largest port on the west coast of Canada, behind the ports of Vancouver and Prince Rupert. It is a year-round, ice free, deep sea harbour with existing terminal facilities and room for new development. Based on Kitimat's natural competitive advantages, the port is seeing significant growth and investment opportunities.

The private port of Kitimat is a fully commercial port operating to serve a variety of marine transportation sectors. Transport Canada and other federal agencies continue to regulate navigation, security and environmental safety.

§ For more information about the Port of Kitimat, please visit the Port of Kitimat website http://www.kitimat.ca/EN/main/business/invest-in-kitimat/port-of-kitimat.html

Private Port of Kitimat

Distance from Kitimat Located adjacent to community.

Location of Port Kitimat

Terminals Rio Tinto Alcan- Break Bulk Terminal

Type of Port Deep Sea

Channel Depth 100 - 300 fathoms (190 - 570 metres or 600 - 1,800 feet)

Turning Basin 1-3 nautical miles wide

Shallow Water Barging Facilities Yes

Deep Water Barging Facilities Yes

General Cargo Facilities Yes

Refrigerated Container Facilities No

Storage Facilities Yes

Highway Serving Port #16 via #37

Railway Serving Port CN Rail

Types of Services Bulk/ Break-bulk, Pitch, Alumina , Bauxite Condensate, Green and Petroleum Coke, Methanol, Sackkraft, Linerboard, Pulp, Wood Chips, Fluoride and Aluminum Lingots

Imports Pitch, Alumina, Bauxite Condensate

Exports Aluminum Sheeting

Shipping Lines Waterfront Shipping, Gearbulk

Shipping Agents Gateway Shipping and Transport, GW Nickerson Co., Kitimat Shipping Agencies

Customs Brokers Gateway Shipping and Transport, GW Nickerson Co., Moore E T S Services

Tug & Barge SMIT Marine, Seaspace International

Data Source: City of Kitimat - www.kitimat.ca

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PORT OF PRINCE RUPERT

Port of Prince Rupert

Distance from Kitimat 205 kilometres

Location of Port Prince Rupert

Terminals Fairview (Container) Terminal, Ridley Terminals, (coal/wood pellets), Prince Rupert Grain, Northland Cruise Terminal

Type of Port Ocean

Channel Depth 35-55 meters

Shallow Water Barging Facilities Yes

Deep Water Barging Facilities Yes

General Cargo Facilities Yes

Containerized Facilities Yes

Refrigerated Container Facilities Yes

Cruise Ship Facilities Yes

Storage Facilities Yes

Highway Serving Port #16

Railway Serving Port CN Rail

Types of Services: Metallurgical/Thermal Cole, Petroleum Coke, Wood Pellets, Sulfur, Grain, Logs

Imports Retail (including electronics, apparel, furniture, auto parts); petroleum products; industrial inputs (tiles, glass)

Exports Midwest – specialty crops; scrap metal, recycled paper

British Columbia – Forest products (lumber, pulp, logs); aluminum, seafood

Shipping Lines Cosco, Hanjin, Yang Ming, K-Line, Quickload Transloading Services, Shipping Agents, GW Nickerson Co., Northcoast Shipping, Rupert Marine Shipping, Tidals Transport & Trading Ltd.

Data source: Prince Rupert Port Authority - www.rupertport.com

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CUSTOM PORT OF ENTRY

Canadian Border Services Agency

Type of Entry Point Port

Location 270 City Centre, Kitimat, BC V8C 1T6 Tel: 800-461-9999

Canadian Border Services Agency Prince Rupert

Type of Entry Point Port

Location 368 - 309 2nd Avenue West Prince Rupert, BC V8J 3T1 Tel: 250.627.3003

Canadian Border Services Agency Vancouver

Type of Entry Point Airport

Location Box 23750, 3211 Grant McConachie Way Richmond, BC V7B 1Y7 Tel: 604.207.7077

WAREHOUSES

No. of Bonded Warehouses 3

No. of Public Warehouses 3

Data Source: City of Kitimat - www.kitimat.ca

Future Development

Kitimat is an emerging energy hub. Over $30 Billion in new investment is nearing construction over the next 5 years. Business opportunities exist for transhipment of liquids and break-bulk goods through underutilized marine terminals, as well as a variety of oil and gas developments.

Source: District of Kitimat

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PORT SHIPPING DISTANCES

The NW Transportation and Trade Corridor ports (Kitimat and Prince Rupert, Stewart) are between 1 and 1 1/2 days closer to general Asia Pacific markets than the ports in Vancouver. The Southern Ports are closer to the Panama Canal and subsequently, the Atlantic. The following table is in nautical miles. The Time/Speed/Distance Calculations are at 16.1439 Kn/Hr. - the average speed the Port of Vancouver uses for calculating their shipping to Yokohama, Hong Kong, Kaohsiung (Taiwan) and Xingang (China). Deep-sea vessels travel at various speeds between 14Kn/hr and 20Kn/hr. The ‘great circle shipping route’ to Asia from North America has well documented ocean currents and weather/wind patterns which allows for accurate estimates.

Kitimat Prince Rupert Stewart Vancouver Los Angeles Yokohama

(Japan) Hong Kong Kaohsiung

Kang(Taiwan) Xingang (China)

Kitimat --

121 NM

7.5 Hrs.

264 NM

17 Hrs.

400 NM

1 Day

1,391 NM

3.5 days

3,941 NM

10 Days

5,444 NM

14 Days

6,,187 NM

16 Days

6,187 NM

16 Days

Prince Rupert 121 NM

7.5 Hrs. --

123 NM

1 Hr.

477NM

1.2 Days

1,432NM

3.6 Days

3,810NM

9.8 Days

5,323NM

13.7 Days

6,110NM

15.7 Days

6,110NM

15.7 Days

Stewart 264 NM

17 Hrs.

123 NM

1 Hr. --

573 NM

1.5 Days

1,529 NM

4 Days

3,896 NM

10.3 Days

5,406 NM

14.1 Days

5,155 NM

13.4 Days

4,749 NM

12.5 Days

Vancouver 400 NM

1 Day

477 NM

1.2 Days

573 NM

1.5 Days --

991NM

2.5 Days

4,262NM

11 Days

5,763NM

15 Days

6,587NM

17 Days

7,578NM

20 Days

Los Angeles 1,391 NM

3.5 Days

1,432 NM

3.6 Days

1,529 NM

4 Days

991NM

2.5 Days --

4,839NM

12.5 Days

6,380NM

18 Days

7,578NM

20 Days

8,959NM

23 Days

Yokohama 3,941 NM

10 Days

3,810 NM

9.8 Days

3,896 NM

10.3 Days

4,262NM

11 Days

4,839NM

12.5 Days --

1,585NM

4 Days

1,335NM

3.4 Days

1,335NM

3.4 Days

Hong Kong 5,444 NM

14 Days

5,323 NM

13.7 Days

5,406 NM

14.1 Days

5,763NM

15 Days

6,380NM

18 Days

1,585NM

4 Days --

290NM

18 Hrs.

2,90NM

18 Hrs.

Kaohsiung Kang

6,187 NM

16 Days

6,587 NM

17 Days

5,155 NM

13.4 Days

6,587NM

17 Days

7,578NM

20 Days

1,335NM

3.4 Days

290NM

18 Hrs. --

227NM

14 Hrs.

Xingang 6,187 NM

16 Days

6,587 NM

17 Days

4,749 NM

12.5 Days

7,578NM

20 days

8,959NM

23 Days

1,335NM

3.4 Days

290NM

18 Hrs.

227NM

14 Hrs. --

Source: United States Government. "Distances Between Ports” Prepared and published by the National Imagery and Mapping Agency, Bethesda, Maryland.

Ninth Edition 1997.*Time/Speed/Distance Calculations at 16.1439 Kn/Hr., the average speed Vancouver Port lists to reach Yokohama, Hong Kong, Kaohsiung (Taiwan) and Xingang (China)

29

6. INDUSTRIAL LAND USE

LAND ZONED AND DESIGNATED IN OFFICIAL COMMUNITY PLAN

Industrial Land Commercial Land

Total 3,802 259

Acres Developed 2,012 130

Acres Vacant 1,790 129

VACANT LAND ZONED AND DESIGNATED IN OFFICIAL COMMUNITY PLAN

Industrial Parks Number

Number of Industrial Parks 3

Total Acres 3,953

Number of Acres in Use 1,520

Number of Acres Vacant 2,433

Number of Acres Fully Serviced 3,953

Number of Vacant Acres Partially Serviced 0

Number of Acres Not Serviced 0

Data Source: City of Kitimat - www.kitimat.ca

LOCAL PERMIT APPROVALS

Type of Permit Average Time for Approval Associated Fees

Building Permit 2 weeks $150

Business License 2 days $75 and Up

Development Permit 3-8 weeks $20-150 (CDN)

Occupancy Permit 2 weeks --

Plan Amendment varies $300 (CDN)

Re-Zoning Application varies $350 (CDN)

Subdivision Application 18+ Weeks $50-3,200 (CDN)

Data Source: City of Kitimat - www.kitimat.ca

30

ZONING

Long range development considerations are outlined in Kitimat Official Community Plan (OCP), 2008. The Plan may be read at the Kitimat Public Library or online at http://www.kitimat.ca/EN/main/municipal/departments/community-planning-development/official-community-plan.html . Further information and a summary version of the OCP are available from the District of Kitimat.

COMMERCIAL LAND

The Service Center has been partially developed, leaving space available for expansion. The Service Centre occupies about 70 ha of industrial land. City Centre (Kitimat’s downtown core) is developed according to an outdoor shopping centre model and occupies approximately 60 hectares. New development in the City Centre is governed by revitalization guidelines. Contact Community Planning & Development, District of Kitimat for more details. Commercial property is also available at Nechako Centre and at Neighbourhood Centres in the town site.

INDUSTRIAL LAND

Extensive land is available to the west of the Kitimat River. The port area consists of 16 km of usable waterfront. Kitimat’s municipal area is 79,073 acres/ 32,000 hectares, much of which could be available to accommodate manufacturing and other industrial development. The port area consists of 16 km of useable waterfront with industrial zoned lands comprising 9,395 acres/ 3,802 hectares.

Photo Credit: Mark Margerison

31

ACQUISITION OF CROWN LAND

§ Crown land is land that is owned by the Province of British Columbia. The Province is the steward of the land and can lease, license and sell Crown land for a variety of purposes including residential, commercial, industrial, agricultural, tourism and recreational purposes.

Company Contact Notes

Ministry of Forest, Lands and Natural Resource Operations: Land Tenures Branch

p: 1-877-855-3222 e: FrontCounterBC@gov.bc.ca

Administers and allocates Crown land parcels for lease, license and sale.

Ministry of Transportation Tel: (250) 387-3198

Handles land sales related to public airports and port authorities and the marketing of Crown land is done through MLS Realtors

§ To view properties that the Federal Government of Canada has for sale, please visit: http://www.tpsgc-

pwgsc.gc.ca/biens-property/vdtt-ftrd-eng.html

32

7. UTILITIES

WATER SYSTEM

WATER PRODUCTION

Name of Provider City of Kitimat

Rated Capacity (Frank Street Wells) 20 million litres/day

Average Daily Demand 1 million litres/day

Peak Demand 4 million litres/day

Residential Cost (flat rate) $0.56

Industrial Cost Kitimat major industries are required to apply for a BC water license

WASTE WATER SYSTEM

SEWAGE SERVICE

Name of Provider City of Kitimat

Rated Capacity 11 million litres/day

Average Daily Demand 4 million litres/day

Peak Demand 7 million litres/day

Industrial Kitimat major industries have private sewage facilities and services

LANDFILL AND WASTE MANAGEMENT

Landfill Name Kitimat Landfill

Location Kitimat

Capacity Left at Current Site 40 years at current rate

Plans for New Capacity no

LICENSED HAZARDOUS MATERIALS DISPOSAL

Name of Site None located directly within the community

No. of Licensed Hazardous Waste Haulers Serving the Area 4

Data Source: City of Kitimat - www.kitimat.ca

33

ELECTRIC POWER

Provider: BC Hydro www.bchydro.com

Enquiries to hook up new property Tel: 1-877-520-1355

Enquiries about existing properties already hooked up Tel: 1-800-224-9376

Net Importer/Exporter of Power: Net Exporter – BC Hydro generates between 43,000 and 56,000 (GWh) of electricity annually.

% of Reserve Margin Including Generation & Net Purchases 8% as per WSCC guidelines plus an additional 8% surplus

Average Electrical Service Availability Index

§ Most Recent Year

§ Last 5 Years

99.974

99.967

Name of Power Pool Membership Formal membership in WSCC, WSPP, Power Pool of Alberta (PPA), MAPP. Also active in SPP and CalPX

Source Electric Power Deregulated Wholesale competition allowed

Residential Customers

$0.069 per kWh for the first 1,350 kWh they use over a two-month billing period. Above that amount, customers pay $0.1034 per kWh for the balance of the electricity used during the billing period

Business Customers Average Cost Per kWh

Small General Service Rate Annual peak demand less than 35kW

§ Basic Charge $0.1953 per day

§ Energy Charge $0.0928 per kWh

§ Minimum Charge $0.1953 per day (equal to the Basic Charge)

§ Discounts

1.5% on entire bill if customer’s electricity is metered at primary potential

$0.25 per kW if customer supplies transformation from a primary to a secondary potential

If a customer is entitled to both discounts the 1.5% discount is applied first

§ Rate Rider 5% Rate Rider applied to all charges, before taxes and levies

Medium General Service Conservation Rate Annual peak demand between 35 and 150 kW

§ Basic Charge $0.1953 per day

§ Demand Charge

$0.00 per kW for first 35 kW

$4.76 per kW for next 115 kW

$9.13 per kW for remaining kW

§ Energy Charge

Part 1:

$0.0885 per kWh for last 14,800 kWh

$0.0549 per kWh for remaining kWh up to baseline

34

Part 2:

$0.0956 per kWh for usage up to 20% above baseline

$0.0956 per kWh for savings down to 20% below baseline (credit)

Usage or savings beyond 20% of baseline are based on Part 1 prices

§ Power Factor Surcharge Applicable if a customer’s power factor is below 90%

§ Discounts

1.5% on entire bill if customer’s electricity is metered at primary potential

$0.25 per kW if customer supplies transformation from a primary to a secondary potential

If a customer is entitled to both discounts the 1.5% discount is applied first.

§ Minimum Monthly Charge

50% of the highest maximum demand charge billed in any month within an on-peak period (1 November to 31 March inclusive) during the preceding 11 months.

§ Minimum Energy Charge $0.0285 per kWh applies when the Energy Charge (Part 1 and 2) divided by the total kWh is less than $0.0285

§ Rate Rider

5% Rate Rider applied to all charges, before taxes and levies.

Large General Service Conservation Rate Annual peak demands equal to or greater than 150 kW or total annual energy usage of at least 550,000kWh.

§ Basic Charge $0.1953 per day

§ Demand Charge

$0.00 per kW for first 35 kW

$4.76 per kW for next 115 kW

$9.13 per kW for remaining kW

§ Energy Charge

Part 1:

$0.0961 per kWh for first 14,800 kWh

$0.0462 per kWh for remaining kWh up to baseline

Part 2:

$0.0956 per kWh for usage up to 20% above baseline

$0.0956 per kWh for savings down to 20% below baseline (credit)

Usage or savings beyond 20% of baseline are based on Part 1 prices

§ Power Factor Surcharge Applicable if a customer’s power factor is below 90%

§ Discounts

1.5% on entire bill if customer's electricity is metered at primary potential

$0.25 per kW if customer supplies transformation from a primary to a secondary potential

If a customer is entitled to both discounts the 1.5% discount is applied first

35

§ Monthly Minimum Charge 50% of the highest maximum demand charge billed in any month within an on-peak period (1 November to 31 March inclusive) during the preceding 11 months

§ Minimum Energy Charge $0.0285 per kWh applies when the Energy Charge (Part 1 and 2) divided by the total kWh is less than $0.0285 per kWh

§ Rate Rider 5% Rate Rider applied to all charges, before taxes and levies

Industrial: Transmission Service Customers with transmission accounts use large amounts of energy and invest in electrical infrastructure that allows them to receive service at high voltage

§ Demand Charge $6.353 per kVA of billing demand

§ Energy Charge

$0.0332 per kWh applied to all kWh up to and including 90% of the costumers baseline load (CBL) in each billing year.

$0.0736 per kWh applied to all kWh above 90% of the CBL in each billing year.

§ Minimum Charge $6.353 per kVA of billing demand per billing period

§ Rate Rider 5% Rate Rider applied to all charges, before taxes and levies

Data Source: BC Hydro - https://www.bchydro.com/index.html

NATURAL GAS

Pacific Northern Gas www.png.ca

Rate Territory Vanderhoof to Prince Rupert/Kitimat Area

Contact Tel: 1-800-667-2297 Emergency: 1-800-663-1173

Type of Customer Basic Monthly Charge ($/Month)

Delivery & Commodity Charge ($/GJ)

Residential (RS1) $10.75 $15.315

Residential Propane (RS1P) (1) $10.75 $21.863

Small Commercial (RS2) $25.00 $13.479

Large Commercial (RS3) $150.00 $11.646

Commercial Propane (RS2P) (1) $10.75 $21.863

Small Industrial (RS4) $410.00 $7.039

Commercial Interruptible (RS5) $125.00 $8.183

Seasonal Off-Peak (Mar-Nov) (RS6) $125.00 $10.645

Seasonal On-Peak (Dec-Feb) (RS6) $0.00 $18.597

Natural Gas Vehicles (RS7) $10.75 $6.911

Data Source: PNG – “Rate Schedules” - www.png.ca

36

TELECOMMUNICATIONS

Name of Provider Telus

Address #6 - 3777 Kingsway, Vancouver B.C. V5H 3Z7

Website www.telus.net

Contact Tel: 1-250-310-2255

Service Characteristics of The Office:

§ Switch Technology Digital

§ Fiber Service provided Yes

§ 100 Mbps LAN Service Available Yes

§ Monitoring- Remotely or On-Site Remotely

§ ISDN Available Yes

§ ADSL Available Yes

§ ADSL Available From Switch Yes

§ Central Office on Self-Healing Fiber Ring Yes

§ Dual Feed from Two Separate Switching Offices Yes

§ Multiple Route Diversity Yes

Name of Provider City West

Address 174 5th Street, Kitimat B.C. V8C 2C2

Website www.citywest.ca

Contact Tel: 1-800-442-8664

Service Characteristics of The Office

§ Switch Technology Digital

§ Fiber Service provided Yes

§ 100 Mbps LAN Service Available Yes

§ Monitoring- Remotely or On-Site Remotely

§ ISDN Available Yes

§ ADSL Available Yes

§ ADSL Available From Switch Yes

§ Central Office on Self-Healing Fiber Ring Yes

§ Dual Feed from Two Separate Switching Offices Yes

§ Multiple Route Diversity Yes

§ Rogers Communications offers 4G cellular service in the region; additionally, mobile internet via USB port is also available.

37

8. BUSINESS SUPPORT SERVICES

Business Support Services Number of Services

Tool and Die Shop 5

Welding Shop 3

Office Equipment Service and Repair 2

Temporary Employment Services 1

International Support Services Number of Services

International Courier Services 6

Freight Forwarders 4

Import/Export Brokers 1 Data Source: Trade and Invest British Columbia “Business Support Services” – www.britishcolumbia.ca/invest

38

9. GOVERNMENT

MUNICIPAL GOVERNMENT

City Kitimat

Form (Structure) Mayor and Council

Number of Elected Officials 7

Mayor Joanne Monaghan

Chief Administrative Officer Ron Poole

REGIONAL DISTRICT

Regional District Kitimat-Stikine

Form (Structure) Chair and Directors

Number of Elected Officials 12

Chair Harry Nyce

§ Year Elected November 2011

§ Next Election Date November 2014

Administrator Bob Marcellin

PROVINCIAL

Government of British Columbia

Form (Structure) British Parliamentary

Number of Elected Officials 85

How Often Does Legislature Convene September 23-24, 2013

PREMIER

Name Christy Clark

Affiliation British Columbia Liberal Party

Year Elected May 2013

Current Term Expiration 4 Years

Allowed to Run for Another Term Yes

Next Election Date Tuesday, May 9, 2017

39

PROVINCIAL GOVERNMENT REPRESENTATION

Name of Member of Legislative Assembly (MLA) Robin Austin

Total Members of Legislative Assembly 1

Electoral District Skeena

Party Affiliation New Democratic Party

FEDERAL GOVERNMENT REPRESENTATION

Name of Member of Parliament (MP) Nathan Cullen

Electoral District Skeena-Bulkley Valley

Year Elected May 2, 2011

Party Affiliation New Democratic Party

SENATORS

No. of Appointed Officials

In Canada there are ordinarily 105 Senators appointed by the Governor General on the advice of the Prime Minister. Senators are chosen to represent the various provinces and territories of Canada and are appointed until the age of 75.

Data Sources: BC Government - www.gov.bc.ca, BC Government - www.gov.bc.ca/premier, Legislative Assembly of British Columbia, Parliament of Canada, District of Kitimat - www.princerupert.caHousing

40

10. HOUSING CHARACTERISTICS

Dwelling Type Number Percent of Total Dwelling

Single-detached houses 2,300 63%

Movable dwelling 105 3%

Semi-detached houses 420 12%

Row houses 335 9%

Apartments, duplex 470 13%

Other single-attached house 0 0.0%

Total private dwellings 3,630 100%

Data Source: BC Stats – 2011 Census Community Profile – http://www12.statcan.gc.ca/census-recensement/2011/dp-pd/prof/index.cfm?Lang=E&MM

AVERAGE HOUSING VALUES

Municipality Single Family Homes Change from 2013 (%) Total Property Tax & Charges

Kitimat $228,000 26.67% $1,922

Data Source: City of Kitimat - www.kitimat.ca

41

11. TAXATION

CORPORATE INCOME TAX

Small Business Manufacturing Non-Manufacturing

Federal

§ Rate 11.0% 15.0% 15.0%

§ Formula (Sales, Property & Payroll) n/a n/a n/a

§ Accelerated Depreciated Permitted Yes Yes Yes

Provincial

§ Rate 2.5% 11.0% 11.0%

§ Formula (Sales, Property & Payroll) Sales & Payroll Sales & Payroll Sales & Payroll

§ Accelerated Depreciated Permitted No No No

Local

British Columbia has no local taxes

Total Federal and Provincial Corporate Income Tax 13.5% 26.0% 26.0%

PERSONAL INCOME TAX

Federal State/Provincial Local

Earned Income 15.0% – 29.0% 5.06% – 14.7% 0%

Unearned Income (e.g. Dividends) 0.0% – 14.55% 0.0% – 3.92% 0%

Capital Gains 7.5% – 14.5 % 2.53% – 7.35% 0%

SALES / USE TAX

Rate Notes

Goods and Services Sales Tax 5% GST on business inputs is fully recoverable

Provincial Sales Tax 7% PST Retail Sales Tax

Local 0% BC has no local sales tax

Total (Effective Combined Rate) Business 7% Net of GST 0% for production machinery and equipment for eligible manufacturers

42

SALES TAX RATE BY UTILITY

Yes/No Rate Notes

Electric Power Yes 5% 5% GST is fully recoverable

Natural Gas Yes 5% 5% GST is fully recoverable subject to 0.4% tax on energy products to raise revenue for the ICE fund

Fuel Oil Yes 5% 5% GST is fully recoverable subject to 0.4% tax on energy products to raise revenue for the ICE fund

Water No 0% -

Sewer No 0% -

Hazardous Waste Disposal Yes 12% 5% GST is fully recoverable

TELEPHONE SUBJECT TO SALES/USE TAX

Yes/No Rate Notes

Local Yes 5% 5% GST is fully recoverable

Long Distance Yes 12% 5% GST is fully recoverable

MACHINERY AND EQUIPMENT SUBJECT TO SALES/USE TAX

Yes/No Rate Notes

Production No 0% -

Non-Production Yes 12% 5% GST is fully recoverable

Pollution Control Yes 12% 5% GST is fully recoverable

Office Equipment & Fixtures Yes 12% 5% GST is fully recoverable

SALES/USE TAX ON TANGIBLE PROPERTY

Yes/No Rate Notes

Office Building Construction Materials Yes 12% 5% GST is fully recoverable

Industrial Building Construction Materials Yes 12% 5% GST is fully recoverable

Manufacturers Raw Materials No 0% -

Standard Software Yes 12% 5% GST is fully recoverable

Custom Software Yes 12% 5% GST is fully recoverable

43

SALES/USE TAX ON INTANGIBLE PROPERTY

Yes/No Rate Notes

Accounts Receivable No 0% -

Capital Stock No 0% -

Stock/Bond Transaction Fee No 0% - Data Source: Government of BC -

http://www2.gov.bc.ca/assets/gov/topic/BED47DA4EBDBA60A5F28622B8B2E1451/uploads/whats_taxable_whats_not.pdf

PROPERTY TAX

Classification Residential Utility Major Industry

Light Industry Business

Recreational/

Non-Profit Farm

General Municipality

Vacant: 2.1067

Other: 2.6024 39.0507 51.4833 44.2239 14.6388 16.6995 154.0905

Debt 0.1250 0.9461 1.2473 1.0714 0.3547 0.4046 3.7332

KS Regional District 0.0943 0.7143 0.9417 0.8089 0.2678 0.3054 2.8184

Transit 0.28981 1.01434 0.98535 0.98535 0.71003 0.28981 0.28981

KS Regional Hospital 0.04643 0.16251 0.15786 0.15786 0.11375 0.04643 0.04643

NW Regional Hospital 0.64769 2.26692 2.20215 2.20215 1.58684 0.64769 0.64769

Municipal Finance Authority

0.0002 0.0007 0.0007 0.0007 0.0005 0.0002 0.0002

BC Assessment Authority 0.0610 0.5213 0.5213 0.1811 0.1811 0.0610 0.0610

School 3.6225 14.0000 6.2000 10.8000 6.2000 3.4000 6.9000

TOTAL Vacant: 10.0448

Other: 6.9936 58.6769 63.7397 60.4314 24.0535 21.8546 168.5872

Property Tax rates effective 2013 Property Tax rates per $1000 Assessed Personal Property (M&E, Inventory, Other) Municipal

Note: BC does not have Personal Property Taxes Data Source: District of Kitimat – www.kitimat.ca

44

12. INTERNATIONAL RESOURCES

INVESTMENT AND BUSINESS SUPPORT OFFICES

Kitimat Investor Services

Address 270 City Centre Kitimat, B.C. V8C 2H7

Phone Number Tel: 250-632-8900

Website www.investkitimat.ca

Kitimat Chamber of Commerce

Address P.O. Box 214 - 2109 Forest Avenue Kitimat, B.C.

V8C 2G7

Phone Number Tel: 250-632-6294

E-mail info@kitimatchamber.ca

Website www.kitimatchamber.ca

Community Futures Development Corporation – 16/37

Address 101 – 4734 Lazelle Avenue Terrace, B.C. V8G 1T2

Phone Number Tel: 250-635-2698

Email info@1637.ca

Website www.1637cfdc.bc.ca

45

Ministry of Jobs, Tourism and Skills Training – International Investment and Company Attraction

Contact Name Michael Track, Director, Developed Markets

Address 730 – 999 Canada Place Vancouver, B.C. V6C 3E1

Phone Number Tel: 604-775-2202

Email michael.track@gov.bc.ca

Website www.gov.bc.ca/jtst/

Ministry of Jobs, Tourism and Skills Training – Economic Development, North Coast Region

Contact Name Tavis McDonald, Regional Economic Development Manager

Address 3220 Eby Street Terrace, B.C. V8G 5K8

Phone Number Tel: 250-638-6523

E-Mail tavis.mcdonald@gov.bc.ca

Website www.gov.bc.ca/jtst/

Northern Development Initiative Trust

Contact Name Dean McKinley, Director, Economic Development

Address 301 – 1268 Fifth Avenue Prince George B.C. V2L 3L2

Phone Number Tel: 250-561-2525

E-Mail dean@northerndevelopment.bc.ca

Website www.northerndevelopment.bc.ca

46

FINANCIAL INSTITUTIONS

Name of Company Address Phone # Website

Bank of Montreal 374 City Centre Kitimat, B.C V8C 1T6 250-632-4604 www.bmo.com

CIBC 291 City Centre Kitimat, B.C. V8C 1T6 250-632-8610 www.cibc.com

Royal Bank of Canada 378 City Centre Kitimat, B.C. V8C 1T6 250-639-9281 www.rbc.com

Scotia Bank 201 City Centre Kitimat, B.C. V8C 1T6 250-632-8420 www.scotiabank.com

Envision Credit Union 954 Wakashan Avenue Kitimat, B.C. V8C 2G3 250-639-4700 www.envisionfinancial.ca

Oracle Financial Services Suite 201 - 370 City Centre Kitimat, B.C. V8C 1T6 250-632-4747 www.oraclefinancial.ca

Sun Life Financial Suite 3 - 528 Mountainview Square Kitimat, B.C. V8C 2N2 250-632-4447 www.sunlife.com

EMPLOYMENT ASSISTANCE

Name of Company Address Phone # Website

Employment Services Centre

562 Mountain View Square Kitimat, B.C. V8C 2N2 250-632-6581 www.kitimatcommunityservices.ca

Kitimat Community Services Society

Suite 102 - 370 City Centre Kitimat, B.C. V8C 1T6 250-632-9107 www.kitimatcommunityservices.ca

Employment and Income Assistance

795 Lahakas Blvd South Kitimat, B.C. V8C 1G2 866-866-0800 www.eia.gov.bc.ca

47

-10

-5

0

5

10

15

20

25

Jan Feb* March April May June July August Sept Oct Nov Dec Jan

Average High Value Average Low Value Average Mean Value

13. QUALITY OF LIFE Location: Fort St. John, B.C. Canada Latitude: 54°0’0 N Longitude: 128°42’0 W Elevation: 40 meters

CLIMATE

AVERAGE TEMPERATURE IN DEGREES CELSIUS BY MONTH

*February Figures are represented by latest temperature data- 2010 Values Data Source: Government of Canada-“Monthly Climate Summaries”-

http://climate.weather.gc.ca/climateData/dailydata_e.html?timeframe=2&Prov=BC&StationID=48693&dlyRange=2010-06-03%7C2013-08-22&cmdB1=Go&cmdB2=Go&Year=2013&Month=1&cmdB2=Go#l

48

CULTURE

TOP ANNUAL EVENTS

Top Events Date(s)

North Pacific Music Festival April

Golf Tournaments May / September

Bull-o-Rama June

Canada Day July

Dragon Boat Regatta July

Hill Climb Drags July

Mud Dog Races August

Chamber of Commerce Fishing Derby

September

Aluminum City Telethon October

Semi Annual Craft Fair November / April

CULTURE AND RECREATION

CULTURAL PLACES AND AMENITIES

Amenity

Enclosed Shopping Malls 1

Religion

§ Catholic Churches 1

§ Protestant Churches 6

§ Other Religious Institutions

6

Amenity

Museums 2

Theatre Companies 1

Art Galleries 4

Library 1

49

RECREATIONAL AMENITIES

Amenity Activities

Hockey Arenas Skating, Hockey

Swimming Pool Swimming

Recreation Centre Multi-use Space

Tennis Courts Tennis

Soccer Fields Soccer

Track Fields Track and Field

Fitness Facilities Weight Training and Fitness

Golf Courses Golfing

Eco Tours Whale Watching, Wildlife Viewing, Hot Springs

Nisga’a Memorial Laua Ded Provincial Park Camping

Mount Elizabeth Trail Hiking

Kleansa Creek Provincial Park Camping

Enso Trail Hiking

Ferry Island Camping, Hiking, Biking

Hirsh Creek Canyon Rafting

Williams Creek Rafting

Gitoyees River Rafting

Data Source: City of Kitimat - www.kitimat.ca

50

HEALTH

HOSPITALS

Hospital Kitimat General Hospital

Teaching Hospital No

Acute Care & Extended Care Beds 58

Assisted Living Facilities 2

Contact 920 Lahakas Blvd South Kitimat, B.C. V8C 2S3

Tel: 250-632-2121

PHYSICIANS AND DENTISTS

Health Providers Number

Physicians 8

Dentists 5

Ratio Physicians per 1000 0.96 : 1000

Ratio Dentists per 1000 0.60 : 1000

Data Source: City of Kitimat- www.kitimat.ca

Kitimat Hospital

Kitimat General Hospital and Health Centre is a modern, 120,000 sq. ft. health complex located adjacent to the District’s downtown. The complex includes 58-beds (36-multi-level care and 22-acute care), two operating rooms and complete laboratory, rehabilitation, and diagnostic imaging departments. It also contains clinics for diabetes outreach, public health, home care, home support and mental health services, as well as offices for physicians and visiting specialists.

Source: District of Kitimat

Rose Klukas Economic Development Officer

DISTRICT OF KITIMAT 270 City Centre Kitimat, BC V8C 2H7

Tel: 250-632-8900

Email: rklukas@kitimat.ca

www.kitimat.ca

Northern Development Initiative Trust

Contact for information on financial incentives for manufacturing companies

Invest BC

Contact for investor site selection and expansion services.

www.northerndevelopment.bc.ca www.investbc.com