From: Environment and Climate Change Canada 

News release 

February 26, 2024– Labrador City, Newfoundland and Labrador 

Canadians are calling for ambitious climate action that keeps the air clean while building a strong and clean economy for the future. Every day, initiatives such as the Government of Canada’s Low Carbon Economy Fund support partners across the country as they cut pollution, build strong, resilient communities, and create good jobs. 

Today, Yvonne Jones, Member of Parliament for Labrador, on behalf of the Honourable Steven Guilbeault, Minister of Environment and Climate Change, announced an investment of over $18.1 million from the Low Carbon Economy Fund to support the Iron Ore Company of Canada for the Decarbonization of Iron and steelmaking process by reducing fuel consumption and improving fuel efficiency.  

This project will help lower GHG emissions by reducing the amount of heavy fuel oil that is consumed in the production of iron ore pellets and other steel product precursors. It will do this by installing an electric boiler to displace emissions from the usage of a heavy fuel oil boiler, installing monitoring equipment to increase heavy fuel oil consumption efficiency, and install more fuel-efficient burners to reduce heavy fuel oil consumption. Over the lifetime of this project, Iron Ore Company of Canada will see a cumulative reduction of about 2.2 million tonnes of greenhouse gas emissions. 

The Low Carbon Economy Fund invests in projects that reduce carbon pollution and supports a broad range of recipients to put clean technologies in place that are more efficient and innovative. This project is an example of how the Government of Canada is supporting initiatives across Canada to reach its targets, as set out in the 2030 Emissions Reduction Plan.  

Quotes 

“By working with organizations across Canada, such as Iron Ore Company of Canada, we can help the community save money on monthly operating costs and grow the economy, all while fighting climate change. Through the Low Carbon Economy Fund, the Government of Canada is partnering with climate leaders nationwide to cut emissions. I applaud the leadership shown by Iron Ore Company of Canada for helping to keep our air clean and build resilient communities in Newfoundland and Labrador.” 

– MP Yvonne Jones, on behalf of the Honourable Steven Guilbeault, Minister of Environment and Climate Change.

“Rio Tinto IOC has a plan to decarbonize and continue producing some of the lowest carbon-intensity high-grade iron ore products in the world, right here in Canada. This project alone will eliminate approximately 7% of IOC’s greenhouse gas emissions in Labrador West. We look forward to collaborating with the Government of Canada and other partners towards our goal of achieving net zero emissions by 2050.” 

– Mike McCann, President and CEO of IOC. 

Quick facts 

• The Low Carbon Economy Fund is an important part of Canada’s climate action plans, including helping to put Canada on a path to achieving net-zero emissions by 2050. 
• The Low Carbon Economy Challenge is supporting projects across the country that invest in proven, low-carbon technologies to reduce greenhouse gas emissions. 
• The Low Carbon Economy Fund also supports climate action by Indigenous peoples with a new $180 million Indigenous Leadership Fund by investing in clean energy and energy-efficiency projects led by First Nations, Inuit, and Métis communities and organizations. 

Associated links 

• Low Carbon Economy Fund 
• 2030 Emissions Reduction Plan—Canada’s Next Steps for Clean Air and a Strong Economy 
• Budget 2022—A Plan to Grow Our Economy and Make Life More Affordable 

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Contacts 

Megan McGrath   

Assistant to MP Yvonne Jones 

Office of Yvonne Jones, Member of Parliament for Labrador 

613 996-4630  

[email protected] 

Media Relations 
Environment and Climate Change Canada 
819-938-3338 or 1-844-836-7799 (toll-free) 
[email protected] 

Environment and Climate Change Canada’s Twitter page 

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