What's New

Subsidiary Companies / Wholly Owned / Halutik Enterprises

Fuel operations

The last year has been the busiest and most interesting in Halutik's history. As part of its regular operations, Halutik continued to act as exclusive agents for Shell Canada in Kuujjuaq. This division continues to operate smoothly and with very little risk. Volumes of fuel continue to increase every year as Kuujjuaq continues to expand. The Company invested over $100,000 during the winter of 2000 in renovating the interior and exterior of the service center. The result met with many compliments from customers and employees alike. Fuel operations continue to provide stable employment, with excellent salaries and benefits, to a core of 9 employees.

Garage Operations

Halutik finished its first full year of operating a garage open to the public after a hiatus of three years. This move became necessary because of the explosive growth that occurred in the construction, equipment rental and crushed gravel operations. The resulting fleet of heavy equipment necessitated keeping mechanics on staff full-time and it was decided to provide services to the public in order to keep staff busy during slow periods. These operations are unprofitable by themselves, but if the benefit of having an internal team of mechanics is considered, the result is positive.

Equipment Rental

Halutik now owns the largest fleet of heavy equipment in Kuujjuaq. During the summer months, all pieces are fully utilized in Halutik's operations as well as rented out to the numerous projects in town. These outside rentals more than cover the cost of our equipment. Halutik is now Kuujjuaq's largest snow removal contractor which enables the loaders to be kept busy all winter. As well, this provides much needed revenues and employment opportunities during what has been traditionally a quiet time of year.

Rock Crushing

By the end of 2000, the contract to provide crushed stone to Public Works Canada for the reconstruction of Kuujjuaq's two runways was nearly complete. The final work will be completed during the first two weeks of the 2001 construction season. The benefits derived from this contract included the acquisition of new loaders, excavators and dump trucks which will continue to benefit the company for many years to come. As well, salaries and benefits of $1,300,000 were paid over two years, most of which was kept in the local economy. Sub-contracts awarded locally were worth over $1,000,000. Once the project is completed, benefits will continue to accrue because there is now over 20,000 metric tonnes of gravel in inventory that was a by-product of the stringent specifications demanded of Public Works.

Construction

The summer of 2000 marked the completion of the first phase of a two-year contract to re-build Kuujjuaq's main runway as well as the apron and taxiway. The project is now 35% complete and finished for the winter. The client, Transport Canada, approved all the work that was undertaken.

This spring, Halutik will meet with its partners to analyze review last year's activities, identify any deficiencies, and get ready to finish the contract next year. This past season presented some significant challenges to the business but there is ample confidence that the construction activity next summer will proceed smoothly.

Last summer Halutik also won a $900,000 contract to provide all the infrastructure work for the construction of a new radar site a few kilometers north of Kuujjuaq. This project, for Raytheon Systems Ltd., was completed last fall, on time and within budget.

Outlook

The last year was one of massive investment - in dollars and experience. As a result, Halutik broke even financially, but there is growing confidence that the investment will pay off for many years to come. Staff are also proud that the company, Inuit-owned and based as it is in Kuujjuaq, has been able to be a leader in projects that only a few years ago might have gone to companies from the south, taking the benefits with them.