Mr. CARDIN:

The company has undertaken to export from that locality a certain quantity of material. It is noticeable that the annual shipments of gypsum will increase from 80,000 tons to approximately 500,000 tons. During the 1938 shipping season the. National Gypsum Company shipped over 81,000 tons of gypsum rock, and the company itself has expended over $58,000 on the maintenance and operation of that place. The reason for the increase in the vote is that they propose to use larger boats to ship their material. The matter is vague in my mind, but my recollection is that this company has given a guarantee to the government by way of bond that they will ship a certain amount of material, and if not, they will pay half of the expense of that development.

Mr. STEWART:

Yes. I recall there was an agreement of that kind, and I assume that the company have carried out the provisions.

Mr. CARDIN:

Oh, yes, they have carried them out. They promised to ship 80,000 tons and they have shipped 81,000 tons.

Mr. STEWART:

The work which was

performed some years ago was thought to be ample for their requirements. Do I now understand that they wish to use boats of deeper draught?

Mr. CARDIN:

Yes.

Mr. STEWART:

And therefore they

require a deepening of what in the first instance was supposed to be a channel sufficient for their purposes?

Mr. CARDIN:

Yes.

Mr. STEWART:

Has there been any

change in the original agreement with .respect to their obligations as to the quantity to be exported?

Mr. CARDIN:

They have agreed-

Mr. STEWART:

I am not speaking of the first agreement. I think I recall pretty well what that was. But there was a large expenditure made in the first instance to give them a certain draught, and in consideration of that they were to export annually a certain quantity. They are now asking for a greater depth and a further expenditure of money. Are they increasing their export over the amount specified in the first agreement? 71492-304

Mr. CARDIN:

Oh, yes, they propose to increase it from 80,000 tons to 500,000 tons. That is why they require better facilities and a deeper channel.

Mr. STEWART:

Just to complete the item, I want some information in connection with Charlottetown:

Repairs and improvements to railway wharf (estimated cost $359,000), $150,000.

What are these repairs? They are very expensive.

Mr. CARDIN:

This, of course, is in Prince Edward Island, and in the next item.

Mr. CARDIN:

This Charlottetown item is for the repairs and improvements of the old railway' wharf there, which is in a dilapidated condition and cannot be used at all. I must say that a much larger proposal was made to the department, for the construction of a wharf in Charlottetown, but the improvement and reconstruction of the railway wharf will meet the situation, and it will allow ocean vessels to come to Charlottetown. At present there is no place where they can come.

Mr. HARTIGAN:

The hon. member for Leeds went from item 540 to item 541, and the chairman did not call the number.

The CHAIRMAN (Sir Eugene Fiset):

I did call item 541.

Mr. HARTIGAN:

I know, but it was after the hon. member for Leeds shifted to the Charlottetown appropriation.

Mr. CARDIN:

That is all right.

Mr. HARTIGAN:

I wanted to say something for a moment on item 540.