Thank you, Mr. Speaker. I have two returns to oral questions today. One asked by Mr. Antoine on March 9, 1995 with respect to federal royalties to the NWT from mining activities.

Royalties from the mines vary widely depending on the profit of the mine. The maximum royalty rate is 12 per cent of the value of production, after certain costs are deducted. This is the lowest rate in Canada.

In the NWT, royalties received by the federal government from mines have ranged from $71,000 in 1986-87 to about $3 million in 1989-90, with an average payment of about $8 million a year over the last five years, for which figures are available. The federal government also charges staking fees which amounted

to about $4.5 million in 1993-94. The GNWT does not receive any of these revenues.

If NWT Mines were charged royalties that apply in other parts of Canada, the revenues collected would have been much higher. As a result of the last federal budget, the federal government has begun a process of updating its mineral revenue regime for the NWT to bring it in line with other jurisdictions.