Mining Minister Robert Montague has announced that government has signed a novation agreement with new day, the company that bought Noranda’s stake in the bauxite company based in St. Ann.

The New Day had some challenges in the past, especially with payment of monies owed to workers by former owners, Noranda.

Speaking in parliament this afternoon (Sep 18), Mr. Montague revealed that following government intervention and lobbying,  over 300 jobs were saved and monies owed are being paid.

The minister said several factors caused a delay in the signing of the novation agreement.

The agreement was signed on September 6.

Meantime, Mr. Montague told parliament today that government has entered into a profit sharing arrangement with bauxite company, New Day.

Montague said the arrangement will allow both parties to benefit from any financial recovery in the performance of the mining and refining operations of the entity.

He said the arrangement will earn Jamaica more than the traditional levy system.

Mr. Montague said at the recent signing of the novation agreement, new day paid government a significant portion of the US $17 m owed.