Premiers of N.L. and Quebec talk about future 'collaboration'

The premier's office is confirming that Dwight Ballspoke one-on-one with Quebec's premieron the phone Monday.

A member of Ball's staff says the two premiers' conversation did not happen duringa scheduled first ministers' conference call that also happened Monday.

A note from Quebec Premier Philippe Couillard'soffice also confirms the conversation.

It says they spoke about projects that could be beneficial to both provinces and that the premiers and their teams will speak again in the coming months to better define their collaboration.

Last week, Ball talked about a possible collaboration between Quebec and Newfoundland and Labrador to develop future hydroelectric projects, such as the Gull Island project on the Churchill River in Labrador.

• Dwight Ball open to a deal with Quebec on hydroelectricity
• Quebec looks to 'bury the hatchet' with N.L. on hydro

Ball was not available tocomment Tuesday morning.

Quebec offering to re-open UpperChurchill contract

In an interview with The Canadian Press, Quebec Natural Resources Minister Pierre Arcandsaid his province will consider revisitingthe 1969 Upper Churchill hydroelectric contract if Newfoundland drops all court actions challenging the contract.

The contract, which runs from 1969 to 2041, means Newfoundland and Labrador now makes only $2 per megawatt hour from Upper Churchill power.

• From bad to worse: Churchill contract renewal means even less revenue for N.L.

The deal is notorious in Newfoundland and Labrador, andcrown-owned Nalcor Energy has estimated that Hydro-Quebec has reaped about $25 billion from the agreement, while this province has seen $1.5 billion.

The contract has been challenged in court 17 times, according to Ball, with Newfoundland and Labradorlosingeach time.

This fallNewfoundland and Labrador launched an effort to appeal the latest court decision in the Supreme Court of Canada.

Ball told CBC News earlier this month thathe personally phoned Couillardto tell him that the province is pursuingan appeal in the Supreme Court of Canada.

• Nalcor seeking Supreme Court of Canada appeal after recent Churchill Falls decision