New Brunswick's agriculture minister is offering hope to cattle producers who want their beef processed in the Maritimes.

'With the way it was run … we probably wouldn't even look at it.'— N.B. Agriculture Minister Ron Ouellette

The region's only federally-inspected beef plant, located in Albany, P.E.I., has lost more than $10 million since it opened three years ago, and is still losing $250,000 a month.

As recently as June, those losses were $500,000 a month.

The province of P.E.I. has covered those losses, but says it won't contribute any more until other provinces or the federal government come on board.

"If we weren't interested in keeping it open, we wouldn't be at the table anymore," New Brunswick Agriculture Minister Ron Ouellette told CBC News Monday.

"When we look at the money that they've lost with the way it was run and all that, we probably wouldn't even look at it. We're interested in helping the industry, and that's why we're still there, and we're going to try to find a way to make it viable, to make it sustainable."

Ouellette has been meeting with his counterparts in Nova Scotia and P.E.I., most recently on Friday. No final decisions were made, said Ouellette, but the ministers are encouraged by some changes at the plant since the beginning of the year.

Ouelette says the plant has been improving the markets for its products.
(CBC)

"This plant was built for 500 heads a week, and they were processing I think around 250," said Ouellette. 

"The market is there. They've improved the market for it, too. So that means more revenue, so it means a better chance for this plant to be viable."

Ouellette said the ministers have asked the accounting firm PricewaterhouseCoopers to finalize a business plan on the future of the plant. They expect to see that plan in a few weeks, and there should be a final decision on the plant a few weeks after that.

Each province is being asked to contribute about $2 million to keep the plant open. They're also looking to Ottawa for help.

P.E.I. prepares to write off loans

While New Brunswick talked of hope, P.E.I. prepared to write off part of what it lent to the plant.

Wes Sheridan isn't ready to call the loans a write off.
(CBC)

The provincial government added $12 million in liabilities to its balance sheet in the expectation it that it may not see that money again. Provincial Treasurer Wes Sheridan wouldn't call it a write-off. He said every so often government takes a look at its most risky investments, and then sets aside money just in case a company can't pay it back.

"Make sure that it's there in case any of these risky loans may not be paid off, and therefore they have to set that money aside," said Sheridan.

"It comes directly off the bottom line. If and when this money is received from the beef plant it will be put back toward the bottom line."

Sheridan said this $12 million is just half of the total Island taxpayers have now pumped into the plant.