McInnis Cement CEO resigns amid $450M in overruns

The head of a Quebec cement companyhasstepped down amid financial difficulties involving a province-backedproject in the province'sGasp region.

Christian Gagon's departure, announced Tuesday,comes after it was revealed McInnis Cement's$1.1-billion Port-Daniel-Gasconsprojectwas $450 million overbudget.

The project has received$450 million in public funds, including $100 million from both the province's investment arm and theCaissede dpt et placement du Qubec.

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After the disclosure of the additional costs in June, Quebec Economy MinisterDominique Angladesaid in a Radio-Canada interviewthe company needed to "review its management."

McInnis Cement declined to provide the specific reasons behind Gagnon's resignation, but said in a newsrelease that recruitment was already underway to find a replacement.

The company said ithas made a series of changes to "strengthen project management and finish construction" on the cement plant.

Ronald Bougie, anexecutive vice-president at McInnis, will take the reins of the company until Gagnon's successor is named.