Toronto-based public prodco Fireworks Entertainment and privately held New Brunswick management company MEG Entertainment have entered into a joint-venture agreement to set up a production company in Fredericton, n.b.

Live Productions nb will shoot $10 million worth of projects this year, including a tv series and two low-budget commercial movies set for this summer, says John Hamilton, senior vp of meg. Until deals are finalized on the shows, details are not being disclosed.

Under the terms of the agreement, Fireworks and meg each hold a 50% equity stake in the new prodco.

The Fredericton operation will include post-production facilities and an effects lab budgeted at over $1 million. Construction of a soundstage is also in the early planning stages.

Hamilton says the decision to locate the company in New Brunswick was based not only on the 40% labor-based tax credit, but also on the province’s high-tech development.

‘New Brunswick [has] the only broadband wired system in Canada, so from a post-production and special effects standpoint it is a great place to build a business.’

Hamilton says the joint venture is part of a larger plan for meg, Fireworks and ‘another large production company’ to develop other areas of the film industry in New Brunswick.

The Greater Fredericton Economic Development Corporation anticipates the venture will have economic spin-offs of over $30 million for the province.