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Port aux Basques is located at the extreme southwestern tip of the island of Newfoundland on the eastern end of the Cabot Strait. A Marine Atlantic ferry terminal is located in the town and is the primary entry point onto the island of Newfoundland and the western terminus of the Trans-Canada Highway in the province. The town was incorporated in 1945.

Port aux Basques was a favoured shelter and watering place for Basque whalers from the Basque region of the Pyrenees of France and Spain during the early 1500s.

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