Domtar subsidiary Northern Pulp decides against investment in new pulp mill

The project with an investment volume of several billion can$ is not financially feasible. In accordance with a settlement agreement with the Nova Scotia government, Northern Pulp will now initiate the sale of its assets, including almost 200,000 hectares of forest, under court supervision.

Northern Pulp reports that the decision against the new mill follows the outcome of a “comprehensive feasibility study”. The feasibility study for a new pulp mill in Liverpool was carried out by consultants Afry. The original concept envisaged a conventional pulp mill with a production capacity of around 600,000 tons per year, exclusively northern bleached long-fibre sulphate pulp (NBSK).