New questions raised about future of Terrace Bay pulp mill

By Gary Rinne
Northern Ontario Business
December 10, 2025
Category: Business & Politics
Region: Canada, Canada East

TERRACE BAY, Ontario — New concerns are being raised about the future of the idled pulp mill at Terrace Bay. A source with the Steelworkers union has told Dougall Media he understands the company is keeping the mill unheated this winter for budget reasons. Thunder Bay-Superior North MPP Lise Vaugeois said she’s heard the same thing from Terrace Bay Mayor Paul Malashewski. There’s no confirmation so far from AV Terrace Bay, but Vaugeois raised the issue in the legislature. “If the mill is not being heated, it’s game over, and this important piece of forestry infrastructure becomes worthless,” she said. …Mike Harris, the minister of natural resources said, “We’re currently evaluating all options when it comes to AV Terrace Bay,” he replied. “We’re going to continue to work with stakeholders and make sure that we do the right thing by Northern Ontario.” …The company suspended production in January 2024.

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