Northern Pulp has announced it will initiate a court-supervised sales process of its assets after it confirmed it wasn’t able to secure funding for a new mill project. In a news release Monday night, the insolvent company said the decision follows completion of a comprehensive feasibility study that concluded Northern Pulp could not achieve the 14 per cent internal rate of return required in a settlement agreement with the province to develop a bleached softwood kraft pulp mill and bioproducts hub near Liverpool, N.S. “Northern Pulp is thankful for the support and collaboration of the Province of Nova Scotia and local stakeholders throughout the feasibility study,” the company said in the release. Nova Scotia’s minister of natural resources said Northern Pulp’s announcement was “not the outcome we had hoped for.”
Related content:
- CTV News – Northern Pulp to sell off assets five years after N.S. mill closed
- Natural Resources Nova Scotia – Minister’s Statement Northern Pulp Announcement
- The Chronicle Herald – Northern Pulp scuttles plans for new pulp mill