Major upgrades at Domtar's Pennsylvania facilities to secure over 400 jobs

SEATTLE (Scrap Monster): Domtar Corporation- the largest integrated producer of uncoated freesheet paper in North America, will make significant investment at its Pennsylvania facilities. The announcement was made by Gov. Tom Wolf. According to him, the planned infrastructure and equipment upgrades at the company’s Johnsonburg, Elk County, and DuBois, Clearfield County will keep hold of over 400 jobs.

According to Wolf, the company’s decision to maintain and upgrade its Pennsylvania operations is the right step aimed at future growth. Welcoming the decision, he stated that the decision by the company will preserve hundreds of jobs for years to come. Through this decision, Domtar has renewed its commitment to both its employees and the Elk and Clearfield county communities, Wolf added.

Domtar Corp plans to make total investment of $25.3 million for upgrading infrastructure at both the facilities. The upgrades at the company’s paper mill at 100 Center St., Johnsonburg Borough, Elk County includes conversion of energy supply from coal to natural gas in partnership with Hunt Marcellus. The company noted that the proposed conversion will help save energy costs and lead to significant water savings. Other plans include upgrading of boilers, turn up devices, causticizers, liquor retention tank, and threading equipment. As part of upgrades to its facility at 377 Satterlee Rd., Sandy Township, Clearfield County, new folio palletizer controls, shrink-wrapped ream packaging and rewinder shipping dock levelers will be incorporated.

Thomas Howard, vice president of government relations at Domtar stated that the company is pleased with the support it has received from Governor Wolf and his administration. The employees at both facilities will benefit greatly from this support, he added. Howard also assured that the company will continue its long tradition of manufacturing excellence in the region. In addition, he confirmed that the new investment will result in retention of 483 full-time employees over the next three years.

Domtar has already received a funding proposal from the Department of Community and Economic Development. In addition, the Commonwealth Financing Authority has sanctioned a $1 million state grant towards installation of a three-mile pipeline to its Johnsonburg, Elk County facility. The new pipeline will support the company’s plans to convert two existing coal-fired boilers to natural gas. The conversion plan is expected to result in massive savings of $12 million over the next three years. Furthermore, it will generate better efficiency at the facility.

About Domtar Corporation

Domtar Corporation is the largest integrated producer of uncoated freesheet paper in North America and the second largest in the world based on production capacity, and is also a manufacturer of papergrade pulp. Domtar is a leading provider of a wide variety of fiber-based products including communication, specialty and packaging papers and market pulp. The company is also a marketer and producer of a broad line of absorbent hygiene products.

With approximately 9,850 employees serving more than 50 countries around the world, Domtar is driven by a commitment to turn sustainable wood fiber into useful products that people rely on every day. Domtar’s annual sales are approximately $5.3 billion.