Kruger Declares Production Halt at Brompton Paper Mill
Kruger noted that production of newsprint and specialty papers from the mill will be curtailed for time being.
SEATTLE (Scrap Monster): Kruger announced that it has decided to take downtime at its Brompton newsprint and specialty paper mill. The decision is likely to affect approximately 272 jobs.
Announcing the decision, the company noted that the newsprint market has been on a steady decline in the past few months. With the unprecedented spread of COVID-19, the market conditions have become extremely challenging. Considering the present situation, the company has decided to temporarily shut down the mill. Accordingly, the production at the mill will be halted for an indefinite period, said company press release.
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Earlier last week, Kruger had informed that operations at all mills, including Brompton paper mill, would continue uninterrupted, in line with the government directive to maintain all operations deemed as “essential”. However, the rapid deterioration of market conditions following escalating coronavirus spread is feared to have significant implications on the mill’s financial performance, thus forcing a shut down.
Kruger noted that production of newsprint and specialty papers from the mill will be curtailed for time being. Also, the facility’s biomass cogeneration plant will also remain shut until further notice.
Meantime, the company stated that newsprint production at its Trois-Rivière and Corner Brooke Pulp and Paper mills has not been affected.
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