Paper Excellence Announced Permanent Shutdown of Mackenzie Pulp Mill

SEATTLE (Scrap Monster): Richmond, B.C.-headquartered Paper Excellence announced permanent closure of its Mackenzie Pulp Mill located in Mackenzie, BC. The mill had curtailed production in June last year, citing market impacts due to Covid-19 pandemic and shortage of local economic fibre.

Paper Excellence had acquired the Mackenzie pulp mill in 2010. Since then, it has invested more than $360 million in the facility. Despite the investments and the committed team of employees, the mill failed to remain globally competitive.

A small team of employees has been retained to provide round-the-clock monitoring of the facility until a remdiation plan is declared.

ALSO READ: Paper Excellence Declares Extension of Curtailments at Crofton, Powell River Mills

The company assured that it will respect all the terms of the collective agreement with UNIFOR Local 1092 and that all severance payments will be made. It has already relocated Mackenzie employees to its other facilities across Canada, wherever possible. Taking care of the affected employees remains topmost priority for the company, said the news release.

Meantime, the company has decided to restart one of the paper machines in its Powell River mill in early May. It also committed to capital investment of $13 million aimed at diversification of the Port Alberni facility. It also plans capital investment in its Crofton facility, in addition to restarting its Prince Albert, Saskatchewan facility.