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Catalyst to Restart Second Pulp Line at Crofton Mill

March 30, 2010 - Catalyst Paper said that it will restart the second line of pulp production at its Crofton NBSK kraft mill in British Columbia, Canada in early May.

Since the beginning of 2010, the global pulp market has experienced growing demand, low inventories and escalating prices, all of which prompted Catalyst's decision to restart the pulp line.

"We have adequate fiber supply and sales to support the additional volume which allows us to take advantage of the current uptick in pricing," said Richard Garneau, Catalyst's president and chief executive. "We'll run as long as the economics are positive and will be keeping a very close watch on the order file and inventory levels."

The Crofton mill's first line of pulp production was restarted in October 2009 following a seven-month curtailment of the entire kraft mill due to weak pulp demand and pricing.

Restart of Crofton's second line of production will add 165,000 tonnes of pulp capacity on an annualized basis.

All Crofton pulp mill employees who are currently on layoff will be recalled, Catalyst said.

SOURCE: Catalyst Paper




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