Unifor Says Paper Excellence Set to Buy Tembec's Chetwynd Pulp Mill

Tembec's Chetwynd high-yield pulp mill in British Columbia has an annual production capacity of 240,000 tonnes.

Feb. 19, 2014 - Unifor Local 448 on Feb. 8 reported that Paper Excellence has worked out a deal with Tembec to buy Tembec's Chetwynd high yield pulp mill in British Columbia, Canada.

In addition, Tembec confirmed to news service provider EUWID that it "had a conditional sale agreement with Paper Excellence to sell the Chetwynd pulp mill and that the deal was subject to a due diligence review."

The Chetwynd mill has an annual capacity of 240,000 tpy of hardwood BCTMP (bleached chemi-thermomechanical pulp).

According to Unifor, Paper Excellence plans to restart production at the mill once the sale is completed.

We're proud to have been a part of the negotiations to get people back to work," said Scott Doherty, Unifor Western Director. "Resource industry jobs are good jobs."

The sale of the Tembec mill to Paper Excellence Canada Holding Corporation (PE) is expected to be complete in the spring of 2014, Unifor said.

Following the sale the mill will start up again, creating 110 good jobs in the community, Unifor added.

Unifor noted that it was able to negotiate a new collective agreement with Paper Excellence that approximates the industry pattern for wages and benefits.

Unifor was founded Labour Day weekend 2013 when the Canadian Auto Workers and the Communications, Energy and Paperworkers unions merged. With more than 300,000 members, Unifor is Canada's largest union in the private sector.

SOURCE Unifor