Madison Paper Industries to Sell its Hydro Power Facilities in Maine
April 18, 2017 - Madison Paper Industries, a partnership of UPM and Northern SC Paper Corp., a subsidiary of The New York Times Company, has signed an agreement on the sale of its hydro power facilities to Eagle Creek Renewable Energy, LLC, a hydroelectric power producer, based in Morristown, New Jersey (USA).
The transaction is still subject to third party approvals. The parties have agreed not to disclose the purchase price.
"Eagle Creek is a well-known and experienced operator of hydroelectric power facilities in North America. The company focuses on CO2-friendly power production and has a long term focused business strategy in this sector. As an integral part of an energy company the hydro power facilities can be operated and developed in an optimal way," says Ruud van den Berg, Senior Vice President, Magazines, Merchants & Office, UPM Paper ENA.
"Eagle Creek is very pleased to broaden our footprint in central Maine. The Madison Paper Industries hydroelectric portfolio represents an excellent opportunity to build out our operations in the region through the acquisition of a well-maintained, high quality set of hydro facilities," says Bud Cherry, CEO of Eagle Creek Renewable Energy.
EDITOR'S NOTE: Madison Paper Industries ceased paper production on May 21, 2016. The mill had the capacity to produce 195,000 tons per year of supercalendered (SC) paper.
In December of 2016, a Joint Venture of New Mill Capital Holdings of New York, Perry Videx of Hainesport, New Jersey and Infinity Asset Solutions of Toronto acquired the mill assets from UPM-Kymmene Inc. and Northern SC Paper Corp. The JV plans to repurpose the property and remarket it for alternative industrial uses.
» See related story: Madison Paper Industries Mill Assets Sold to Investor Group - Dec. 31, 2016