Liverpool could be site of new Northern Pulp mill

An undated aerial photo of the former Bowater Mersey plant in Brooklyn. (Queens County Historical Society Photo Collection, housed at the Queens County Museum)

The pulp and paper industry may be making a comeback in Queens County.

Nova Scotia Premier Tim Houston announced on Thursday that Paper Excellence, which owns Northern Pulp in Pictou County, will be launching a feasibility study into whether it can open a mill in Liverpool.

He was speaking at a news conference in Halifax. His opening remarks were broadcast to a crowd of local politicians, chamber of commerce members and forestry sector workers at the Astor Theatre in Liverpool.

SEE ALSO: Reaction mixed to news of possible new paper mill in Liverpool

The possible new mill in Liverpool is part of a settlement agreement to resolve the company’s $450-million lawsuit against the province.

“The Pictou mill is not reopening,” Houston said. “The province has agreed to support Paper Excellence in the idea of building a new kraft pulp mill in Queens County, in the areas around the former Bowater mill.

“With the support of the region’s forestry sector, the company believes that Liverpool could again support a new mill, and I agree.”

Houston said the company will likely launch the feasibility study in the next few weeks. It is expected to take up to nine months.

“Let’s keep in mind a new mill is not a guarantee. If the company decides not to proceed with the new mill, Nova Scotia’s interests are still accounted for and protected. But if there’s a business case and the company brings forward a project, it could mean an investment of more than $1.4 billion in our economy.”

Bowater, which operated in Brooklyn from 1929 to 2012, employed hundreds of people in Queens County. It was founded as the Mersey Paper Company Limited by industrialist Izaak Walton Killam.

When it closed, it threw 320 people out of work. It also affected people in other industries.

Many of the employees retired or left for jobs in western Canada or elsewhere. The region fell into an economic funk. And it took years for the local economy to begin to recover.

Houston said a new mill would be good news for Queens County and for the province’s 35,000 woodlot owners.

“We are building a stronger economy for Nova Scotians, and a new mill has enormous economic potential. It could kickstart a new chapter for communities along the South Shore and the province’s economy overall.”

Northern Pulp closed its mill at Abercrombie Point, Pictou County, in 2020, after the Nova Scotia government under Stephen McNeil refused its application for a new effluent treatment facility. It had been pumping effluent into nearby Boat Harbour, sparking protests from the Pictou Landing First Nation.

Houston said Thursday that any new mill in Queens County will have to meet modern standards.

“Let me assure you that any project that comes forward will need to meet today’s standards, and will undergo environmental assessments, significant public engagmeent and indigenous consultation. We will also hold the company to a high standard for the Pictou mill site.”

Many of the people at the Astor for the announcement Thursday would not comment afterward. Queens MLA and Public Works Minister Kim Masland declined to comment. She said all media inquiries were being handled by the premier’s office. 

The forestry workers in attendance did not want to be interviewed, but were happy with the announcement and said that the “industry’s needed some good news”.

Mayor Darlene Norman said she was limited in what she could say publicly. 

“For those who understand the forestry sector, this is a wonderful opportunity for Queens.”

The possibility of a new pulp and paper mill in Queens County came to light this week when CBC reporter Michael Gorman reported on Wednesday that an announcement was imminent.

Kerry Morash worked at Bowater for 19 years and was also the Queens MLA for the Progressive Conservatives from 1999 to 2006. He welcomed the news that the industry might return to the area.

“I think it’s a big opportunity for the community and western Nova Scotia,” he said in an intervew. “And especially when you look at the storm damage that we have and we have a lot of wood laying down in the forest from Pictou to Yarmouth and that’s getting drier and getting ready to catch on fire. If we can clean up the forest and produce a product and make some employment, envrionmentally friendly and sustainbably, it’s all good news.”

Ashley Christian, president of the South Queens Chamber of Commerce, said she wants to make sure a mill is safe and sustainable.

“As long as all environmental regulations are being met and taken really seriously, I think that we in Queens County would welcome industry, we welcome jobs and what that would provide for our community.”

As part of the settlement agreement with the province, Paper Excellence has to top up Northern Pulp pension plans by $30 million to protect the former employees’ pensions. It also has to pay $50 million of its own court costs. 

If the company’s study finds a new mill in Queens County is viable, it will pay the province $15 million to settle its $99 million debt. If it finds a new mill isn’t possible, it would pay the province $30 million and pay $15 million toward the cleanup of the Northern Pulp site.

If the company goes ahead with a new mill, it would seek financing and work with the province and others to get it going.

Email: rickconradqccr@gmail.com

Listen to the audio version of this story below