REGINA – Domtar Corp. has a deal to sell its assets in Prince Albert, Sask., to Paper Excellence Canada Holdings Corp.
The Prince Albert mill was permanently closed nearly five years ago and its paper machine was dismantled in 2008.
Paper Excellence will invest $200 million to convert the mill to produce pulp at an operation that’s expected to employ 200 people.
The provincial government will indirectly support the transaction in several ways, including by allocating softwood pulp fibre to the mill.
A provincially owned power utility will also buy surplus energy to be produced at the restarted mill.
Saskatchewan will also ensure new pension plan agreements are put in place to respect the obligations to previous employees and the province will provide about $1 million over two years for training of new mill operators.