The Old Town pulp mill in Maine, which reopened in 2019, will cease operations in mid-April indefinitely.
ND Paper, a company of China’s Nine Dragons Paper Ltd, is taking an extended break at the mill, company spokesman Jay Capron said recently. The reasons behind this decision are rising fiber costs, high energy costs and unfavorable market conditions.
The mill produces unbleached softwood kraft pulp and recycled market pulp, made from old corrugated cardboard. The products are used for making inserts, magazines, brochures, books and corrugated cardboard boxes.
The company has invested more than $200 million in the plant to create well-paying, permanent jobs. ND Paper’s decision will deprive nearly 200 people of their jobs. The plant, located on the edge of the town of Old Town, had been closed by its previous owner in 2015 before reopening under the ND Paper banner in 2019.
For now, the plant is closed for a period varying from 60 to 90 days. Some employees have been offered positions at the Rumford plant as well as other sites.
ND Paper will also significantly reduce its production of market pulp at the Fairmont, West Virginia mill, once more due to difficult market conditions.
Jaclin OuelletJournalist, The Master Papermaker
