Canfor Pulp Products Inc. (on Feb. 7) announced that it has entered into an asset purchase agreement to sell its Taylor pulp mill site for a price of $7 million.
The pulp mill, located in Taylor, British Columbia, Canada, has been idled since the first quarter of 2022 due to ongoing uncertainty with regards to the availability of economically viable fibre in the region and market weakness for its product — Bleached ChemiThermo Mechanical Pulp (BCTMP).
The Taylor pulp mill has the installed capacity to produce 230,000 air-dried metric metric tons per year of BCTMP.
Commenting on the sale, Kevin Edgson, President and CEO of Canfor Pulp, said, "I am very pleased we have reached an agreement to sell our assets in Taylor, British Columbia to a new owner that is committed to repurposing the site and developing a long-term plan which will benefit the community."
The transaction is subject to customary closing conditions, with closing expected to occur during the first quarter of 2024.
Canfor Pulp said further details will be shared upon completion of the sale.
TAPPI
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