A group in Thunder Bay, Ontario tried to reopen the Cascades mill earlier this year but their plans faltered when their major funder backed out.

Yesterday they re-announced their desire to reopen the mill and they have new funding to purchase the mill from Cascades.

The money is coming from the Forest Sector Prosperity Fund. The funding packing includes a $1.5 million grant and a conditional loan guarantee of $12.7 million.

With their funding, the Thunder Bay Fine Papers will re-start the old Cascades mill to produce high-end coated printing paper. 340 jobs will be created within the mill, and several hundred additional jobs will be created outside the mill in harvesting, transportation and service industries.

The reaction to the news is mixed, with many people saying they'll believe it when they see it. If Cascades agrees to the sale, there will be many repairs necessary before the mill is reopened. The Fine Papers Group has already allocated $1 million for known damage at the operation.

Sources:
Mixed reviews to Cascades news (Thunder Bay Source)
Funding to Re-Open Thunder Bay Mill (CKDR Dryden)