At the end of yesterday's Pope & Talbot court proceedings, the decision was made to continue with the orderly shut down of the pulp mills while a new search is started for a buyer(s).

Lenders agreed on Wednesday to let it spend enough money to keep workers on the job until Saturday, allowing an orderly shutdown of the mills in Nanaimo and Mackenzie, in British Columbia, and Halsey, Oregon.

Lawyers involved in the hearings said a bid may already be in the works for the Halsey mill. The Mackenzie mill was also expected to be relatively easy to sell, but finding a buyer for Harmac might be more difficult.

Pope & Talbot, which traces its roots to 1849, was forced to seek creditor protection last year after its finances collapsed under the weight of high debt, weak lumber prices and a strong Canadian dollar.

Read more:
Pope & Talbot pulp mills to be idled for now (Reuters)
Court extends creditor protection for Pope and Talbot until Monday (News 1130)