Nova Scotia announces $124.5 million financial package for Port Hawkesbury Paper
Last week the creditors of NewPage Port Hawkesbury voted in favour of the sale arrangement of the mill to Pacific West Commercial Corp.
With that approval, there were just 2 official decisions left before the sale of the mill will be finalized.
The Nova Scotia Utility and Review Board announced today that they have approved the lower power rate for the mill.
That leaves just the decision of the Canada Revenue Agency who must approve the advanced tax rule.
Meanwhile, the Province of Nova Scotia has announced a $124.5 million financial package for the mill, that will be renamed “Port Hawkesbury Paper“.
Provincial funding details:
- $24 million loan to support improved productivity and efficiency to make this the most efficient paper producer in the world
- a $40 million repayable loan for working capital to help the mill become the lowest cost and most competitive producer of super calendar paper
- $1.5 million to train workers to operate the most efficient paper producing machine in the industry
- $1 million to implement a marketing plan to sell the Nova Scotia forestry sector to the world and create customer opportunities
- $20 million purchase of 51,500 acres of land to increase Nova Scotia’s Crown land share
- $3.8 million annually, for 10 years, from the forestry restructuring fund to support sustainable harvesting, forest land management, and fund programs that will allow more woodlot owners and pulpwood suppliers to become more active in the management of their woodlands
- funding for the development of a Mi’kmaq Forestry Strategy and a Mi’kmaq Forestry Co-ordinator
Province Invests in Jobs, Training and Renewing the Forestry Sector (Province of Nova Scotia)
Decision of the Nova Scotia Utility and Review Board
- Richmond County is trying to stop Port Hawkesbury Paper from paying less taxes
- Canada Revenue Agency rejects Pacific West Commercial Corp's tax deal
- No special power deal being offered to Pacific West Commercial Corp.
- Deal is dead. Pacific West Commercial Corp. will not be taking over NewPage Port Hawkesbury
- Nova Scotia Premier announces new deal to reopen Port Hawkesbury paper mill
- Let's look more at the $1 billion tax loss that is involved in the Port Hawkesbury Paper deal
- Another blow against Pacific West Commercial Corp.
- Statement from Ron Stern regarding Port Hawkesbury paper mill