Richmond-based Catalyst Paper (TSX:CTL) has announced an agreement to sell its Elk Falls site in Campbell River to Pacifica Deep Sea Terminals Inc. for $8.6 million.
According to Catalyst, the Elk Falls pulp and paper mill began operation in 1952 and at its peak produced 784,000 tonnes of pulp, paper and kraft paper annually. The former pulp and paper site has been closed permanently since 2010, with equipment decommissioned and demolition completed to prepare the site for sale.
According to Catalyst, the sale for the 400-acre industrial site and adjacent properties is expected to close September 5.
Pacifica owner and director Harold Jahn welcomed the deal.
“The site is strategically located to serve a variety of marine, light manufacturing, clean energy and distribution uses,” he said in a news release.
“We intend to transform it into a dynamic industrial park and port facility with the goal of creating 400 full-time jobs in the Campbell River region over the next three years.”
Catalyst is being restructured so it can be sold.
Earlier this month the company announced its second-quarter results and stated that the company is poised for “an orderly exit” in the third quarter.
See next week’s issue of Business in Vancouver for buyers’ plans for the Skeena pulp mill in Prince Rupert.
