The federal government is helping Kap Paper with a major engineering study to look at creating a medium density fiberboard facility. Industry Minister Melanie Joly announced $7.5 million from the Strategic Response Fund on the weekend.
Kapuskasing Mayor Dave Plourde says it’s great news to help the company pivot in a different direction.
“Leading into the announcement by Green First and the $50 million investment in its sawmill operations in Cochrane, Hearst, Kap and Chapleau really lends well to securing fibre for the mills for years going forward, and allows people to work at the facility and be home at night,” he said.
Plourde says the lobbying efforts of northern municipalities have made a difference with the company.
“I think we have come along way and here we are today and I think it is through the cooperation of everybody involved,” he said. “I believe that we are going to see something really unique for the future and I am really looking forward to it.”
