Canfor Pulp Waiting for Word on Hydro Project
By 250 News
Wednesday, October 29, 2008 04:17 AM
Prince George, B.C.- Canfor Pulp Limited Partnership could know within two weeks if it will be selling power to the B.C. Hydro grid.
President and CEO Paul Richards says the bio mass project is in the second phase, however, there is a cost issue. “The location of hog fuel is having an impact on the production cost. If the fuel is on site, or close by, the project is viable, however, it is too expensive to gather the fuel.”
Richards says negotiations continue with B.C. Hydro and a decision could be delivered by mid November if not sooner.
Meantime, while markets for pulp are soft, and the Partnership says it has an oversupply, the Partnership is looking to spot sales of power to help offset costs in the fourth quarter.
As Opinion250 reported yesterday, the Partnership has also announced there will be production curtailments at all three pulp mills in Prince George to take at least another 30,000 tonnes of pulp and 10,000 tonnes of kraft paper off the market to meet the reduced demand.
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