No Promises, But Union Boss Feels Optimistic About Eurocan's Future
By 250 News
Friday, January 22, 2010 04:00 AM
Kitimat, B.C.- The head of the CEP Union Local 298 in Kitimat, says she is feeling more optimistic today than she was two weeks ago about a new future for the Eurocan mill in that community.
Mary Murphy says the briefing with one of the consultants from Poyry, the company conducting a feasibility study on the future options for the mill, provided some mixed news “We were told there is an issue with securing a fibre supply, but we are hopeful something can be worked out in that area.” The possible options being examined for the mill include biofuel or perhaps operating with one paper machine which offers cost reductions. Murphy says no matter what the option may be, one thing is certain, “It has to be cost effective if we are to move forward.” That move forward would see the union membership buying the facility and operating it themselves, much like the Harmac mill workers did in Nanaimo.
Murphy says it will all depend on the analysis that Poyry will develop “They will crunch the numbers and see if it is feasible, but it will depend on a cost effective fibre supply.”
The feasibility study is into the second week of a review which is expected to take 8 to 10 weeks to complete.
Time is a factor, and the workers are running out of that commodity. “We started the slow production today, and crews are starting to recover the black liquor so the reality is starting to set in. We have told our membership to take other jobs if they can, to look after their families first, but a lot of people don’t want to leave this community.”
Murphy says she was also encouraged to hear West Fraser has decided to keep the fixed assets in place until April 1st, and the mobile equipment will be stored until that date. “At least the assets won’t be moved off site” says Murphy who adds they are trying to reach an agreement with West Fraser to keep the mill warm until a decision can be made following the delivery of the Poyry report.
Murphy says if the mill can be spared, it will not have 600 plus employees as it did prior to the announcement of the closure, she says a new configuration would likely see a maximum of 200 people employed. West Fraser announced late last year that it would close the mill because it was not profitable. It is expected the shutdown will be complete by the end of February.
Murphy says the feasibility study isn’t about proving West Fraser wrong about the future of the mill, “This is all about saving this community.”
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