Staff
Fort Frances Mayor Roy Avis has asked Natural Resources and Forestry minister Bill Mauro to put Resolute Forest Products’ local wood supply on hold until the future of the company’s shuttered mill here is determined.
In a letter to Mauro last week, the mayor said while he understands the asset is owned by Resolute, he thinks the minister is in a unique position to influence decisions by the company.
“Now is the time for you to inform Resolute that the wood supply from the Crossroute and Sapawe forests should not be built into their wood supply plans,” Mayor Avis wrote.
“This wood should be held by the minister until the fate of the Fort Frances pulp mill is determined,” he stressed.
“I believe that Resolute wishes to have the Fort Frances pulp mill torn down and receive the wood supply by default, since they perceive there is no other use for the wood fibre,” the mayor charged.
Mayor Avis said if Resolute realized the wood supply from the Crossroute and Sapawe forests was not theirs to assign, then the company would see the synergies possible between its Atikokan sawmill and the pulp mill here.
In outlining three conditions the mayor thinks must be met to attract a purchaser for Resolute’s shuttered mill here, he said a Crown wood supply must be made available directly by the minister of Natural Resources and Forestry to the new owner of the mill immediately upon its purchase.
The source of this wood supply should approximate the historic wood commitment to the Fort Frances pulp mill.
“To be clear, historically the spruce, pine, and fir wood supply from the Crossroute Forest has been directed through the existing SFL to the Fort Frances pulp mill,” Mayor Avis wrote.
“Further, I understand there is a conditional commitment made by the minister for the spruce, pine, and fir wood supply from the Sapawe Forest to Resolute Forest Products for use in the Fort Frances pulp mill,” he noted.
The wood supply for the Fort Frances mill should be controlled directly by the purchaser of the pulp mill, the mayor argued.
“While eventually an eSFL is the preferred mechanism to confirm the wood supply and management control, what is critical now is a minister’s wood supply commitment in the form of a supply agreement to any new owner of the Fort Frances pulp mill,” he stressed.
Mayor Avis said the control and availability of an economically-viable Crown wood supply should not be an impediment to the sale of the mill.
Topping the list of conditions was the need to heat the mill throughout the winter so no damage is caused by freezing, which now is being done after Resolute initially balked at the idea.
“I am pleased to see that you were able to convince Resolute Forest Products to provide sufficient heat to protect the components of the pulp mill that could be damaged by freezing,” Mayor Avis told Mauro.
“While I had doubts about the commitment of Resolute to adequately protect the mill, I am comfortable with your assurances that damage from freezing will be averted,” he added.
Mayor Avis said it would have been a travesty if the opportunity to run this mill in the future was lost because further damage occurred while a new owner was being sought.
“In summary, you have been successful in assuring me that the asset will not be damaged by freezing this winter,” wrote Mayor Avis.
“Will you now confirm that the historic wood commitments to the Fort Frances pulp mill will be made available through a supply agreement to a purchaser of the pulp mill?”
“Are you prepared to inform Resolute that the wood supply from the Crossroute and Sapawe forests are being reserved pending a decision on the Fort Frances pulp mill?” the mayor added.
The mayor concluded his letter by saying he would be pleased to discuss these thoughts at the minister’s convenience.
