Repap backs away from local mill


Rainy River Packaging, formerly known as Repap Resources, is no longer interested in purchasing the Fort Frances mill.

The company has been interested in the mill property since December of last year but its investors have backed away due to the restrictive covenants that Resolute Forest Products attached to its sale to Riversedge Developments in July.

Although, Rainy River Packaging would still like to be kept up to date on news surrounding the mill incase anything changes, Mayor Caul said.

“They would still be interested, they really believe this mill can be up and running again,” she noted.

Mayor Caul sent a letter to Resolute yesterday morning asking for clarification on what the mill property can be used for in lieu of the restrictive covenants.

“We’ve had a letter from Justus Veldman at the numbered company and he said what there was but we thought we should get it from the horses mouth,” she said.

Another company that is local has expressed interest in using part of the mill and is in need of wood fibre to realize its operation.

Mayor Caul sent out letters yesterday to ministers Greg Rickford and John Yakabuski and premier Doug Ford in regards to wood rights to see what can be utilized.

Previously, she sent out personal letters to more than 50 companies outlining the mill situation in hopes of generating interest from potential buyers.

The town currently has an agreement with Riversedge that allows interested companies to tour the mill property and access pertinent information surrounding the facility.

“We’ll see what happens there; we still have our fingers crossed but time will tell,” said Coun. Mike Behan.

“I know that the town and council has done our upmost best to keep this on the front burner . . . to save the mill and all the jobs that are related to it.”