Tembec, Canada's Ministry of Environment and anonymous parties possibly reach agreement over accountability of idled pulp mill in Marathon, Ontario

LOS ANGELES , September 21, 2011 () – Tembec Inc., Canada’s Ministry of Environment and other anonymous parties have potentially reached an agreement regarding accountability of the idled pulp mill in Marathon, Ontario, the Chronicle Journal reported on Sept. 20.

The settlement could end the two-year dispute over which entity is responsible for the former pulp mill, which went bankrupt in 2009. The ministry determined that Tembec was responsible and had to clean up diluted black liquor spills in the winter of 2009-2010 that leaked en route to another treatment plant.

Tembec maintained that it was not responsible for the site, which has been controlled and monitored by the company for the past two years due to an order from the ministry director.

The ministry said the possible settlement may be endorsed by Ontario’s Environmental Review Tribunal on Oct. 6.

Details of the agreement have yet to be released.

An approved agreement could bring Toronto-based Protocol Biomass Corp. closer to the purchase and conversion of the pulp mill into a black wood chips fuel plant, the Chronicle Journal reported.

The potential buyer’s plan is also based on whether it could secure a local supply of Crown wood.

The primary source of this article is the Chronicle Journal, Thunder Bay, Ontario, on Sept. 20, 2011.

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