Bowater Mersey's newsprint and commercial printing papers mill in Brooklyn, Nova Scotia, extends shutdown by one week until Jan. 16, citing low pricing in Asia and Latin America affecting global markets

LOS ANGELES , January 9, 2012 () –

Bowater Mersey Paper Co. Ltd.’s newsprint and commercial printing papers mill in Brooklyn, Nova Scotia, will be down an additional seven days beyond the original restart date, according to a company announcement, reported The Advance on Jan. 9.

The mill will not restart until Jan. 16, employees were told on Jan. 5. It originally was due to come back onstream on Jan. 9.

The primary reason given for the extended production outage was soft pricing in Asia and Latin America, plus a weak market in Europe due to the euro being devalued by 18% or 19% since last fall, said Brad Pelley, manager at the mill.

With Europe being an unattractive marketplace, papermakers that typically sell there are looking to other markets and creating a glut of paper, which will be additionally eased by delaying Bowater Mersey’s restart, said Pelley.

The mill is fully expected to come back online on Jan. 19, he said. It has an annual capacity of 258,000 tonnes, according to parent company Resolute Forest Products Inc.'s website.

On Friday, Nova Scotia Premier Darrell Dexter announced the purchase of the Bowater land, reported The Advance.

The primary source of this article is The Advance, Liverpool, Nova Scotia, on Jan. 9, 2012.

 

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