Operations & Management
Catalyst Crofton mill’s paper operations indefinitely curtailed
January 25, 2024 By P&PC Staff
Paper Excellence Canada is indefinitely curtailing the paper operations at its Catalyst Crofton facility on Vancouver Island, B.C.
The company shares that substantial increases in operating costs due to market dynamics, inflationary pressures on raw materials, energy cost opportunities and a lack of local domestic fibre supply resulted in this decision. These pressures have materially impacted the current and future financial viability of the paper operation.
This decision affects approximately 75 employees.
“We recognize the difficulty this decision has placed on both our employees and the Cowichan Valley community,” said Blair Dickerson, vice-president of public affairs. “We will work to minimize negative impacts wherever possible.”
The mill’s pulp operations, which support approximately 400 employees, will continue production during the indefinite paper curtailment. Going forward, the Crofton team will focus on making the remaining pulp operations cost-competitive and aligned with the company’s overall business strategies and direction.
Paper Excellence Canada will continue to supply its customers with products typically made at Crofton from other mills within the Paper Excellence Group where possible.
In a press statement, Paper Excellence thanked both federal and provincial governments for their efforts to support Catalyst Crofton’s paper operations. The company noted that it will respect the terms and conditions of all contribution agreements affected by this indefinite curtailment and will work with the appropriate government agencies on the next steps.
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