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Corner Brook Pulp and Paper to sell green energy to Nfld. government; identify new revenue sources

March 15, 2024  By P&PC Staff

Kruger’s Corner Brook Pulp and Paper (CBPP) has entered into a six-month agreement with the Government of Newfoundland and Labrador, to sell excess green energy from its Deer Lake Power assets to Newfoundland and Labrador Hydro.

Kruger shares in a press statement that the agreement, which benefits both entities, will better position CBPP to face increasingly challenging conditions in the global newsprint market.

Additionally, a Kruger-dedicated task force will work to identify viable projects to diversify CBPP’s production in the field of wood-based bioproducts. The goal is to add revenue sources to make operations more sustainable in the long term, while also unlocking Newfoundland and Labrador’s high forest potential.


A new agreement between CBPP and Hydro for energy generated from CBPP’s existing power generation facilities will provide flexibility for Hydro to draw upon when needed.

In addition, the provincial government and CBPP have reached an agreement regarding security, workforce and diversification. CBPP has committed to offer for sale saw logs to the three large sawmills in line with CBPP annual operating plans submitted to the Department of Fisheries, Forestry, and Agriculture. These saw log sales are essential for the stability of the forest sector.

A press statement from the province shares that CBPP is the only newsprint mill in Newfoundland and Labrador and, according to Statistics Canada, contributed $49.9 million to the provincial GDP in 2020. CBPP operates two paper machines producing 240,000 tonnes annually with a sales value of ~$130 million and paper production directly employs about 305 workers. CBPP consumes about 450,000 cubic meters of wood per year and employs a further approximately 80 staff in forest management and harvesting. Sale of saw logs to mills supports the lumber sector and generates revenue for CBPP.

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