Nova Scotia

Nova Scotia waiting on cleanup plan from Northern Pulp for defunct mill

Northern Pulp is going out of business in Nova Scotia, but the province is still counting on the company to decommission its old mill and clean up the site in Pictou County that was used for heavy industrial activity for more than half a century.

Reclamation is required under provincial law, but the company is insolvent

A pulp and paper mill with smoke emanating from the stacks.
The Northern Pulp mill in Abercrombie, N.S., pictured in 2017. The now-shuttered operation used to manufacture 280,000 tonnes of kraft pulp annually for common household products such as tissue, towel and toilet paper, writing and photocopy paper. (Andrew Vaughan/Canadian Press)

Northern Pulp is abandoning its plans in Nova Scotia, but the province is still counting on the company to decommission its old mill and clean up the site in Pictou County that was used for heavy industrial activity for more than half a century.

Environment Minister Tim Halman says his department is waiting for the company to file a reclamation plan. He offered little other information about how things could unfold.

"We'll have more to say about that Abercrombie site when there's updates," he told reporters Thursday following a cabinet meeting, referring to the mill's location in Abercrombie Point.

Northern Pulp had been pursuing a new mill in Liverpool, N.S., and had said it would maintain the old mill for "potential logistics operations." But the plan for a new mill was abandoned earlier this month.

In a settlement agreement reached last year, Northern Pulp agreed to pay up to $15 million to the province for the mill's closure and any necessary cleanup.

Man in suit.
Nova Scotia Environment Minister Tim Halman said he expects Northern Pulp to follow provincial law and clean up its shuttered mill. (Paul Poirier/CBC)

The pulp and paper mill was built in the 1960s and operated under several different owners until it was forced to shut down in 2020 and went into a mothball state. A chemical producer, Canso Chemicals, also operated on the site for two decades, leaving behind mercury contamination.

Halman wouldn't comment on what the extent of the contamination might be.

"The proponent needs to put forward the specifics in that reclamation plan, and once we have that, we'll have more to say," he said.

Debts to pay off, first

Before Northern Pulp gives the promised $15 million to the province, it must first pay off hundreds of millions of dollars owed to its creditors as part of an insolvency process being handled in a B.C. court.

The company is preparing to auction off its assets and it's not clear how much debt it will be able to pay off.

Halman said there's no deadline for the reclamation plan to be filed.

"It's about expectations, and the province has the expectation that the Environment Act is followed," he said.

WATCH| Northern Pulp abandons plans for a new mill:

Northern Pulp will not pursue new operation near Liverpool

10 days ago
Duration 2:03
Members of Nova Scotia's forestry sector and the natural resources minister say they're disappointed, but not surprised. On Monday, Northern Pulp announced it would continue with its creditor protection process with an effort to sell off its assets. Michael Gorman has the story.

Jim Ryan, mayor of the Town of Pictou, said people in his community have talked about the mill being dismantled and the land being cleaned up for years. 

The town is across the harbour from Abercrombie Point and Ryan said you can see the massive structure from just about anywhere in the town. 

He said he'd be surprised if $15 million "even touched" the total cost of remediation.  

Ryan said he hasn't yet heard anything about the cleanup from provincial or company officials. 

Interim Liberal Leader Derek Mombourquette said the public deserves a timeline.

"I think the community needs a clear set of expectations of when that [reclamation plan] can be released," Mombourquette said.

NDP MLA Paul Wozney questioned whether the province will be able to hold Northern Pulp accountable and keep taxpayers off the hook.

"How brave do they want to be in using their powers to protect Nova Scotians in that respect?" Wozney said.

He wasn't clear about what levers he thought the province should pull to hold the company accountable, saying "it's more a philosophical question than a functional one."

Representatives for the company did not immediately respond to questions about the mill's closure and site cleanup.

ABOUT THE AUTHOR

Taryn Grant

Reporter

Taryn Grant covers daily news for CBC Nova Scotia, with a particular interest in housing and homelessness, education, and health care. You can email her with tips and feedback at taryn.grant@cbc.ca