St. Marys Paper co-gen plant creates 555 jobs (6 photos)

Following is the continuation of an article about today's announcement of funding for a co-generation plant at St. Marys Paper.

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************************* "Our government has provided loans for St. Marys Paper in order to protect local jobs and revitalize the forestry sector, and this new provincial power agreement makes it possible for the mill to build a biomass co-generation plant, which will provide it with long-term stability and greater job security for its workers," said David Orazietti, MPP for Sault Ste. Marie. "A biomass-fuelled co-generation plant creates a cost-effective energy alternative that can supply the mill with enough power to be self-sustaining and positively impact the environment by decreasing green house gas emissions."

Recognizing the importance of a secure biomass supply to the success of the project, St. Marys has negotiated a commitment of up to 400,000 tonnes of biomass annually from the Algoma and Northshore Crown Forests for the life of the project.

The project will meet all Ontario Ministry of the Environment requirements.

The biomass boiler technology chosen for the project, a bubbling fluidized bed boiler, will lower overall emissions.

Existing boilers at the mill will be decommissioned, thereby improving emissions per tonne of fuel consumed.

The Ontario Power Authority and St. Marys have been in negotiations since August 2009, working to secure an agreement after the company submitted an initial bid in the OPA's combined heat and power (CHP) III procurement process for projects using renewable energy.

About St. Marys

St. Marys Paper Corp. operates a 220,000 tonnes per year groundwood pulp and supercalendered paper mill in Sault Ste. Marie, Ontario.

Formed in 2007, St. Marys Renewable Energy Corp. was created to develop biomass co-generation capacity in conjunction with the operations of St. Marys Paper Corp.

It is the key project leading the company's planned transformation into the bio-economy.

About the OPA

The Ontario Power Authority is responsible for ensuring a reliable, sustainable supply of electricity for Ontario.

Its key areas of focus are planning the power system for the long term, leading and co-ordinating conservation initiatives across the province, and ensuring development of needed generation resources.

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