RICHMOND, BC, Feb. 28 /CNW/ - Catalyst Paper (TSX:CTL) today announced
$13.3 million in Federal funding approval of a new green-energy project
at its Powell River mill that will produce low-carbon electricity and
be one of the cleanest waste wood co-generation projects anywhere in
Canada. The project is funded entirely by the Pulp and Paper Green
Transformation Program (PPGTP) credits, earned through production of
black liquor at the Crofton pulp operation in 2009. The electricity
will be certified under the federal EcoLogo program.
The project will involve new waste-wood handling equipment, a sand
recycling system and other upgrades to an existing power boiler (PB19),
and installation of a steam condenser on the generator (G12). Work is
underway and expected to be completed within approximately 12 months.
"One of the great strengths at the Powell River operation is our
clean-burning power boiler. Emissions and air-quality monitoring
demonstrate that," said Bob Lindstrom, vice-president, supply chain,
energy and information technology. "Factor in our marine access to
waste-wood supplies, and our Powell River mill becomes one of the most
logical and low-impact places in Canada to generate green energy from
The project is supported by the Sliammon First Nation, which has signed
a memorandum-of-understanding (MOU) with Catalyst in connection with
it. The MOU includes provision for a Sliammon-Catalyst Development
Fund, commits Catalyst to informing the Sliammon regarding fibre-supply
opportunities, and envisions longer-term collaboration relating to
"We have a good, ongoing working relationship with Catalyst. This MOU
focuses on areas where we can gain benefits from stronger collaboration
that supports capacity building and employment for band members.
Sliammon First Nation would like to be part of positive developments
within Catalyst," said Clint Williams, Chief Counsellor, Sliammon First
Co-generation projects harness electricity-production opportunities
within existing industrial facilities and can enhance their operational
viability with modest capital investment and little to no site
disturbance or additional transmission infrastructure.
Waste wood, mostly tree bark, is burned in PB19 to create steam for both
paper making and electricity generation. Manufacturing-related steam
requirements were reduced when kraft pulp production ended at Powell
River in 2001. The new steam condenser will allow PB19 to once again
be operated at capacity, and G12 electricity generation double from
14-18 megawatts (MW) to a range of 32-36 MW.
Waste wood or biomass is classified as a carbon-neutral fuel under
international carbon accounting protocols and widely accepted
standards, and the project will therefore help achieve BC's
carbon-reduction and energy self-sufficiency goals. The same amount of
fossil fuel-generated electricity would typically create nearly 100,000
tonnes of greenhouse gas emissions each year, equivalent to the
operation of 25,000 cars.
"Green-energy generation has enabled us to reduce the carbon footprint
of our Canadian mills by more than 80 per cent since 1990," said
Lindstrom. "We are keen to leverage that expertise more broadly. This
project creates a supplemental energy product line, and that could
translate into significant competitive advantage in an industry that's
under pretty severe pressure."
The project's impact on the mill's environmental performance has been
modelled and assessed, as required by the Canadian Environmental
Assessment Act. The electricity from this project will displace
natural gas generated electricity for a net annual reduction of 96,500
tonnes of carbon emissions. Mill air emissions are expected to remain
within applicable permit levels and the mill's carbon footprint will
remain at an industry-leading level of approximately 88 kg of CO2e/adt
Installation of a recycling system will improve the use of sand that is
fed into the boiler bed to ensure combustion efficiency. Rather than
being trucked away for screening, as is now done, sand will be screened
and recycled on-site, reducing the total volume of sand required.
The PPGTP is a federal program designed to support innovative projects
with environmental and energy benefits in the Canadian paper industry.
Catalyst qualified for $18 million in PPGTP credits.
Catalyst Paper manufactures diverse specialty printing papers, newsprint
and pulp. Its customers include retailers, publishers and commercial
printers in North America, Latin America, the Pacific Rim and Europe.
With four mills located in British Columbia and Arizona, Catalyst has a
combined annual production capacity of 1.9 million tonnes. The company
is headquartered in Richmond, British Columbia, Canada and its common
shares trade on the Toronto Stock Exchange under the symbol CTL.
Catalyst is listed on the Jantzi Social Index® and is also ranked by
Corporate Knights as one of the 50 Best Corporate Citizens in Canada.
SOURCE Catalyst Paper Corporation
For further information:
|Lyn Brown || || ||Carlo Dal Monte|
|Vice President, Corporate Relations || || ||Director, Energy Management|
|604-247-4713 || || ||250-734-8056|