ND Paper completed its purchase of the Old Town Mill within nine days of its announced plan to buy the shuttered pulp mill from OTM Holdings.
The wholly owned subsidiary of Nine Dragons Paper (Holdings) Ltd. of Hong Kong, said it completed the purchase for an undisclosed amount of cash Friday, Oct. 19.
Under the asset purchase agreement, ND Paper acquired the bleached kraft pulp mill, plus approximately 100 acres of real property. ND Paper is headquartered in Oakbrook Terrace, Illinois.
Before it shut down in the fourth quarter of 2015, the Old Town Mill manufactured and annually distributed approximately 155,000 air-dried metric tons of bleached hardwood pulp.
After a series of phased capital investments, ND Paper said it expects to restart the mill in the first quarter of 2019. It plans to eventually produce 275,000 air-dried metric tons of unbleached pulp, which is generally used for making paper.
ND Paper operates three pulp and paper mills in North America with combined annual production capacity topping 1.1 million metric tons.
The Rumford Division, purchased in June, manufactures coated one-side, coated freesheet, coated mechanical and market pulp grades.
The Biron Division in Wisconsin, also purchased in June, is a primary supplier of lightweight coated mechanical papers.
ND Paper on Aug. 30 said it would buy Resolute Forest Products Inc.’s recycled bleached kraft pulp mill in Fairmont, West Virginia, for $55 million in cash. The deal was scheduled to close within two months.
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