Tissue360 - Fall/Winter 2015 - (Page 10)
St. Croix Tissue Ready to
Start New Mill in Maine
Adjacent to Woodland Pulp in Baileyville, new mill will produce
120,000 tpy of premium tissue aimed at independent converters
serving retail markets in the U.S. KEN PATRICK
In this photo, the on-site warehouse will be added onto the left (north) section of the tissue machine building. The mill also has made arrangements for an
off-site storage facility several miles from the mill.
St. Croix Tissue is a brand-new producer of premium tissue parent rolls in the
U.S. market. Built adjacent to its sister operation, the Woodland Pulp mill in Baileyville,
Maine, which supplies most of its virgin fiber,
the new mill is currently preparing to startup
the first of two new Andritz PrimeLine tissue
machines in the first quarter of 2016. A second
twin PrimeLine machine, already on-site, is
being installed with a planned startup in the
second quarter of 2016.
Each of the new tissue machines has 60,000
tpy of production capacity. The combined
120,000 tpy will be supplied to independent
converters on the U.S. East Coast. The company has an agreement to provide a majority
of its production to one independent East
Coast converter that makes bath tissue and
towels primarily for the at-home, private
St. Croix Tissue is owned by Delawarebased International Grand Investment Corp
(IGIC), which is investing $120 million (as
FALL / WINTER 2015
announced in 2014) to construct the St.
Croix mill, named after the river that forms
a natural boundary between New Brunswick,
Canada, and the U.S., where it is located. In
addition to Woodland Pulp and St. Croix
Tissue, IGIC also owns the Cascade Pacific
Pulp mill in Halsey, Oregon. It acquired both
pulp mills at about the same time, in 2010.
All three entities are run as separate subsidiaries of IGIC.
The new tissue mill project will add 80
direct jobs to the Baileyville and Washington
County economy, and has created some 250300 indirect jobs. During groundbreaking
ceremonies earlier this year, Maine Gov. Paul
LePage said it is the largest single investment
in Maine's paper industry in decades.
Some especially interesting parts of the
St. Croix Tissue story are the creative bond
financing, tax credits, grants for employee
training and other programs the mill was
able to take advantage of, including Pine Tree
Development Zone status, a program that
allows eligible businesses to greatly reduce or
virtually eliminate state taxes for up to 10 years
(see Financing, Tax Credits, Training Grants
sidebar on page 12).
Tissue360o magazine recently visited the new
St. Croix mill in Baileyville to gather more information on this dynamic new operation, meeting
with IGIC Vice President Marco L'Italien and St.
Croix Tissue Manager Marty Richard. Details
they provided of the St. Croix operation are summarized in the following sections of this report.
According to Richard, in the late 1980s there
were some 1,200 people working between the
pulp and paper mill in Baileyville and the oriented strand board (OSB) plant up the road. It
was a booming area and a booming town at
that time, he emphasizes, but adds that from
there, employment at these mainstay operations
dwindled to about 320 people for the past half
dozen years, with a devastating impact on the
Table of Contents for the Digital Edition of Tissue360 - Fall/Winter 2015
Tissue Industry News
St. Croix Tissue Ready to Start New Mill in Maine
Lincoln P&T Turns Adversity into Opportunity
Second iT’s Tissue Attracts 1,000-Plus Visitors to Italy
Resolute’s Tissue Announcement a Sign of the Future in Tissue?
Tissue360 - Fall/Winter 2015