Gatineau convinces AbitibiBowater to rethink mill closure?

AbitibiBowater has agreed to the City of Gatineau's proposal to conduct a $100,000 feasibility study of its Gatineau mill closure.

AbitibiBowater closed the 80 year old mill in May and 300 jobs were lost.

A City of Gatineau committee has calculated that the plant could make a profit if it concentrated on producing cardboard rather than paper.

At least two rather large hurdles stand in the way of reopening the Gatineau mill.

1. AbitibiBowater has approval under its creditor protection period to move two of Gatineau's paper making machines to Thunder Bay.

2. It is estimated that reopening the mill would cost as much as $200 million.

Source:

AbitibiBowater to study plan to reopen Gatineau plant (CBC)