Corner Brook Pulp and Paper Plans Phased Production Restart in February

Corner Brook Pulp and Paper Ltd. announced plans for a phased restart of operations in early February. The facility, Newfoundland and Labrador's only paper mill, halted newsprint production in November 2025 due to critically low water levels at the Grand Lake reservoir.​

Low precipitation across the province reduced Deer Lake Power's hydroelectric capacity, preventing sufficient energy supply to the mill. Kruger Inc., the mill's owner, redirected approximately 400 employees to maintenance and other tasks during the shutdown.​

This marks the second major disruption in recent years, following a wildfire-related closure earlier in 2025 due to safety concerns and fiber shortages. Previous pauses occurred in 2023 and 2024 for market adjustments and compliance.​

Kruger maintains a $700 million modernization plan on track, shifting toward lumber and chip production while repositioning newsprint capacity. The strategy includes a wind farm component and awaits discussions with provincial authorities.​

Newfoundland and Labrador Hydro recently entered a new power purchase agreement with the mill, supporting long-term operations. Production resumption depends on sustained reservoir replenishment.