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Canada invests $20M in Domtar nanocrystalline venture in Quebec

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Canada invests $20M in Domtar nanocrystalline venture in Quebec

July 16, 2010 - 08:35
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WINDSOR, QC, July 16, 2010 (Market Wire) -The Honourable Christian Paradis, Canada's Minister of Natural Resources, Nathalie Normandeau, the Deputy Premier of Quebec, Minister of Natural Resources and Wildlife, and Minister responsible for the Northern Plan, and Monique Gagnon-Tremblay, Chair of the Conseil du trésor, Minister responsible for Government Administration and Minister responsible for the Estrie region, today announced an investment of $20.4 million ($10.2 million each) for the construction of the first nanocrystalline cellulose (NCC) pilot plant in the world. This plant will be built through the creation of a joint venture between FPInnovations and Domtar to build the pilot facility at the Domtar pulp and paper plant in Windsor.

"Emerging technologies hold the potential to transform the forest sector and create new, high-value opportunities in global markets. The Government of Canada's investment in this project will help build on Canadian leadership in the commercialization of this exciting technology," said Minister Paradis. "Technological innovation and leadership are key to renewing our forest sector and helping Canada's forest communities realize emerging opportunities in the global marketplace."

"The Quebec government welcomes this joint initiative, which is in line with Quebec's aim to develop new markets for the forest industry. To face the reduction of demand in the pulp and paper sector and to remain competitive, the future of our forest industry must develop new uses for forest products. Today's announcement shows our commitment to work closely with this important economic sector to assist Quebec and its regions," said Minister Normandeau.

The new facility will be the first in the world to produce nanocrystalline cellulose, and represents a landmark event in the development of renewable, industrial and consumer products created from wood fibre.

"As the Minister responsible for the Estrie region, I am pleased that this investment is taking place in our region. In addition to consolidating the 825 jobs of the Domtar pulp and paper plant, this project will create 13 more positions to operate the pilot plant and market the new product. We can be proud of the expertise that will be developed locally and that will contribute to the increased competitiveness of the forest sector of Quebec," said Minister Gagnon-Tremblay.