Troubled British Columbia company New Skeena Forest Products has gone into receivership after failing to attract support from Canadian capital investors.
The Vancouver-based firm, which has a sawmill in Terrace and a pulp mill in Prince Rupert, had been under creditor protection since last autumn. The bankrupty order ends a seven-year bid to keep the company and its predecessor Skeena Cellulose Inc in business.
Municipalities will try to work with interim receiver Ernst and Young to find buyers for the assets. Terrace will also look at other ideas for operating the sawmill, which would have employed about 200 people, with a further 250 in logging operations.
The assets, which also include several smaller mills, have been idle for three years. At the company’s peak, the company was responsible for about 10,000 jobs.
