Catalyst Paper readies for takeover of Maine power plant

Catalyst Paper Operations Inc. filed with the Federal Energy Regulatory Commission on Dec. 31 its initial application to sell energy, capacity, and ancillary services at market-based rates, which is needed due to its pending buy of power generating operations in Maine.

Catalyst Paper is acquiring the electric generating assets located at the Rumford Paper Mill in Rumford, Maine. Catalyst plans to operate the facilities in a similar manner to which the prior owner had operated the facilities.At this time, Catalyst Paper said it is not certain when its acquisition of the Rumford Paper Mill generating assets will close and, therefore, is unable to identify an effective date for the tariff in this filing. The closing is anticipated to occur in early January 2015.

Catalyst Paper asks that the commission accept this tariff filing and Catalyst Paper will advise the commission within five days after the closing date, so that Catalyst Paper can continue to offer the excess output of the generating facilities into the markets operated by ISO New England without interruption throughout the upcoming winter months. Catalyst Paper produces a broad range of communication papers for commercial printing, retail advertising and direct marketing applications.

Catalyst Paper owns mills throughout North America and has recently acquired the Rumford Paper Mill in Rumford, Maine. The Rumford Paper Mill includes Qualifying Facility (QF) generating units with a total combined with a nameplate capacity 107.5 MW. Except for an affiliated QF located in Wisconsin that will not be engaged in sales of energy, Catalyst Paper said it does not own or control, nor is it affiliated with, any FERC-jurisdictional electric generation facilities, transmission facilities, distribution facilities, any natural gas storage, transportation, or distribution facilities, or any other inputs to electric power production other than those located at the Rumford Paper Mill.

A company contact is: Carlo Dal Monte, Director–Energy, Catalyst Paper, 65 Front Street, Nanaimo, B.C V9R 5H9, phone (250) 734-8056.

Parent Catalyst Paper Corp. (TSX: CYT) announced Oct. 30 that it had entered into an Asset Purchase Agreement with NewPage Corp., NewPage Wisconsin System Inc. and Rumford Paper Co. to purchase the Biron paper mill located in Wisconsin and the Rumford pulp and paper mill located in Maine.

About Barry Cassell 20414 Articles
Barry Cassell is Chief Analyst for GenerationHub covering coal and emission controls issues, projects and policy. He has covered the coal and power generation industry for more than 24 years, beginning in November 2011 at GenerationHub and prior to that as editor of SNL Energy’s Coal Report. He was formerly with Coal Outlook for 15 years as the publication’s editor and contributing writer, and prior to that he was editor of Coal & Synfuels Technology and associate editor of The Energy Report. He has a bachelor’s degree from Central Michigan University.