Modernizing the Saint John westside pulp mill
Investment enables pulp mill modernization—creating jobs and renewable energy
Fast facts
Our $660 million loan supports the large-scale modernization of the Saint John westside pulp mill, replacing outdated 1970s-era technology with best-available solutions to enhance productivity and competitiveness within the sector.
The modernization project will make the mill energy self-sufficient by eliminating the combustion of heavy fuel oil and increase production by approximately 66%. The renewable energy generated at the facility will be exported to the provincial grid under a power purchase agreement with NB Power, with approximately 50 megawatts being used to sustainably energize mill operations.
During construction, the project is expected to generate approximately $539 million in employment income . When operational, the mill will create more than 600 new jobs across the forest supply chain, with employment income in the forest products sector expected to rise by 38%.
Benefits of the CIB’s involvement
The CIB’s loan comes at a critical time for the region—supporting one of New Brunswick’s largest employers and exporters, creating hundreds of long-term jobs across the forestry supply chain and expanding renewable energy generation within the province.
As an impact investor, the CIB provides loans to accelerate projects which deliver long-term benefits to Canadians and the economy. The CIB’s loan bridges lending gaps, enabling significant private capital investment and supporting decarbonization of the Provincial electricity grid. It is aligned with the CIB’s Clean Power mandate which supports generation, transmission and storage assets that reduce emissions, foster economic growth and enable access to lower-emitting, more affordable energy for Canadians.
Once complete, the mill will be among the top 10 global producers of softwood Kraft pulp, boosting output by over 70 % and reinforcing the forestry sector as a key driver of economic growth.
This investment will help position New Brunswick as a leader in clean power and sustainable forestry. The project is the most significant investment in the Canadian forest products sector since 1993.
Learn more
[1] Employment and income economic projections are based on the Economic Impact Assessment prepared by Jupia Consultants for the project.
Disclaimer: The Canada Infrastructure Bank (CIB) in its sole and absolute discretion may choose to make available amendments, revisions, modifications, or replacements to this website. This page will remain open for further revision, modification, replacement or cancellation by the CIB at any time and in no event shall the CIB be responsible or liable, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on the content of this website. Images courtesy of Irving Pulp & Paper.
