The Globe and Mail

Go to the Globe and Mail homepage

Jump to main navigationJump to main content

Press release from Marketwire

Canfor Pulp Income Fund Announces $100 Million Green Transformation Program Project Approval

Friday, November 26, 2010

Canfor Pulp Income Fund Announces $100 Million Green Transformation Program Project Approval12:59 EST Friday, November 26, 2010VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 26, 2010) - Canfor Pulp Income Fund (the "Fund") (TSX:CFX.UN) announced today that Canfor Pulp Limited Partnership (the "Partnership"), in which the Fund has a 49.8% ownership, has received approval from the Canadian federal government for funding of its $100 million capital project to upgrade the recovery boiler at its Northwood Pulp Mill in Prince George, British Columbia. The project is planned for completion in the fourth quarter of 2011 and is expected to provide economic and environmental benefits to the Partnership's operations.On October 9, 2009, the Canadian federal government announced the allocation of credits from the billion dollar Pulp and Paper Green Transformation Program (the "Program"). The Partnership was allocated credits up to $122.2 million from the Program. The Program is designed as a reimbursement of funds to be spent on qualifying energy and environmental capital projects. Credits may be used until the program end date of March 31, 2012. The Partnership has previously received program approval to proceed with two other qualifying projects totalling $15.6 million.Forward Looking StatementsCertain statements in this press release constitute "forward-looking statements" which involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from any future results, performance or achievements expressed or implied by such statements. Words such as "expects", "anticipates", "intends", "plans", "will", "believes", "seeks", "estimates", "should", "may", "could" and variations of such words and similar expressions are intended to identify such forward-looking statements. In particular, material forward-looking statements in this press release include the expected effective date of the Arrangement. In some instances, material assumptions are disclosed elsewhere in this press release in respect of forward-looking statements. Other risks and uncertainties are detailed from time to time in reports filed by the Fund with the securities regulatory authorities in all of the provinces and territories of Canada to which recipients of this press release are referred to for additional information concerning the Fund and Partnership, its prospects and uncertainties relating to the Fund and Partnership and its prospects. Although we believe that the expectations reflected by the forward-looking statements presented in this press release are reasonable, these forward-looking statements are based on management's current expectations and beliefs and actual events or results may differ materially. New risk factors may arise from time to time and it is not possible for management to predict all of those risk factors or the extent to which any factor or combination of factors may cause actual events and results, performance and achievements of the Fund and Partnership to be materially different from those contained in forward-looking statements. The forward-looking statements speak only as of the date on which such statement is made, are based on current information and expectations and the Fund and Partnership assume to obligation to update such information to reflect later events or developments, except as required by law.About Canfor Pulp Income FundThe Fund is an unincorporated, open-ended trust established under the laws of Ontario, created to indirectly acquire and hold an interest in the Canfor Pulp Limited Partnership (the "Partnership"). The Fund indirectly holds a 49.8% interest in the Partnership with Canadian Forest Products Ltd. (a subsidiary of Canfor Corporation) holding the remaining 50.2% interest.For more information about Canfor Pulp Income Fund and the Partnership, please visit www.canforpulp.com.FOR FURTHER INFORMATION PLEASE CONTACT: Terry HodginsCanfor Pulp Income FundChief Financial Officer and Secretary604-661-5421Terry.Hodgins@canforpulp.comwww.canforpulp.com