VANCOUVER—Fortress Paper Ltd. has agreed to sell the assets of an idled pulp mill and saw mill in Quebec for $15.4 million.
The buyers are subsidiaries of Nexolia Bioenergy Inc., a private company focused on investing in natural resources, renewable energy and other projects.
Nexolia will be acquring the buildings, equipment and property at the mill site in Lebel-Sur-Quevillon, 620 kilometres northwest of Montreal.
The transaction is expected to close by July 8.
Vancouver-based Fortress says the sale of the LSQ Mill will release the company from a number of future obligations.
Fortress says the buyer will assume responsibility for paying property taxes. Fortress will also assign a $7-million secured note it receives to Investissement Quebec