The mill has been shut down since January 2020, when it failed to get approval for an effluent treatment facility to replace the use of Boat Harbour. The former tidal estuary was legislated to be closed to effluent by the Boat Harbour Act.
The Nova Scotia government signed an indemnity agreement with the mill’s former owner, Scott Maritimes Ltd., back in 1995, outlining what could happen if the mill closes or plans for a new facility were rejected.
The agreement protects Northern Pulp against loss or damages, and suggests the province would be entirely on the hook for the cost of cleaning up Boat Harbour and building the new treatment facility.
Northern Pulp said it has tried unsuccessfully to engage the two previous provincial governments in settlement discussions.
The company would use funds to restart mill
Source: Northern Pulp signals legal action against N.S. government over mill closure | CBC News