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LNG could be considered for former Elk Falls site

The site of Campbell River's Elk Falls mill, which closed in early 2009, has been sold to Quicksilver Resources of Canada Inc. for $8.6 million.

According to the local press, there is speculation the company will develop the site as an LNG (liquified natural gas) plant. David Erdman of Quicksilver told the Campbell River Mirror that his company intends to start a feasibility study on potential uses, which could include LNG. Erdman said more details would be released in the coming weeks.

When the mill initially shuttered in 2009, nearly 350 workers lost their jobs. Owner Catalyst Paper Inc. refused to pay what was owed in municipal taxes at the time, saying the rates were too high.

It eventually paid the $4.8 million owed to Campbell River, and officially closed the mill in 2010.

LNG is a burgeoning industry in British Columbia. There are 12 LNG plants proposed for B.C.'s coast, mostly in the Kitimat and Prince Rupert region.

LNG has been billed by both the Liberals and NDP as a sustainable source of energy and a significant revenue generator; however reports have called into question these claims.

Colleen Kimmett reports for The Tyee.

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