The Canada Infrastructure Bank is providing a $660-million loan to Irving Pulp & Paper to support the modernization of its pulp mill in Saint John, N.B.

Known as Project NextGen, the project is slated to include a new recovery boiler, steam turbine and generator designed to produce 145 megawatts of renewable power.

The financing is part of Irving’s $1.5-billion investment in the facility’s upgrades, which will reduce emissions, improve energy efficiency and extend the mill’s life, said CIB. The project forms a key element of Irving’s broader forestry operations, which employ thousands across Atlantic Canada.

“Project NextGen is an important step forward for our people, our customers and our community,” said Jim Irving, the company’s co-CEO. “The CIB’s loan helps us invest in innovation and sustainability, while staying true to what matters most—creating good jobs, delivering value to our customers and strengthening the places we call home.”

The bank said the loan aligns with its mandate to back projects that cut greenhouse gases and enhance sustainable industrial practices.

CIB said the modernization will make the mill energy self-sufficient, eliminate the combustion of heavy fuel oil and reduce emissions per tonne of kraft pulp by 50%, supporting the province’s energy transition.

Once complete, the project will also position the mill among the top 10 global producers of softwood kraft pulp—boosting production output by over 70%—while reinforcing New Brunswick’s forestry sector as a key driver of economic growth, CIB added.

“The mill will become a global leader in environmental performance for this sector,” said CIB.

Pictured: Irving pulp mill in Saint John, N.B., slated to undergo upgrades.

Photo: CNW Group/CIB