MILLINOCKET, Maine (NEWS CENTER) --- Officials with Cate Street Capital say that they are now beginning steps to pursue their new plan for the Millinocket paper mill.

Company directors gave a presentation to residents in Millinocket at Thursday night's town council meeting. Cate Street bought the mill there last year, which has been closed since 2008.

The company now wants to use part of the site to manufacture torrefied wood, which is an energy rich pellet similar to biomass. Company officials expect Thermogen, which would be the name of the site, to employ about 25 workers. They say thay are now looking to get the necessary permits from the state to make it a reality.

"The forecast that we see are millions of tons per year of torrefied wood right now," said Dammon Feckler, who is Cate Street's managing director of development activities, "and as different regulations come down on coal fired utilities and as additional incentives for renewable energy come into play...the forecast is that will grow to tens of millions of tons going forward."

Cate Street directors added that they are now beginning talks with the Maine Department of Environmental Protection. They need to get an air quality permit for the site as well as others.

The company is aiming to have Thermogen online by the summer of 2013.

NEWS CENTER