$185M biofuel agreement will mean 'major changes,' Botwood mayor says

Botwood is one step closer to an economic boost that the mayor hopes could bringfinancial stability to the central Newfoundland town and neighbouring communities for decades to come.

The Newfoundland and Labrador government has signed an agreement in principle with NewGreen Technologies for a proposed $185-million biofuelplant to be built in Botwood.

• Botwood biofuel plant one step closer to green light

"It's hard to put into words,"BotwoodMayor ScottSceviourtold CBC News on Friday.

"I think most importantly it's going to be a huge benefit to the Exploits Valley and the central region, and of course the province as a whole."

The agreement "focuses on the development of a comprehensive business plan from Newgreen Technology Inc. and potential fibre arrangements to be provided by the Government to support the project," according to a statement from the Department of Fisheries, Forestry and Agrifoods.

The plantcould mean between 400 to 600 jobs to the region duringconstruction, and 150full-timejobs during production.

Pulp-able excitement

Sceviour says the province has been able toallocatethe wood needed for the biofuel plant to operate. It's now up toNewGreenTechnologies Inc. to provide a business plan and to secure funding.

He expects big changes if the project goes ahead.

"We're not going to be that quiet little, quaint town anymore," said Sceviour.

[Councillors] couldn't sleep because it's just a little bit overwhelming for us at this point in time- Scott Sceviour, Botwood mayor

"We're going to be more vibrant. You're going to see some major changes, some major construction and of course some commercial activity within the town which is positive, and that's the way we got to look at it."

The company is expected to hold public information sessions in Botwoodnext month.

Scevioursaid this project gives him "goosebumps" thinking about what it could mean for the future of the region, although he said he knows the town has to be cautious in negotiations.

New challenges

The last glimpse of vibrance on the Botwood waterfront faded out when Abitibi ditched operations in 2009.

The small port town used to see ships from all over the world line up to receive paper fromthe Abitibi mill in Grand Falls-Windsor.

Sceviour said while there are similarities to Abitibi'sprocedures,the proposed plant brings different challenges including negotiations for land and buildings, and re-routing roads to accommodate construction.

• Verbal deal on sawmill, biofuel plant 'kick in the arse' for Botwood economy

The project would include a sawmill producing floor boards, abiofuelplant that creates clean diesel from the sawmill's waste and improvements to the shipping port in town.

"With prosperity also comes some challenges as well," saidSceviour.

"This is a very huge project. I don't know if people really understand the enormous effect that this will have on our community and of course the region as a whole."

The further into the process they get, the more excitement builds as plans become more real.

"I talked to severalcouncillorsafter [meetings]and they couldn't sleep because it's just a little bit overwhelming for us at this point in time."