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Norske Skog declares force majeure at Chilean mill

March 3 2010  Norske Skog gives notice of force majeure at Bio Bio mill in Chile, after the earthquake on February 27.

As Papernet reported on March 1, all production at Norske Skog Bio Bio mill in Concepción, Chile has stopped after the massive earthquake that registered 8.8 on the Richter scale. Based on the preliminary reports on damage to the mill’s site and equipment it will take some time to restart production at the mill. Detailed reports on the condition of the mill are currently not available, according to a press statement by Norske Skog.Norske Skog is taking all the steps required to try to restart the operations at Bio Bio mill as soon as possible, also taking into account full safety of the 240 employees at the mill.As Norske Skog Bio Bio since the massive earthquake on 27 February 2010 is unable to perform any of its obligations due to an impediment beyond its control, Norske Skog Bio Bio is since 27 February and until further notice in a situation of force majeure. As a result of the force majeure Norske Skog Bio Bio is not liable to perform any of its contractual obligations, Norske Skog writes in a press release March 3.

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