Ottawa says it is offering supports to keep Ontario’s Kap Paper mill running

Industry Minister Melanie Joly says the federal government will keep working with the company on options to resume operations.

Industry Minister Mélanie Joly said on Tuesday that Ottawa remains at the table to offer financial supports aimed at preventing job losses at a struggling Ontario paper mill that announced it was suspending operations.

Kap Paper, whose mill has operated in the town of Kapuskasing, Ont., for more than a century, said on Monday it was unable to secure the short-term support it needed from the federal government, even after the province of Ontario had given it $50-million in loans. As a result, the company is idling the mill.

However, a statement from Ms. Joly’s office said her department is still fighting for the jobs that are on the line, and urged the provinci