BANGOR (AP) — The bankrupt Great Northern Paper mill in East Millinocket is going under the auctioneer’s gavel.
A company called GNP Acquisition is offering to buy the mill’s equipment and buildings for $2.6 million. The company and others will bid on the mill at a probate court in Bangor at 10 a.m. on Tuesday. The winning bidder will then face a 1 p.m. sale hearing in federal court.
Proceeds from the sale will be split between two bankrupt entities that make up Great Northern Paper. The paper machines went idle in January and later the mill laid off more than 200 employees. The company filed for Chapter 7 bankruptcy on Sept. 22. Cate Street Capital of New Hampshire had been managing the mill.
The mill once produced paper for newspapers and books.