1927 DEPARTMENT OF LANDS AND FORESTS 91 



hereof, doth hereby grant to the Company for a period of twenty-one years from 

 the date hereof, the right to cut and remove in and upon such parts of the follow- 

 ing territory as may from time to time, be designated by the Minister, that is 

 to say: the Townships of Clouston, Buchan, Wadsworth, Lisgar, Seaton, Fenton, 

 Staples, Casselman, Slack, Griffin, Watson, Poulett, Hicks, Stringer, MacVicar, 

 Carmichael, Ford, Oak, Aitken, Fortune, Guilfoyle, Boyle, Bradley, Harmon, 

 Mowbray, Hopkins, Cockshutt, Howells, Clay, Tucker, Beardmore, Hurdman, 

 Agate, Marceau, Sheldon, Traill and the west one-half of Adanac, all in the 

 District of Cochrane, in the Province of Ontario, sufficient pulpwood timber to 

 enable the company to operate its enlarged plant continuously to its full capacity, 

 and if at any time during said period of twenty-one years or any extension or 

 extensions thereof as are hereinafter provided for, it should appear that for 

 any reason whatever, there is not sufficient pulpwood timber on the said territory 

 to supply the Company with sufficient pulpwood to enablp it to operate its 

 enlarged plant continuously to its full capacity, the Minister will grant to the 

 Company the right to cut pulpwood timber on other ungranted Crown Lands 

 to be designated by him and to be situate as near as possible to the Town of 

 Kapuskasing, on the same terms and conditions as are herein contained. 



1. The said Company shall increase the capacity of its said plant until 

 the same shall consist of a ground-woodpulp mill, having a daily capacity of 

 325 tons of mechanical pulp; a sulphite pulp mill with a daily capacity of 115 tons 

 of sulphite pulp; a paper mill with a daily capacity of 400 tons of newsprint. 

 The construction of the additions and enlargements necessary to increase the 

 capacity of said plant to the extent mentioned in this paragraph, shall be com- 

 menced forthwith; Five Hundred Thousand dollars ($500,000) will be expended 

 before the first day of July, 1926, Three Million dollars ($3,000,000) additional 

 before the first day of July, 1927, and the entire construction will be completed 

 before the first day of July, 1928, and the Company will before said date develop 

 the power at Smoky Falls and build a transmission line or lines from Smoky 

 Falls to its said plant at Kapuskasing; and thereafter and within five years from 

 date hereof, the Company will increase the capacity of its paper mill until the 

 ultimate capacity thereof shall be 550 tons of newsprint per day. 



2. The plans for the additions and enlargements to said plant mentioned 

 in the preceding paragraph hereof, shall be submitted to and approved by the 

 Minister, and such additions and enlargements shall be completed within the 

 time above mentioned, to the satisfaction of the Minister. 



3. The said Company shall expend in additions, enlargements and better- 

 ments to said existing plant and in developing water powers, building tramways 

 and other works necessary or advisable for the efficient operation of the said 

 plant, at least the sum of Twelve Million dollars ($12,000,000) and shall furnish 

 proof to the satisfaction of the said Minister of such expenditures. 



4. The Company shall from and after the expiration of three years from 

 the date hereof, constantly employ at least 700 men within or adjacent to the 

 Town of Kapuskasing, in or about the operation of said enlarged plant, and it 

 will directly or indirectly afford employment in woods operations for not less 

 than six months in each year for an average of 3,500 men, during the whole 

 of said period of twenty-one years. 



5. The deposit of $50,000, made by the Company with its tender, shall 

 remain on deposit until the enlarged plant hereinbefore provided for, has been 

 completed, and put in operation. After said plant has been completed and is 

 in regular operation, the said $50,000 may be applied on account of moneys 



