98 REPORT OF THE No. 3 



Kaiashk Bay of Lake Nipigon ; thence in a general course easterly, southerly and 

 westerly but following in all directions, the shores of Lake Nipigon and the bays 

 thereof to a point in Chief Bay east astronomically from the point of com- 

 mencement; thence west astronomically 8 miles more or less to the point of 

 commencement. 



Parcel Two: 



Commencing at a point 10 miles, 40 chains east astronomically from the 

 west limit of the Nipigon Forest Reserve ^nd in the production easterly of the 

 northerly limit of said first described parcel; thence south astronomically 15 

 miles more or less to the shores of Kaiashk Bay of Lake Nipigon ; thence in a 

 general direction southerly, easterly, and northerly but following in all direc- 

 tions the shores of Lake Nipigon and the bays thereof to a point east astronom- 

 ically from the point of commencement; thence west astronomically 4 miles 

 more or less to the point of commencement. 



Parcel Three: 



Commencing at the northeast angle of lands described in parcel 1, being a 

 point 30 miles east of O.L.S., K. G. Ross' meridian line of 1921; thence from 

 said point of commencement south astronomically 20 miles more or less to 

 Ontario Land Surveyor Ross' base line run in 1922; thence east along said last 

 mentioned base line 12 miles more or less to the westerly limit of the Nipigon 

 Forest Reserve; thence north along said limit 4 miles more or less to a point 

 west astronomically from the southwest angle of the Gull River Indian Reserve; 

 thence east astronomically to the southwest angle of said Indian Reserve; 

 thence north astronomically along the westerly limit of said Indian Reserve 

 to the northwest angle thereof; thence east astronomically along the north 

 limit of said Indian Reserve to the shore of Kaiashk Bay of Lake Nipigon; 

 thence in a general course northeasterly, easterly, southerly and easterly follow- 

 ing the shore line of said Kaiashk Bay to a point east astronomically 10 miles, 

 40 chains measured at right angles from the westerly limit of the Nipigon Forest 

 Reserve; thence north astronomically along the westerly limit of the lands 

 described in parcel 2, 15 miles more or less to a point east astronomically from 

 the point of commencement; thence west astronomically 22 miles, 40 chains 

 more or less to the point of commencement. 



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

 the same shall consist of a ground-wood pulp mill with 20 magazine grinders 

 having a daily capacity of 350 tons of mechanical pulp; a sulphite pulp mill with 

 3 digesters having a daily capacity of 100 tons of unbleached sulphite; a paper 

 mill with two 198 inch paper machines, and two 234 inch paper machines, 

 having a daily capacity of 425 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 commenced forthwith and be 

 completed on or before the thirty-first day of December 1928. 



2. Expenditure shall be made by the Company in the construction of such 

 extensions and additions as follows: One Million dollars ($1,000,000) on or before 

 the thirty-first day of December 1926; Four Hundred Thousand dollars ($400,000) 

 on or before the thirty-first day of December 1927, and the full amount required 

 to construct and complete in all respects extensions and enlargements to the 

 said plant to the full extent mentioned herein not later than the thirty-first 

 day of December 1928. 



3. The plans for the additions and enlargements to the Company's said 

 plant hereinbefore mentioned shall be submitted to and approved of by the 



