About $6 million is going to Dryden's Domtar mill to find new uses for wood waste.
The mill has teamed up with research firm Bahtelle, with the funding coming from the Centre for Research and Innovation in the Bio-Economy.
CRIBE’s chief executive officer Lorne Morrow says they want to retain and strengthen the few mills that remain in the North.
“What this will do is take residual chip rejects, which would normally go as hog fuel and is burnt, and you add value to them,” Morrow said during an interview with CKPR Radio.
“So you are taking a low value waste product and making a new product with them.”
A full demonstration of the process could take up to three years to develop.
(CKPR Radio)