INTERNATIONAL Paper (UK) Ltd have announced that they are holding "meaningful talks" with a consortium concerning the future use of the former Inverurie Paper Mill site.
And the news has been welcomed by Parliamentarians from across the political spectrum.
Eric Chartrain, International Paper's Vice President of manufacturing and Technology, Europe, Middle East and Africa said: "We are making good progress on reind
ustrialisation options for the future of the Inverurie site.
"Negotiations are advancing which could result in a consortium of industrial companies to develop and operate a green energy plant in association with an energy efficient data centre. Both of these projects would provide local employment and an industrial presence into the future for Inverurie.
"While it is still quite early in the process, we are confident that we can bring the negotiations to a successful conclusion given the strategic importance of the site and the support we have received from everybody concerned."
International Paper expects to review draft business plans and to instruct due diligence procedures over the next four months.
Whilst respecting commercial confidentiality, International Paper has kept the First Minister Alex Salmond, the constituency MSP for Gordon and Scottish Enterprise fully informed of progress.
Alex Salmond has welcomed the news that meaningful talks have been held with a consortium of interested companies.
Mr Salmond said: "This is very encouraging for the people of Inverurie and the surrounding areas of Aberdeenshire. Although full details have not yet been released I am very pleased to hear that there is such a positive interest in what is a superbly located site.
"The idea of a green energy plant is a very exciting and at a time when the issue of climate change is very much to the fore it is particularly important that any new development has at its heart."
He added: "A huge amount is being done to ensure this key site with its excellent transport links is redeveloped to its full potential. I am sure that local people will be pleased to know that plans are moving forward. In the meantime extensive efforts are being made through the jobs taskforce to support the paper mill workforce in securing training and employment which has already achieved extensive success."
Gordon MP Malcolm Bruce also welcomed the news of the talks, saying: "Proposals to develop a green energy facility go back a number of years. I am pleased that this is now being used as the basis for promoting what is a prime site.
"I hope it will become the focus of any future development and that a new consortium with a forward looking agenda will take over from International Paper, who are in the process of releasing their assets and leaving the area.
"In the meantime there are also proposals for the development of a hotel and business units which could go ahead at a faster pace. I have always championed the potential of the area with its access to transport links such as the railway, airport and the city bypass, once it is completed. It is important that the site is developed in a way that maximises its potential not just for Inverurie but for the whole of the North east."
Liberal Democrat Aberdeenshire MSP Alison McInnes said she welcomed the reindustrialisation talks.
She said: "I'm very pleased to hear that positive progress is now being made on securing a future for the Inverurie Paper Mill. Not only is this great news for the town, and indeed the whole area, but the prospect of the site becoming a centre for green energy is fantastic.
"This is yet another welcome sign of the potential that exists for the North east to play a leading role in the switch to renewable energy. The Scottish Government must now do everything in their power to help these negotiations progress."
Conservative MSP for the North east, Dr Nanette Milne said:The former Inverurie Paper Mill site represents a strategic site for any business with its first class transport links and close proximity to Aberdeen Airport.
"I hope that real progress can be made to take forward reindustrialisation of the site and that new jobs can be created in the future for the skilled local workforce in Aberdeenshire."
SNP Gordon Westminster Candidate Richard Thomson commented: "It's obviously early days, but the fact that International Paper feel able to say that 'good progress' is being made is itself very encouraging.
"World Internet traffic continues to grow at an enormous rate.
Countries like Scotland with a cool climate; a skilled workforce and cheap energy, are ideally placed for this high tech market."
He added: "While work continues to find employment for those who have lost their jobs at the mill this news gives hope that an industrial, knowledge based and environmentally friendly future can be found for what is one of Scotland's best placed industrial locations."
