MAINE (News release) -- ND Paper is launching a new recycled pulping operation at its mill in Old Town, the company said Thursday.

The company, a U.S. subsidiary of China-based Nine Dragons Paper Holdings Ltd., said the new operation will produce 200 metric tons of unbleached pulp daily and support 20 new jobs in Maine when it is at full operation. Nine Dragons, which also owns a mill in Rumford, generates about $10 billion in annual sales and is China's largest producer of containerboard.

"We are thrilled to start our new recycled pulping operation at the Old Town mill," said Bruce Hogan, vice president and general manager of the mill, in a statement. "This multimillion-dollar investment from ND Paper represents another vote of confidence in the state of Maine's forest products sector, the Old Town Division, and our vision to build a sustainable company for the next 100 years."

The Old Town mill began operations in 1860 as a sawmill then moved into pulp products in 1882 as Penobscot Chemical Fiber Co. After multiple changes of ownership through the years, the facility was idled in October 2015. ND Paper purchased the shuttered mill in October 2018 and has since invested millions of dollars into its restart and optimization, the company said.