ND Paper LLC has agreed to buy the mill and to offer employment to the Fairmont mill employees.
Montreal-based company says the operation may be converted to make different products with a more sustainable future.
$270 million investment in Calhoun pulp mill is its largest since it exited bankruptcy protection five years ago.
Company is reducing its capacity for newsprint as it copes with reduced demand.
The forest products company has closed two paper machines this year due to a budworm infestation.
Partnership will focus on the development of commercial applications for wood-based cellulose filaments.
Paper-maker will cut up to 170 jobs at plants in Ontario and Quebec.
Move affects 150 positions, caused by decreased demand high operating costs.
Will create 24 jobs to turn residual materials into a source of renewable energy.
Buying the land prevents foreign investor from processing timber outside the province, according to premier Darrell Dexter.
Resolute Forest Products has purchased the idled co-generation operation at Dolbeau, Que., from Boralex for $5 million.