Sappi Warns Dam Removal Could Threaten Somerset Mill

Shawmut Dam supports Sappi Somerset Mill’s water intake and discharge

Shawmut Dam supports Sappi Somerset Mill’s water intake and discharge.

Industry News

Sappi North America has voiced concerns following The Nature Conservancy’s announcement of an agreement with Brookfield Renewable to acquire four hydroelectric facilities on Maine’s Kennebec River, including the Shawmut Dam.

The conservation group has emphasized its priority of improving fish passage along the river, which could ultimately include removing the Shawmut Dam. Sappi cautioned that such a move would put at risk the future of its Somerset Mill in Skowhegan, which depends on the dam’s impoundment for water intake and discharge.

According to the company, the loss of the dam would jeopardize thousands of jobs tied to its Maine operations, including independent loggers, contractors, and landowners.

In May 2025, Sappi completed a $500 million transformation of its largest paper machine at Somerset, positioning the mill as one of the most advanced in North America for producing renewable, fiber-based packaging — an investment the company says underscores its long-term commitment to Maine and U.S. manufacturing.

“For 50 years, the Somerset Mill has been a cornerstone of Maine’s manufacturing economy,” said Sean Wallace, Vice President of Research, Development, and Sustainability at Sappi North America. “We share the goal of protecting Maine’s rivers and believe there are solutions that will allow fisheries to thrive without putting thousands of good jobs at risk.”

Sappi stated it remains committed to collaborating with The Nature Conservancy, local communities, government agencies, and legislators to find balanced solutions that protect the Kennebec River while preserving the mill’s operations and the livelihoods that depend on them.

Headquartered in Boston, Sappi North America is a leading producer of packaging, specialty papers, graphic papers, and pulp, with operations in the U.S. and Canada. The company employs about 2,100 people and is part of Sappi Limited, a global firm with operations on three continents and customers in more than 150 countries.