Fraser Paper idles two more paper machines

VANCOUVER, British Columbia, Feb 11 (Reuters) - Fraser Papers Inc (FPS.TO: Quote, Profile, Research) will idle two more paper machines at its mill in Gorham, New Hampshire, because of higher oil and pulp prices, the company said on Monday.

The machines, which produce freesheet paper, will be idled indefinitely beginning April 13, joining a machine that has been down since late last year.

Fraser said it is working with state officials to reduce the mill's dependence on oil, and the machines may be kept in operation if the cost pressures ease before the planned idling date.

The shutdowns will leave two machines that produce specialty printing papers still operating at the mill on the banks of the Androscoggin River in northern New Hampshire, the company said. (Reporting Allan Dowd, Editing Peter Galloway)