Header: Header: Header:

Recently Reopened BC Sawmill Forced To Close

googletag.cmd.push(function() { googletag.display('div-gpt-ad-1548381510056-0'); });

A northwestern British Columbia sawmill has shut down after only a few months of it’s reopening, due to a rapid decline in lumber demand.

The Kitwanga Sawmill near Hazelton reopened July 8, 2011 with optimism that the B.C. forest sector was rebounding from a steep downturn, but mill owner Pacific Bioenergy announced recently that they have temporary shut down because of market events that were completely unforeseen when they started up this summer. The mill’s 45 employees and staff have been laid off temporarily.

Lumber prices have tumbled from a high in the $300 US range for 1,000 board feet in early 2011 to $229 US, which is below break-even for all but a handful of B.C. mills.

“We started the mill in the early summer period. All the experts leading up to that period in time were predicting stronger market outlooks,” said Wayne Young, Pacific Bioenergy’s president. Young also said the company is looking into options such as custom cutting lumber to keep the mill running until prices improve for commodity lumber. Pacific Bioenergy also has plans to build a pellet plant at Kitwanga.

googletag.cmd.push(function() { googletag.display('div-gpt-ad-1548381461985-0'); });
googletag.cmd.push(function() { googletag.display('div-gpt-ad-1548381402298-0'); });

Latest News

Rayonier Announces Wood Products Leadership Transition

Rayonier Inc. has announced that Ashlee Townsend Cribb has resigned as Executive Vice President, Wood Products to accept a CEO opportunity with a privately-owned, specialty wood products manufacturer that Rayonier does not consider to be…

North Alabama Sawmill Announces Closure 

In north Alabama, Southern Parallel Forest Products Corp. announced plans to shut down its Albertville location, affecting approximately 62 employees. The closure is expected to take effect in April 2026. The company submitted a notice…

Vecoplan AG Announces New CEO

Following Eric Jaschke’s appointment to Chief Financial Officer (CFO) in December 2025, Vecoplan AG has also strengthened its Executive Board leadership with Dr. Ralf Guckert taking over as Chief Executive Officer (CEO). Guckert is confident…

googletag.cmd.push(function() { googletag.display('div-gpt-ad-1548381237439-0'); });

Find Us On Social

googletag.cmd.push(function() { googletag.display('div-gpt-ad-1548380448760-0'); });
googletag.cmd.push(function() { googletag.display('div-gpt-ad-1548380578329-0'); });
googletag.cmd.push(function() { googletag.display('div-gpt-ad-1548380709898-0'); });
googletag.cmd.push(function() { googletag.display('div-gpt-ad-1548380656716-0'); });
googletag.cmd.push(function() { googletag.display('div-gpt-ad-1548380767732-0'); });
googletag.cmd.push(function() { googletag.display('div-gpt-ad-1548380810300-0'); });
Newsletter

The monthly Timber Processing Industry Newsletter reaches over 4,000 mill owners and supervisors.

 

Subscribe/Renew

Timber Processing is delivered 10 times per year to subscribers who represent sawmill ownership, management and supervisory personnel and corporate executives. Subscriptions are FREE to qualified individuals.

Advertise

Complete the online form so we can direct you to the appropriate Sales Representative.