Recently Reopened BC Sawmill Forced To Close
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.
Latest News
Endowment Welcomes New Board Members
U.S. Endowment for Forestry and Communities announces that Fritz Mason, Paul Hossain and Anna Torma were elected as new directors at the organization’s fall board meeting. “Drawing upon diverse backgrounds, they each bring a distinctive perspective and unique vision. We look forward to collaborating with them to further the mission of the Endowment,” comments Pete Madden, President and CEO of the Endowment…
Kadant Completes Key Knife Acquisition
Kadant Inc. has completed its previously announced acquisition of Key Knife, Inc. and some of its affiliates for approximately $156 million in cash, subject to certain customary adjustments. The acquisition was financed primarily through borrowings under Kadant’s revolving credit facility. Key Knife, a global supplier of engineered knife systems for custom chipping, planing, and flaking solutions for wood product industries, is headquartered in Tualatin, Ore. with…
The Luck Of The Irish
Article by Jessica Johnson, Senior Editor, Timber Processing, November 2023 – Earlier this fall, I had the privilege of heading to Ireland to see the sights, enjoy the scenes and. . .do a little work while I was at it. My second work trip to the Emerald Isle did not disappoint.
Find Us On Social
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.