January 26, 2023 – Vancouver, British Columbia – Western Forest Products Inc. (TSX:WEF) (“Western” or the “Company”) today announced that the Company will not restart its Alberni-Pacific Division (APD) facility in its current configuration and has established a multi-party working group to explore potential viable industrial manufacturing solutions for the facility.
The mill has been curtailed since fall 2022.
In 2022, Western, Tsawak-qin Forestry Limited Partnership and Huu-ay-aht First Nations commissioned the Beck Group to look at long-term economically viable primary manufacturing options for APD. The report concludes the options for APD are very limited.
Over the next 90 days, the working group, which includes representatives from Western, the United Steelworkers union, Indigenous partners and contractually-aligned business, will explore potential viable industrial manufacturing solutions for the site.
“We believe the coastal forest sector has a strong future and we have and plan to continue to invest in partnerships, people and facilities to achieve a long-term sustainable business model in BC that evolves with the changing fibre supply, forest policies and global markets,” said Western’s CEO Steven Hofer. “We are committed to exploring options with partners to advance potential solutions for the APD facility and appreciate the support of the working group members who have stepped up and joined us in this important work.”About Western Forest Products Inc.
Western is an integrated forest products company building a margin-focused log and lumber business to compete successfully in global softwood markets. With operations and employees located primarily on the coast of British Columbia and Washington State, Western is a premier supplier of high-value, specialty forest products to worldwide markets. Western has a lumber capacity in excess of 1.0 billion board feet from seven sawmills, as well as operates four remanufacturing facilities and two glulam manufacturing facilities. The Company sources timber from its private lands, long-term licenses, First Nations arrangements, and market purchases. Western supplements its production through a wholesale program providing customers with a comprehensive range of specialty products.
Source: Western Forest Products