Logging & Sawmilling Journal - November/December 2022

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November/December 2022

B.C.’S LIZZIE BAY LOGGING

finds success in diversification

SUNSHINE LOGGING PLAYS SOLID DEFENSE in skewed business environment WITH THIS ISSUE...

ON THE CUTTING EDGE OF INDUSTRY INNOVATION

ONTARIO’S MUSKOKA TIMBER MILLS

pivots to prefinished products

November/December 2022 Volume 53 • No. 6 Editor Paul MacDonald Contributing Editors Jim Stirling, Tony Kryzanowski George Fullerton Tech Update Editor Tony Kryzanowski

FEATURES

Publisher/CEO Anthony Robinson • (778) 991-3500 E-Mail: arobinson@forestnet.com Associate Publisher Hannah Rayment • (778) 688-9127 E-mail: hannah@forestnet.com

On the Cover: The last several years have been busy for B.C.’s Lizzie Bay Logging. In that time, in addition to diligently carrying out active logging activities during COVID, the company has become joint owner of a custom sawmilling business, acquired a towboating company, launched a concrete company—and started a tree services business. Read all about the company’s successful diversification beginning on page 12 of this issue. (Cover photo courtesy of Lizzie Bay Logging)

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4 Spotlight: Filling the

Design & Art Production Manager Sheila Ringdahl E-mail: artwork@forestnet.com

need for fallers

Accounting Manager Shelina Jessa • (604) 731-1535 E-mail: accounting@forestnet.com

There’s a shortage of certified fallers in B.C.—but fallers in training like Melie de Jonge are helping to fill that need, with the help of veteran faller—and certified instructor—Richard Butler.

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8

Playing defense in forestry game

Veteran B.C. logger Clint Carlson is playing defense to weather today’s skewed business environment in the forest industry.

12 Successful

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diversification

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B.C.’s Lizzie Bay Logging is still very focused on logging, but is also finding success in diversifying its business.

18 Solid formula for

26

Tapping into an underutilized fibre resource

A Haida-owned company in B.C. is working with under-utilized fibre, harvested sustainably, along with a custom sawmill operation, to produce value added wood products.

33

Included in this edition of The Edge, Canada’s leading publication on research in the forest industry, is a story from the Canadian Wood Fibre Centre (CWFC).

38 The Last Word

Tony Kryzanowski notes that West Fraser Timber is investing in the future as Canadian softwood lumber producers face a tough year ahead, after some pretty flush times during COVID.

sawmill survival

“We acknowledge the financial support of the Government of Canada” Logging & Sawmilling Journal is a member/associate member of the following industry organizations:

Strong faith, no debt and diversification have all helped Mardis Forest Products survive in turbulent times.

22 Pivoting to pre-

finished products

Ontario’s Muskoka Timber Mills has made a successful market pivot to custom, pre-finished wood products, rebuilding after a devastating mill fire.

DEPARTMENTS

Calendar...........................................6 Tech Update...................................30 Suppliernewsline............................34 Ad Index.........................................37 Classifieds......................................37 Subscriptions.................................37

Logging & Sawmilling Journal - November/December 2022

3

spotlight

FALLERS

FILLING THE NEED FOR

Melie de Jonge with veteran faller—and certified instructor— Richard Butler. De Jonge is bringing plenty of enthusiasm for her new work, and Butler brings 35-plus years of experience, from helicopter logging to grapple yarding and pipeline rights of way.

There’s a shortage of certified fallers in B.C.—but fallers in training like Melie de Jonge are helping to fill that need, with the help of veteran faller—and certified instructor—Richard Butler.

By Jim Stirling

M

elie de Jonge is not one to shy away from a challenge. That is part of the reason why she’s on her way to becoming a certified tree faller in British Columbia with the Canadian Association of Geophysical Contractors (CAGC).

The demanding training and qualification process represents the next logical step toward expanding the growth options

4

for her landscaping and arborist business.

De Jonge was thoroughly engaged in the faller training process: “You never stop learning,” she’s discovering, and that’s a facet of the work she embraces.

De Jonge owns and operates LouLou’s Landscaping, so named after Louis, her enthusiastic canine helper. The duo offers a range of landscape maintenance and construction services to property owners along B.C.’s Sunshine Coast.

The seeds of de Jonge’s interest in log

harvesting began gestating much earlier, in her native France.

“I remember seeing old films with lumberjacks in them, probably not very accurate ones, but I became interested in log harvesting.”

The interest never quite went away.

But it was assigned the back burner after de Jonge first arrived in Canada more than 10 years ago. She began working as a professional landscaper in Whistler, B.C. in 2014. In the winter she worked as a ski instructor in the resort community.

The versatile de Jonge is also a qualified teacher. “I couldn’t afford to take the two months off every summer as a teacher,” she explains. She put the time to good use instead working to establish LouLou’s Landscaping.

Another nudge toward the forest came about a year ago. “The dirt bike club I belong to was using chainsaws to build trails,” she relates. The old spark was re-ignited.

WorkSafeBC (WSBC) dictates: “Any worker falling a tree larger than six inches in diameter must be certified to the B.C. Faller Training Standard.” So de Jonge set off on her new challenge as a trainee faller.

Tree falling as a career is an inherently dangerous occupation. The work is definitely not suited to everyone. It requires a rare combination of sustained physical and mental attributes. It was an exclusively male domain until relatively recently.

Traditionally, women in B.C. have always had a tough time of overcoming male bias against their participation in several types of forest industry related outdoor work. By comparison, countries like Sweden and Finland realized decades ago it makes no sense to arbitrarily dismiss 50 per cent of the population. The Scandinavian forest industry discovered women often make productive operators of sophisticated equipment like feller bunchers. Trainers there say women don’t tend to bring bad machine operating habits with them to new assignments.

Attracting and training people for forest industry jobs is a continuing battle and major industry concern. Canada’s ageing work force is mirrored in developed countries

Logging & Sawmilling Journal - November/December 2022

spotlight around the world. Competition for workers is intense. And B.C.’s forest industry has never developed a concerted and directed approach toward promoting itself as a viable and varied career choice.

De Jonge admits to encountering some “curiosity” when she first showed up for her practical training. “The older people were mostly understanding,” she says.

“But I feel very lucky to be in a generation where things are changing.”

De Jonge was approaching the end of her initial training period when speaking with the Logging & Sawmilling Journal (see below). Next up for her, she says, was a written exam administered by a different qualified trainer than her primary instructor. “If all goes well, I’ll end up with my faller certification.” She plans initially to hone her new falling skills within the context of her work at LouLou’s Landscaping.

The Canadian Association of Geophysical Contractors’ (CAGC) Faller Training program is designed to work in tandem with employers whereby initially the Basic Chainsaw Training Course is completed for bucking type activities followed by supervised industry experience before

returning for a second Faller Training course. A person with experience and certification from elsewhere (i.e. an arborist) may challenge the Basic Chainsaw Training aspect in order to then move directly into the Faller Training Course. This five-day course is followed by a minimum 25 days of supervised industry work with a CAGC Faller Tutor or CAGC Qualified Supervisor Trainer (QST).

WSBC Regulations require a following period of supervision of 180 days or a shorter period as determined by a qualified supervisor or trainer, until the supervisor or trainer is satisfied that the worker is competent to perform the tasks of a faller.

Certain geographic areas in B.C. with challenging tree types and/or terrain require further training to be competent. It is always a requirement of the company to complete its own due diligence by ensuring the worker is competent for specific conditions and work they are doing.

Faller training does not end with certification. “There are regular competency checks so that they can continuously improve,” De Jonge says. These modulartype programs are designed to maintain and expand the fallers’ competence in

managing the hazards encountered working in different terrains and dealing with different timber types.

Richard Butler is de Jonge’s instructor to page 6

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5

spotlight from page 5 and it would be difficult to find a more qualified tutor. The Butler family’s forest industry and falling pedigree dates back six generations to 1854 to Victoria and Vancouver Island. The Butlers moved up island to Parksville in 1902. “I guess you could say falling is in the blood,” understates Butler.

“I’ve been a faller for 35-plus years, from helicopter logging to grapple yarding

and pipeline rights of way,” he summarizes. “I was a small contractor for most of that time.”

Butler’s company, R.I.T. Consulting Inc., is based on Cortes Island between Campbell River on Vancouver Island and the central mainland coast.

R.I.T. was well established long before the formation of the BC Forest Safety Council (BCFSC) in 2004. The company serves on the BCFSC’s Falling Technical Advisory Committee which is drawn from

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within the forest industry.

The Canadian Association of Geophysical Contractors, the BC Wildfire Service and the BC Forest Safety Council are approved by WorkSafeBC to administer the BC Faller Training Standard in the province, allowing each organization to train and certify fallers for their respective industry. Arborist technicians fall under the auspices of the Industrial Training Authority.

Butler is a fully qualified trainer in all four disciplines. He estimates he’s certified more than 600 fallers.

But there’s a perennial shortage of certified fallers in B.C. both up and down the coast and in the interior. Butler cautions the “big money” commanded by qualified production tree fallers can be misleading. Attractive per diem rates are offset by daily expenses including the provision of two functioning chainsaws and other specialized equipment and clothing and insurance costs, he explains. There’s always been more to falling than financial returns, he continues. “You have to have a passion for this job.”

Butler welcomes the interest of women like de Jonge in the profession. “I’m trying to get some federal funding to support an all-women training program. I have several interested in the training,” he says. “It’s not all about production falling; there are jobs in wildfire fighting and prevention, silviculture—there are so many jobs.”

Good properly trained people are key whatever the application. “You have to have the skillset needed to cut down a tree and do it consistently and safely,” says Butler.

CALENDAR

January 18-20

Truck Loggers Association Annual Convention, Vancouver, BC 604-684-4291, www.tla.ca January 17-19

BC Natural Resource Forum Annual Meetings, Prince George, BC

250-640-7469 www.bcnaturalresourcesforum.com February 6-10

Paper Week Canada 2023 The Annual Meeting of Canadian Mills, Montreal, QC 514-392-0265 www.paperweekcanada.ca

6

Logging & Sawmilling Journal - November/December 2022

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Playing defense in forestry game contractorprofile

Veteran B.C. logger Clint Carlson is playing defense to weather today’s skewed business environment in the forest industry.

Sunshine Logging owner Clint Carlson notes that they work in a variety of species and a wide diameter range, thus requiring great versatility in the size and type of logging equipment Sunshine Logging employs in its operations.

8

Logging & Sawmilling Journal - November/December 2022

By Tony Kryzanowski

S

kill alone is rarely enough for professional athletes to succeed. The secret to achieving elite level status is packaged into six simple words: ‘I’m in it, to win it.’ The same can be said of elite level loggers, and Clint Carlson, owner of Kaslo, B.C.-based, Sunshine Logging, is a good example of that.

But even veterans like Carlson are feeling the pressure these days, choosing to hunker down as best he can till some of the general weirdness within the logging sector settles down. He says that the business environment today is so skewed that it’s hard for both forest companies and loggers to make the level of adjustments needed to facilitate a return to the more balanced business environment that existed prior to the COVID-19 pandemic.

While adjustments have been made in the cubic metre rate forest companies are offering to loggers, it’s still not enough to address the extra costs that loggers

contractorprofile Being in mountainous terrain, Sunshine Logging’s cutblocks vary greatly, featuring both low elevation and high elevation timber.

are currently facing, like the prices they are being asked to pay for new and used equipment, as well as fuel.

Because of supply chain issues, many loggers today have to wait twice as long to replace equipment, and at substantially higher prices. So they check out the used equipment market as a stop-gap measure and with everyone in the same boat, this has driven prices up to unprecedented levels. For example, because Carlson was in a situation where he had more equipment in his fleet than employees, he recently sold a processor after two seasons of use and 3500 hours on the machine for essentially the same price that he paid for it.

But given his decades of experience, Carlson is still hopeful. He says that he is certain that the current used equipment market will work itself out eventually.

“I’m convinced that this super cycle that we have experienced won’t go on forever,” says Carlson. “I think that COVID and the newer equipment not coming out of the factories is what drove

those used equipment values up. I believe that it won’t be that long and we are going to see some lower values on used equipment.”

Carlson logs for Kalesnikoff Lumber Company based in Castlegar, mainly for Douglas fir, and Porcupine Wood Products in Salmo, mainly for cedar. He also logs for customers who have won timber sales bids with the B.C. government, such as Stella-Jones and Celgar Pulp.

Sunshine Logging’s annual cut is between 160,000 and 200,000 cubic metres and they log year round. The company’s annual cut varies depending on the percentage of conventional block harvesting they do versus steep slope logging. Being in mountainous terrain, their cutblocks vary greatly, featuring both low elevation and high elevation timber.

Looking back, Carlson and his family have benefitted and prospered from their location in the heart of the West Kootenay region in southeastern B.C. He describes the area’s wood basket as the typical

‘Kootenay Mix’, consisting of Douglas fir, cedar, hemlock, jackpine, white pine, Ponderosa pine, larch and spruce, resulting in several sorts at the landing, from veneer logs for Atco Lumber down to pulp wood—and everything in between. The cutting and transport list varies from block to block. Combined, these species represent a wide diameter range from 8” to 30”, thus requiring great versatility in the size and type of logging equipment that Carlson favours.

“Size and species are completely variable,” he says. “We could end up in stands of smaller jackpine that is .2 of a cubic metre per piece to stands of Douglas fir or spruce that is maybe a cubic metre or more per piece.”

Carlson adds that in terms of selecting a feller buncher or processor head, he tends to favor bigger versus smaller equipment, willing to sacrifice a bit of efficiency in smaller timber blocks with the advantage of having equipment that can work in any size timber. For that reason, he’s found that the Tigercat 870 feller buncher is a good fit for all his cutblocks.

Uptime is important to Carlson to maintain workflow because he tends to ‘hot log’ as much as possible because of the limited decking space available to him on mountainside landings.

At present, he runs two crews with 15 employees. Each crew is equipped with a feller buncher, shovel logger, skidder, processor and loader. To support his fleet, Carlson has also purchased a Falcon winch-assist system to work with one feller buncher and hoe chucker to safely and efficiently access and transport timber on more extreme slopes. He even keeps two, older Skylead yarder systems on standby in his yard to ensure that he has the equipment needed to address whatever challenges a cutblock might throw at him.

“Flat ground for us is like 30 per cent slope,” explains Carlson, of their situation.

Carlson started hand falling, line skidding and yarding after high school. In 1989, he started working for Sunshine Logging. Nine years later, he purchased half the business and in 2018 took full ownership.

Carlson says it was an interesting time to enter the logging profession as the industry was making the transition from manual to mechanized logging. However, he points out that greater volume and efficiency came with a bigger price tag. The

Logging & Sawmilling Journal - November/December 2022

to page 10 9

contractorprofile from page 9 cost of equipment has essentially doubled over the past decade, when a typical feller buncher could be purchased for about $400,000 in 2008. Now, that same piece of equipment is in the $800,000 to $900,000 range.

His wife, Vanessa, manages the books at Sunshine Logging. Attracted by both the logging business and the picturesque snowcapped mountains on the western shore of Kootenay Lake, both their daughters, Kelsey and Julia, are actively involved in the company and the industry. Kelsey started by running the company’s safety program and helping out in the office. Then she and her husband, Shawn, bought his father’s log haul business, SD Sicotte Trucking, in Kaslo with 10 self-loading logging trucks.

Carlson’s younger daughter, Julia, has a Class 1 license, can drive a logging truck, and also runs equipment on his road building crew. She is in a relationship with one of his processor operators. While they are still young and finding their way, Carlson says it is possible that one day, his daughters could take over Sunshine Logging and he and Vanessa would be pleased if that happened. But that’s a conversation for down the road. He still has plenty of fuel left in the tank.

As a stump-to-truck contractor, Carlson is fortunate to have log trucks available through family connections, given the ups

and downs of log truck availability in the Kaslo area. Sunshine Logging only owns one log truck of its own.

His fleet consists of three Tigercat 870C feller bunchers with Tigercat 5203 heads, two tilter Tigercat 870C shovel loggers equipped with Weldco-Beales grapples, a Tigercat 850 purpose-built carrier with a 568 processor head purchased in 2020, and two Hyundai 3026 carriers purchased in 2017 equipped with Southstar 600 processing heads.

The Tigercat 850 carrier with the 568 processing head was among the first commercial units of this model produced by the company. Speaking about his purchasing decision back in 2020, Carlson says the biggest driver behind his decision was that it was Tigercat.

“I was looking for more reliability, and my experience with other Tigercat equipment is that it has better longevity and uptime than excavator-type conversion equipment,” says Carlson. “Tigercat equipment also has good resale value.”

Compared to a conversion, opting for a purpose-built piece of equipment has resulted in easier maintenance, with good access to hoses and filters on the machines. He’s found that fuel consumption is on par with what Tigercat predicted, which is about 22 litres per hour, and again, being purpose-built, it delivers speed advantages with high swing torque, given the twin swing drive

“The 568 head itself is compact,” says Carlson. “It’s doesn’t feel big and bulky but it is quite a mighty head. It will process up to a 28” to 30” log quite reasonably.”

He adds that it also cuts faster than heads on an excavator conversion, saving time and producing a better product.

“We’re getting less ladder check,” he says. Because the saw is cutting faster, it is more of a clean cut, which is particularly important in bigger timber.

The right hand side visibility has also improved with the hooked main boom profile, versus a blocked view with a straight style boom.

For skidders, Sunshine Logging has two Cat 535C skidders, two Cat 535D skidders, and a 525C skidder which have all delivered good performance, but are beginning to show their age. These are a replacement priority for Carlson. They aren’t used often, with most jobs more efficiently managed with hoe chucking.

For road building, Sunshine Logging uses a Dressta TD20 crawler dozer, a Dressta TD25M crawler dozer, as well as two Volvo 300 excavators. They also keep a few smaller size excavators in the yard.

Carlson not only brings an ‘in it to win it’ attitude to work on a regular basis, but also ensures that he is properly equipped to face whatever challenge he faces on a daily basis.

Tigercat is a brand of choice for Sunshine Logging, with their equipment line-up including Tigercat processors, bunchers and shovel loggers.

10

Logging & Sawmilling Journal - November/December 2022

contractorprofile

Successful diversification B.C.’s Lizzie Bay Logging is still very focused on logging, but is also finding success in diversifying its business.

By Paul MacDonald

T

o say the last three years have been busy for B.C.’s Lizzie Bay Logging would be a vast understatement.

In that time, in addition to diligently carrying out active logging activities during COVID, the company has become joint owner of a custom sawmilling business, acquired a towboating company, and launched a concrete company—and

12

started a tree services business (see sidebar story on page 13).

Based in the community of Pemberton, nestled at the foot of Mt. Currie, north of the resort town of Whistler, Lizzie Bay Logging—under the direction of owners Norm LeBlanc and Gord Menzel—has been actively diversifying its operations in recent years, both in the forest industry, and outside of the industry. It’s been a very busy time.

While things related to COVID have settled down quite a bit these days, Menzel recalls that they had strict protocols and procedures in place at their logging camp, right from the get-go—and that approach paid off.

“We were in camp when it first happened, and no one then really knew what was going on,” he recalls. When employees left camp, they pretty much only went home—and only home—to try and

Logging & Sawmilling Journal - November/December 2022

reduce the chance of contracting COVID, says Menzel. “We had a couple of close calls, but nothing that shut us down.”

“We kept things pretty tight at camp— we kept the camp pretty much to our employees. I think that was one of the reasons we got through without a shutdown,” added LeBlanc.

First and foremost, they were concerned about employee health and safety—that was their primary goal.

But any kind of disruption in camp could have easily had a ripple effect on overall operations, and possibly, the jobs of employees.

Lizzie Bay Logging faces a tight time window with transporting much of its wood. After harvesting, the wood is moved to Harrison Lake, where it is then towed out in booms to the Fraser River.

They have a short time window when the water level in the lake and river is high enough to tow the timber.

“Any wood that we want to get out by Harrison Lake has to be moved before the river drops,” explains LeBlanc.

They start logging in the spring, and shoot for August to move the timber on Harrison Lake, to the Fraser. They will have blocks lined up for harvesting, and will start stockpiling wood, to keep things moving. “We want everything ready to go,” says Menzel. “We’ll move some 80,000 to 90,000 cubic metres out to the Fraser River, on Harrison Lake.”

After the summer, they move logging operations, and equipment, closer to Pemberton, where economics allow them to haul to Squamish, about 90 kilometres to the south.

As has been the case for a while, Lizzie Bay Logging works with a variety of brands and models of equipment to do their logging. They like to use different brands of equipment, as long as the equipment is a good fit for them.

“That’s still the case,” says LeBlanc.

“We’re not 100 per cent tied to any one brand. We have good relationships with the equipment dealers.

“We look at it from the perspective of, is this the best machine for this job? And it may be a Tigercat, John Deere, Cat—or whatever. We believe that some manufacturers make a better loader or buncher than others, for example.”

It’s also about service, too, from the dealers, Menzel added—that’s whether the dealer is Finning (Cat), Brandt Tractor (John Deere) Inland Equipment (Tigercat) or Wajax (Hitachi).

Lizzie Bay Logging co-owners Norm LeBlanc (left) and Gord Menzel.

Lizzie Bay Logging branches out …

A

s noted, Lizzie Bay Logging has been busy over the last several years, setting up new companies, doing a joint venture, and acquisitions.

On the forest industry side, they have set up a joint venture with a custom sawmill just down Highway 99, in Squamish, B.C., Van Urban Timber.

“That was a big move,” says Lizzie Bay co-owner Norm LeBlanc. “But it’s worked out well for us. We have our own timber, and we’ve been able to generate more value out of that timber, milling it with Van Urban. It’s turned out be to be a good fit.” The partnership helps Van Urban meet its need for logs, which had been a struggle at times.

Van Urban was founded in 2009 by Eric Savics and Danny Hagge in Vancouver. The company set up new operations in Squamish in 2015.

Working with Van Urban, Lizzie Bay is now able to decide whether to take their logs to the market, or direct them to Van Urban, to achieve the greatest revenue. Menzel noted that Van Urban is all about added value—they are not producing commodity products. They’re turning out post and beam products, for example—there’s nothing remotely comparable to a 2 by 4 coming out of the operation. Van Urban’s main piece of equipment is a Wood-Mizer

WM1000—the first WM1000 to operate in Canada.

Lizzie Bay had its own small sawmill in Pemberton, which has been merged with Van Urban Timber.

They also set up Pemberton Concrete Inc. three years ago, a full service ready mix concrete and construction aggregate business. The company supplies both residential and commercial customers and projects of all different sizes.

The move was significant for Lizzie Bay since it involved the purchase of a large number of pieces of equipment specifically for use in a concrete operation. The company employs a variety of Mormak Equipment, as well as Hitachi and Cat mobile equipment.

They also purchased a tugboat company, Gravity Towing, which operates on Harrison Lake, and had done work for Lizzie Bay for many years.

And they have also set up a tree falling business, Cloudraker Tree Service, as well. It does a variety of complex jobs, from single stem helicopter logging operations, falling, removal of residential danger trees, maintenance of transmission lines and distribution power line right of way. It has done work as part of the clearing for the Trans Mountain pipeline expansion project.

to page 14 Logging & Sawmilling Journal - November/December 2022

13

contractorprofile from page 13 That said, they are certainly fans of some types of equipment, with about half their equipment being Cat, another 35 per cent being Tigercat, and the balance being mostly John Deere, Hitachi, or Case.

There tends to be an equipment focus at their camp.

“We have three Cat 568s in camp, so we can easily stock parts for them,” says Menzel. They also have several Tigercat 855 and 890 machines, so there is commonality of parts there, as well.

“Being isolated at camp, when we discuss new machines, we try to keep the equipment line-up there that makes sense—that’s important to us,” Menzel noted. “A ‘black sheep’ kind of machine can cost a lot of money in the bush when you don’t have any parts around and reliable dealer support.”

In terms of equipment on the Tigercat side, Lizzie Bay has: a Tigercat 890 log loader, 890 processor, 855 processor, 870 buncher, 855 tilter chucker and a 630 skidder. For Cat equipment, they have two 568 road builders, a 568 log loader, a D8R dozer, a D6R dozer, a 730 rock truck, and two 725 rock trucks.

That commonality extends to their fleet of logging trucks and low-beds, which are all Kenworth T-800s, and the same with the fuel trucks with associated fuel company, AC Petroleum.

Overall, and depending on what is going on with the business, Lizzie Bay works to make one big equipment purchase a year. But it also keeps an eye out for any deals that may be in the offing, for heavy equipment.

“We’ve been able to pick up some good used equipment in the last few years, but I’d have to say that there have been slim pickings,” says LeBlanc. “Good used equipment is selling at a premium—

Based in the community of Pemberton, north of the resort town of Whistler, Lizzie Bay Logging has been actively diversifying its operations in recent years, both in the forest industry—including the purchase of a tugboat company, Gravity Towing (above)—and outside of the industry.

no doubt about it.”

Rather than go the auction route for used equipment, they tend to keep the dealers in the know for what they are looking for, and the dealers contact them if they get some good used equipment coming in on a trade, for example.

“It has to be a good piece of equipment, otherwise we are just buying problems down the road,” says LeBlanc. “We have

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pretty good, late-model gear, and we want to keep it that way.”

Used iron has also proven to be a good option the last couple of years when manufacturers were having trouble shipping equipment to dealers. Even now, there are lengthy waits—as much as 14 months—for bunchers, or trucks. As a result, Lizzie Bay has purchased a bit more used equipment than usual over the last

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contractorprofile year. They are currently looking at getting newer equipment on the roadbuilding side. “It’s time,” says Menzel. “The lowest hours piece of equipment we have in roadbuilding is 10,000 hours.

“It’s important having our road construction completed on time as we have such a short time window for our logging,” he says.

When it comes to maintenance, as well as having a shop close to its operations at Harrison, Lizzie Bay has a shop adjacent to its office in the industrial park in Pemberton which looks after its heavy equipment and truck fleet. When things get busy, they also use JT Heavy Equipment Repair, also located in the industrial park.

Both its own shops and JT were busy in the last couple of years.

“We made a decision over the last two years, especially in 2021 because machines were harder to get, and good used iron was at an absolute premium, to do a lot of equipment rebuilds. The machines are still in good condition, and it saved us from having to rely on buying new equipment,” says LeBlanc.

Reflecting this, they put in six new engines and did seven undercarriages last year.

Lizzie Bay Logging’s ventures outside the forest industry include Pemberton Concrete Inc., a full service ready mix concrete and construction aggregate business. The company supplies both residential and commercial customers and projects of all different sizes.

One of their bunchers got a new motor, a new undercarriage, and new pumps. At the end of that, that machine was on site, paid for, and ready to perform, vs. ordering a new machine, with its cost and uncertain delivery schedule.

“We needed equipment quick, and by investing money in a machine you already have, you can bring it up to a good standard,” says LeBlanc.

They have seven heavy duty mechanics at their own shop, and no doubt they have been very busy. They have a solid crew of

mechanics—and LeBlanc and Menzel said they are fortunate, overall, to have a solid group of people working for them.

“I think we’ve done pretty well on the people side of things,” says Menzel. “Norm has been at this for so long, and has a good reputation. I think that people know it’s a good place to work, and we treat people well.” In the big picture, a company is only as good as its people, they both believe. to page 16

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contractorprofile from page 15 LeBlanc set up Lizzie Bay Logging in 1983, and Menzel joined him in the business 18 years ago, and became a partner in the business seven years ago.

In recent years, rather than looking outside the region when they needed new employees, the company has hired local, and worked on developing their skills.

“Gord and his guys have done a really good job of bringing in young people and training—it’s been a challenge, but it’s been successful,” says LeBlanc. “We now have guys who are in their 20s and 30s.

Ten years ago, we did not have anyone that young.”

They have also been actively working with local First Nations bands to hire employees—about 35 per cent of their employees are now First Nations members. “That has been huge for us,” says LeBlanc. “Like us, they are rooted in this community.”

Lizzie Bay is involved in a number of partnerships with First Nations Groups— and hopes to continue to grow that. They are involved in the Tsetspa7 First Nation logging partnership, with combined licences.

In addition to the expansions in other areas making good business sense, having other areas of work helps to keep their people employed, year ‘round.

On the construction side, the company recently completed building a new transfer station for the Squamish-Lillooet Regional District, and has had some large landscaping projects for some new highend homes that have been built in the town. There has been a lot of development going on in the town over the last several years, which was perhaps helped along by COVID, and that has meant more work for Lizzie Bay Logging’s concrete arm, Pemberton Concrete Inc. The

16

Lizzie Bay Logging works with a variety of brands and models of equipment to do their logging. They like to use different brands of equipment, as long as the equipment is a good fit for them. “We look at it from the perspective of, is this the best machine for this job?,” says company co-owner Norm LeBlanc. town is also a short drive from Whistler, which also helped development, since Whistler has some of the highest home prices, and rents, in the country.

“There doesn’t seem to be any shortage of people with enough financial horsepower to buy or build in Pemberton,” says LeBlanc.

But it is kind of a double-edged sword, in that it has also driven home prices and rents up in the area. Any employees the company has hired from outside the area have found it a real challenge to find affordable housing. Hence hiring local makes even further sense.

The last few years have been a busy time for LeBlanc and Menzel—but they

credit the people they are involved with, and their employees, for the success of the different operations. “You can’t do it all—we’re lucky that we have good partners and good employees,” says Menzel.

And, as that old saying goes, the two partners are glad that their business eggs are not all in one basket. “It was very tough in the forest industry in 2008 and 2009,” says LeBlanc. “I think a big reason why we pulled through then was we had diversified into other businesses.” And it has continued along that path.

“I think that diversification is a pretty healthy strategy—it’s working for us,” says LeBlanc.

Logging & Sawmilling Journal - November/December 2022

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BC COUNCIL OF FOREST INDUSTRIES

millprofile The custom sawmilling branch of Mardis Forest Products is backstopped by a Wood-Mizer LT70 bandsaw mill that produces mainly timbers and 1” lumber.

Solid formula

for sawmill survival Strong faith, no debt and diversification have all helped B.C.’s Mardis Forest Products survive in turbulent times.

By Tony Kryzanowski

T

wo decisions taken early on in a sawmilling venture can significantly reduce risk and improve the chances for business success: taking on low or no debt and diversifying manufacturing operations.

Mardis Forest Products, located in southeastern B.C., is a good example of putting that approach into action, operating a high-volume commodity production branch in addition to a custom sawmilling

18

division, while carrying no debt.

In other words, the company has options depending on market conditions, putting more effort into whatever area is generating the most income, depending on wood markets.

Veteran sawmiller Larry Gould has learned his lessons well over the past 28 years. As the saying goes, this isn’t his first rodeo.

Established in 1992, Gould says that Mardis Forest Products, located near the community of Skookumchuck, has come

Logging & Sawmilling Journal - November/December 2022

full circle, except that it has become a much more important employer in the region. It started with five employees and now employs 27 workers.

When the business opened its doors, it began by manufacturing 5/4” x 6” decking sold into the Japanese market, but that venture was derailed by health issues leading to an equipment auction. Gould cleverly held onto equipment he knew he’d need, to relaunch the business once he was well enough to do so.

“We slowly grew, but we did it my way, without any debt and using pieces of equipment that we picked up at various auctions throughout the province,” Gould says.

At present, the company is heavily invested into manufacturing 5/4” x 6” decking through a partnership with major forest company Canfor, which has also opted to produce this value-added product on their own, currently at the Radium sawmill. Mardis Forest Products supplements their program and has become a critical stepping stone for Canfor, to maximize its income potential from this product

millprofile line. Gould already had the Ledermach 524 moulder and knives to produce the decking, from the business’s past, when producing and shipping decking products to Japan.

“It got to be a full time gig down here,” Gould says. “We were producing 15,000 board feet per day.”

Once Mardis Forest Products showed Canfor that they had the knowledge and experience to produce a quality product, the company was convinced, leading to a significant redesign of material flow at the Mardis sawmill, with proper infeeds, outfeeds and chains. The result was increased production, to between 25,000 and 30,000 board feet of production per day.

They also invested in a Ledermach 623SP moulder.

“These machines are phenomenally accurate, provided all the set-up is done correctly,” says Gould.

The manufacturing process starts with Mardis picking up and delivering 5/4” x 6” blank lumber from area Canfor sawmills. They then mould it into decking for such wholesalers and retailers as CanWel, Taiga and Stella-Jones. They also operate as a reload facility for Canfor, producing three different patterns of decking material, and shipping them directly to treating facilities, as required.

“The product itself is totally owned by Canfor,” Gould says. “We do the smaller orders.”

In addition to decking, Mardis Forest Products also produces high volumes of kiln sticks, lath and dunnage used extensively by the forest industry in both lumber production and shipping. In this instance, Mardis purchases 2” dimension lumber from Canfor to produce these commodities.

Then there is the custom sawmilling branch of the business, which represents about 30 per cent of their income. Gould

Mardis Forest Products owner Larry Mardis (above) has seen his business come full circle. Starting originally with five employees, he now employs 27 workers, some of whom he dealt with at other sawmills when first starting out, but who found themselves unemployed with those sawmills closed. says that it is a good moneymaker and in addition to being an important source of revenue, it also represents an insurance policy that he can fall back on should their ‘piece work’ programs ever suffer any serious setbacks.

In other words, while his partnership with Canfor is important and appreciated, Gould hasn’t put all their eggs in one basket and he has expanded his customer base to include other forest companies in the area, such as Louisiana-Pacific and CanWel.

One example of a product he manufactures for CanWel is a premium fence board using a Cantek HBR-300 resaw to custom saw and plane 2” x 6” lumber into 1” x 6”, in both 5’ and 6’ lengths. It is sold in a variety of retail stores, including Home Depot.

Gould’s custom sawmilling business attracts customers from all over Western

Logging & Sawmilling Journal - November/December 2022

to page 20

19

millprofile from page 19 Canada and parts of the U.S. Mardis Forest Products processes an exclusive diet of large diameter and long length Douglas fir, Western larch, and a bit of red cedar.

The backbone of this operation is a Wood-Mizer LT70 electric band sawmill, giving Mardis Forest Products the ability to offer anything up to 18” x 18” timbers, as

long as 26’. The bandsaw mill only manufactures heavy timbers and 1” lumber, which is produced in dimensions generally between 4’ to 16’, but with the ability to produce lumber as long as 26’.

“We don’t keep stock, but fill orders,” explains Gould. “That material is already sold when it comes off the chain. We’ve cut millions of board feet on that WoodMizer. It never stops.”

An investment by Mardis Forest Products into a Wood-Mizer BMS250 blade sharpener has helped them to significantly increase the number of times that they can sharpen a single bandsaw blade, and drastically cut down on sharpening time.

When strictly focused on timbers, they can produce anywhere from 7,500 to 10,000 board feet per shift. Producing 1” material takes a lot longer but that is reflected in the price.

“Timbers go fast, but 1” material takes forever,” Gould says. “You have to receive the same dollar value from that 1” material as you would from the timbers.”

What’s working to Gould’s advantage is his location and his ability to deliver massive timbers to customers within a reasonable driving distance. Large diameter logs to produce these timbers are becoming more and more scarce. Up to 70 per cent of their custom sawmilling production is timbers, many of which are used by Canfor in their bridge construction program.

Mardis Forest Products uses a WoodMizer .050 kerf blade that is 1 1/2” wide on their bandsaw mill. Gould rates the blade’s quality and performance as excellent.

To support their bandsaw mill, they have invested in a computerized WoodMizer BMS250 blade sharpening and tooth setting system.

“It was probably one of the best tools that we could have acquired because the

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Logging & Sawmilling Journal - November/December 2022

longevity of the blades probably tripled, going from four sharpenings to up to twelve sharpenings per blade,” Gould says.

This purchase has also helped the company save on labour because the system is computerized. It only takes minutes to sharpen and set a blade now compared to 20 minutes per blade using manual labor.

Gould emphasizes that properly sharpened and set blades are critical, with his sawyers paying close attention to blade performance and recognizing the need for a change. An improperly sawn timber could result in the loss of $500 of income. He has great confidence in his sawyers, who have been with the company for years.

Mardis Forest Products has been the epitome of stability in what has been a highly volatile work environment, with a number of sawmills closing or changing hands in southeastern B.C.—and Gould has helped a lot of local residents over the years. He has a long history operating in that area and has built many business connections. Today, he employs many of the individuals who worked for bigger sawmills and whom he regularly dealt with. The business has come full circle in more ways than one.

Even though Gould knows he can decide to focus on custom sawmilling exclusively anytime he wants, he feels responsible for keeping these individuals employed. Even during the recent COVID-19 business downturn, he waited till the very last minute to issue layoff notices, reacting only when Canfor itself had scaled back operations. Those individuals have since been hired back.

In yet another example of how Gould has paid it forward, his yard served as a storage and delivery site for a massive amount of hog fuel accumulated at a local sawmill. The hog material, which sometimes consisted of as many as 10 piles on 25 hectares of land, was shipped to a local pulp mill for fuel in a cogen plant.

Initially the contract was for a few months.

It lasted 4.5 years, provided employment for about a dozen seasoned workers who had been laid off when the sawmill in Canal Flats closed, and provided extra income for Mardis Forest Products to help upgrade their equipment line.

“I almost feel obligated because they have come to work for me,” he says. “It’s not just a matter of money anymore; it’s friends who are counting on me for day to day sustenance. I enjoy having those individuals around, and we have put quite a team together. My employees are number one.”

This CanTel HBR-300 (above) allows Mardis Forest Products to produce premium fence boards for CanWel that are retailed in stores like Home Depot.

Logging & Sawmilling Journal - November/December 2022

21

g n i t o v i Pto pre-finished products Ontariosawmilling

Ontario’s Muskoka Timber Mills has made a successful market pivot to custom pre-finished wood products, rebuilding after a devastating mill fire.

By Tony Kryzanowski

W

hile the June 2019 fire that nearly destroyed Muskoka Timber Mills in Bracebridge, Ontario was a tragedy that nearly destroyed the business, it also created an opportunity to change the company’s focus.

Now, a couple of years later, their efforts have paid off, built around a fundamental decision to pivot away from commodity wood production to become an exclusive supplier of custom pre-finished wood products.

Management realized, from their decades of wood product manufacturing experience, that there was plenty of business available within this segment of the wood industry, with consistent demand from local building contractors, homeowners and cottagers. Their location in Central Ontario in the heart of Cottage Country helped. They also had customers that they had been serving consistently with wood products for three decades.

“After the fire, we were getting quite a few phone calls from people saying that ‘we miss you, you knew how to do it, you did it well, there’s not a lot of people doing what you do and we’re struggling to get the quality we want’,” says Ric Singor, company owner.

While it required considerable job retraining to make the transition to prefinished wood products, it saved the original 55 jobs at the mill and the company has emerged stronger than ever.

This decision caps a long journey for Singor who, along with a group of partners, founded the business back in 1992 with the idea of producing timbers to fill local demand.

“It became very clear, very quickly to us

22

that you can’t be in the timber business and not be in the lumber business,” he says.

Muskoka Timber Mills continued to evolve over the years, to the point where it operated a mix of high-volume timber and lumber production equipment, and did custom sawmilling, and production and marketing of value-added products like high quality, pre-finished wood siding under the TimberThane brand name.

Much of the expansion that took place over the years was simply in response to local product demand. Prior to the fire, they were using a 12” double-cut band mill with a 10” resaw unit and a big bull edger producing more than 30,000 board feet of wood products per day, either to fill custom orders or to place wood products into inventory for sale.

After the fire, management quickly looked at what they could afford and got down to business in a hurry in making the transition. They designed a supply chain from the forest right to the customer’s door, to match their vision. As Singor describes it, today nothing turns in the operation that isn’t attached to a customer order, mostly coming from timber framers and builders.

“We won’t cut a log until the square inside that log is sold,” he says. “We know, based on grade, what we can do best with those side boards and we cut them accordingly. We basically know where every one of those boards is going.”

Singor says prior to the fire, about 70 per cent of their energy went into and revenue generated strictly from sawmilling, with the remainder coming from producing and marketing pre-finished wood products.

“After the fire, we sat down as a team and gave a lot of thought to what we

Logging & Sawmilling Journal - November/December 2022

wanted the future to look like as we had this opportunity to hit the reset button and start over,” he says. “The team here felt that their skillset lent itself more to the pre-finished wood sector.”

They can take a white pine log that they have harvested themselves from their tenure in the Westwind Sustainable Forest License (SFL) area located in the Parry Sound/Muskoka area, debark it, and break it down on one of two, commercial-grade, bandsaw mills at the

Ontariosawmilling

front end of their operation, and then funnel the timbers and green lumber in various directions to produce a variety of value-added finished products Muskoka Timber Mills harvests both hardwood and softwood from their SFL allocation, harvesting softwood in winter and hardwood in summer. To harvest their softwood, they use a Tigercat 860D feller buncher and delimb the logs using a LogMax 7000 head mounted on a John Deere 2154D carrier. The logs are

skidded tree length to landings by subcontractors. They are then self-loaded on trucks and delivered to a marshalling yard where they are processed and delivered either for their own use or to log customers. For their hardwood, they also deploy the Tigercat 860D feller buncher. Logs are delimbed by hand.

They will harvest between three and four million board feet of softwood per year and 1.5 million board feet of hardwood per year. About half of their softwood volume is sold while the remainder, about 1.5 million board feet, is processed through their own production line. At present, they sell all of their hardwood species, consisting primarily of hard maple with the remainder being soft maple, yellow birch, white birch and oak. Prior to the fire, the company processed all of their hardwood and softwood, and as Singor puts it, “we probably bought another two million feet of gate logs.”

Today, the company does not depend solely on their own resources. They purchase a variety of partially-finished softwood and hardwood products to complete customer orders, leveraging their drying, planing, moulding, re-manning, sanding and wood treatment capabilities to provide customers with a large selection of wood species, patterns and colors.

About 20 per cent of wood material comes from their own resources and 80 per cent is purchased elsewhere.

Their timber products are manufactured from a combination of locally-sourced and imported softwoods, specifically white pine, hemlock, cedar, and Douglas fir. The sky is the limit as far as what hardwood species they can further finish.

Given the extent of their valueadding capabilities, they can create such moulded products as V-joint, beadboard, shadowline, square edge, centre match, channel, bevel, cove, board and batten, and log look.

Singor says that it was touch-and-go whether they would even continue during discussions held immediately after the fire. Pretty much everything was destroyed except for the area where their Timberthane product was manufactured.

But there was no time to wait because they only had six months of business interruption insurance.

As part of the rebuild, the company significantly increased its value-adding capacity, installing a new water-based paint system with a rapid dry oven which quadrupled their production capacity, and to page 24

The hard work of management and employees of Muskoka Timber Mills in Bracebridge, Ontario has paid off, built around a fundamental decision to pivot away from commodity wood production to become an exclusive supplier of custom pre-finished wood products.

Logging & Sawmilling Journal - November/December 2022

23

Ontariosawmilling from page 23 a new paint system for their pre-finished siding that tripled their potential output.

The front end at Muskoka Timber Mills was re-equipped with a Morbark debarker, a Wood-Mizer commercial-grade LT300 bandsaw as well as a Heartwoodbrand bandsaw mill. Both sawmills are capable of producing timbers as small as 4” x 4” to as large as 12” x 20”. The Wood-Mizer has been modified to be able to process logs up to 24’ long. The Heartwood bandsaw mill was modified to be able to process logs up to 40’ long. They can process logs as large as 36” at the butt.

The average diameter is about 20”.

Production of wood timbers is still a major component of their business, so much so that the Heartwood bandsaw mill is used exclusively for that purpose. The Wood-Mizer LT300 has much wider usage.

Both sawmills are highly automated with hydraulics for log manipulation, computer settings and operators stationed in enclosed cabs. Timbers head in one direction while the lumber heads in another for further processing.

The Wood-Mizer LT300 will produce

about 5,000 board feet per day. Sideboards from either bandsaw mill are processed through a Valley edger and then a Morbark end trimmer. The lumber is dried using one of two new, 20,000-board-foot capacity, Innovated Controls System kilns.

The supplier is headquartered in nearby in Bancroft, Ontario.

Muskoka Timber Mills also has a fourside Kalin-brand planer to complement their timber production that can dress timbers as large as 16” x 26”. The timbers are sold green.

They add value to both their own lumber and purchased material in their millworks shop. Muskoka Timber Mills made considerable investments in this area, post-fire.

Wood processed in the millworks shop first encounters a Raimann-brand, straight line rip saw system which is capable of sawing wide boards into smaller pieces.

The lumber then proceeds to either a Weinig resaw or moulder followed by a Weinig end matcher. The wood components are then sanded and processed through one of two paint shops.

“I don’t know of another company that goes right from the stump to the home-

owner,” says Singor. “So, yes, I think we are unique and we are totally custom. We don’t put anything on a shelf. We dabbled in the pre-finished business prior to the fire. Now it is a big part of our business.”

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The kiln does a great job in a lot less time than we’re used to and puts out a much better product.

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24

Logging & Sawmilling Journal - November/December 2022

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BCvalueadded

Tapping into an under-utilized fibre resource—

sustainably

A Haida-owned company in B.C. is working with under-utilized fibre, harvested sustainably, along with a custom sawmill operation, to produce value added wood products.

By Jim Stirling

C

onventional log harvesting operations which follow all local regulations leave surprisingly large volumes of wood fibre behind them in the

bush. Danny Robertson would see that happening all the time. Surely those wood volumes could represent the beginning of a process and not its end, he reasoned.

A process that would take those underutilized fibre volumes to manufacture

a range of alternate wood products in harmony with local land use objectives and culture.

And now it may be coming to be.

Spruce logs at the North Pacific Timber mill site will be cut into blanks for tonewood (music instrument wood).

26

Logging & Sawmilling Journal - November/December 2022

BCvalueadded The first tentative steps are underway toward achieving that goal on Haida Gwaii, a string of islands off British Columbia’s northern coast. Co-operative efforts are creating a framework for a sustainable secondary or value added wood product manufacturing sector to flourish on the islands (see sidebar story on page 29).

Robertson’s Haida-owned and inspired company—North Pacific Timber Corporation (NPTC)—is contributing to the success of the value added initiative.

Robertson said the direction of the forest industry of Haida Gwaii switched dramatically for the better after 2009 when the Haida Nation began managing the islands’ renewable resources. The Haida initiated a new set of objectives. For many years, B.C.’s political system encouraged large, off-island forest companies to operate on Haida Gwaii.

Barges laden with prime timber created a floating wagon train down B.C.’s rugged coastline. Once in the south, the logs were typically processed into commodity wood products to the benefit of the companies involved and government coffers.

Little of the wealth generated made it home to Haida Gwaii. Eventually, Haida patience evaporated.

The Haida Nation created a comprehensive pattern of land use reserves and exclusions which collectively made large scale industrial forestry on the islands uneconomic. Around 2010, Haico—the Haida Enterprise Corporation—created Taan Forest, a wholly owned subsidiary.

It is Taan which is making wood volumes available today to foster an expanded value added industry on the islands.

“The Haida stewardship of forests on Haida Gwaii was the real catalyst for us to get involved in the industry,” recounted Robertson. Taan Forest’s adherence to the Forest Stewardship Council’s (FSC) certified standards for sustainable forest practices was an additional level of confidence in the way forests were being managed, he said.

“As a local Haida-owned company, NPTC is equipped to harvest timber in a more sustainable and selective manner while at the same time participating in the building of a strong local forest economy,” is part of North Pacific’s vision statement.

The company was created in 2015 and is based primarily in Skidegate on Graham Island, the most populous of the archipelago. Robertson has a business background but Kris May, another of the company’s

With the operation’s Peterson SB1020 swing blade mill are a proud team of Haida young men (above) who work for North Pacific Timber Corporation. From left to right: Tauren Collinson, Daniel Morgan and Nathan Belis. Below is the company’s Washington 118 grapple yarder operating in a block on Haida Gwaii.

to page 28 Logging & Sawmilling Journal - November/December 2022

27

BCvalueadded

Removing a salvaged Western Red Cedar for North Pacific Timber. from page 27 founders, comes from a long time logging family on Haida Gwaii.

North Pacific took advantage of an opportunity, on the equipment side. A Washington 118 yarder had become available on the islands.

Haida Gwaii’s isolation is its inspiration and its business nemesis. Everything has to be imported at a cost. North Pacific acquired the yarder although it is an industrial scale machine best suited to clear cutting, explained Robertson.

“But it was a stepping stone for us toward our desire to salvage the dead and damaged timber left behind after conventional logging,” he explained.

North Pacific set about acquiring the

equipment base for custom sawmilling.

“There is no mechanical falling in any of our harvesting or salvage activities,” reported Robertson. Hand falling is the preferred method using a Stihl 880 with a 48-inch bar or a Stihl 661 with a 36inch bar. A Komatsu 300 excavator fitted with a grapple attachment is used for hoe chucking, with a John Deere 740 skidder available to move felled timber. An International 4900 fitted with a Hiab crane and an 18-foot tilt deck is used to transport the timber. A second Komatsu 300 equipped with a large clean-up bucket is assigned to mill site work.

“Our mill is set up so when round logs arrive at the site, they are deposited by the entrance where we have a scale site area. Often we salvage our own logs, so

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we need to have them scaled prior to going into production.”

The company’s primary breakdown unit is a Peterson SB1020 swing blade mill. It can cut up to a 60-inch diameter log. “It handles all the big logs and essentially makes them into large dimension lumber like 4x4, 4x6, 4x8, 6x6, 8x8 and 10x10.”

A Wood-Mizer LT15 band mill acts like a re-saw, with the ability to break down wood into smaller dimensions. The reman area includes a Wood-Mizer EG100 edger, chop saw and sorting area.

The Peterson and Wood-Mizer mills have acquitted themselves well, added Robertson.

“They are both robust and well designed for the jobs they do and both have excellent parts availability and customer support,” he said. “We have them mounted permanently on concrete foundations to help keep them in alignment—they take a ton of abuse when we place heavy Haida Gwaii timber on them!”

Although it may have relatively modest-sounding equipment and an average daily output of 2,250 board feet, the operation has the ability to produce an array of value added wood products. “As a custom cut mill, we mill to order and will tackle just about anything our present tools and wood supply allow us to.”

Demand is primarily for western red cedar but includes markets for Sitka Spruce, cypress and small volumes of hemlock.

“We will produce dimension lumber for decking, general construction, siding and do specialty cuts,” Robertson continued.

North Pacific Timber can also fill more esoteric orders like spruce blanks for musical instrument manufacturers and orders for boat builders. One example was for Sitka Spruce masts and spars for a cargo sailing vessel building project in Costa Rica (see Instagram message on page 26, and photo on page 29). The largest piece on that project was 72 feet by 24 inches square, recalled Robertson.

Boat building is a continuing tradition on Haida Gwaii. The Haida have built ocean going canoes for centuries.

Now, Taan Forest is enhancing a broader definition of possibilities with its encouragement for value added wood product manufacturers. Its accomplishing that by working with the sector and local communities. Added Robertson: “We’re part of that conversation contributing to change.”

Logging & Sawmilling Journal - November/December 2022

BCvalueadded

Cutting for a lower mast piece for a cargo sailing ship, at the North Pacific Timber yard.

Haida Gwaii pilot project sets up expanded value-added manufacturing

A

recent pilot project is preparing the groundwork for an expanded value added wood product manufacturing sector on Haida Gwaii, off British Columbia’s North Coast. And significantly, the project is helping make available the fibre needed to sustain the expansion.

“There’s been a lot of pressure to developing a sawmilling industry on Haida Gwaii,” explained Jeff Mosher, chief forester with Taan Forest, a whollyowned subsidiary of the Haida Enterprise Corporation.

“We have a successful custom cutting operation in Vancouver,” he continued.

But sawmills on the islands have traditionally experienced issues with reliable wood supply. Now that function is in the hands of the Haida Nation on the islands, there

is renewed hope for the expansion of the value added sector.

Taan Forest’s pilot program began in October 2021 with 5,000 cubic metres designated for the remainder of the fiscal year. It made available discounted log volumes at the company’s Ferguson dry land sort on Graham Island.

“I thought the requests for timber under the pilot project would be for cedar, cedar and cedar,” he recollected, “but the demand turned out to be more diversified.” Cedar was highly sought after by the island’s secondary wood manufacturing fraternity, but it was followed by yellow cedar requests, typically in utility type grades. “It seemed to be getting used for local building projects and orders for boat construction.

“We have been surprised with the hemlock and pine requests being used for small local shed and barn building projects. We expect more use of the program in the spring/summer as demand for fibre from small mills will increase as the weather improves,” anticipated Mosher.

Taan’s project has demonstrated an appetite for wood volumes by the value added sector. “It takes time to develop and our log managers have to get used to dealing with small log volumes,” he added. Making available standing green timber volumes up to 500 cubic metres is a further initiative Taan has launched in response to the imagination of local secondary manufacturing entrepreneurs.

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TECHUPDATE

By Tony Kryzanowski

Self-leveling Bunchers and Harvesters that is well balanced and light on its feet, says the company.

TimberPro’s leveling system is simple yet robust, and by utilizing its tapered pin design, it provides a trouble-free system that’s designed for the long haul. The innovative auto-leveling system sets the standard with up to 28 degrees of forward leveling, 24 degrees of side leveling and 7 degrees of rearward leveling.

Combine all the leveling capability with its quiet and comfortable cab which has class leading visibility, powerful hydrostatic track drive system, stout booms with long reach and TimberPro feller bunchers provide operators with the performance and confidence to harvest on today’s steepest terrain, says the company.

All this performance is possible due to the powerful and efficient Cummins stage V 9-litre engine that puts out class leading 390 hp in the 765/775/785 variant and 350 hp in the 725/755. www.timberpro.com

John Deere

John Deere’s G-series wheeled harvesters are versatile machines that help overcome obstacles, no matter what the harvesting application or terrain.

These machines are loaded with improvements that boost performance, says the company, including an enhanced Intelligent Boom Control (IBC) system option on the 180S boom for the 1070G, CH6 boom for the 1170G, CH7 boom for the 1270G, and CH9 boom for the 1470G that delivers more precise boom control.

The rotating and smooth-leveling cab turns 290 degrees providing 360-degree visibility to surroundings and boom movements. The auto-leveling cab keeps the operator balanced and comfortable in steep and uneven terrain. In addition, the TimberMatic H-16 control system on the G-series wheeled harvesters provides reliable, efficient control of all harvesting functions, for more precise, quicker boom movements and greater productivity. www.johndeere.com

Tigercat

Optimized for steep slope work—with innovative features and technologies—Tigercat’s leveling track machines are used in a wide range of applications including felling, harvesting and shovel logging.

Tigercat’s patented super-duty, leveling undercarriage pro-

TimberPro

TimberPro feller bunchers are built from the lessons learned by over the past four decades, which translates into a machine vides exceptional stability on steep slopes, says the company. It uses two massive hydraulic cylinders and heavy steel sections for a solution that is simple, robust and reliable. Unlike competing systems, the Tigercat leveling system leans into the hill when leveling to the side, which further improves machine stability and operator comfort.

To further enhance the ability of Tigercat’s track machines to work on slopes, an optional cable assist mount is available. The tether anchor bolts firmly to the main carbody structure of the undercarriage, and allows either single or double cables to be attached to the track machine. A variety of third-party winch systems can be used to assist the track machine up or down slopes. www.tigercat.com 30

Logging & Sawmilling Journal - November/December 2022

techupdate tors can harvest closer to the carrier and maneuver confidently thanks to a lower center of gravity and offset boom.

Even on sloped terrain, operators can work with confidence.

The XT465L-5 is equipped with a heavy-duty, four-way leveling system that promotes front, rear and side leveling for exceptional stability. The fuel tank placement lowers the centre of gravity for enhanced stability.

Made to perform in demanding conditions, Komatsu’s XT-5 closed loop tracked harvesters enable operators to simultaneously travel, cut, delimb, harvest and swing timber. Engineered with hydraulic lines for each function, operators can use tracks, boom, arm and tools concurrently.

Benefits of the XT-5 tracked harvesters include: significantly greater lift capacity, 10 per cent more horsepower, 16 per cent more torque, 5 per cent lower fuel consumption, and excellent uptime and serviceability, says the company. www.komatsu.com

Weiler Forestry Eltec

Eltec has developed and refined its leveling system a great deal with its clients, especially in New Zealand, where very steep slopes are the norm.

The input it has received has been invaluable and guided the company to implement a few obvious design principles that produce more effective leveling equipment. First, a lower centre of gravity increases stability. Secondly, Eltec has made sure that there is plenty of track power for the climb. Thirdly, it has also managed the weight transfer, when tilted, to the front of the machine which helps make the most of the machine’s track power and is the equivalent to climbing a hill on the ball of your foot instead of being flat footed, says the company. The demands on forestry equipment are very high, so Eltec makes sure to use top-tier components to produce its product, and bring its ideas to life. www.technologieselement.com

The Weiler Forestry B458 reduced tail swing track feller buncher and H458 harvesters can be equipped with optional extended track roller frames.

The B458 and H458 with extended track roller frames utilize 11 rollers instead of the standard 9 and offer an additional 29” of track length, while maximizing tractive effort. This provides

Komatsu

To harvest trees in tight, dense and rugged-terrain forests, operators need machines with maneuverability, power, versatility and reliability. With Komatsu’s XT-5 tracked harvesters, opera-

increased stability, operator comfort, and maneuverability. With the well-matched swing torque, 35” of unobstructed ground clearance and the ability to cable-assist the machine as needed, the B458 and H458 are well-suited for all steep slope applications, says Weiler.

The reduced tail swing self-leveling Weiler machines feature excellent multi-function capability with dedicated pumps, field proven components, and excellent serviceability, according to the company.

The new spacious cab maximizes operator visibility by providing an open field of view to the work area and upwards through a large skylight. An optional 14 LED light package is available for improved productivity in night shift operations and an optional heated and cooled seat keeps operators comfortable. www.weilerforestry.com to page 32 Logging & Sawmilling Journal - November/December 2022

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techupdate from page 31

Ponsse

The Ponsse Scorpion Giant harvester conveniently fills the gap between the Scorpion King and Bear models in the Ponsse harvester line-up.

It has a powerful two-circuit hydraulic system, which is particularly good in regeneration felling. The power, torque and fuel economy of the Mercedes-Benz engine is better than ever, says the company.

The operator is literally the centre point of the machine. The cabin is located in the middle of the machine, making it easier to see its extremities. The unique crane solution is said to offer excellent visibility in every direction. Good visibility, also on both sides of the cabin, enables efficiency without any limits.

The Ponsse Scorpion Giant features the new H8 head. It provides strong durability, excellent reliability, and lower lifecycle

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cost, says Ponsse. The same is true of the saw blade and chain.

The renewed saw box prevents snow from packing, and the completely new Active Speed function enables changing the feeding speed literally on the run. www.ponsse.com

Logging & Sawmilling Journal - November/December 2022

THE

ON THE CUTTING EDGE OF INDUSTRY INNOVATION

Informing sustainable fibre supply management through the adoption of demonstrated innovative reforestation and afforestation scenarios

BY TONY KRYZANOWSKI

A

s the transition to managed forests accelerates, there are opportunities to implement strategies to grow forests that are more resilient to changing climate, better reflect public expectations for biodiversity and habitat development, while enhancing the economic benefit to the forest community and Canada by expanding wood fibre volume, and enhancing forest health while reducing risks and diversifying forest product values.

In other words, the term “sustainability” has a much wider meaning than simply managing future forests for consistent and predictable volumes of commercial wood fibre. Going forward, it must also reflect the values of quality, diversity and variety to address major drivers of change, those being climate, environmental and social wellbeing, and economic value.

As companies and forest planners develop their forest management and reforestation plans, there is strong demand for guidance to adopt novel practices to achieve the best possible outcomes in these areas—and it is available.

Legacy and demonstration sites developed by the Canadian Wood Fibre Centre (CWFC), Canadian Forest Service, forest industry and their partners over the past 60 years offer a wide variety of strategies, tools, research documents and demonstration sites at an operational level that can provide that guidance, with the goal of developing more resilient, sustainable and diverse forests long into the future. There is also the opportunity to potentially capture more commercial wood fibre over a shorter time frame.

A considerable amount of this R & D has focused on natural and assisted reforestation and modified harvest systems aimed at more selective harvesting, capturing higher values and volumes of wood fibre, and maintaining partial forest cover and mixed species, all working toward greater forest health and product diversity.

Let’s consider a few examples of some of the opportunities available to address the issues of climate, environmental and social well-being, and economic change.

On the issue of a changing climate, the development of future managed forests will not only have an important role to play in mitigating the catastrophic impacts of wildfires, droughts, and the proliferation of insects and pathogens, but also to reduce greenhouse gas (GHG) emissions. Participation in the federal government’s Two Billion Tree program is already available to forest managers in addressing natural disturbance, forest regeneration and expanded afforestation.

Legacy and historic demonstration sites show that adopting novel forest management practices for a changing climate can also deliver economic dividends.

For example, historically, the forest has supplied the raw material for building materials, pulp, and paper products. Now, it is also an important resource for raw materials to generate renewable energy, clean energy, and developing bioproducts like bioplastic and nanotechnologies. While recovery of renewable “opportunity residues” has the potential to lower GHG emissions in the forest, companies can also increase their fibre recovery by up to 20 per cent by pursuing developing green energy markets and other bioproducts with these residuals.

In terms of reforestation, forest companies, in establishing managed forests, are already benefiting from significant gains made over the past 35 to 40 years in nursery practices enhancing seedling quality, consistency, stock options and effective container stock handling from greenhouse to field planting. Advances also include the selection process for accessing quality seed and seed sources in close proximity to final use and the tracking and handling of seed resources and vitality. This coupled with effective site preparation and vegetation management practices, informed

through historic demonstrations and studies, guides present and future applications and opportunities.

“We can put plantations on developed production trajectories relative to the deployed management application and bio-geoclimatic characteristics of the sites, providing them with a growth trajectory forecast that relates to previous experience, moving from a natural forest system to a managed forest system,” says Derek Sidders, Program Manager, Technology Development and Transfer at CWFC. Boreal mixedwood management, combining natural regeneration of root sucker-oriented hardwoods (poplar species) and light tolerant to mid-tolerant softwoods (white spruce) have also proven to deliver multiple values and options for habitat, risk reduction and new product options. Mixedwood management options also include understorey planting of softwoods in mature poplar/aspen stands, understorey protection of softwoods while recovering mature hardwood overstories and selective site prep and planting of softwoods in naturally regenerating hardwood stands.

And there are also considerable benefits of mixedwood combinations over monocultures as a de-risking strategy, as it provides the benefit of a diverse, uneven aged forest, while also providing the social benefits of wildfire risk reduction, biodiversity, enhanced soil fertility, and good water resource management.

Sidders emphasizes that both reforestation and afforestation have important roles to play to achieve overall, long term forest sustainability.

“Afforestation gives us the ability to expand the forest, which gives us another notch in our belt as it relates to managing for a changing climate,” he says.

For more information about accessing developmental legacy sites, contact Derek Sidders at derek.sidders@nrcan-rncan.gc.ca.

Logging & Sawmilling Journal - November/December 2022

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SUPPLIERNEWSLINE FPAC announces Awards of Excellence recipients

The Forest Products Association of Canada (FPAC) has announced the recipients of its annual Awards of Excellence program, which recognizes the outstanding people across Canada who have made exceptional contributions to the forest sector and to forestry communities.

The award winners are: FPAC Community Champion Award Sponsored by TELUS • Todd Doherty – MP for Cariboo-Prince George, B.C. • Clara Reinhardt – Mayor, Village of Radium Hot Springs, B.C. • Dale Bumstead – Mayor, City of Dawson Creek, B.C. • Alberta Northwest Species at Risk Committee (NWSAR) FPAC Partnership Award • Indigenous Resource Network (IRN), Robert Merasty – Calgary, Alberta • United Steelworkers (USW), Jeff Bromley – Burnaby, B.C. FPAC Member of the Year Award • Tom Ratz – Resolute Forest Products, Thunder Bay, Ontario FPAC Lifetime Achievement Award • Susan Yurkovich – Council of Forest Industries & B.C. Lumber Trade Council, Vancouver, B.C. • Mark Tamas – Tolko Industries, Coldstream, B.C. • Joerg Goetsch – Mercer International Inc., Vancouver, B.C. FPAC Rising Star Award Sponsored by MNP • Christa Campbell – Resolute Forest Products, Thunder Bay, Ontario FPAC Women in Forestry Award Sponsored by Silvacom • Wendy Crosina – Weyerhaeuser Canadian Timberlands, Edmonton, Alberta FPAC-Canadian Council for Aboriginal Business (CCAB) Indigenous Business Leadership Award • Dave Gill – Ntityix Resources LP, West Kelowna, B.C. FPAC-Canadian Council of Forest Ministers (CCFM) Skills Awards for Indigenous Youth • Neepin Cook - Misipawistik Cree Nation (Grand Rapids, Manitoba) • Sarah Dixon - Esk’etemc First Nation (Alkali Lake, B.C.) • Jordan Germain - Pekuakamiulnuatsh First Nation (Saguenay–Lac-Saint-Jean, Quebec) www.fpac.ca 34

Tigercat grows line of grapples for end-to-end solutions

Tigercat is steadily growing its line of grapple attachments to provide endto-end Tigercat branded solutions that integrate seamlessly with Tigercat loggers, loaders and shovel loggers.

The new butt-n-top and shovel clam grapples are built with durable boxedstyle jaws fabricated from high strength steel. Replaceable tine tips are made from abrasion-resistant steel.

High quality, heavy duty components are used throughout. Cushioned cylinders, and a soft-start and stop-slew hydraulic circuit prevent structural shock loads and promote extended grapple life while providing ample speed and torque for excellent performance.

With an 8 sq. ft. load capacity area, the BT08 butt-n-top grapple is designed to match up to the 865, 875E and 880E series loggers. The overall design provides exceptional control of tree length timber.

The jaw profile rolls the logs into the load area to maximize load size and minimize cycle times.

The new Tigercat SC08 shovel clam grapple is designed for the LS855E and LSX870D shovel loggers. Also with an 8 sq. ft. load capacity, the shovel clam grapple provides an alternative to dangle style log and bunching grapples. The SC08 can enhance shovel logger functionality and productivity by increasing control of the trees and the speed at which the operator can gather and manipulate the bunches. www.tigercat.com

Hodgson Saw transitions forward as Sawco Industries Ltd. with continued commitment

After 32 years in business serving the forest industry in Western Canada, Hodgson Saw Ltd. is now moving forward into the

By Tony Kryzanowski future with a new name, Sawco Industries Ltd., to accompany business changes over the last year, including new ownership, management team and production staff.

John Drew, owner of Woodco Industries, had dealt with Jim and Judy Hodgson for the past 13 years as a customer, and has purchased the business.

Drew, through his associated business, brings new management resources and approaches to the business, while its experienced technical staff are the point of contact for customers.

“Our expert team is dedicated to excellence and excited about the new future for the Sawco business,” says Drew. “We look forward to growing the business with a continued commitment to quality, innovation, and customer service.”

For customer service and sales inquiries, the contact is Cam Sitch, Customer Service & Sales Manager: Tel. 250-8330342, Cell 250-804-6616 csitch@sawcoindustries.com.

Ponsse launches HH360 rotator for harvester head

Ponsse has launched its new Ponsse HH360 harvester head rotator.

The new rotator is an innovative solution in which the harvester head can rotate 360 degrees freely without limitations.

With Ponsse HH360, the hoses stay in a fixed position from crane tip to rotator all the time.

The rotator enables the harvester head to rotate freely without worry about unexpected downtime caused from twisted hoses.

Said to be powerful and exceptionally energy efficient, the Ponsse HH360 rotator is available for H6, H7, H8, H7 HD, H8 HD, H7 HD Euca, and H8 HD Euca harvester heads when installed as a loose head installation.

All Ponsse harvester heads are designed to withstand the toughest conditions, says

Logging & Sawmilling Journal - November/December 2022

suppliernewsline from page 34 the company. They are characterized by a simple and solid structure which is why they can be used in various harvesting applications. The company’s comprehensive design applies to both mechanical components and the electronic control system, controls, and software. The manufacturing process is highly automated, guaranteeing a high level of quality and measuring accuracy, says Ponsse. www.ponsse.com

TimberPro expanding manufacturing operation

Forest equipment manufacturer TimberPro is making a significant expansion to its current operation in Shawano, Wisconsin.

Working with Keller Inc. as the construction contractor, the new addition will add 48,765 sq. ft. to TimberPro’s existing facility. The company expects to spend approximately $8 million (U.S.) on the expansion project.

The expansion will enable TimberPro to double the company’s production capacity to help meet market demand for the equipment and attachments manufactured at the facility. In conjunction with the expansion, the company anticipates adding new positions for assemblers, welders, machinists and office staff. The expansion project should be completed and ready for occupancy in the summer of 2023. www.komatsu.com

Kalesnikoffs recipient of Family Enterprise of the Year Award

Family Enterprise Canada has chosen Kalesnikoff Lumber as the recipient of its 2021 National Family Enterprise of the Year Award (FEYA).

Kalesnikoff Lumber is a fourth-generation family-owned business that continues to be inspired by the forest and the endless possibilities of wood, says Family Enterprise Canada. In 1939, Koozma, Peter and Sam Kalesnikoff started a horse logging operation that would grow to become a specialized sawmill in Thrums, B.C. The brothers abided closely to the credo, “take care of the land, and the land will take 36

care of you.” This remains the company’s guiding principle to this day.

Kalesnikoff remains a family-operated company, owned by family member Chris, the Chief Operating Officer, and Ken Kalesnikoff’s daughter, Krystle, the Chief Financial Officer.

“Thank you so much for this accolade—it’s really amazing! My dad would be really proud,” said Ken Kalesnikoff, President of Kalesnikoff Lumber. www.kalesnikoff.com

SmartMill goes into the Eurozone with German sale

SmartMill has signed a new contract that includes the sale and installation of its Smart Trim system to Ante-Holz GmbH, the largest timber producer in Germany.

Smart Trim combines three pieces of equipment in one: a lug loader, a positioning system and a multi-saw trimmer.

The result of this technology is the capability to produce infinite lumber lengths.

“This innovative trimming technology, a Quebec invention, is already benefiting from significant success in Canada and the U.S.,” said Jean Bérubé, President of SmartMill. “I’m very proud to confirm the breakthrough of Smart Trim in the European market with one of the largest players in the wood industry in Europe.”

The company says that this new partnership confirms its position as a leader in the forest industry with a unique offering of technological solutions for sawmills.

“We are currently in discussions with other mills in Europe and we are convinced of its success in this new market,” Bérubé added. www.smartmill.ca

Juniper Systems Inc introduces Mesa Pro rugged tablet

processors, a Windows 11 operating system, device customization options, a large sunlight-readable display, and Juniper rugged design, the Mesa Pro is expected to be the most robust 10” rugged tablet on the market, says the company.

Mesa Pro joins the current Mesa family of 7” devices and helps Juniper Systems achieve its mission of providing powerful rugged computing and data collection devices to mobile field workers. www.junipersys.com

HAIX North America introduces new Airpower XR23 boot

HAIX has introduced a new boot to its workwear line, the Airpower XR23. This boot is built for anyone who is rough on their boots, says the company. The boots are said to be perfectly engineered for anyone who is out in the elements all day long.

This sturdy boot features a composite safety toe with puncture protection, builtin arch support and sturdy rough-out European bull hide leather.

“Our bull hide leather is made from some of the strongest hides in the world, which translates into a boot that has unparalleled durability,” says Sandy Longarzo, HAIX Marketing Manager. “European sourced leathers offer some of the highest quality leathers in the world, and since leather makes up over 70 per cent of the boot, it’s the most important component to consider.”

In addition to its long wearing durability, the Airpower XR23 features a

Juniper Systems has entered the 10” rugged tablet segment with the introduction and launch of the all-new Mesa Pro rugged tablet.

Featuring 11th Generation Intel Core

Logging & Sawmilling Journal - November/December 2022

classified completely waterproof, yet breathable, GORE-TEX inner liner that also offers an additional 500 grams of insulation for the colder weather months. www.haixusa.com

Two New Diamond Mowers mulching heads decrease downtime and increase asset use

Diamond Mowers, a leading manufacturer of industrial mowing, mulching, and brush cutting equipment, has introduced a pair of new mulching heads specifically for use with midi level excavators and tractors.

AD INDEX ADVERTISER PAGE Agri-Cover, Inc.................................. 20 BC Used Oil Mgt. Assoc.....................6 Cal Saw & Tool................................... 19 Canada North Res. Expo (CNRE).. 17 Council of Forest Ind. (COFI)........ 25 Drop Manufacturing...................... 14 Lawson Lundell................................ 28 Nisula Forest...................................... 11 Olofsfors.................................................5 Pat's Driveline/Gear Centre.......... 16 Ponsse................................................. 39 Prolenc Mfg........................................ 20 Sennebogen.........................................7 Tigercat............................................... 40 TimberMax............................................2 USNR.................................................... 21 Valutec................................................. 24 Woodland Supplies / Oregon..... 15

www.forestnet.com

The Excavator Drum Mulcher DC Pro X and Boom Drum Mulcher are the next innovations to be rolled out in Diamond Mowers’ expanding portfolio of mulching attachments, further reinforcing the brand’s commitment to innovation and to being a full service solutions supplier for vegetation management professionals.

The new excavator drum mulcher increases the versatility of any midi level excavator while delivering more productivity per pass. Said to be ideal for tackling mulching or brush clearing with power and precision, this efficient solution effectively cuts back and processes unwanted vegetation, making it a good fit for land clearing, vegetation management, and utility and roadside maintenance.

Featuring an unobtrusive design that optimizes visibility, Diamond Mowers’ new boom drum mulcher is a must-have addition for any municipal fleet faced with cutting, processing, and eliminating woody materials from areas that are unreachable with a skid-steer or excavator, says the company. www.DiamondMowers.com

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thelastword

West Fraser invests in the future as Canadian softwood lumber producers face a tough year

By Tony Kryzanowski

I

n a moment of great irony, it turns out that the world’s pivot toward more earth-friendly alternatives like woodbased packaging and away from plastic packaging will actually help maintain a minimum of 270 forest industry jobs in Alberta—a province that is a major supplier of fossil fuel-based petrochemicals to the plastic industry.

West Fraser Timber has announced a major product shift at its iconic Hinton Pulp operation in Alberta, which has produced pulp since 1956 and is one of the first forest industry manufacturing facilities built in the province. It will be shifting production from Northern Bleached Kraft Pulp (NBKP) to Unbleached Kraft Pulp (UKP), while reducing production from two lines to one line.

There will be job losses as a result of this pivot as staff levels will drop from 345 to 270. But it could have had a much worse impact on this community situated on the east side of the Rocky Mountains, and which has depended on forest industry jobs for over 75 years.

West Fraser says it expects to mitigate the impact on employees through natural attrition, retirements and by offering employment opportunities at other West Fraser operations (of which there are many in Alberta).

Not only is this good news for Hinton Pulp workers, but also for logging contractors supplying wood fibre to West Fraser’s Hinton operations, which includes a large softwood lumber mill.

“We remain strongly committed to the community of Hinton, the future of the plant, and to our neighbouring lumber operation, Hinton Wood Products,” says Ray Ferris, West Fraser President and CEO. Speaking about demand, UKP is com-

38

monly used as cardboard packaging, grocery bags, fibre-cement bags and specialty wood products. According to pulp industry analyst Brian McClay, 80 per cent of packaging in e-commerce is paper.

West Fraser adds that since late-2021, the mill has undertaken several product trials and received positive initial customer feedback as to the quality and strength of the pulp produced.

And staff can feel pretty darn good about what this change will mean for the environment, especially in this area so close to Jasper National Park.

According to West Fraser, transitioning to a single UKP line will result in a 35 per cent greenhouse gas (GHG) emissions reduction, or the equivalent of taking 19,900 cars off the road, reduce water use, air emissions and waste generation by 25 per cent, and eliminate chlorine dioxide emissions.

Likely many attending the recent Alberta Forest Products Association (AFPA) conference at Jasper Park Lodge drove past this pulp mill in Hinton and soon discovered at this year’s event that expected gains in the pulp industry are probably the only really good news facing Canada’s forest sector heading into 2023.

“I wouldn’t want you to come out of this presentation feeling positive,” said Paul Jannke, representing forest industry consultants, FEA Partners, in his annual state-of-the-industry speech that is typically very well attended at the conference.

While he made the statement in jest, the economic numbers he presented showed rather dramatically that the days of record prices for Canadian softwood lumber and booming consumption are over, thanks to rising interest rates in Canada and the U.S. aimed at curbing inflation.

Because of escalating interest rates,

the cost of borrowing to buy a home has nearly doubled, with a payment of $1,200 per month increasing to about $2,000 per month. This has had a chilling impact on the residential real estate market, although it won’t be as catastrophic as the cratering that occurred during the housing crisis in 2008.

Jannke expects home construction in the United States to drop from 1.6 million units in 2021 to 1.3 million units in 2023.

He predicted a three per cent decline in lumber consumption for the rest of 2022 and seven per cent in 2023. Oriented strandboard (OSB) consumption, because it is used primarily in home building construction, is also expected to drop between 10 to 13 per cent going forward.

The immediate future looks particularly dire for B.C.’s softwood lumber industry as Jannke indicated that B.C. sawmills are losing money with lumber prices at $500 (U.S.) per 1000 board feet, which he predicts will be the average price in the short term. As a consequence, he expects quicker decisions on sawmill curtailments because of greater ownership concentration within the industry and more aggressive action on permanent mill closures as a consequence of the unavailability of economical fibre to support some mills.

Eastern Canada will also struggle with economical fibre availability as companies travel further and further afield to supply their mills. As has become obvious to everyone, the only area experiencing excess fibre supply is the U.S. South, explaining the current migration of Canadian-based forest company investment into that region.

So the message going forward? Prepare for rough waters in 2023, which could fuel even more industry mergers and takeovers in Canada.

Logging & Sawmilling Journal - November/December 2022

850 568

TH E PERFECT

PACKAGE Pair the Tigercat 850 carrier with the 568 harvesting head for the perfect roadside processing solution. Industry

leading fuel economy, cooling capacity and revolutionary serviceability set the 850 apart from excavator

conversions, while the 568 patented auto-shift drive system maximizes performance and productivity.

www.tigercat.com

Scan to watch the 850/568 processor in action