VANCOUVER, Feb. 22, 2018 /CNW/ - The Board of Directors of
Canfor Corporation (TSX:CFP) today approved the construction of a
new, state-of-the-art sawmill in Washington, Georgia. The new sawmill, which will cost
approximately US$120 million and have
a production capacity of 275 million board feet, will employ
best-in-class mill technology, capitalizing on an excellent fibre
resource in the region to produce high-value dimension and
specialty lumber products. Strategically located near the Company's
existing glulam facility in Washington and the larger population centers
in Athens and Augusta, the new
mill will be able to draw on a strong and skilled employee
base.
Construction will commence in the second quarter of 2018, with
the official start-up projected for the third quarter of 2019. At
full run rates, assuming 2017 market pricing, the sawmill is
forecast to generate annual EBITDA of approximately US$35 million.
"This new mill supports our growth strategy and will provide
strong economic returns over the cycle," said Canfor's President
and CEO, Don Kayne. "We are pleased
to expand our presence in the community of Washington and look forward to providing
additional high value products to our global customers".
Forward Looking Statements
Certain statements in this press release constitute
"forward-looking statements" which involve known and unknown risks,
uncertainties and other factors that may cause actual results to be
materially different from any future results, performance or
achievements expressed or implied by such statements. Words such as
"expects", "anticipates", "projects", "intends", "plans", "will",
"believes", "seeks", "estimates", "should", "may", "could", and
variations of such words and similar expressions are intended to
identify such forward-looking statements. These statements are
based on management's current expectations and beliefs and actual
events or results may differ materially. There are many factors
that could cause such actual events or results expressed or implied
by such forward-looking statements to differ materially from any
future results expressed or implied by such statements.
Forward-looking statements are based on current expectations and
Canfor assumes no obligation to update such information to reflect
later events or developments, except as required by law.
Canfor is a leading integrated forest products company based
in Vancouver, British Columbia
("BC") with interests in BC, Alberta, North and South Carolina, Alabama, Georgia, Mississippi and Arkansas. Canfor produces primarily softwood
lumber and also owns a 54.8% interest in Canfor Pulp Products Inc.,
which is one of the largest global producers of market northern
bleached softwood kraft pulp and a leading producer of high
performance kraft paper. Canfor shares are traded on The Toronto
Stock Exchange under the symbol CFP.
SOURCE Canfor Corporation