Canfor said Friday it has completed purchase of two southern B.C. sawmills from Tembec.
The acquisition of Tembec's Elko and Canal Flats sawmills includes 1.1 million cubic metres of combined Crown, private land and contract annual allowable cut and a long-term, residual fibre supply agreement for Tembec's Skookumchuck mill.
"Canfor is pleased to welcome the former Tembec employees into the Canfor family and is looking forward to continuing the development of strong community and First Nations relationships," said Canfor CEO Don Kayne in a release. "This acquisition strengthens Canfor's fibre position in B.C. while meeting the increasing needs of our highly-valued global customers."
The purchases will add 420-million board feet to Canfor's annual capacity bringing Canfor's total capacity to more than five-billion board feet. The $60-million deal was first announced in November.
Canfor has planned more than $50 million of capital investments in the southern B.C. mill facilities over the next few years.
