Canadian forest products company AbitibiBowater Inc has announced a C$32m capital investment plan which will lead to the restart and upgrade of its currently idle sawmill located in Ignace, Ontario.
The investment plan includes the addition of an energy system and kilns to dry lumber, and a planer and packaging system to allow for the production of finished lumber ready for market. Engineering, design and construction activities will take place over the next two years, with a return to production forecast for 2014.
The investment is subject to the company reaching an acceptable labour agreement with the United Steelworkers union and finalising an agreement on municipal matters with the Township of Ignace.
AbitibiBowater’s president and CEO Richard Garneau said the Ignace project is consistent with the company’s overall strategy of achieving greater efficiency with existing assets, focused growth and building on proven competencies.
