TimberWest will receive C$3.7m in compensation from British Columbia’s government for the loss of logging rights in the provinical timber reallocation process.
An area of the company’s tree farm licence and two timber licences have been reduced by the province and allocated to community forests, woodlots, First Nations and new entrepreneurs.
TimberWest’s compensation is also for improvements, such as roads and bridges, associated with the areas being reallocated.
The reallocation process is primarily designed to satisfy the US’s demand for a more market-based forestry system in Canada.
TimberWest, western Canada’s largest private forest owner, has 334,000ha of forest, providing an annual harvest of 2.5 million m3 of logs, mostly Douglas fir. The company also owns renewable Crown harvesting rights to 0.8 million m3 of logs per year.
