Canfor Pulp Products Inc. has decided to permanently close the pulp line at its Prince George Pulp and Paper Mill after analyzing its operating footprint and long-term supply of economic residual fibre. This will result in a reduction of 280,000 tonnes of market kraft pulp annually. However, the Specialty Paper facility at the site will remain in operation. The company will be following an orderly wind-down process, with the pulp line expected to close by the end of Q1 2023 and approximately 300 positions expected to be impacted by the end of the year. Canfor Pulp regrets the impact this decision will have on employees, their families, and the local community, and will be working to support them through this transition.
“In recent years, several sawmills have permanently closed in the Prince George region due to reductions in the allowable annual cut and challenges accessing cost-competitive fibre. This has had a material impact on the availability of residual fibre for our pulp facilities and we need to right-size our operating platform. As a result, we have made the very difficult decision to shut down the pulp line at Prince George Pulp and Paper Mill and will continue to operate the Specialty Paper facility,” said Kevin Edgson, President and CEO, Canfor Pulp.
“We greatly appreciate our valued team members who have been helping to navigate a very challenging business environment,” said Edgson. “We understand and regret the impact today’s announcement has on our employees, their families, the businesses that support our operations, and the local community. We will be working in the weeks and months ahead to support our employees through this transition.”