Miramichi woodlot owners want mill sale to be salvaged

Woodlot owners in the Miramichi region of New Brunswick want the provincial government to step in to stop a mill sale deal from falling apart.

For a year now, Weyerhaeuser and TAG Enterprises from Quebec have been in talks concerning Weyerhaeuser's shuttered oriented strandboard (OSB) mill in Chatham, N.B.

TAG has prepared a wood allocation and business plan and even went so far as to launch a website advertising jobs based on an advertised start date.

However, it seems the deal has never been completed.

Weyerhaeuser has said that TAG is the only group that has expressed interested in the mill since the previous deal with Arbec Forest Products to take over the mill fell apart. Without any further interest, Weyerhaeuser expects it will decommission the mill.

Up to 150 people were once employed at the mill, was the largest buyer of private wood in the region. The region is eager to have the mill reopen so those people can return to work.

Jean-Guy Comeau, director of the Northumberland Forest Products Marketing Board, said in an interview the government now needs to go above and beyond to ensure that the OSB mill reopens.

"It's up to the government to make this thing work, because we are not going to let that mill be torn down like the UPM mill," he said.

The province of New Brunswick, however, said they have already approved the business plan, and have provided a wood allocation, so there is nothing left they can do but hope the buyer and seller finalize the deal.

Source:

Miramichi woodlot owners calling on province to salvage mill deal - Sale talks between Weyerhaeuser and TAG Enterprises have come to a standstill (New Brunswick Business Journal)