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Rubber and Wood October 19, 2016 09:30:03 AM

State-of-the-art Alabama sawmill to begin production in Q4 2017

Paul Ploumis
ScrapMonster Author
Two Rivers Lumber Co. will begin construction of its state-of-the-art sawmill in Demopolis, Alabama during early-January next year.

State-of-the-art Alabama sawmill to begin production in Q4 2017

DEMOPOLIS (Scrap Monster): Two Rivers Lumber Co. will begin construction of its state-of-the-art sawmill in Demopolis, Alabama during early-January next year. The announcement to this effect was made by Gov. Robert Bentley. The company plans to invest nearly $65 million into the project, which is expected to commence production during Q3 2017. The sawmill facility is expected to create 55 jobs initially. Once fully operational, it will add additional 40 more jobs, said the company press release. This is the company’s first mill.

According to Gov. Robert Bentley, the investment by Two Rivers Lumber Co. will make significant contributions to the economic growth of Marengo County. Further, the sawmill facility will bring in well-paid jobs to the region. The creation of new business and creation of jobs will help to bring more prosperity to rural areas of Alabama, Bentley noted. The partnership with the company is very much in line with the city’s goals to foster development of rural counties, he added. The new mill enjoys tax abatements and economic incentives by both the state and the county.

Meantime, the company release noted that it is excited about bringing in quality manufacturing jobs to west Alabama through construction of its new sawmill. The planning for the project had begun almost a year ago. It also thanked the City of Demopolis, the State of Alabama, and its lender, Alabama Ag Credit for making the project a reality.

The mill will be located just south to the meeting point of the Black Warrior and Tombigbee rivers. Twin Rivers Lumber Co has leased the property for initial period of 40 years, with an option to buy the same after 20 years of operation. The company will pay to the city, $1,000 per month as rent for the land. The rent will be raised to $10,000 per month upon completion of five-year lease period. The mill will take in large Southern Yellow pine trees and produce different sizes of dimensional lumber, which will be marketed to all major markets across the US.

The production is expected to begin in September 2017. Upon full operation, the mill will produce 200 million board feet of lumber per annum, operating in two shifts. In addition, the mill is expected to generate indirect jobs in the related forest products industry. For instance, the mill would generate 250,000 tons of wood chips each year, which may open up new businesses which makes use of these chips. The employees, on average, are expected to make $22 per hour. The necessary training for employees will be provided by the state. The mill is expected to turn out to be one of the top five employers in west Alabama.

The company has already signed a contract with BID Group of companies in delivering the state-of-the-art turnkey sawmill complex in Demopolis, Alabama. BID Group will be in charge of designing and building the facility, which will feature most modern technologies including a Comact optimized log bucking system, a Comact saw line and a fully-automated mill outfeed. The planer mill will be equipped with Miller high speed planer and the latest Comact GradExpertTM 2.0. The mill will make use of continuous kiln technology in lumber drying.

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