Conifex Timber Announced Curtailment of Sawmill and Planer Operations

SEATTLE (Scrap Monster): Conifex Timber Inc. announced its decision to temporarily curtail its sawmill and planer operations for a period of two weeks beginning 17 June, 2024, Monday. As of now, the sawmill and planer are expected to resume full operations on 2^nd July, 2024.

The reason for the curtailment is cited as the ongoing weather-related transportation challenges, which in turn have led to delay in spring log deliveries and lower-than anticipated log inventories. The curtailment is projected to reduce sawmill production capacity by approximately 8,500 Mfbm. The company will continue to deliver logs from m the southern portion of the Mackenzie TSA. Meantime, the northern portion of TSA has commenced summer logging activities, the press release noted.

Also, the company stated that it will appeal the ruling of the BC Supreme Court, upholding the government decision that has prevented the company from diversifying its business operations. The company’s plans to develop High Performance Computing data centers in northern BC were put on hold in late 2022.

Ken Shields, Chairman and CEO of Conifex highlighted the need for forestry companies to diversify and strengthen their revenue streams in order to sustain their operations in the current challenging environment.