BC’s Skeena Sawmills and Bioenergy Plant Reopen as They Wait Word on a Provincial Grant

The Terrace Standard reported Wednesday (6-14-23) that the Skeena Bioenergy plant reopened on Monday, June 5th, following a resumption of operations at Skeena Sawmills next door on Wednesday, May 31st.

Citing poor market conditions and the high cost of obtaining wood, Skeena Sawmills closed both the sawmill and its subsidiary pellet plant in early February.

Skeena Sawmills CEO Greg DeMille told the Terrace Standard that the company’s plan is to resume sawmill operations with a single shift and then expand within two or three months on the strength of projected market improvements. “Our strategy is to focus our production on industrial and residential timber products while still maintaining conventional lumber products for our existing customer base.”

The reopenings come as Skeena Sawmills waits to hear if its bid for a BC provincial government aid package of $17.5 million (CAD) is successful. DeMille says the money would be spent over the next three years at both the sawmill and the pellet plant to improve efficiency and profitability. The money would come from the province’s BC Manufacturing Job Fund, a $180 million program established to finance projects to add value to wood products.