West Fraser Timber Announces Permanent Closure of Fraser Lake, BC, Sawmill

Citing its inability to access economically viable fiber in the region, West Fraser Timber Co. Ltd. announced on Monday (1-22-24) that it will permanently close its Fraser Lake, British Columbia, sawmill facility at the conclusion of an orderly wind-down.

The closure will impact approximately 175 employees. West Fraser expects to mitigate the impact on affected employees by providing work opportunities at other West Fraser operations.

The closure will reduce West Fraser’s Canadian lumber capacity by approximately 160 million board feet.

West Fraser anticipates recording restructuring and impairment charges of approximately $81 million in 2023Q4 related to facility closures and curtailments due to the availability of economic fiber sources in British Columbia.

In a press release, West Fraser President and CEO Sean McLaren said:

“Today’s announcement, combined with our recent decision to indefinitely curtail operations at Huttig, Arkansas, and close our sawmill in Maxville, Florida, better align our capacity with demand and available sources of economic fiber. We believe these initiatives, along with the decision to divest three pulp assets and acquire Spray Lake Sawmills in 2023, make West Fraser stronger through the cycle.”