West Fraser to Sell Its Hinton, Alberta, Unbleached Softwood Kraft Pulp Mill to Mondi Group

West Frasier on Monday (7-10-23) announced that it has reached an agreement to sell its unbleached softwood kraft pulp mill located in Hinton, Alberta, Canada, to Mondi Group plc, a global leader in sustainable packaging and paper.

Pursuant to the agreement, West Fraser will continue to supply fiber to the Hinton mill under a long-term contract via residuals from West Fraser’s Alberta sawmills.

Mondi’s intention, subject to pre-engineering and permitting, is to invest €400 million in the expansion of the Hinton mill, primarily for a new 200,000 tons per annum kraft paper machine, anticipated to be operational from the second half of 2027.

The transaction is anticipated to close following successful completion of customary regulatory reviews and satisfaction of customary conditions. West Fraser will provide a further update during its Q2 results conference call.