Norbord announced that the Quebec Minister of Forests, Wildlife and Parks has granted the company a wood allocation for its curtailed Chambord, Quebec OSB mill that will take effect April 1, 2018.
According to the announcement, Norbord acquired the Chambord OSB mill in the fall of 2016 following an asset exchange. The Chambord mill was built in the 1980s and has a stated capacity of 470 million square feet (3/8- inch basis). Production from the mill was indefinitely curtailed by its previous owner in 2008.
Peter Wijnbergen, Norbord’s President and CEO, commented:
“We are very pleased to have secured a wood allocation for our Chambord, Quebec mill so soon after acquiring it in the fall of 2016, and this is an important first step toward restarting production at the mill. Market conditions continue to improve and we believe will support an eventual restart of the Chambord mill. In the meantime, we continue to develop our detailed engineering plan to support the investment needed to ensure the mill’s long-term viability. We greatly appreciate the support we’ve received so far from government officials and the local community.”
In addition to the Chambord mill, Norbord’s assets in Quebec include an operating OSB mill in La Sarre and a technology research and development center in St-Laurent. Over the last five years, the Company has invested more than USD 35 million to improve and ensure the La Sarre mill’s long-term competitiveness, including significant investments in new technology, equipment and processes.
Earlier Norbord increased Adjusted EBITDA margin to 24.4% in 1Q2017.
The company is an international producer of wood-based panels with assets of around USD 1.8 billion, employing approximately 2,600 people at 17 plant locations in the United States, Europe and Canada. Norbord is one of the world’s largest producers of oriented strand board (OSB). In addition to OSB, Norbord manufactures particleboard, medium density fibreboard (MDF) and related value-added products.