New partnership will provide feedstock for Canadian pellet mill

Representatives of Tolko Industries, Nazko First Nations and Pacific BioEnergy (PBE) have partnered for the Quesnel Timber Supply Area.

The agreement will provide additional log supply for Tolko's Quest Wood sawmill, harvesting work for Nazko Logging and additional fibre for PBE's wood pellet manufacturing plant in Prince George in the Canadian province of British Columbia. The timber will come from PBE's mountain pine beetle salvage licence in the Quesnel Timber Supply Area (TSA).

Tolko's manager of external and stakeholder relations Tom Hoffman comments: 'This agreement provides our Quest Wood sawmill with additional log supply for at least five years. The agreement also allows Tolko to invest in a new biomass processing facility. We will be able to convert low-value mountain pine beetle-killed logs into pulp chips and biomass fibre for use at facilities in the area.'

Nazko Economic Development CEO Gerry Powell adds: 'This agreement provides certainty for Nazko Logging over the next few years. The mountain pine beetle has ravaged most of the pine forest in our traditional territory and we now have an opportunity to salvage the beetle-killed fibre, deliver logs to the Quest Wood mill for production, and use the low-value wood in Tolko's new biomass processing facility.'

According to PBE VP Brad Bennett: 'More harvesting of beetle-killed stands clears the way for reforestation and new trees for the future. We're pleased this agreement sees continued involvement of the Nazko First Nation in the region's forest industry and additional log supply to help keep the Quest Wood mill operating. This agreement generates on-going economic benefits for Quesnel and is a model for cooperation and collaboration that others in the forest industry can learn from.'