Resolute to Construct New Sawmill in Northwestern Ontario

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The Atikokan project will involve the construction of a single line random length (16 ft) sawmill with an annual capacity of 150 million board ft. Approximately 90 people will be directly employed by the operation, and additional indirect positions will be created for hauling finished lumber and residual chips. Final site selection in the Atikokan area will be completed in the next few weeks, and construction is anticipated to begin in the spring, with completion targeted for early 2014. The capital cost of the project is estimated at C$50 million.

"We believe in our solid wood business and we're taking action to grow and improve it. The new random length sawmill will complement our existing lumber product mix in Ontario and will allow Resolute to improve its product offering to customers in central Canada and key markets in the U.S.," said Richard Garneau, president and CEO. "We are particularly excited about the active involvement of First Nations in the project and the opportunity for shared economic benefit that this represents."

When the Atikokan project is complete and the company's upgraded Ignace facility re-opens, Resolute will have three modern sawmills in Northwestern Ontario, with a combined production capacity approaching approximately 600 million board ft. In addition to producing lumber, the sawmills will also contribute to the long-term competitiveness of the company's pulp and paper operations in Thunder Bay through the supply of residual chips, as well as support efforts to reposition the currently indefinitely idled pulp mill in Fort Frances.

Resolute Forest Products produces a diverse range of products, including newsprint, commercial printing papers, market pulp, and wood products. The company owns or operates 21 pulp and paper mills and 21 wood products facilities in the U.S., Canada, and South Korea.