West Fraser expands production curtailments

VANCOUVER, B.C. — West Fraser is expanding its production cuts due to supply constraints resulting from infestations, wildfires, prices declines and log cost increases.

The Vancouver-based company says it will permanently close its Chasm lumber mill and eliminate the third shift from its 100 Mile House lumber mill, both in the third quarter.

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The moves are expected to impact about 210 workers, including 176 at Chasm as production is reduced by about 314 million board feet. Curtailments will cut 125 million and 614 million board feet of production in 2018 and 2019.

West Fraser president Ray Ferris says it will try to mitigate the effects with opportunities for employees to relocate to other company locations.

He says the reduced harvesting levels set by the province's chief forester have resulted in insufficient timber supply to support current production.

The company announced two weeks ago that production would be curtailed temporarily for a week in June at five British Columbia sawmills.

Companies in this story: (TSX:WFT)

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