West Fraser Provides Operational Update Regarding Severe Weather, Flooding

Nov. 30, 2021 - West Fraser Timber Co. Ltd. today announced that in response to the flooding situation in British Columbia it is providing the following update on operating conditions and does not anticipate providing another update ahead of its annual and fourth-quarter earnings release scheduled for February 15, 2022.

Operational Update

In recent weeks, severe weather and flooding in B.C. has caused transportation disruptions to rail and truck routes, including limiting access to ports for overseas shipments. In the second half of November, following the weather event that led to road and rail closures, the Company's western Canadian lumber weekly shipments have declined by approximately 25%-30%.

In addition, our pulp shipments to the port of Vancouver, from where the majority of our export pulp ships, have averaged less than 20% of normal volumes.

While West Fraser is utilizing alternative transportation routes and methods to the extent they are available to continue servicing customers, the magnitude and duration of the impact from current weather events remains uncertain. Therefore, West Fraser has reduced operating schedules at multiple western Canadian locations and will continue to make such adjustments as necessary in order to manage inventory levels, raw material supplies and our integrated fibre supply chain.

At the current time, it is not possible to estimate when full transportation services will resume or when the backlogs resulting from the interruptions will be cleared.

About West Fraser

West Fraser is a diversified wood products company with more than 60 facilities in Canada, the United States, the United Kingdom, and Europe. From responsibly sourced and sustainably managed forest resources, the Company produces lumber, engineered wood products (OSB, LVL, MDF, plywood, and particleboard), pulp, newsprint, wood chips, other residuals and renewable energy. West Fraser's products are used in home construction, repair and remodeling, industrial applications, papers, tissue, and box materials.

SOURCE: West Fraser Timber Co. Ltd.

Celadon to Open North American Headquarters and Recycled Pulp Operations in Savannah

Nov. 29, 2021 - Georgia Governor Brian Kemp on Nov. 12 announced Celadon Development Corporation (“Celadon”) will invest more than $155 million in opening a North American headquarters and a state-of-the-art recycling and advanced manufacturing facility in Chatham County, creating 117 jobs in the Savannah area. This represents Phase 1 of Celadon’s major investment project in Georgia.

“Celadon choosing Georgia for their North American headquarters, along with a state-of-the-art recycling and advanced manufacturing facility, highlights our state's ability to recruit companies on the cutting edge of their respective industries,” Governor Kemp said.

According to the Governor’s office, in addition to establishing a North American headquarters and a recycled brown pulp manufacturing facility, Celadon will open a second production line of its recycling and manufacturing operations during Phase 2 of its expansion to Georgia.

Additionally, the company has opened a dry processing plant for clean old corrugated cardboard (OCC), and plans to establish a logistics operation in Chatham County to facilitate its logistical needs.

“The State of Georgia, the Georgia Ports Authority, and the Savannah Economic Development Authority have made our project possible,” said Tim Zosel, CEO of Celadon Development Corporation. “The teams are incredibly proactive and we could not have developed this project without their support.”

Celadon companies process old corrugated cardboard and waste paper into clean commodity products for export. The Celadon Development Corporation plant in Savannah will produce 450,000 tons of product per year from each operation line. When fully built, it is expected that the plant will produce 900,000 tons of product per year.

Once both phases of Celadon’s project are complete along with its dry processing plant, the company expects to export approximately 87,000 twenty-foot equivalent units (TEUs) through the Port of Savannah annually.

Celadon opened its 65,000-square-foot dry processing manufacturing facility at 48 Artley Road in Savannah this month. The company is hiring for truck drivers as well for positions in manufacturing, production, and administrative services.

“At the Georgia Ports Authority, we are proud to support domestic production and jobs for Georgians,” said GPA Executive Director Griff Lynch. “We’re happy to welcome Celadon to the Peach State and to the community of exporters who rely on the Port of Savannah.”

About Celadon

Celadon is a joint venture partnership of Kamine Development Corporation Sustainable Infrastructure ("KDC") and Nicollet Industries (“Nicollet”) formed to deploy large-scale recycled brown pulp infrastructure across North America to create a closed-loop, waste-free industry segment while leveraging its significant experience in the development, financing, construction and operation of industrial projects.

SOURCE: Office of Governor Brian P. Kemp

Morten Brühl to Join Elof Hansson in 2022 as Its New VP Global Shipping

Nov. 19, 2021 - Elof Hansson has appointed Morten Brühl as its new VP Global Shipping. He replaces Staffan Nordin, who is leaving his role for another position at Elof Hansson Group, and Carina Wallin, who, after more than 40 years in the company, is retiring.

Mr. Brühl joins Elof Hansson from APM Terminals Management BV in The Hague, which is part of the A.P. Moller Group. He will take up his new role in March 2022.

"Morten will be a strong addition to the company and management team with his extensive international experience and network of contacts in all parts of shipping and logistics" said Mikael Forslund, CEO of Elof Hansson Group.

Mr. Brühl commented, "I have always admired the businessmen who work at Elof Hansson for their competence and commitment when it comes to service for their customers. I am therefore incredibly happy to start at Elof Hansson and be involved in shaping the successes of the future for our customers and suppliers.”

The Elof Hansson Group conducts international trade in forest products, industrial and consumer products across the world. 

SOURCE: Elof Hansson Group

Smart Shipping Reduces Environmental Effects

The following story is from Domtar’s Newsroom

Sept. 15, 2021 - Providing products people around the world rely on every day involves not just manufacturing, but also millions of miles of transporting. By using smart shipping practices, Domtar has reduced the environmental effects of transporting its products.

In 2021, we will move about 240,000 pulp and paper shipments over the road. To get them to their destinations, drivers will travel more than 126 million miles, which is equal to about 5,100 trips around the equator.

Our products are also traveling by train. Nearly 1,120,000 tons of our pulp and paper will be packed on more than 16,000 rail cars in North America.

Over the last 10 years, we have circumvented more than 650,000 metric tons of greenhouse gas emissions through strategic planning that helps us get products moved as efficiently as possible while also limiting our impact on the environment.

“We have a sophisticated and cost-effective third-party distribution network to get products to customers,” says Debbie Campbell, Domtar’s director of transportation. “Yet we’re always looking at ways to improve efficiency and sustainability when it comes to transporting our products.”

Award-Winning Progress

Our smart shipping efforts have been recognized by both government agencies and our logistics partners. Since 2015, we have been a member of the U.S. Environmental Protection Agency’s SmartWay program, which helps companies advance supply chain sustainability by measuring, benchmarking and improving freight transportation efficiency.

Today, we’re one of just six companies based in South Carolina that are SmartWay-certified shippers. Launched in 2004, the voluntary program provides a comprehensive system for tracking, documenting and sharing information about fuel use and freight emissions. It helps companies identify and select more efficient freight carriers, transport modes, equipment and operational strategies to improve sustainability and lower costs associated with moving goods.

Earlier this year, we were one of several companies recognized by Canadian-based rail carrier CN for our efforts in reducing our environmental footprint and for being part of CN’s commitment to building a more sustainable future. Domtar was recognized as part of the EcoConnexions Partnership Program, which “celebrates companies who are committed to reducing their environmental footprint and being part of the climate solution.”

Three Keys to Smart Shipping

There are three main ways Domtar addresses sustainability through smart shipping:

Mode switch. We want to ensure that at any time, we are using the most efficient mode of transportation available, while mitigating as much carbon dioxide emission as possible. This may involve a mix of transportation modes (trucking, rail, shipping) — called intermodal shipping.

Route optimization. Switching modes often isn’t enough to move the needle in reducing carbon dioxide emissions. This is where smart routing technologies and smart production planning come into play. These smart shipping strategies not only help reduce the total miles we ship, but also the empty miles that don’t have a load. “We work hard with technology companies as well as our own internal optimization tools to help us reduce our shipment plans and empty miles,” Campbell says.

Engaging our partners. As a larger shipper that doesn’t own or operate its own transportation equipment, Domtar must work closely with transportation partners to help them implement initiatives to reduce carbon emissions. Examples include working to maximize truck and container volumes and optimizing product packaging and stacking arrangements. These efforts can reduce the number of trucks or trips necessary to transport our products.

Our geography also helps us. Most of our mills and converting sites are located near the markets they serve. Fewer miles to cover means less fuel burned and fewer emissions.

To take the next step in reducing our carbon emissions, Brian Kozlowski, director of environment and sustainability, believes maximizing our use of intermodal hubs in the coming years will be crucial.

For example, using the intermodal facility in Dillon, S.C., near our Marlboro Mill, we can load our products into a container and truck them fewer than 40 miles before they are lifted onto a train and brought directly to the port in Charleston.

This reduces the number of truck miles our products travel by more than 75 percent, resulting in fewer emissions, less congestion and less wear on the roads, Kozlowski says. Having seen these benefits at the Dillon facility, we continue to advocate for building additional intermodal facilities near our mills and converting centers to offer similar efficiency benefits to our customers around the globe.

Domtar makes products that people around the world rely on every day. We design, manufacture, market and distribute a wide variety of communication, specialty and packaging papers, market pulp and airlaid nonwovens. To learn more, visit: www.domtar.com.

SOURCE: Domtar