Issuu

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February 2019

COFI CONFERENCE PREVIEW COASTLAND’S continuous mill improvements deliver solid results With this issue…

The Edge!

NEW LOUISIANA sawmill has strong Canadian connections PERSEVERANCE PAYS OFF for B.C. sawmiller Jason Alexander

FEATURES February 2019 Volume 50 • No. 1 Editor Paul MacDonald Contributing Editors Jim Stirling Tony Kryzanowski George Fullerton Tech Update Editor Tony Kryzanowski

Publisher Rob Stanhope • (604) 990-9970 E-mail: stanhope@forestnet.com

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Office PO Box 86670, 211 East 1st Street North Vancouver, BC V7L 4L2 Phone: (604) 990-9970 • Fax: (604) 990-9971 Website: www.forestnet.com Subscriptions: Canada $58 a year; two years $70; three years, $85. Group accounts, six or more subscriptions, $25 per subscription per year. Outside Canada, $95 per year. Airmail $165. Single copy, Canada $6; elsewhere $10. Reproduction prohibited without permission of the publisher. ISSN 0226-7572. Back copies from 1996 onward are available through our website www.forestnet.com Publications Mail Agreement No. 40064045 Return undeliverable Canadian addresses to CIRCULATION DEPT. PO Box 86670 Stn Main North Vancouver BC V7L 4L2 e-mail: SubscribeLSJ@forestnet.com POSTMASTER: Send US address changes to LSJ Publishing Ltd., PO Box 610, Edmonds, WA 98020-0610 Published February 2019 Printed in Canada on 20% recycled paper.

“We acknowledge the financial support of the Government of Canada” Logging & Sawmilling Journal is a member/associate member of the following industry organizations:

4 Spotlight:

Cutting Edge social media for the forest industry

Through her company Cutting Edge Sacha, Ontario’s Sacha Gendron is very ably demonstrating the power of social media in promoting the wood products industry—and encouraging more women to work in the Canadian forest industry.

10 Perseverance pays off

for B.C. sawmiller

Perseverance has paid off for sawmiller Jason Alexander, with his cedar operation in Valemount, B.C. now having a new wood supply agreement, allowing him to expand the operation, and employ more local people.

18 COFI Conference coming up

Logging and Sawmill Journal previews the B.C. Council of Forest Industries’ annual convention, being held April 3 to 5 in Vancouver, the largest gathering of the forest sector in Western Canada—an event that attracts industry CEOs and executives, senior representatives from customers, as well as government and First Nations leaders.

26 Canucks head south

… to Louisiana

A new sawmill recently started up operations in Louisiana, and it has a strong Canadian connection in its ownership and equipment, through B.C.-based Tolko Industries and the BID Group.

36 B.C.’s Resources Expo

show gears up

Work is well underway for the next Canada North Resources Expo (CNRE) being held May 24-25 in Prince George, B.C., and the interest level in the show from exhibitors—such as suppliers of logging and heavy construction equipment—is high.

DEPARTMENTS

Calendar............................................ 8 Suppliernewsline............................. 60

On the Cover: A commitment to staying innovative and cutting edge through continuous improvements has been the key to continued business success for Vancouver Island company Coastland Wood Industries— and recent capital investments reinforce that solid approach (Photo courtesy of Coastland Wood Industries).

38 Making the switch to

cut-to-length

Quebec contractor Luc Beaulieu made the leap to mechanized cut-to-length harvesting with some gently used refurbished logging equipment, and the switch has served him—and his woodlot customers—well.

44 Family forestry legacy

The Scott Family of Revelstoke, B.C., truly runs a family logging operation, and they’re keenly interested in seeing the family legacy continued—but like a lot of B.C. contractors, they’re facing challenges in achieving that goal.

52 Coastland’s continuous

improvements

Veneer producer Coastland Wood Industries’ business strategy of continuous improvements has delivered solid results for the Vancouver Island-based company.

58 The Edge

Included in this edition of The Edge, Canada’s leading publication on research in the forest industry, is a major feature story from the Canadian Wood Fibre Centre (CWFC).

62 The Last Word

Timber shortages in B.C. are now hitting home, says Jim Stirling.

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Logging & Sawmilling Journal - February 2019

spotlight

CUTTING EDGE social media—for the forest industry

Sacha Gendron says the forest products industry needs to give the “thumbs-up” to having a social media presence.

Through her company Cutting Edge Sacha, Sacha Gendron is very ably demonstrating the power of social media in promoting the wood products industry—and encouraging more women to work in the Canadian forest industry. By Tony Kryzanowski ctivist Sacha Gendron knows full well that information is both powerful and empowering when matched with social media platforms like Instagram and Twitter. That’s why she has launched a communications company that is helping Ontario wood product manufacturers and women involved in the industry tell their stories by filming their efforts, placing them on social media, and helping them to expand their reach. Operating as Cutting Edge Sacha, she says that she already has a backlog of over 50 Ontario wood product manufacturers

and organizations eager to use her services to professionally build their image and business presences on social media. “There is kind of a void in understanding how social media works and how to be most productive on it,” says Gendron. “That’s something I’ve learned and it’s been key to my success—and will be key to helping others succeed as well.” The daughter of Sid Gendron and Sheila Storey, who have established a highly successful urban wood salvage and repurposing business in Ontario called Sawmill Sid, Sacha can still be found on a daily basis working with her father in their yard in Mississauga, sawing lumber from urban salvage wood on their Wood-Mizer LT40

Logging & Sawmilling Journal - February 2019

band sawmill. She works in the business as a sawmill operator, social media manager, and sales and operations manager. Sawmill Sid has gained access to Toronto’s wood diversion lots. They salvage and transport logs to their yard, and saw them into higher value wood products. Typically, these logs would have been chipped. It is Sacha’s experience working at Sawmill Sid that has helped to build her social media business through the industry connections the company has established over the years. Her work experience has also served to fuel her passion and desire to page 6

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spotlight from page 4

Sacha Gendron is the daughter of Sid Gendron and Sheila Storey, who have established a highly successful urban wood salvage and repurposing business in Ontario called Sawmill Sid. Sacha can still be found on a daily basis working with her father in their yard in Mississauga.

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Logging & Sawmilling Journal - February 2019

to become a social media activist in three main areas—promoting the forest industry as positive for both the economy and the environment; promoting greater involvement by women in the male-dominated wood products industry; and, promoting the value of trees as a positive contributor to both the environment and combating climate change. “I noticed two things throughout my journey,” says Sacha. “One is that there is a void in effective wood product promotion such as messages about the benefits of building with wood in particular, as well as demonstrating the effort to do so. Second, I noticed that there is a lack of female representation in the wood industry itself.” The environmental benefits of trees and wood are also a key part of her advocacy. “Wood products hold on to carbon for decades, so you can actively fight climate change by using wood products,” she says. “As climate change progresses, we are going to see more storms, more damage, and therefore more wood waste. Utilizing these natural resources is incredibly important.” She points out that several hundred thousand trees are removed annually in the Greater Toronto Area (GTA) alone, “so it is incredibly important that we make use of these trees, especially if this number is expected to increase.” One of the biggest challenges she constantly encounters is a lack of education among people she talks to about forestry in general, a lack of understanding about responsible forest management, and how Sawmill Sid’s urban wood salvage efforts are positive for both the economy and the environment. “For the most part, after a lengthy conversation, they do understand and we actually get a thank you,” she says. But it is her knowledge about the power of social media that has been a strong driver in her advocacy efforts. Sacha has been able to elevate her advocacy quickly, from being a relatively anonymous employee at Sawmill Sid to being recognized for her leadership in promoting the wood products industry, as well as encouraging more women in trades. This is a testament to the power of social media to educate and influence in today’s globally connected environment. The fact that she has been able to parlay and monetize her social media communication knowledge into a communication company, Cutting Edge Sacha,

spotlight is also another example of how the world is moving more and more quickly away from exclusively brick and mortar businesses to digital commerce. Canadian communication guru Marshall McLuhan coined the phrase, “the media is the message”, in 1964, meaning that the tools being used to communicate are as important as the message being conveyed. In this case, the power of instant messaging with text, photos and video, instant feedback through e-mail, posts, and texts, and being able to change the message frequently and instantly is what’s new with this generation. The danger, of course, is that wood product businesses that ignore this new foundational form of communication either miss out on their true potential—or disappear off the radar completely. For example, would Sawmill Sid be the success that it is today if it hadn’t had a strong social media image and messaging? When Sacha decided to take to social media to share her industry experience, observations and opinions, she started with educating herself in how to effectively use social media, which led to the launch of her Instagram account under

Sacha Gendron’s activism goes well beyond social media. She also works with a Toronto non-profit, Forests Ontario, as an awareness specialist. Sacha and her father, Sawmill Sid, have also appeared on television to promote her experiences as a woman working in the forest industry, as well as the value to the environment of repurposing salvaged urban wood.

the moniker of @cuttingedgesacha. Today, she has over 18,000 Instagram followers and 2,000 followers on Twitter. “I definitely am media savvy, but I wasn’t before I started demonstrating my effort online,” she says. “Once I started to gain recognition, I started to realize that

social media is one of the most powerful forms of communication, so I spent hours and hours educating myself on how to effectively promote messaging. to page 8

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Logging & Sawmilling Journal - February 2019

spotlight from page 7 “I think if I was doing what I am doing without social media, I would not have a public face and so I absolutely would not have made the progress that I have made today.” Having discovered the power of communication platforms like Instagram and Twitter in today’s digital world through her own success, she now wants to share her social media expertise with those who need it. She particularly likes Instagram, which she describes as a photo and video blog where individual followers can see immediately what activity she is involved in, and provide feedback. She describes Twitter as more of a news feed, where it is easier to get lost among all the messages being posted. But her activism goes well beyond social media. She works with a Toronto non-profit, Forests Ontario, as an awareness specialist. Sawmill Sid and Sacha appeared on a Toronto CTV morning television show to promote her experiences as a woman working in the wood products manufacturing industry, as well as the

value to the environment of repurposing salvaged urban wood. She has a one year contract with the Small Arms Society in Mississauga to promote environmental work, which includes building an online platform for them. The Small Arms Society and Sacha have also partnered with Sheridan College to develop an online promotional campaign about a wood repurposing and building project they have launched. Sacha is also participating in a program called, Girls Can Too, hosted by the Toronto and Region Conservation Authority, for young women who have not generally been encouraged to pursue a skilled trade as a career, to learn these skills in a safe environment. She demonstrated her work operating the band sawmill. “It showed them a hard working woman working behind the mill, which is something they otherwise would not have seen,” says Sacha. “The response was incredible and I got a lot of thank you’s.” What she is hoping to get across through both her media messaging and awareness work is that skills, abilities and passions are personal and not gender-specific. That message seems to be garnering

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the most activity on her social media sites. “There is such a lack of women representation in this field, so it inspires me to get these e-mails and positive feedback, and know that I am being a role model for women sawmillers and other women in the wood industry,” she says. Sacha has also been asked, by photographer Lisa Macintosh, to take part in an inspirational women’s series called ASK, which is focused on her efforts to convey positive environmental messaging to the world and simultaneously empower women and contribute to causes that she says need attention, while using social media platforms for social good. “I have also been working with Habitat for Humanity in Mississauga, because they have the only revive centre in either Canada or the United States,” she says. “It’s an upcycling centre that includes a workshop, a do-it-yourself space and a kids build room. They have been turning locally salvaged wood into usable wood products. I help to promote these activities. “The main thing that excites me is that it’s working,” Sacha concludes. “It is empowering and educating people.”

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millprofile

PERSEVERANCE PAY has for B.C. sawmiller Perseverance paid off for sawmiller

Jason Alexander, with his cedar operation in Valemount, B.C. now having a new wood supply agreement, allowing him to expand the operation, and employ more local people.

Thanks to a wood supply agreement with the Valemount Community Forest, Jason Alexander (above) now has a stable source of wood, and that has given him the confidence to expand, and move ahead with a post and rail operation for Cedar Valley Holdings.

By Paul MacDonald ason Alexander is one heck of a determined sawmiller—and he’s got the track record to prove that. Alexander owns and operates Cedar Valley Holdings Ltd, a western red cedar shingle producer in Valemount, B.C. Over the past decade—and then some—Alexander has struggled to get enough fibre to keep his employees busy, and to keep product headed out the mill gate. But things have changed for the positive for Cedar Valley recently on the wood supply side—so much so that Alexander has recently started up a post and rail operation, and hired additional employees.

And the business now has a new building to handle the additional production. The building was built on the site of a long-shuttered dimensional sawmill, on land that is now owned by the Valemount Community Forest. The community forest has signed an agreement to provide Cedar Valley with a guaranteed 5,000 cubic metres a year for the next 20 years. That may not sound like much volume if you are a large sawmill, but for Cedar Valley, it provides them with a stable source of wood, and has given them the confidence to expand, and move ahead with the post and rail operation. But it’s been a very long, and often

Logging & Sawmilling Journal - February 2019

difficult, road since Alexander moved to Valemount in 2000, and set up a modest cedar shingle operation. It’s no surprise that Alexander is involved in this part of the forest industry. He started work at his father’s shingle operation in the Fraser Valley, Golden Ears Shingle, when he was a teenager, and his grandfather logged in the Fraser Valley. The Fraser Valley, around the Mission area, is truly the Mecca for western red cedar shake and shingles, with many operations in the region. “I’ve been involved in this business for quite a while,” says Alexander. “I don’t know what it is about the cedar business, the love of the wood, the

millprofile

YS OFF

Valemount, B.C., has a spectacular geographical setting, being situated between the Rocky, Monashee, and Cariboo Mountains. But it can be a challenging place to operate a mill since it’s some distance away from major service centres, such as Kamloops and Prince George.

characteristics of the cedar itself. I really could not put my finger on one thing.” It’s pretty clear, though: western red cedar is pretty much in his DNA. When Alexander was still down in the Lower Mainland, he noticed that cedar blocks from the Valemount area were being trucked down to his father’s operation. So it was a business opportunity for a cedar shingle mill that brought him to Valemount, about three hours southwest of Prince George. Alexander started out with a modest operation. “When we came up to Valemount, we were pretty small,” he explains. “We had one small shingle machine. I hand-bucked

the wood and sawed it on a Streifel machine, and my wife Brianne packed the shingles.” Their biggest challenge, from the getgo, was sourcing a steady supply of wood, in spite of the presence of large amounts of cedar in the surrounding forests. “We struggled for fibre for years—it was really a hand-to-mouth existence for us,” says Alexander. “It got to the point that at times we were down more than we operating. “We’ve got a great mill here—but it’s nothing without a wood supply, to keep it going,” he added. At times, he was trucking in wood from as far away as Terrace and Salmon Arm, to keep the operation working. “It was very costly,” he says. “I could only do so much of that. But the extra wood kept the guys working.” Working with the community forest, he also did some log trading. Such deals, although they did not provide a long term source of wood, also helped to keep the mill going.

What helped spur things along for Cedar Valley, though, was the wood agreement struck with the Valemount Community Forest, which has a good amount of timber in the area. And it’s added to that in recent years. In early 2016, the community forest purchased a forest licence from Carrier Lumber. The community forest now has two community forest licenses and a small forest licence, with a total annual cut of about 70,000 cubic metres. The Valemount Community Forest also purchased 240 acres of land at the former Carrier Sawmill site in the town, where it has built an industrial park. It’s hoping to attract mill-related and wood products related businesses to the park. Cedar Valley re-located to the park about a year ago. Putting together Cedar Valley’s manufacturing operation involved a great deal of resourcefulness on Alexander’s part. He was able to pick up some equipment

Logging & Sawmilling Journal - February 2019

to page 12

millprofile from page 11 from Carrier Lumber, which still had some limited machinery still on site. The dimensional mill had gone through a few hands. Forest giant Canfor used to have a sawmill on the site, but it sold the operation to Northwest Specialty Lumber in 2005. It operated the mill for several years. Prince George-based Carrier Lumber then purchased the mill, but never operated it. Alexander also picked up some equipment from the McBride Forest Industry veneer plant, and post and rail equipment from TRC Cedar, two businesses in nearby McBride, that had shut down. As mentioned, their shingle machine is from Striefel Industries, of Maple Ridge, B.C. The log deck cut-off saw is from L&M Equipment. They use Cannon bars on the cut off saw. The shingle saw grinder is an Armstrong #25, and they have a Dinasaw T-Rex automatic chain sharpener. On the post and rail side, it’s all custom, either built by Cedar Valley or acquired from TRC, which had the equipment custom-built. Alexander travelled to a lot of equipment auctions, buying a lot of used iron. He says it has been a bit of a battle at times meshing all this equipment from an assortment of mills so it works productively. “It has been a challenge,” he says. “That explains the addition.” They had a pretty constricted work area, but have recently expanded with an 80 by 70 feet building that easily accommodates the post and rail, and shingle operation. “Originally, we weren’t thinking about going in that big on the post and rail operation, but when we were able to get more equipment from TRC Cedar, we put it in, and found we were quickly out of space.”

Cedar Valley Holdings had a pretty constricted work area, but it has recently expanded with an 80 by 70 feet building that easily accommodates the post and rail, and shingle operation.

Alexander has now successfully wrangled all that iron into place. Having worked for his father’s business in Mission, he knows the cedar business—and the equipment involved—inside out. “I’m really the hands-on, how best to utilize the log side guy,” he says. He said that Robert Johnson from McBride, of Real Tree Wood Products, has been invaluable during the build. Alexander said Johnson is a talented old school millwright with a terrific knack for working with what’s he’s got in front of him. Truly a bonus in terms of overall wood utilization in the region is that Cedar Valley uses some pretty rough wood, with splits and cracks, to make its posts and rails. It is essentially using cedar that would not be suitable for producing shingles, or lumber, for that matter, and adding value to it. Initially, Alexander was thinking that he

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would simply stockpile and sell the post and rail logs he was getting as part of his agreement with the community forest. “But we could not come up with a market for those logs, so we decided to produce the posts and rails ourselves.” And since they are now making use of those logs, it also means another revenue source for the loggers producing that wood, outside of the community forest. “In addition to working with what we have, we are now actively pursuing and sourcing post and rail logs,” he explains. “It really makes a difference for the logger and the tenure holder, seeing the value in that cedar being put on a truck and sent to us, rather than going through all the work of logging it, and then seeing these low grade logs go into a burn pile.”

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Logging & Sawmilling Journal - February 2019

to page 14

millprofile

The Valemount Community Forest purchased 240 acres of land at the former Carrier Sawmill site in the town, where it has built an industrial park. It’s hoping to attract mill-related and wood products-related businesses to the park. Cedar Valley re-located to the park about a year ago. from page 12 The agreement Alexander has with the Valemount Community Forest gives him control over the cedar in the blocks, and who logs it. He works with local logger David Craig, whom Alexander praises. Craig gets into the steep ground, and also has plenty of experience at hand falling, when it’s required, he says. Cedar Valley does a fair bit of trading with its wood supply, though that is not new. Gilbert Smith Forest Products, a major cedar mill to the south in Barriere, has been a big trading partner with the company for a number of years. “I’ve worked with Gilbert Smith and traded with them for years, but it wasn’t enough wood.

Now with my own wood licence, and the extra volume from that, it’s made the difference.” The company has a 10 acre site, which sounds like a fair size, but it’s amazing how that can get filled, says Alexander. “Sometimes that’s a good size, but when we start logging, you’d be surprised at how you can run out of space.” And when wood is available, Alexander grabs it. “When they start logging, you take all that you can, because there may be a long lull before someone is back into the big cedar that we need. “ This past summer, Alexander was running the post and rail operation on a trial basis, doing de-bugging and quality control, before starting to sell product. He was hoping things would be complete

soon, but was in no rush. “We’re taking it day-by-day,” he added. “I don’t want to get too panicky about it.” He does not want to cause problems for the operation by pushing the completion. “Don’t get me wrong—I want to sell post and rails as soon as we can because we’ve invested a lot of money, and I’d like to see some money coming in. But I’ve always been very quality focused. “I’ve always said to our employees that quality comes before quantity—I want to sell a good product. If I wouldn’t use it, I don’t want to be selling it to someone else. The important thing is that it is working, and our numbers are starting to come up—so it’s all good.” Valemount has a spectacular geographical setting, being situated between the Rocky, Monashee, and Cariboo Mountains. But it can be a challenging place to operate a business since it’s some distance away from major service centres, such as Kamloops and Prince George. “Everything is at least a day away,” says Alexander. “Getting the exact part you need when that part breaks down, well, it can be painful.” To account for this, he keeps a good supply of parts on hand. Alexander still goes to the very occasional auction to look at iron, but he says that they are pretty well set up now, equipment-wise. Even though he has been fortunate to pick up pieces in the past, it can be pretty hit and miss, he says. “If I’m going to an auction for a dimensional mill, I’m not going to see very much. With the shingle, and post and rail side, it’s very specialized equipment.” to page 16

Logging & Sawmilling Journal - February 2019

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millprofile from page 14 Often such equipment comes available through word-of-mouth. They are also well set-up on the mobile equipment side, with three loaders, including a late-1970’s era Cat 966 front end loader, equipped with a WeldcoBeales grapple, that is still going strong. “It’s one of the best pieces of iron ever built,” he says. They also have a John Deere 2054, also with a Weldco-Beales grapple, and fairly new to them, a John Deere 624G with a CMS bucket. It’s clear that Alexander takes great satisfaction in seeing his mill operation approaching full productivity, after some frustrating years. Being communityminded, he also takes satisfaction in the jobs that have been created. He notes that Cedar Valley is not a huge operation, but by working with cedar, they are able to create a lot of jobs per cubic metre vs. dimensional sawmills. Walking through a modern sawmill these days, you are hard pressed to see many workers, considering how automated sawmills can be. “Cedar is a way to create a lot of jobs—it’s really hands-on,” Alexander says. “We might go through only 40 metres of wood a day here, but we employ 10 people, which is pretty impressive.” He also noted that some of their products, whether it is shake blocks or shingles, are often re-manned once it reaches their customers in B.C.’s Lower Mainland.

Truly a bonus in terms of overall wood utilization in the region is that Cedar Valley uses some pretty rough wood, with splits and cracks, to make its posts and rails. It is essentially using cedar that would not be suitable for producing shingles, or lumber, for that matter, and adding value to it. “The wood gets opened up and re-handled, before it goes to the end customers, so there are even more jobs created there.” His father’s business, for example, will take cedar and make valueadded products, such as ridge caps and builder’s shims. While most of his cedar products have gone into the Fraser Valley in the past, Alexander says he will be dealing with a broker on the post and rail products. “I don’t think the Canadian market is going to be big enough to handle the post and rail, so we’ll probably go with a U.S.based broker.”

Logging & Sawmilling Journal - February 2019

Things are finally coming together for the business these days, although Alexander still has long days—and those probably won’t be going away anytime soon. But he’s happy with the support, and licence, he has received from the Valemount Community Forest. “Craig Pryor, the manager of the community forest, and its board, were great,” he says. “They want to see jobs created and that’s what a community forest should be all about. “I don’t believe people should have to go to Alberta to find work, as they have had to in the past,” he added. “There is work here. I can’t hire everyone, but I can hire some people.” The goal should be to keep more of the fibre in the Valemount area, and create jobs, rather than trucking it all the way to mills in Prince George, he says. Alexander also credits his local MLA, Shirley Bond, for helping to make things happen to access a wood supply, and the support he’s received in the community. One of the few things Alexander is now seeking for Cedar Valley is a work trailer. Like a lot of loggers and sawmillers, his pick-up truck has been his office. “I’d like to take all the paper that’s in my truck now, and move it to an office.” It would also make it a bit easier for his wife, Brianne, who takes care of the marketing/office work. “The way it is now, Brianne sometimes has to chase me around, looking for paperwork,” he jokes. “That way, too, we can move the computer from the kids’ playroom at home.”

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industryevents

Full landscape of issues to be discussed at conference

Market volatility, lumber markets in China, softwood tariffs, staying competitive— the full landscape of forest industry issues will be discussed at the upcoming not-tobe-missed Council of Forest Industries (COFI) annual convention being held in Vancouver in April. 18

Logging & Sawmilling Journal - February 2019

industryevents

By Jim Stirling

stimulating and encompassing agenda awaits the 700 or so anticipated delegates and guests to the 2019 British Columbia Council of Forest Industries (COFI) annual convention in Vancouver April 3 to 5. Elected officials, forest company executives and experts from a range of industry supporting ventures will be on hand to provide insight and encourage an exchange of views on a full range of issues confronting the forest sector in 2019. The year promises to be nothing if not interesting. One of the characteristics of 2018 for the lumber production sector was the significant U.S. market volatility, reflected Susan Yurkovich, president and CEO of COFI. Lumber prices in the U.S. seesawed from the $600 per thousand board foot level down to the $300s during the year. “Volatility like that is not good for anybody,” observed Yurkovich. Prices remained down but were more stable crossing the cusp into 2019. “There has been a recent uptick in U.S. housing starts and the repair and remodeling sector is really significant for lumber consumption as we move toward the building season,” she noted. Overseas, Asian markets continue their growing significance to British Columbia’s lumber producers, representing about 30 per cent of the province’s wood exports.

to page 22

Logging & Sawmilling Journal - February 2019

industryevents

exhibitors

BOOTH # COMPANY NAME WEBSITE 45............A.D. Rutherford International................................. www.adrutherford.com 3..............BC First Nations Forestry Council......................... www.forestrycouncil.ca 7..............BC Forest Safety Council (BCFSC)...........................www.bcforestsafe.org 13............BC Timber Sales...................................................www.for.gov.bc.ca/bcts 8..............BCIT..................................................................................... www.bcit.ca 28............BID Group of Companies................................................www.bidgroup.ca 30 & 31....Brunette Machinery Co. Inc.................................... www.brunettemc.com 42............Canadian Forest Industries Magazine (CFI)............ www.woodbusiness.ca 0..............Canadian Women in Timber (CWIT).... www.canadianwomenintimber.com 51 & 52....CN Rail................................................................................... www.cn.ca 36............Denning Health Group........................................... www.denninghealth.ca 17............DLA Piper (Canada) LLP..............................www.dlapiper.com/en/canada 41............DO2 Industrial.................................................................. www.do2.ca/en 22............Farris, Vaughan, Wills & Murphy LLP................................ www.farris.com 24............Finning Canada..............................................................www.finning.com 38............Forest Practices Board....................................................... www.bcfpb.ca 49............Forestry Innovation Investment Ltd.......................................www.bcfii.ca 1..............Forsite.............................................................................. www.forsite.ca 48............FPInnovations.........................................................www.fpinnovations.ca 29............Halco Software Systems Ltd...............................www.halcosoftware.com 35............HewSaw Machines Inc................................................ www.hewsaw.com 44............Industrial Autolube Int’l Inc.............................................www.autolube.ca 18............Leavitt Machinery...........................................www.leavittmachinery.com 15............LINCK GmbH.....................................................................www.linck.com 16............Logging & Sawmilling Journal (LSJ).................... www.forestnet.com

BOOTH# COMPANY NAME WEBSITE 10............Lucidyne Technologies, Inc......................................... www.lucidyne.com 4..............LumberShield Corporation...................................... www.lumbershield.ca 46............Ministry of Finance, Forest Revenue Operations (FRO).... www.2.gov.bc.ca 32 & 33....Murray Latta Progressive Machines Inc................. www.mlpmachine.com 37............Nicholson Manufacturing..........................................www.debarking.com 26............Optimil Machinery Inc....................................................www.optimil.com 27............Owens Corning........................www.interwrap.com/protective-packaging 43............Petro-Canada Lubricants Inc............... www.lubricants.petro-canada.com 21............Porter Engineering Ltd.............................................. www.portereng.com 11............Raptor Integration Inc.................................................... www.raptorint.ca 19............Samuel Packaging Systems Group................................www.samuel.com 14............SCSFP by Finna.......................................................www.finnagroup.com 23............SiCam Systems................................................. www.sicamsystems.com 34............Signode Canada.......................................................... www.signode.com 6..............Springer Microtec Inc....................................www.springer-microtec.com 5..............Sustainability Forestry Initiative................................ www.sfiprogram.org 50............USNR.................................................................................www.usnr.com 25............Valutec Wood Dryers Inc.................................................. www.valutec.ca 20............VETS Group..............................................................www.vetsgroup.com 40............VK North America LLC....................... www.valonkone.com/north-america 2..............Wellons Canada.............................................................. www.wellons.ca 39............Wesgroup Equipment................................www.wesgroupequipment.com 12............Westburne..................................................................www.westburne.ca 9..............Wolftek Industries Inc......................................................www.wolftek.ca 47............Wood WORKS! BC / CWC......................................... www.wood-works.ca

Logging & Sawmilling Journal - February 2019

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industryevents from page 19 Western media commentators have recently voiced concerns about the slowdown in the rate of growth in the Chinese economy and the world-wide impacts that could trigger. But despite the doomsayers, the Chinese economy is still predicted to achieve GDP growth of 6.2 per cent in 2019, according to The Economist magazine. Not too shabby a figure: the respective expectations for the Canadian and U.S. economies are 1.8 per cent and 2.2 per cent growth rates. The sheer size of the Chinese economy means that overall 6.2 per cent predicted GDP growth in 2019 is spread across many areas and industries, noted Yurkovich. The COFI CEO participated in a December 2018 trade mission to China, Japan and Korea. The visit was led by Doug Donaldson, (B.C.’s Minister of Forests, Lands, Natural Resource Operations and Rural Development) with the exception of the China segment, and was attended by about 40 forest industry representatives including those from First Nations groups. The industry is focusing on three main

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industryevents areas within the Chinese lumber market which show considerable promise, said Yurkovich. Improving B.C. and Canadian wood use in the manufacturing sectors is one of those focus areas. When the Chinese market first burst on the consciousness of B.C. lumber producers as a serious market, the demand was primarily for low grade lumber. That situation has changed. “Now the wood demand in China is moving up the value chain,” said Yurkovich. The second focus area of opportunity for B.C. lumber is in industrial construction, she continued. “The Chinese are looking more to prefabricated products like panels that can delivered ready-made to the construction site. These products require less labour, improve quality and take less time to erect.” The third broad area of potential for B.C. wood Yurkovich identified is in the resort and tourism sector. The growing middle class in China has more time and money for travel and relaxation. They are a demographic more aware of and concerned about pollution and that includes a marked preference for “green” building construction, she added. The two factors combine to create the perfect scenario for promoting the use of B.C. renewable wood products harvested from sustainably managed forests. The Chinese middle class are also ageing—heading toward more than 500 million people older than 60—and they will require suitable living accommodations, continued Yurkovich. She credits the patient work of Canada’s federal and provincial governments along with the Canadian Wood Council—a federation of wood products industry associations—for positioning the forest industry to respond positively to China’s changing lumber requirements. Changes also characterize the forest landscape back home. Two successive and significant wildfire seasons on the heels of the prolonged mountain pine beetle epidemic have seriously impacted the size and composition of B.C.’s working forests. “We need access to a steady flow of fibre at a reasonable price to be competitive. We are now a relatively high cost fibre area and that impacts our ability to compete,” explained Yurkovich. At the time of writing, there was no certainty that the tripartite agreement reached between the U.S., Mexico and Canada to replace NAFTA would be fully

Changes characterize the landscape for B.C. lumber producers. Two successive and significant wildfire seasons on the heels of the prolonged mountain pine beetle epidemic have seriously impacted the size and composition of B.C.’s working forests.

to page 24 Logging & Sawmilling Journal - February 2019

industryevents from page 23 implemented in its negotiated form. And the U.S.-imposed duties remain a further cost burden on Canadian softwood lumber imports into the U.S. Those are the types of issues and factors that will form the backdrop to COFI’s 2019 convention. Organizers were finetuning the program details for the threeday event to be held at the JW Marriott Parq Vancouver Hotel and Conference Centre. COFI is inviting top-notch speakers, including ministerial level federal and provincial politicians, said Yurkovich. They will be complemented by a range of forest industry experts, along with those from the industry’s service and supply sectors. Many of those will also be participating as exhibitors at the convention. A feature of the COFI events is having the opportunity to circulate and communicate built into the more formal part of the convention. The popular CEO panel will return in 2019: it’s where heads of forest companies chat more informally and candidly about the issues of the day. An interesting parallel this year will be a similar format where future forest leaders

are invited to contribute their thoughts and hopefully raise a wrinkled eyebrow or two in the process. Yurkovich cited another intriguing presentation planned for the convention. “It will look at how artificial intelligence technologies might

better manage B.C.’s forests.” For the latest in speaker and program information along with registration details consult www.cofi.org

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Logging & Sawmilling Journal - February 2019

sawmilling

At the new LaSalle Lumber mill in Louisiana are (left to right): Plant Manager Nick Landi; Hunt Forest Products President and CEO Richie LeBlanc; Allan Thorlakson, Executive Chairman of Tolko Industries; and John Kyte, Kyte Consulting.

Canucks head south O

By Paul MacDonald

…to Louisiana A new sawmill recently started up operations in Louisiana, and it has a strong Canadian connection in its ownership and equipment, through B.C.-based Tolko Industries and the BID Group. 26

Logging & Sawmilling Journal - February 2019

ne of the most modern softwood sawmills in North America recently started up in the U.S. South, in Louisiana—and it has a strong Canadian connection, both through its ownership and the equipment being used in the sawmill. Hunt Forest Products of Ruston, Louisiana, teamed up with Tolko Industries of Vernon, B.C., to form LaSalle Lumber Company, which will own and operate the brand new state-of-the-art $115 million (U.S.) sawmill. The mill is located about 270 kilometres northwest of Baton Rouge,

sawmilling Good fit between partners on LaSalle Lumber

in the central Louisiana town of Urania, and start-up operations began in January. Construction of the new mill began in April 2018, so building the new facility has been on a fast track. The sawmill will employ 110 people when it is operating at its full capacity of 200 million board feet annually. It will take in about 850,000 tons of southern yellow pine from the surrounding region to produce that amount of lumber. “We’re excited to be bringing a hightech sawmill, and the skilled jobs it will provide, to central Louisiana, and to provide a local outlet for the massive inventory of southern yellow pine that

to page 28

he fit between Canadian forest company Tolko Industries, owned by the Thorlakson Family, and Louisiana’s Hunt Forest Products was clear from the first conference call between the companies, a call which would lead to building one of the most modern sawmills in North America, LaSalle Lumber Company. “It was evident from that first phone call that we have a lot in common with our overall company cultures,” said Richie LeBlanc, president of Hunt Forest Products. “We both want to be viewed as an employer of choice, and treat our people fairly—from our approaches to safety through to the excellence in our production facilities. It all fit.” The focus on employees, and employee retention, is an important factor at a time when U.S. unemployment is at a record low, and demand for skilled trades people is high. Related to that, the Louisiana Department of Economic Development used the state’s nationally recognized LED FastStart workforce development program, in coordination with Central Louisiana Technical Community College, to build and train the local skilled workforce the new mill needed. Under this program, the company received funding to build a new office and training facility on the site that will offer classroom and online training for employees. In terms of educating the workforce on the new high-tech sawmill equipment, the BID Group offered training, and Hunt is augmenting that with its own training. “BID has helped us with training, and some other training, such as safety and grading, we’re doing ourselves,” says LeBlanc. Mill manager Nick Landi and his team went to a BID Group facility in St. George, South Carolina, for training, as well. As noted, BID Group used a number of local and regional suppliers. Among these were: Central Industrial Supply LLC; Construction Safety Products; Energy Hydraulics; ESP Valve; Forestry Suppliers Inc; Grainger Inc.; Industrial Electronic Supply; Ouachita Electric; R&S Supply; Rawson LP; Rexel; Ruston Industrial Supplies (Division of Motion Industries); Smith Companies Inc.; Sol’s Pipe and Steel; U.S. Blades; and Welder’s Equipment.

Logging & Sawmilling Journal - February 2019

exists in this region,” said James D. Hunt, co-owner of the mill, and vice-chairman of Hunt Forest Products. “We believe this is the right project, in the right place, at the right time,” Hunt said. “This will boost the local economy, bring a new generation of sawmill technology to our state, and provide a much-needed outlet for central Louisiana timber. It’s a win-win for everyone.” As mentioned, the sawmill project is a joint venture between Hunt Forest Products and Tolko Industries, the 60-year-old

sawmilling

The LaSalle sawmill will produce 200 million board feet of lumber annually, when it is operating at full capacity. It will take in about 850,000 tons of southern yellow pine from the surrounding region to produce that amount of lumber. from page 27 family-owned British Columbia-based forest company. Tolko produces a wide range of forest products for customers around the world from its six Canadian sawmills. Owned by the Thorlakson Family, Tolko has a 50 percent share in the mill, which will be managed and operated by Hunt Forest Products on a day-to-day basis. “This is our first venture into the U.S.,” said Brad Thorlakson, Tolko president and CEO, ”and we are thrilled to be in Louisiana with Hunt Forest Products, a family-owned company like ours, and one that has played a vital, reliable role in this

state’s forestry industry for more than a century.” Urania Mayor Terri Corley said LaSalle Lumber Company worked closely with community officials to co-ordinate services for the new mill, and to identify and address potential infrastructure issues. She noted the town’s great forest industry heritage. “The forest industry is what led Henry Hardtner to establish the town of Urania almost 130 years ago, so we’re very pleased to be working with Hunt Forest Products and Tolko to bring LaSalle Lumber—a new economic engine—to our community,” Corley said.

LaSalle is the name of the parish where the town and the mill are located, and it’s in the heart of Louisiana’s $11 billion forest products industry. Utility company Entergy Louisiana will support the new facility as an economic development partner, supplying low-cost electricity, adding yet another competitive advantage. The Canadian sawmill equipment connection comes through the B.C.-based BID Group. Headquartered in Prince George, B.C., the company is one of the largest integrated equipment suppliers to the wood processing industry in North America, and was hired to build the new mill on a turnkey basis. Richie LeBlanc, president of Hunt Forest Products, explained that the company started planning the new sawmill several years’ back. “We were watching with interest some of the work the BID Group was doing in the South, specifically in Newton, Mississippi, with Biewer Lumber, and with Two Rivers Lumber in Demopolis, Alabama,” he said. “We had also met with Brian Fehr of the BID Group, and we became even more interested in BID’s turnkey sawmill approach. “We felt that the turnkey approach with BID was the best option,” explained LeBlanc. “As we continued the conversations with BID, we were put in touch with the Thorlaksons at Tolko, and once they came on board, it all came together fairly quickly.” to page 30

Logging & Sawmilling Journal - February 2019

sawmilling from page 28

The Canadian sawmill equipment connection at LaSalle Lumber comes through the B.C.-based BID Group. The company is one of the largest integrated equipment suppliers to the wood processing industry in North America, and was hired to build the new mill on a turnkey basis.

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Hunt Forest had looked at the timber resource in LaSalle Parish and area, and determined there was adequate raw material for a large scale sawmill—in fact, there was a surplus of raw material. The owners of Hunt Forest Products, the Hunt Family, own some timberlands in the area, which will be used, in part, to feed the sawmill. “We own and operate about 80,000 acres of timberlands, but the lion’s share of the timber for the new mill will come from industrial or private timberlands,” LeBlanc said. “Only about 25 to 30 per cent will come from the family lands.” Importantly, because of the costs involved in transporting timber, LaSalle Lumber is looking at fairly short logging truck hauls, mostly within a 60 mile radius of the mill. And from the start, the plans called for a large mill—they wanted to achieve significant scale with the facility, and not go with a small or medium-sized sawmill. “Raw material in the form of timber was key, and we established that there was ample supply and it was sustain-

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sawmilling able,” said LeBlanc. “We knew that a 200 million annual board foot mill could be sustained—and that size mill is the BID Group turnkey model. “It was our intent from the get-go to build a world class sawmill at that scale in Urania, Louisiana,” he added. Hunt Forest Products already operates a plywood plant and sawmill in Louisiana; the sawmill is a hardwood operation, producing 13 million board feet a year. LeBlanc said they had toured the Biewer and Two Rivers operations, and that reinforced the decision to go with the BID Group turnkey approach. “The equipment is already prescribed with the turnkey approach,” he said. “It covers pretty much the range of equipment needed to operate a sawmill—it includes everything but the rolling stock.” BID managed the project, but worked with local contractors in areas such as concrete supply, utilities work, building erection and the civil work required. “BID utilized a lot of local contractors in doing the work, but they supplied all of the mill equipment itself. We sign a contract for the sawmill, and they put it all together,” says LeBlanc (see sidebar story on page 27 for other suppliers). The sawmill features state-of-the-art technologies specifically designed, supplied, and installed by the BID Group, which includes a wide range of equipment supply companies under its corporate umbrella, and it co-ordinated the supply of other equipment. This extended to the log yard, where the company supplied the Mettler Toledo (Micheli) log scales, and two grappleequipped Deshazo cranes—one a singlebite grapple, the other a double-bite grapple—for unloading tree length material from the trucks, as well as loading the mill deck. Pretty much all of the mobile equipment handling the timber is Cat, while Taylor forklifts are handling the lumber, says LeBlanc. The mill includes sophisticated scanning equipment that ensures the operation gets the most out of each log. “All of the production is determined by that very first scan,” explained mill manager Nick Landi. The sawmill includes a Comact optimized log bucking system, followed by a Comact 22-inch debarker. PHL supplied chipping equipment with Andritz knives. The Comact high recovery saw line with profiling systems includes a Comact OLI-CS3 overlength infeeder and a Comact TBL-cant optimizer. Following with the turnkey approach,

the mill turned to U.S. Blades in West Monroe, Louisiana, to handle the sharpening and reconditioning of their cutting tools. Walt Connell, U.S. Blades facility manager, said that the company brings years of saw and knife maintenance experience to the project, and they deliver this service to several other local mills. And like LaSalle Lumber, U.S. Blades made significant capital investments to their facility to deliver world-class cutting tools required by La Salle, he added.

Lumber is dried through three naturalgas powered DelTech DPK dual path continuous kilns. The lumber is then moved to sheds, where the mill then assembles the runs it needs for customers, and runs the lumber through a high speed Miller 830E planer. The planer also includes Comact’s GradExpert 2.0 automated lumber grading system. to page 32

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sawmilling from page 31 “We have a very long deck that feeds into the planer, so we have plenty of room to build up a surge through to the planer,” says Landi. “We’ll have speeds from 1,800 feet a minute up to 3,200 feet per minute. I’m not sure we’ll run the speed up to 3,200 feet, but we are capable of that.” Comact, DelTech and Miller are part of the BID Group family of companies. As noted, the mill also includes equipment from other companies. It has Signode and Samuel equipment, as part of a fully-automated lumber handling and stacking system. Since this is a new line, there has not been a lot of production through the strapping systems as of yet. The mill has enjoyed a smooth start-up and full production running with the new innovations that Signode has developed on its BPX system, says Signode. The company has taken two of the most common troublesome areas on a typical strapper, and developed a unique top edge protector delivery system, and innovative batten delivery system.

These features, along with the true modularity of the strapping head, have proven to help keep the line running at the highest throughput, according to Signode, and were key factors in the decision to purchase the Signode BPX. The Samuel ink jet grade mark system supplied to LaSalle will apply ink jet grade marks and variable print on both near end and far end trim. The system automatically raises and lowers the print heads based on board thickness. Overheight or on-edge boards will be detected and the ink jet printer will rise to allow the overheight board to pass, and then return to the print position. Print head protection

Logging & Sawmilling Journal - February 2019

and temperature controlled heating is included with the system. LeBlanc said there are a number of benefits to taking a turnkey approach to building a sawmill, including dealing with one company vs. dealing with a variety of different suppliers for equipment. “It simplifies the process tremendously,” he says. “We have a single point of contact with respect to the sawmill and component parts, and the planer mill. When we have a question, we don’t have to go to individual companies—we go to BID as the turnkey operator, and they handle any questions we have. “The BID Group have the expertise—

sawmilling

they have set up lots of sawmills before, and they have been good in terms of any issues we have run into, and what we can do to handle them.” Hunt Forest Products had their own people on site, to deal with any questions BID had, which was helpful for the inevitable day-to-day issues that come up and require a quick decision. Hunt also hired engineering firm Hunt Guillot & Associates, as their representatives on the site. The construction timetable, essentially about nine months, was aggressive, but all parties agreed that it was do-able, said Landi. “There may have been a day here or there when we struggled—we had some pretty wet weather during construction— but in general, we are right on target and we are going to meet the goals we set.” Some lumber was produced on a trial basis late in 2018. “BID has done an excellent job of staying on top of things, and I’d like to think that we’ve done a good job of following through on the things they needed from

Parish now home to sawmill— and wood pellet plant

he new LaSalle Lumber sawmill is located on approximately 125 acres of a former 285-acre Louisiana Pacific sawmill site in central Louisiana. Drax Biomass now occupies the other 160 acres of that site, and the new sawmill is planning to supply residuals and wood fibre to Drax for use in manufacturing wood pellets. “We’re excited about this partnership with Hunt Forest Products and being

able to leverage the innovative approach of having a sawmill located next to our newest sustainable wood pellet facility, LaSalle Bioenergy,” said Pete Madden, president and CEO of Drax Biomass. “This makes perfect sense for our business model, lowers our carbon footprint, and is an incredibly efficient, cost-effective way to capitalize on wood residuals.” The new sawmill is located in LaSalle Parish, hence the name. In Louisiana, parishes are like counties, and date back to when the region was first settled by the French. Much of present-day Louisiana was acquired by the U.S. from France in the famous Louisiana Purchase. In hindsight, this represents a fantastic land deal as the Louisiana territory covered 828,000 square miles, much of it forestlands, that was acquired by the United States from France in 1803. Forests now cover 48 per cent of the state’s land area and forestry is the second largest manufacturing employer in Louisiana.

Logging & Sawmilling Journal - February 2019

to page 34

sawmilling from page 33 us,” Landi added. “I think it’s a good partnership, and we will continue to work well together.” That relationship will continue on the parts and service side, since BID companies have supplied almost all of the mill’s equipment. With construction complete and the mill going from the construction phase to full operation, Tolko Industries will be stepping in on the marketing side.“Tolko will be handling the majority of lumber sales,” says LeBlanc. “Working with Tolko, we will service regional markets, but we are also looking at serving a national market and, quite possibly, an export market. “Tolko already has a lumber distribution chain in place, and has a significant presence in the softwood lumber market globally. We want to capture the synergies there, with the southern yellow pine we are producing at LaSalle Lumber.” Throughout the construction process, Tolko was also involved, he added. They bring the experience of having built and operated large scale sawmills. “Tolko bring a skillset and expertise

from their own sawmills—they know the equipment, they know where the levers are, and what to watch out for. All of those inputs have been extremely beneficial and will continue to be. They are knowledgeable and helpful, and will continue to be an active partner.” The new mill builds on a tradition the Hunt Family has had in forest products for more than a century in the southern U.S.—and a great tradition of the forest industry in this part of Louisiana. “They know logging and they know sawmilling here,” says Landi. And both Landi and LeBlanc, with decades of sawmilling experience between them, are fired up about the new mill. “It’s very exciting to see all this built from the ground up, all the high technology equipment, and that it is all designed to work together in a truly modern sawmill,” says Landi. “What this mill brings to the lumber business in terms of technology is unbelievable,” added LeBlanc. “There is not a person who touches a stick of lumber until a forklift person picks it up. It’s incredible what BID and other companies have done to enhance the sawmilling

business—and make it a lot safer, too.” And the benefits of the new mill go well beyond the company, says LeBlanc. “We think we are going to do well with the sawmill, but it’s also good for the community,” he says. Especially local landowners, who have had a lot of excess timber—and have had nowhere to move it, economically. “By having the mill at this location, there is quite a bit of timber that is very accessible, and landowners can save a lot of money in terms of transportation costs, with our mill.” And LaSalle may be using even more of that timber in the future. Even though the LaSalle sawmill is designed to produce 200 million board feet of lumber, it may not stay at that level. LeBlanc noted that Biewer Lumber has announced that it will be taking its fairly new, similarly designed, 200-millionboard-foot sawmill in Mississippi up to 300 million board feet. “I’m not saying that is what we’re going to do, but there are options out there. With the raw material supply that is available, that’s certainly something that we’ll be taking a look at.”

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B.C.’s RESOURCES EXPO SHOW GEARS UP Work is well underway for the next Canada North Resources Expo (CNRE) being held May 24-25 in Prince George, B.C., and the interest level in the show from exhibitors—such as suppliers of logging and heavy construction equipment—is high. By Jim Stirling

t quickly became apparent to Mark Cusack during a business visit to Prince George, B.C. late in 2018 that there was a strong, pent-up demand in the region for forest harvesting equipment. The trend and interest level extended further to include a range of other heavy construction related equipment and services. Cusack is national show manager for Master Promotions Ltd which with a local committee helps organize the Canada North Resources Expo (CNRE). The next biennial edition of the CNRE is scheduled for Prince George May 24-25, 2019. “This time around we’re well ahead with space booking and commitments than we were for the 2017 event at the same time, and for the show before that,” reported Cusack. “It’s very encouraging.” All the more so when interest in the 2019 show is being driven by the “majors”—the largest dealers and suppliers of logging and heavy construction related equipment. The larger companies are the ones anxious to secure the prime spots and space at the 2019 CNRE. “They can see the value of participating in an event in front of the loggers and contractors from all across the region,” added Cusack. The venue for the CNRE is Exhibition Park in Prince George which, apart from the extensive inside booth space, offers about four acres for outside equipment display and demonstrations. Cusack is confident given the early booking commitments that the 2019 edition of the CNRE will go a long way toward filling the outside display area. If that turns out to be the case, the achievement will harken back to the days when the forestry show every second spring in Prince George was the largest and most business-friendly event of its kind in Canada.

The CNRE is not the typical tire-kicker sort of trade show. The more than 300 exhibitors expected will have two full days of access to more than 800 attendees, many of whom are the decision makers— the cheque signers—for their logging and construction-related businesses. Part of the bullish business sentiment Cusack encountered in the Prince George area might also be attributable to the massive LNG Canada project. The five joint venture participants have confirmed their intention to build a $40 billion liquefied natural gas export facility at tidewater in Kitimat, B.C. The announcement made by the five international companies—Shell; Petronas; PetroChina; Mitsubishi and KOGAS—represents the largest private sector investment in Canadian history. Cusack noted that although the project is only beginning the ramp-up process, the LNG initiative creates an upbeat business backdrop throughout B.C. The CNRE’s status on Prince George’s events calendar is reflected by the other related groups and organizations that schedule their events to coincide with the CNRE to the benefit of all parties. A returning example in 2019 will be the Interior Safety Conference. During the

Logging & Sawmilling Journal - February 2019

last CNRE in 2017, the safety conference was doubled to a two-day format and attracted more than 150 delegates. It tackled a diverse range of issues from workplace fatigue management programs to safety issues surrounding the emerging steep slope harvesting technologies. Having associated events interwoven into the CNRE fabric is part of a wider philosophy embraced by the event’s organizers to more fully involve the Prince George community. ”We want to give something back to the communities in which we organize events,” explained Cusack. The process takes different forms but includes the support of non-profit organizations in the region and contributing to natural resource training in local colleges and universities. The Northwest Community College, for example, benefitted by a $10,000 donation from the Resources Expo Society and Master Promotions after the 2017 edition of the CNRE. Cusack noted Saturday May 25 has been designated Family Day with special events at the CNRE with the invitation to attend extended to everyone. It’s an ideal opportunity, too, to see the forest and other natural resource industries in a new light: as a viable career choice. “The resource industries are crying out for equipment operators and mechanics, so bring your resumes,” urged Cusack. And these days the resource industries are much more than heavy equipment. The sector has become technologically sophisticated to maintain its competitive edge around the world and that is why the resource industries offer a surprising spectrum of employment opportunities. The latest registration information, features and events at the 2019 CNRE May 24 and 25 is available at www.cnre.ca

contractorprofile The Ponsse Beaver harvester on Luc Beaulieu’s logging operation features a HN125 crane and an H6 Ponsse head. The H6 head handles trees up to 23” in diameter, has a three roller feed system and feed speed of 20’ per second.

MAKING THE SWITCH TO CUT-TO-LENGTH

Quebec contractor Luc Beaulieu made the leap to mechanized cut-tolength harvesting with some gently used refurbished logging equipment, and the switch has served him—and his woodlot customers—well. By George Fullerton n 2015, with nearly three decades as a professional forestry worker—and 15 years of that as a harvest contractor—Luc Beaulieu switched his operation from chainsaws and cable skidders to a fully mechanized cut-to-length operation. It was time to do the switch. Beaulieu had decided if he was to continue as a wood producer, mechanization was a necessity. That year, Beaulieu was working— along with a couple of full-time employees—operating with a Timberjack 240

skidder and a John Deere 440C cable skidder, felling and limbing with a chainsaws and processing the stems at roadside with a Tanguay CC 125 slasher. Beaulieu says that the physical demand of operating chainsaw and pulling chokers was taking its toll on him. But he wanted to stay in the forest industry, continue to serve his customer base and grow his company. Mechanization was the path to meeting those goals. Based in Dégelis, Quebec, Beaulieu continues to operate exclusively on private woodlots in the southern corner of

Logging & Sawmilling Journal - February 2019

the Bas St. Laurent region, adjacent to the New Brunswick border, and in Madawaska County, in the northwest corner of New Brunswick. About 80 per cent of his annual production work is in Quebec and 20 per cent in New Brunswick. Beaulieu said that the decision to move to mechanized harvesting came after a good deal of consideration and research. Much of the research focused on what type of harvester would fit his clients’ to page 40

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contractorprofile from page 38 demands, and be productive in the steep terrain which dominates his operating region. Woodlots provide a wide variety of species and piece size. On any woodlot, he could be working in large diameter older growth softwood or hardwood one day, and the next day be challenged to do commercial thinning on a plantation or a stand which had previously been precommercially thinned. Woodlot owners in both Quebec and New Brunswick have a long history of silviculture and management. The management activities typically occur on relatively small patches, which means there is a good deal of diverse stands across a woodlot. Through his work experience, Beaulieu knew he required a versatile machine, which could handle hardwoods and softwoods, as well as big and small wood. Beaulieu was also aware of the need to have good dealer and service support. He was also looking for good value, being aware that low-priced machines, with considerable hours on the clock, typically demand a good deal of repair and upkeep—which has a direct impact on production and the bottom line. When it came time to make a deal on a harvester, Beaulieu was intrigued with the opportunity presented by ALPA Equipment salesman Danny Bouchard. Bouchard brought Beaulieu’s attention to used machines from Europe offered by Ponsse. Ponsse had a program and a dedicated facility to refurbish relatively lightly used forestry machines, which carried an 800 hour warranty. Beaulieu had already established a business relationship with ALPA Equipment, relying on their Edmundston, New Brunswick, shop for supplies, parts and deals on used equipment. The two men studied used harvester listings, and after careful consideration, Beaulieu proceeded to confirm a deal on a used Ponsse Beaver. Beaulieu took delivery of a ‘like new’ Ponsse Beaver in September 2015. For years, Ponsse had operations dedicated to refurbishing used machines with relatively low hours. Because of a combination of operator training and operating in highly managed (uniform) forests, the Scandinavian machines tend to be in far better shape compared to most similar aged machines operated in North America. The program provided a very detailed

inspection of all the machine parts, and replacement of items found to be worn or in disrepair, as well as re-painting the machines. Beaulieu’s Beaver arrived with just over 18,000 hours on its clock. The machine features a HN125 crane and an H6 Ponsse head. The HN125 crane system (the arrow crane) is recognized for its fast extension and retraction. The H6 head handles trees up to 23” in diameter, has a three roller feed system and feed speed of 20’ per second. The head also has multi stem capacity. As part of the purchase deal, ALPA ensured Beaulieu was provided with a comprehensive training program for maintenance and operation, along with technical support. Operator training for Beaulieu and his operator, Yvan Dubé, began with a few days at the Edmundston shop, with ALPA trainer André Cyr, on a Ponsse harvester simulator. “The training process gives the operator good familiarity with the joysticks and the different switches.” explained Bouchard. “It also provides the elements of how to fell trees and to sort products. “Typically, the operator will then try the harvester for a couple days, to put those basic functions into action in the woods. That initial practice on the harvester generates a lot of questions from the operator and we have found that it is beneficial for the trainee operators to come back to

Logging & Sawmilling Journal - February 2019

Luc Beaulieu (left) and ALPA Equipment’s Danny Bouchard with the operation’s Ponsse Beaver. As part of the purchase deal, ALPA ensured Beaulieu was provided with a comprehensive training program for maintenance and operation, along with technical support. the simulator and share their questions or problems with the trainer, and together they address the issue or questions through the simulator.” When the operator lands back in the machine cab, they have a lot more information and typically can rapidly develop their skills. Bouchard pointed out that a trainee who has chainsaw felling and forest machine operation experience can pick up harvester operation a lot quicker than someone who has relatively little woods experience. “A guy who cuts trees with a chainsaw has intimate and detailed knowledge about how a tree is best felled, and can read terrain very well and place his trails so the forwarder can easily follow and reach the logs,” noted Bouchard. ALPA also provided Beaulieu and Yvan Dubé with specific training on the Ponsse OPTI computer system, with trainer André St. Onge. Training included operation, calibration and troubleshooting the system. Beaulieu also considered his need for forwarder capacity, to fit into his new cutto-length operation, and decided rather than make additional investment in a purpose built forwarder, he would convert his Deere 440C skidder into a forwarder. The conversion required removing the winch and associated hardware, and then to page 42

contractorprofile from page 40 fabricating a frame which mounted on the rear differential. For loader capacity, Beaulieu mounted a Kesla loader on the frame just behind the articulation joint, with the loader controls fitting into the back of the skidder cab. The conversion looks very professional and is a testament to Bealieu’s craftsmanship and attention to detail. The skidder conversion is definitely a very clean and functional piece of equipment. However, once the harvester operator became proficient with the Beaver, Beaulieu soon realized his conversion forwarder was not up to matching the Beaver’s production. Another call was made to ALPA, and Danny Bouchard began the search for a forwarder, which resulted in the purchase of a used Timberjack 1110 eight wheel drive forwarder. Operator Serge Bossé quickly found his comfort zone in the 1110. Beaulieu’s team overcame a lot of challenges in learning to operate the new equipment productively. One seasonal challenge they faced was dealing with an excessive snowload through the winter of 2017-2018. Both harvester and forwarder struggled through snow which led to Beaulieu to packing trails with his bulldozer so the machines could operate more effectively. “We just could not get traction for the forwarder in the deep snow, and the Bea-

ver also struggled somewhat,” explained Beaulieu. “In some situations, we used our bulldozer (a Deere 650G) to improve the trails so the machines could travel and operate more efficiently, and with less stress on operators and the machines.” An eight wheel drive Ponsse has the traction capacity to handle extreme snow conditions, and Beaulieu is considering the Fox for his next machine. Beaulieu keeps his bulldozer on site year round to ensure roads are open and in good repair for trucking. He operates with two service trailers, which are well equipped with hose supply, generator/ welder, tools as well as a lunch room. All are very well organized and neat, as are the landings and wood piles. The Beaulieu operation produces 15 to 20 loads per week, depending on

Contractor Luc Beaulieu considered his need for forwarder capacity to fit into his new cut-to-length operation, and decided that rather than make an additional investment in a purpose built forwarder, he would convert his Deere 440C skidder into a forwarder (above). 42

Logging & Sawmilling Journal - February 2019

the type of harvest block and harvest prescription. For trucking service, Beaulieu relies on Mathieu Daigle Trucking, based in BakerBrook, N.B. Daigle dedicates one truck to the Beaulieu operation and will assign a second one as required. Daigle operates with quad axle trailers with Rotobec centre mount loaders. Beaulieu’s wood markets include sawlogs and studwood to Groupe Lebel in Dégelis, Quebec, hardwood logs and chipper wood to Begin Lots, in Renversé, QC, poplar (waferboard) to Huber, in Easton, Maine, chip wood (pulp) to MLM Chipping, St. Anne, New Brunswick, as well as studwood to J.D. Irving in St. Léonard, NB. All markets are within a 150 kilometre radius of his base in Degelis. Beaulieu is happy with the performance of his harvester and forwarder team. Production is meeting expectations, but he expects the production numbers to increase, as the operators realize the full potential of the machines. Beaulieu has also brought his son, Émille, into the contracting business and he is gaining experience operating the Timberjack forwarder, and is also being introduced to the Beaver cab. Émille is also proficient in operating the Tanguay slasher which continues to be employed in a firewood operation working out of St. Jean de la Lande, QC. “With the mechanized harvesting, we have overcome a lot of challenges,” says Beaulieu. “We have a strong customer base and they are happy with the service we are providing, and currently we have a strong market demand. “Looking back at the past couple years, it was a good time to make the move to mechanization. My son likes forestry work and he works full time with us. Mechanized harvesting provides a secure future for us.”

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BClogging

FAMILY forestry legacy The Scott Family of Revelstoke, B.C., truly runs a family logging operation, and they’re keenly interested in seeing the family legacy continued, but like a lot of B.C. contractors, they’re facing challenges in achieving that goal. 44

Jim and Dorothy Scott: a family forestry legacy going back generations.

Logging & Sawmilling Journal - February 2019

BClogging By Paul MacDonald

here is a lot of forest industry history in both branches of the Scott Family of Revelstoke, B.C. And Jim Scott and his wife, Dorothy, who should be nearing retirement, would like to see that history continue. Some of the challenges facing B.C.’s logging contractors were outlined last year in George Abbott’s report to the B.C. government, and the government recently made some changes (see sidebar story on page 46). In the Scott Family, Dorothy’s family goes back five generations in the forest industry, and Jim’s family goes back almost as far. The family connection to the industry continues on today with the youngest generation, with their grandson, 19-yearold Jake, looking to finish up his heavy duty mechanic apprenticeship with the logging outfit in 2019. And it is a solid family operation. Working out in the bush these days with Jim are his son, Luke, two brothers, Tom and Shell, nephew, Jasper, and two brothers-in-law, Norm Collier and Al Pylatuk. Helping out in the office, along with Dorothy, are their daughter Cheryl, and sister, Cathy, when Dorothy is on holidays. So to say that their companies, Two Guys Logging/Poncho Holdings, are a family affair would be an understatement. Working in the bush came early to Jim Scott. He started setting chokers for his Dad’s logging operation near Revelstoke, in B.C.’s Columbia River region area almost 50 years ago. “It’s been a family business for many, many years,” says Jim. His father, Al, who is now 94-years-old, started out as a farmer in Alberta, before setting up a steam powered sawmill in Cochrane, supplying lumber to his brother, who sold it in Hanna through Scott Lumber Company. The story goes that half of the town of Hanna was built with Scott Lumber in the 1940s. Al then moved to B.C., and set up in the town of Golden, between the Columbia Mountains and the Rockies. “Dad set up a portable sawmill, on the west side of Golden, in the mountain benches there,” says Jim. “That’s where the ski hill is now.” There is a Golden connection now for Two Guys Logging/Poncho Holdings, as they log for Louisiana-Pacific, which has a Laminated Veneer Lumber (LVL) operation in the town. “At one point, Dad managed a company mill in Golden, but he was more of

The Scott Family forestry connection continues on today with the youngest generation, with Jim and Dorothy’s grandson, 19-year-old Jake (above with Mom, Cheryl) looking to complete his heavy duty mechanic apprenticeship with the logging outfit in 2019. a guy who wanted to run his own operation,” says Jim. So the move was made to Revelstoke, and he set up a portable sawmill at Encampment Creek, near where BC Hydro’s massive Mica Dam now sits. With the move to get portable sawmills out of the woods in B.C., Al moved back into logging and did contract work for the WT Joyce Farm, which is now the Beaumont Tree Farm, which has privately owned forestlands around the West Kootenays region of B.C. “We’ve got a lot of history in the area,” says Jim. The forestry bug bit early for both Jim and his brothers. “My father could not go anywhere without us boys tagging along with him,” says Jim. He and brother, Wayne, started working for their Dad, with Jim being the Cat operator, building roads and trails, and Wayne running skidder and Cats. Jim notes that he left logging for a few years— but the woods drew him back. “That was when I realized logging was in my blood—and I’ve stuck with it. As they say, once a logger, always a logger.” At one time, Al’s operation was extensive, and he ran seven dozers and seven skidders in the steep slopes around the Revelstoke area. “We had seven sides, so there was a skidder and dozer for each side, and a roadbuilding crew, with four or five excavators,” explains Jim. Due to an industry downturn, and

TWO GUYS looking for more guys—and gals

to page 46

wo Guys Logging/Poncho Holdings is looking for a few good men—and women, too, for that matter. With an aging work force, the B.C. contractor is looking for new employees who are interested in working in one of the most breathtakingly beautiful regions of B.C., in the town of Revelstoke, on the banks of the Columbia River. Loggers here have a bit of a commute to get to work, but no worse than the commute workers might face in Vancouver or Toronto—and they get a lot of great scenery, and maybe some wildlife, along the way. A challenge is the cost of living in this paradise in B.C.’s Kootenays region: since the town’s ski resort has expanded, the cost of living has increased substantially. But Jim and Dorothy Scott of Two Guys Logging/Poncho Holdings say the mid-sized community offers a great family-oriented lifestyle, and amazing outdoor activities, from kayaking to heli-hiking. “I can leave the office at lunch time, and be at a cross-country trail or the bottom of the ski run in five minutes,” says Dorothy.

Logging & Sawmilling Journal - February 2019

BClogging from page 45 financial difficulties, Al restructured operations, and emerged with a more modest logging operation. Through Poncho Holdings, Jim took over the yarding operations, and had an Evergreen contract, which is now with Louisiana-Pacific. They now have two contracts with L-P through Two Guys Logging/Poncho Holdings. They also do a fair bit of logging and roadbuilding work for

the Revelstoke Community Forest Corporation, a community-owned forest company. At one point, Jim had three Madill yarders working, and got into trucking through Poncho. “We’ve been kind of up and down—it was very difficult to find trucks, and we were loading on weekends, just to keep the wood moving.” Through all of this, Jim and Dorothy focused on the company operations, and

getting through. But it has been a challenge. “It’s been pretty trying,” he says. These days, Jim is back to doing conventional ground-based logging, and happily so. “I was never really a yarder guy,” he says. “I’m a ground logging guy, since I started operating dozers and crawlers—I was the guy who built the all the roads

to page 48

B.C. Premier announces changes to help loggers

o say the least, it’s a difficult time for many logging contractors in B.C., who are often caught between rising costs and stagnant logging rates from licencees. But the B.C. government is hopeful that recommendations from the Logging Contractor Sustainability Review released last year, and some recently announced policy changes, will help improve relationships between logging contractors and forest licensees. The review was conducted by George Abbott, a former Liberal cabinet minister, and former B.C. Premier Dan Miller facilitated the last phase of the review. Jim Scott was one of dozens of B.C. logging contractors who met with Abbott, and he’s hopeful that something constructive will come out of the review, and changes. Achieving more of a balance in the relationship between logging contractors and forest licencees is key, says Jim. “We’re all in the same game,” he says. “We need to have a healthy forest, healthy contractors, and a healthy lumber business—if there is part of that formula that is not working, we need to fix it.” Some policy changes were announced in January, at the Truck Loggers Association

(TLA) annual convention in Vancouver. At the TLA, B.C. Premier John Horgan announced a significant change to the Timber Harvesting Contractor and Subcontractor regulation, the elimination of the fair market rate test. The fair market rate test is a forestry industry method used to settle rate disputes between contractors and licensees, which has caused lengthy delays in reaching settlements, contributing to the inability of contractors to operate their businesses sustainably, says the TLA. The government’s decision to eliminate the method in favour of models and experts will streamline a process that used to take months and years, into a process which should now take up to a maximum of 14 days, the association says. “This announcement is what we were hoping for and will result in a fundamental shift in the relationship between contractors and their employers across the province,” said David Elstone, executive director of the Truck Loggers Association. “Elimination of the fair market rate test is a monumental change for our industry, allowing contractors to more equitably share in the value of the timber resource.” Horgan also made a commitment to exploring solutions that the TLA has put

Logging & Sawmilling Journal - February 2019

forward to address the industry’s acute skilled labour shortage. “After advocating for a training tax credit over the past three years, we are thrilled to hear this announcement,” says Elstone. “We are facing unprecedented retirement in the forest and logging industry, and even today there are far too many logging trucks and heavy equipment sitting idle due to the lack of experienced and competent operators. This may open up substantial opportunity for contractors’ needs for on-the-job training province-wide.” Horgan shared details of the government’s new Coast Revitalization Initiative, which focuses on the Coast’s issues evidenced by declines in jobs, lumber production and fibre supply; a continued reliance on log exports; a need for increased First Nations participation in all aspects of the industry and too much waste left in the forests after harvest. “As timber harvesting contractors we recognize change is required and that the industry needs certainty,” says Elstone. “We are hopeful the announced initiatives will support industry sustainability.”

BClogging from page 46

Jim Scott started setting chokers for his Dad’s logging operation near Revelstoke, in B.C.’s Columbia River region area almost 50 years ago.

and landings for my Dad’s operations.” Over the last five years, Two Guys Logging/Poncho Holdings has gradually exited yarding work. The last yarder was sold in 2017. “It was a real battle with cable yarding and rates,” says Jim. “Cable yarding is costly, and you need to have the rates to support it. Part of it, too, is that we couldn’t find the right people to operate the grapple yarders. It’s very hard to find yarder people anymore.” Actually, Two Guys Logging/Poncho Holdings, like a lot of logging contractors, is finding it difficult to find good equipment operators, period—so much so that Jim operates their feller buncher himself. “I love what I’m doing, and the challenges, and the business. But finding people who can work along with you and have that same kind of desire, well, that’s hard.” But Jim is quick to add that he feels fortunate in that the family members and long term employees they have working for them do share that desire. “The challenge is to find young operators,” he added. “How do you train some-

one, especially in our steep ground? And some of our timber is not that great. You have to really know what you are doing, to get the most value out of every tree you are harvesting.” That challenge of making good use of often not-so-great timber extends both to contractors, and forest licencees in the region. Their forest base is about 30 per cent each cedar, spruce and hemlock and the rest is pine and fir. And some of it is older wood. Having long term employees is great, but it’s kind of a double-edged sword,

Logging & Sawmilling Journal - February 2019

in that they are getting older. “That is a problem coming up really quickly,” says Jim. “We’ve been fortunate having people who have been with us for a long time, but they are ready to retire.” One of his truck drivers, Robert Dodman, now in his late-50s, actually started working with Jim’s Dad, close to 40 years ago. “The challenge is where are we going to find young people? I haven’t figured out that part of the equation.” Jim has plenty of company in that challenge, as the forest industry as a whole sees one of its highest priorities is attracting young people to the industry. In Revelstoke, the forest industry has to compete with big outfits like BC Hydro and CP Rail. The ground-based logging that Two Guys Logging/Poncho Holdings is doing these days is working out better than the grapple yarding, though it still brings its own set of ups and downs. There was an intentional overlap in the equipment transition. “We were already doing bunching before we exited the to page 50

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BClogging from page 48 yarding,” explains Jim. “We were doing a conventional side at the same time as we had still had yarding equipment.” One of their jobs involved clearing for Revelstoke’s ski hill, which was done by Jim’s late brother, Wayne, operating a buncher. Fittingly, part of the area cleared now has a ski run called Feller Buncher. It’s been a while, but when Jim went looking for ground-based equipment, he went for a brand he knew. “I knew what buncher I wanted right from the get-go,” he says. He picked up a Madill T2250, a couple of years old. That workhorse now has 16,000 hours on it. “We’ve rebuilt the engine once, but the Madills are rebuildable pieces of equipment—that’s partly why I went with them.” Also in the equipment line-up is a Madill 2850, that he bought new, with a Southstar QS600 head. They also have a Link-Belt 240 with a Waratah 622B head. “It’s been a good machine—there are 14,000 hours on that head, and a couple of thousand more on the carrier.” They purchased the Link-Belt used, but it had low hours on it.

Two Guys Logging/Poncho Holdings now has two contracts with Louisiana-Pacific. They also do a fair bit of logging and roadbuilding work for the Revelstoke Community Forest Corporation, a community-owned forest company.

They still do a fair amount of hand falling, and have a Cat 324D that they use for hoe chucking. Also in the equipment line-up are a Link-Belt 240LL loader, and a number of pieces of John Deere equipment, including three Deere grapple skidders, a 748 G111, a 748H and 948L. They have an

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Logging & Sawmilling Journal - February 2019

extensive line-up of logging trucks, mostly Peterbilts with Peerless trailers. Jim noted that he has always operated in steep slopes—in this part of B.C. it’s pretty hard not to. “With the Madill tilter buncher, part of the reason I got it was because I wanted us to be able to cut on steep ground, and be able to level out.” With some high operating-hours equipment, Two Guys Logging/Poncho Holdings tries to put a focus on preventative maintenance, as much as possible. As with operators, it can be difficult to find good trades people. The forest industry was hit hard when the oil patch was booming—with a lot of good mechanics and operators leaving B.C. for Alberta. “Some people have come back, so that has turned around a bit. But others have retired,” says Jim. Grandson Jake, who will soon finish his heavy duty mechanic apprenticeship, is very ably helping out. In terms of equipment, Jim knows that they need to look at getting some newer pieces. He’s not about to jump into the tethered equipment market, though, with its significant price tags. “The licencees want us to have steep slope equipment, but we need to be able to pay for it with higher rates.” That said, he’s intent on staying in the business—but it still has challenges, to say the least, he says, with its long hours, and the toll it can take on family life. “I’m passionate about the industry—but passion does not always make you money,” he says. “This industry has provided us with a good living, but not without a lot of stress.”

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millupgrades

Coastland’s continuous improvements

Veneer producer Coastland Wood Industries’ business strategy of continuous improvements has delivered solid results for the Vancouver Islandbased company— and recent upgrades have reinforced that approach. By S. J. Trotton

commitment to staying innovative and cutting edge through continuous improvements has been the key to continued business success for Vancouver Island company Coastland Wood Industries—and recent capital investments reinforce that solid approach. When Coastland started their Nanaimo veneer manufacturing facility, access to and a need for second and third production lines likely seemed improbable at the time. However, the addition of capital improvements over the years, which includes adding lathes made by manufacturers like Meinan, a Japanese manufacturer known for its meticulous engineering, and Coe Manufacturing, now USNR, a company known as one of the world’s largest suppliers of equipment and technologies for the wood processing industry, have been an important part of their innovative success. The company built the Nanaimo facility in 1988, launching production with a single COE lathe line and single log deck. A second COE lathe line and second manufacturing line were added in 2000, and in 2013, they installed a third lathe line. “We inherently recognize how important it is to utilize the most efficient equipment as well as maintain optimum production levels,” explains Doug Pauze, Coastland’s senior vice-president, operations. “We have been fortunate to have owners who trust our judgement when it comes to the innovative expansion ideas we may want to explore.” A privately-owned company that is ranked as one of the largest dedicated veneer facilities in North America, Coastland 52

Logging & Sawmilling Journal - February 2019

millupgrades consumes just over 900,000 cubic metres of fibre per year. The company is comprised of operations located throughout Vancouver Island and the Lower Mainland which include two log sorting facilities, a drying facility near Vancouver and its veneer plant in Nanaimo. Logs utilized by the company are supplied by Crown licensees, private landowners and First Nations including Snuneymuxw First Nation (SFN). The company says it prides itself in the relationship it has with its suppliers. “All of our suppliers and all of our stakeholders are considered important Coastland partners who contribute greatly to our overall success,” says Pauze. At their Nanaimo facility, Coastland utilizes Douglas fir for manufacturing veneer for the plywood/LVL industry. The mill’s veneer production process starts with sorting, cutting and debarking raw logs. This is followed by peeling the veneer to the desired thickness for processing through one of three veneer lathes. The veneer is then clipped to produce sheets while larger defects are removed and chipped. The veneer is then stacked into units within the multiple stacking systems based

Fibre recovery has always been a priority for Coastland and it has been a key motivator behind the company’s continuous improvement projects, which are frequently focused on technology and equipment upgrades. on the moisture of each sheet. Veneer quality production decisions are always made automatically on a sheet-by-sheet basis, by scanning and grading systems that carefully monitor the process. The site’s veneer production facilities have been continually modernized, with

Logging & Sawmilling Journal - February 2019

ongoing production improvements ranging from small changes such as trying different knives for the peeling process to bigger improvements such as the introduction to page 54

millupgrades from page 53

Coastland is ranked as one of the largest dedicated veneer manufacturing facilities in North America and consumes just over 900,000 cubic metres of fibre per year. In addition to the veneer plant, the company’s operations include two log sorting facilities.

Logging & Sawmilling Journal - February 2019

of entirely new systems. Last year, both Coastland’s Nanaimo veneer plant and the Annacis Drying Facility incorporated new strapping systems. Originating from Italy, these new systems are a first-of-its kind system for the North American market, produced by Itipack Systems, that automatically places both top and bottom dunnage and requires just one operator. “We went with Itipack because their custom-built systems are known for reducing companies’ downtime and improving overall safety and efficiency,” explains Pauze. “Our packaging has been consistent, and we have been able to effectively keep material moving on our production lines without waiting for the strapper.” The year before that, Coastland was busy at their Nanaimo plant installing a new scanning system for their No. 1 veneer line. The Nv4g scanning system features a catch-up tray and clipper controls as well as a Ventek MPDS diverter. A fourth generation scanning system, the Ventek NV4g uses machine-vision technology that incorporates the use of a specialized color camera and true-color LED lighting, so operators can see a clear

millupgrades separation between wood defects and consumer-quality wood. The system also features what are called neuro-network classification algorithms that allow for more accurate and reliable green veneer clipping solutions. Pauze explains Ventek scanning systems had been used at Coastland for many years, “so it was a natural that we checked out the newest Ventek equipment that was proven to be the best available equipment for our needs at the time. The scanning system allows us to optimize our grade recovery to the fullest extent. “Both of these investments have allowed us to continue to increase our operational efficiencies as well as continue to focus on cost reductions and fibre recoveries. We definitely met every goal that we were trying to achieve—and then some— so can certainly call this one of the best investments we’ve made in a long time.” Fibre recovery has always been a priority for Coastland and a key motivator behind the company’s continuous improvement projects that are frequently focused on equipment upgrades. Coastland is able to use almost 100 per cent of the fibre that comes through its mill—something that Pauze says is incredibly important in today’s market. “As fibre costs continue to rise, it becomes even more important to make sure you maximize your fibre recovery.” Ensuring Coastland always achieves its commitment to recovery, the company started its most recent upgrade project last winter when the process for a complete retrofit of its log deck line began. According to the company, it was one of the costliest capital projects Coastland had undertaken since the turn of the century. By late June, the latest installation was completed, and the commissioning phase began shortly after that. This new system utilizes Springer equipment and although not fully up to full production just yet, it is already showing weekly signs of increased productivity results with less downtime and maintenance requirements overall. “Currently, the system is up to about 70 per cent of its capacity and already proving to be more efficient than the two current lines we operate,” says Pauze. The new log deck line features a complete mechanical, scanning, and controls solution by Springer-Microtec. Multiple scanning systems are utilized to measure incoming log volumes, perform bucking optimization, and analyze block quality. Designed by Microtec, a company known internationally for their wood scanning and optimization solutions, the new scanning

systems installed at Coastland help operators determine whether each log should be chipped or peeled based on their determined grades and quality, explains Pauze. In the next couple of years Pauze anticipates continual process advancements to keep in front of technology and improve its efficiencies. He says Coastland is always watching out for high-tech solutions for maximizing results. When defining why Coastland considers their commitment to continuous

improvement so important, Pauze has this to say: “Technology is improving and changing the moment that you upgrade your facility. Continuous improvement is a culture that every company should focus on to help give you an advantage, whether through productivity increases or manufacturing cost reductions. “If you don’t strive to continuously improve your processes, you get left behind.”

Logging & Sawmilling Journal - February 2019

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The Edge

CWFC to Conduct Detailed Measuring and Monitoring of Options at the Ellerslie Short-Rotation Woody Crop By Tony Kryzanowski

he ultimate goal of afforesting with Short-Rotation Woody Crops (SRWC) (3-20 year rotations) is to maximize volume and value to land owners and industry, and to recognize this resource as a fast-growing, predictable and sustainable feedstock for multiple uses, from conventional forest products to bioenergy and other bio-products to grow Canada’s bioeconomy.

Now that the mature SRWC plantations, established and managed as a technical development site by Natural Resource Canada’s Canadian Wood Fibre Centre (CWFC) in Edmonton is being harvested, the focus will now be on evaluating a variety of on-site processing technologies and methods, aimed at preparing the harvested SRWC crops to the desired size and characteristics required by end users.

The harvesting of the 18-hectare Edmonton SRWC plantations offer a unique research and development opportunity for CWFC to intensively measure, monitor and verify various harvesting, pre-processing, and transportation systems that very closely mimic a commercial supply chain.

Primary Products from Large Stems

The logs are delimbed, topped and piled for tran and branches piled for follow-up on-site chippin One chipping method for the accumulated residues or ‘slash’ from the large stem processing operation will be the use of a portable whole tree chipper, powered by a tractor’s three point hitch. Depending on the end user’s needs, the biomass will be chipped to different sizes using different screens, with the material blown into a chip trailer for delivery to a storage site.

This recovery method will be used in residues and medium stem (4-15 cm) diameter biomass plantations. The loaded wagon will be weighed as each source is chipped, allowing CWFC to measure and track how much biomass is being recovered from each harvested source, followed by the characterization of the material produced.

Secondary Products from Residues And Small Stems

Logging & Sawmilling Journal - February 2019

Small stem harvesters include with a drum chipper and a bi round-bales the full stem of th poplar.

The Edge

On-Site Recovery, Pre-Processing and Transportation.. (SRWC) Technical Development Site in Edmonton This includes detailed time and motion studies for all the equipment, as well as weight measurement to determine recovered volumes for all harvested material. Full tree permanent sample plots are also being manually destructively sampled to validate growth charts, partition all tree components and determine carbon values.

As the large stems originate from clonal plantations established between 2002 and 2005, they are colour coded by species, clone and age (14-17) for mass and transportation tracking purposes. To transport the logs, CWFC will use a self loading truck to load and haul the logs for delivery to a pulp mill. The haul trucks have scales to weigh the loads at source, which are validated with the pulp mill scales.

CWFC believes that the data collected and shared will prove invaluable to industry in developing workable business cases, with realistic financial inputs to potentially include SRWCs into their fibre supply mix. This will also allow them to assess the feasibility of recovering forest residues as biomass in natural forests.

nsport, with the tops ng to various sizes. As an additional step in the biomass supply-chain, a portion of the pre-processed material will be densified and packaged using a developing technology. This round baling system will compress and package wood chips and mulched material to 2-3 times the density of loose material. These bales will be piled for storage and conditioning (drying) before being shipped to the final users.

Chips

e a forage harvester io-baler that cuts and he willow or hybrid

Mulch A tractor powered tub grinder will mulch selected small stem bales to produce another biomass product.

For additional information, contact Derek Sidders at derek.sidders@canada.ca or 825-510-1287 or Tim Keddy at tim.keddy@canada.ca or 825-510-1193 Canadian Wood Fibre Centre, Edmonton, Alberta Logging & Sawmilling Journal - February 2019

SUPPLIERNEWSLINE Wellons Canada hires Eastern Service and Sales Rep

Wellons Canada has announced the recent hiring of Sebastien Lefebvre. Based in the company’s Sainte-Julie, Quebec office, Lefebvre will be responsible for Service and Sales in Eastern Canada for dry kilns and energy systems. Lefebvre brings a strong background providing service and training Sebastien Lefebvre within the forest products industry, most recently for optimization products, along with previous experience as a Service Technician for dry kilns and kiln control systems for Salton Fabrication. He will provide customers of Wellons Canada with full time Service and Support in the Eastern Region. Wellons Canada specializes in heat and energy technologies for lumber dry kilns, biomass fired energy and heating systems. With the ability to offer ‘Total Projects from Concept to Completion’, Wellons says it provides all facets of design, manufacture, installation and continued support.

Western Forest Products buys Columbia Vista

A wholly-owned subsidiary of British Columbia-based Western Forest Products has entered into an agreement to purchase Columbia Vista Corporation for $30.5 million (U.S.). Columbia Vista is a lumber manufacturer that focuses on Douglas fir specialty products for the Japanese and U.S. markets. It operates a sawmill business in Washington State and has been in business for over 60 years. The operations employ approximately 90 employees and it produced 60 million board feet of lumber in 2017. “This acquisition is consistent with our strategy of pursuing margin-focused business opportunities that complement our 60

position in selected markets,” says Don Demens, Western’s President and CEO. “Bringing Western and Columbia Vista together provides Western the opportunity to expand its Douglas fir specialty product offerings, particularly in Japan where our customers have been asking us to source Douglas fir to complement our B.C. Hemlock.” Bob Lewis, Columbia Vista’s owner, will remain with Western, in a consulting capacity, following the closing of the transaction. The transaction is expected to close in the first quarter of 2019. www.westernforest.com

Stihl launches two new chainsaw models

Stihl says that its new MS 462 C-M and MS 462 C-M R chainsaws have a unique design that make them suitable for limbing and working on tough slopes. They come equipped with the company’s M-Tronic fully electronic engine management system, regulating the ignition timing and fuel supply. They have instant acceleration due to optimized ignition and electronicallycontrolled carburetion. They also offer high torque in a wide

speed range and an HD2 air filter with radial seal for better filter effect against dust particles. The Ematic S oil pump offers infinite regulation of oil flow and the chainsaws are also lightweight, with optional Stihl Rollomatic ES light guide bar, more compact chain sprocket cover and crankcase, and weight-optimized flywheel. www.stihl.ca

Hitachi introduces Advanced Connect for Field Service

Hitachi Solutions America now offers Advanced Connect for Field Service, a pre-built, no-code integration that connects Microsoft Dynamics 365 Finance & Operations (F&O) and Microsoft Dynamics 365 Field Service. Providing the most advanced funcLogging & Sawmilling Journal - February 2019

By Tony Kryzanowski tionality right out-of-the-box, Hitachi Solutions America says that the solution eliminates the need to build a costly inhouse integration to seamlessly centralize and automate common yet complex field service transactions, and share the data across the entire business. Designed specifically for the unique needs of field service, the robust integration synchronizes customer accounts, warehouses, released products, vendors, purchase orders, purchase order receipts, inventory adjustments, inventory transfers, and F&O project journals entities. This creates a complete end-to-end field service automation solution that optimizes inventory processes, tracks service stock accurately at mobile and fixed locations, provides more accurate warehouse levels, as well as automates invoicing. us.hitachi-solutions.com

USNR burner provides fuel choice flexibility

USNR says that its Counter Flow Kilns are the largest and most flexible in the industry. They use heating systems that produce 40 MMBtu from a variety of fuel sources

including steam, shavings, green fuel, and natural gas. This flexibility allows mills to burn the fuel that gives them the most savings. The USNR Green Fuel Burner ‘gasifier’ can be manufactured as a hybrid burner using green sawdust and natural gas independently in the same system. Mills can switch between fuel sources to take advantage of price fluctuations and other market conditions. Having more fuel source options also lets companies continue drying through quarterly clean-outs, by using gas. www.usnr.com

classified

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FEBRUARY 2019

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Logging & Sawmilling Journal - February 2019

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thelastword

Timber shortages in B.C. are now hitting home By Jim Stirling

t may have been inevitable but the reality is still a shock. Timber shortages have hit home in British Columbia. And that’s why upcountry, where it still gets cold in winter, the near term prospects for the regional forest industry are looking bleak as the weather. There are plenty of trees left in B.C., of course, but just not in the right ages, species and locations to sustain the high volume commodity lumber producing industry with a specific diet of sprucepine-fir. The mountain pine beetle put paid to that. In the 1990s, the beetles were affecting worrying volumes of B.C.’s homogenous lodgepole pine stands. Everyone knows what happened after that. Perhaps the forest industry’s prolonged and successful salvage efforts to harvest the affected pine created an illusion of normalcy. But the volumes that could be salvaged for large scale lumber production have now been salvaged. The warming climate that so dramatically accelerated the pine beetles’ proliferation is now causing population surges in a range of other endemic forest “pests” including the spruce bark beetle. The changing weather is also spawning forest wildfires of unprecedented size and unpredictability. The 2017 wildfire season alone removed an estimated 22 per cent of Quesnel’s AAC and 18 per cent in the Williams Lake region. The industry’s response to all this and the continuing softwood lumber pricing issues with the U.S. are reflected in production curtailments and shutdowns of uncertain durations at sawmills and other wood processing plants throughout the B.C. Interior. West Fraser Timber, for example, cut third shifts from its sawmills in Fraser Lake and Quesnel mills to remove some 300 million board feet—or 13 per cent—from its “normal” production levels. Canfor Corp. resolved to reduce production from its B.C. sawmills by approximately 10 per cent during the fourth quarter of 2018,

primarily through a reduction in operating days. Tolko Industries has laid off about 100 workers at its Quesnel sawmill. Conifex Timber has cut production at its Fort St. James sawmill, impacting up to 200 workers. Interfor Corp has cut production at its three B.C. Interior mills. The list will likely be longer by the time this is read. These large forest companies have long known about impending timber shortages and have taken action. Some of have been busy for years acquiring investment opportunities outside B.C. and Canada. The focus has been the U.S. southern pine belt where the resource remains plentiful and large B.C. based companies have the expertise to process and market it. Canfor has 16 operations in the region. But the eyebrow raising investment for Canfor is the recent purchase of 70 per cent of Sweden’s Vida Group for $508 million. Vida is Sweden’s largest privately owned sawmilling company, with nine sawmills producing about 1.1 billion board feet of spruce pine lumber a year. It also operates a range of value added plants. “This transformational growth will allow Canfor to further diversify and secure a world-wide fibre supply to meet the growing demand of our customers for high quality wood products,” said Don Kayne, Canfor’s president and CEO when making the Vida announcement. The revealing words used by Kayne are “transformational” and “secure a worldwide fibre supply.” They indicate a shift in company philosophy. West Fraser, which prides itself on being a low cost wood product manufacturer, operates more than 45 manufacturing plants in the U.S. and western Canada and now has mills in nine southern states. Interfor has about three billion board feet of annual capacity generated by its 18 mills in North America. Conifex Timber has been a more recent U.S. investor with a major upgrade of its Arkansas sawmill and the purchase of two other operations in the region. Tolko, too, has ventured

Logging & Sawmilling Journal - February 2019

south of the border with a recent acquisition of a 50 per cent stake in a Mississippi sawmill, and has invested in a joint venture in Louisiana (see the story on page 26 of this issue). Changes in corporate thinking were reflected on the equipment side. Caterpillar, of all manufacturers, announced a pending agreement with Weiler Inc to sell its purpose-built forest business. This includes wheeled skidders, tracked and wheeled feller bunchers and knuckleboom loaders. All of these sawmill production curtailments and foreign investments negatively impact B.C. Interior logging contractors and truckers. It means less money circulating in the communities around B.C. reliant on the forest industry. “The scary aspect of this whole story is, while the balance sheets have been repaired through the good times for the sawmills, contractors are left with balance sheets that have not grown any fatter,” David Elstone, executive director of the Truck Loggers Association recently told the media. The Interior is already suffering from shortages of equipment operators and logging truck drivers. So where does all this manoeuvring leave the B.C. forest industry? Canfor’s Kane responded to that issue following the Vida deal. “We still believe long term B.C. is well positioned geographically to grow the Asian market for sure, let alone the U.S. market. However with some of the AAC reductions that you’re all familiar with due to the mountain pine beetle and some of the recent forest fires we’ve all had to deal with the last couple of years, the expansion opportunities are certainly limited in B.C.” There you have it. Succinctly stated. Now B.C.’s NDP government needs to recognize the situation and set the regulatory table so the ingenuity of the provincial forest industry and First Nations can craft creative solutions. The process needs to quickly improve access to the wood fibre that IS available to produce a suite of products on a sustainable basis.

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