All posts by Jo English

First nations

Saskatchewan First Nations form group to advance forestry opportunities

Several local-area First Nations have signed on to a new agreement to manage forest lands and build on opportunities in the industry reports Charlene Tebbutt, Pa NOW.

The new Saskatchewan First Nations Forestry Alliance includes 13 First Nations, including the Montreal Lake Cree Nation, Big River First Nation, Pelican Lake First Nation, Witchekan Lake First Nation and Meadow Lake Tribal Council and their related business organizations.

The deal outlines how business-related opportunities will be handled on First Nations’ ancestral lands, which cover much of Saskatchewan’s forested area. Together, the groups direct forest management licenses and commercial arrangements on more than four million cubic metres of the annual allowable cut in the province.

Robert Fincati, chief executive officer with Montreal Lake Business Ventures, said the agreement has been in the works for several years.

“Everybody is really excited about it,” Fincati said Thursday. “We want to create stability in the forest industry in Saskatchewan. It’s important for all the nations.”

Fincati said there’s a lot of room for growth in the forestry sector.

“Right now there’s a huge gap in the forest industry in Saskatchewan and that is because there is no facility in Prince Albert,” he said, referencing the still-shuttered mill just outside the city. “It becomes really challenging to have an integrated forest operation when there’s nobody to take the hardwood.”

Fincati said the alliance is still finalizing some details around the new agreement, but the groups are eager to move forward and build on more business and growth opportunities.

“It’s actually a really good news story for all of Saskatchewan because a healthy forest industry in Saskatchewan is important for all, especially northern residents,” he added.

Provincial administrators are applauding news of the deal, and they will work with the alliance to engage and collaborate on any forest opportunities that come up, said Shane Vermette, executive director of the Forestry Development Branch with the Ministry of Energy and Resources. While the province wasn’t part of the discussions around the new agreement, Saskatchewan is a leader in Canada in working with First Nations groups on forest management, he said.

“This agreement, in fact, demonstrates Indigenous support for the sector in Saskatchewan and also collaboration by the numerous First Nations in further forestry sector growth opportunities,” Vermette added. “The annual allowable cut, which is the sustainable timber that can be harvested annually in the province, is just over eight million cubic metres, and we’re currently only harvesting about half of that.”

Dozens of Indigenous-owned forestry businesses operate in Saskatchewan, a statement from the province said, ranging from sawmills to timber harvesting, road construction, trucking and reforestation. According to statistics from the Government of Saskatchewan, about 1,300 Indigenous people work in the forestry sector here, making up 31 per cent of the total workforce, compared to four per cent across Canada.

Twenty-eight per cent of Saskatchewan’s timber supply is allocated to Indigenous businesses, the largest percentage of any province, the government noted.

L-series

New John Deere L-Series Utility Wheel Loaders primed to take job sites by storm

After much anticipation and countless hours of product development, John Deere unveils three powerful and productive L-Series utility wheel loaders. The 524L, 544L and 624L offer customers an intuitive solution, ideal for projects that require agility and versatility on the job site or farm. Designed with the operator in mind, the L-Series machines incorporate several new features, including improved cabs for more comfort and visibility, electrohydraulic (EH) loader controls for easier operation and redesigned near-parallel linkage, and enhanced performance buckets.

“Our next generation of wheel loaders improves upon the legacy of the John Deere wheel loader line,” said Chris Cline, product marketing manager for utility wheel loaders, John Deere Construction & Forestry. “The L-Series boasts several improvements over previous models designed to positively impact productivity, comfort and visibility, resulting in increased profitability.”

The most notable of changes to the L-Series from their K-Series predecessors is the improved cab, which is roomier and more comfortable, offering more functional storage and floor space. The optional premium heavy-duty air suspension seat is heated, ventilated and designed to offer additional legroom. The HVAC performance is also enhanced, now including rear defrost, increasing air flow while reducing noise. Three standard 12-volt auxiliary power ports in the cab enable the operator to charge multiple devices. Optional remote-heated, adjustable mirrors increase job site visibility.

Behind the wheel, EH loader controls with integrated third and fourth function auxiliary hydraulics provide faster cycle times, resulting in more material moved in shorter periods of time. Two multifunction buttons integrated into the hydraulic controls allow the operator to assign a function to each button, improving operability and productivity. This loader also has an ergonomically designed, seat-mounted right-hand joystick with a standard forward-neutral-reverse switch and fully integrated auxiliary hydraulic controls. A throttle lock option removes the need for the operator to push the throttle pedal to maintain engine speed.

Improvements to the machine boom structure directly result in increased productivity. The design increases visibility to the coupler, bucket or forks, reducing overall cycle times, material spillage and equipment damage. Additional bucket options include enhanced production buckets with integrated spill guards, profiled side cutters and greater rollback, improving bucket fill and material retention. A new shaft-style fork design offers more visibility and tine length options, including 48-inch, 60-inch and 72-inch. Smoother boom and bucket hydraulic kickouts reduce operator fatigue, while new standard parallel lift linkage improves load leveling, limits bucket spillage and increases fork operation speed.

Return-to-dig settings can now be set from the cab for both directions of the bucket, allowing operators to return-to-dig from any position without having to adjust the bucket to dump position. Boom and Bucket EH metering rate aggressiveness allows the operator to choose a setting — low, medium or high — for quicker hydraulics or reduced response in precision operations for improved comfort. Attachment configuration settings can be saved, allowing the operator to assign and save settings to an attachment, making it easier to switch between attachments without impacting productivity.

The 524L, 544L and 624L are available with optional High Lift (HL) and High Lift Plus (HL Plus) selections; there is also a tool carrier option on the 524L and 624L models. The HL Plus option features hinge pin heights that are 12 to 13 inches higher than current HL pin heights, allowing the operator to dump into higher trucks or wagons. The tool carrier option provides the best centerline visibility to the coupler or forks. It is ideal for customers handling materials, like pallets, pipe or logs, where centerline visibility is important.

From a service perspective, the hydraulic hose and electrical wire harness routing and retention are improved, and the machines feature 40 fewer leak points, lowering potential repair costs.

The 524L, 544L and 624L feature fuel-efficient Final Tier 4 John Deere diesel engines (6.8 liter) and boast 152 (113kW), 166 (123kW) and 192 (143kW) net peak horsepower, respectively.

Fleet managers looking to get the most out of their L-Series wheel loaders can rely on their John Deere dealers to provide Ultimate Uptime, featuring John Deere WorkSight™. With Ultimate Uptime, owners receive predelivery and follow-up inspections that include five years of JDLink™ telematics, machine health prognostics, remote diagnostics and programming capabilities and the ability to add dealer-provided uptime solutions to a customized package.

The 544L will also be on display at World of Concrete, Jan. 22-25, 2019, at booth C5451. Along side the 544L will be a JD544, built in December 1968, to commemorate 50 years of John Deere building wheel loaders. Contractors, builders, and sand and gravel-pit operators alike helped build the innovative JD544 50 years ago. The new L-Series machines are a testament of durability, dependability and productivity, and of continuous customer-inspired design. Throughout 2019, all new manufactured wheel loaders will showcase a 50 year anniversary emblem to signify this milestone.

For additional information and model-specific specifications about the new L-Series wheel loaders, visit www.JohnDeere.com or contact your local dealer.

Renholmen

Renholmen gets new owner

Together with the companies ALMAB and Arivislanda, Renholmen AB is part of the ARAT Group. Now ARAT Group has been acquired by Storskogen AB from Provator AB.

“Storskogen invests in companies that are stable and profitable. It gives us great opportunities to continue our journey with development and expansion of the company,” says Renholmen’s CEO Per Jonsson.

“We look forward to continuing to develop our three leading companies in a positive spirit together with Storskogen, which also enables further acquisitions to the group,” says Johan Andersson, CEO of ARAT Group.

ARAT Group delivers high-tech equipment to sawmills and further processing industry. The three companies operate freely and have together a turnover of SEK 300 million and have 100 employees.

Storskogen is an industry and trading group, which today owns 28 Swedish companies with a turnover of just over SEK 4 billion.

Photo: Renholmen’s CEO Per Jonsson.

LaSalle

LaSalle Lumber Company joins Southern Forest Products Association

Southern Forest Products Association (SFPA) welcomes LaSalle Lumber Company, LLC, a joint venture of Hunt Forest Products and Tolko Industries, as its newest lumber manufacturer member.

Tolko Industries, headquartered in Vernon, BC, has partnered with Louisiana-based Hunt Forest Products to build a state-of-the-art sawmill near Urania, Louisiana. Earlier this year, Tolko announced plans to build the new facility. The mill is designed to produce 200 million board feet annually, with three continuous dry kilns and a planer facility.

“This is our first venture into the United States,” 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 Louisiana’s forestry industry for more than a century.”

Pino Pucci is the company’s manager and will represent LaSalle Lumber on the SFPA Board of Directors.

Photo: Brad Thorlakson, Tolko president and CEO

expand

Enviva Partners to expand wood pellet production facility in Virginia

Enviva Partners to invest at least $75.7 million to expand its operation in Southampton, Virginia. In addition to increasing wood pellet production by a third to approximately 750 thousand metric tons per year (MTPY), the expansion will allow for the processing of sustainably sourced pine at the existing facility, significantly augmenting the company’s usage of fiber (or raw material) from Virginia forests.

Enviva is a leading global energy company specializing in sustainable wood biomass. The company is the world’s largest producer of wood pellets, which provide sustainable, low-carbon heat and power that can replace fossil fuels.

Wood pellets produced at Enviva’s Southampton facility are primarily exported through the company’s deep-water marine terminal at the Port of Chesapeake, Virginia.

wood

Global Timber and Wood Products Market Update

Declining trade of softwood lumber, plummeting lumber prices in the US and slowing wood demand in China were some of the biggest international lumber developments in the 3Q/18, reports the Wood Resource Quarterly

Global Softwood Lumber Trade
Global trade of softwood lumber from January through September 2018 was down 2.5% as compared to the same period last year. China, Japan, the United Kingdom and the MENA region reduced their imports, while the US and continental Europe have imported more lumber this year than in 2017.

Lumber markets – North America
After US lumber imports reached a 10-year high in the 2Q/18, import volumes fell 3.5% to 9.44 million m3 in the 3Q/18, which was still over ten percent more than in the same quarter in 2017. The trend over the past few years has been that the market share for overseas lumber supply to the US has increased at the expense of Canadian supply, as reported in the Wood Resource Quarterly (WRQ). The Canadian share has fallen from 95% of total imports in 2016 to 91% in 2018.

Lumber prices in the US plummeted during the summer and fall, with major grades falling about 40% from June to November.

Lumber exports from Canada were down in all markets in the 3Q, and the total export volume was down 4.3% q-o-q. Almost 80% of the shipments were destined for the United States. During the first nine months of 2018, export volumes to China were 16% lower than the same period last year.

Lumber markets – Northern Europe  
Lumber exports from both Finland and Sweden slowed substantially in the late summer, with August shipments being down 10% (Finland) and 6% (Sweden) from August 2017. The biggest decrease in Finnish exports so far this year have been in shipments to China and Saudi Arabia, while Swedish sawmills have reduced exports to Egypt, China and Japan the most. Both countries have kept up sales in the European market in 2018 with only minor changes in shipped volumes from 2017, according to the WRQ. Lumber prices in both Finland and Sweden have remained fairly stable during most of 2018.

Lumber market – United Kingdom
The United Kingdom is the world’s third largest importer of softwood lumber, after the US and China. In 2017, the country imported 7.5 million m3 of lumber, the highest level seen since 2007 and up almost 50% from five years ago. Sweden has long been the major supplier, with a market share of about 45%. However, demand for imported lumber to the UK has fallen by 20% during the first nine months of 2018.

Import prices for lumber have trended upwards in US dollar terms in the past few years to reach a three-year high in the 2Q/18, followed by a decline of 7.3% in the 3Q/18.

Lumber markets – China
A gloomier outlook by Chinese consumers and a shortage of credits for many provincial governments and state-run firms have contributed to reduced demand for forest products. As a result, total softwood lumber imports to China have slowed in 2018, with volumes in the first nine months falling 11% as compared to the same period in 2017, according to Chinese customs data. Imports were down from all supplying countries except Russia.

Wood Resources International    LLC
hakan@WoodPrices.co

Bergs Timber

Bergs Timber appoints Jan Liljegren as CEO for Bergs Timber Production

As of January 1st 2019, Jan Liljegren will take the position as CEO for Bergs Timber Production AB, and will be responsible for the Swedish operations.
In the autumn, Jan held the position as Production Director and now stands up as CEO.

Bergs Timber produces and sells sawn and further processed wood products. It operates its production facilities in Sweden, Estonia and Latvia. The Group also includes its own port and logistics operations in England.

Tigercat

New Tigercat Dealer In Russian Federation

Tigercat has announced that EkoNivaTechnika-Holding is now a Tigercat dealer for areas of Western Russia and Siberia.

With headquarters in Detchino, approximately 150 kilometers southeast of Moscow, EkoNivaTechnika-Holding has a regional presence through three operational branches: EkoNiva-Teсhnika in the Central region, EkoNiva-Chernozemye in the Central Black Earth region and EkoNivaSibir in the Siberian area.

With 24 years in the Russian agricultural equipment business, the company is a leader in mobile farm equipment and servicing.

Covering fourteen regions, EkoNiva has twelve service centres each with its own spare parts warehouses, state-of-the-art overhaul depots and field service trucks. The company has over 550 employees with a great deal of attention paid to training and development, both in Russia and abroad.

Matt Roberts, Tigercat sales manager for Europe and Russia comments, “We are very happy to welcome EkoNiva to the Tigercat dealer network. The company’s vast experience and proven record in customer support, combined with their operational excellence as a leading heavy equipment dealer in the Russian Federation, is an outstanding match for our products. We are confident that forestry customers in EkoNiva’s area will see great benefit to adding Tigercat products to their fleet with the support of EkoNiva’s strong network of branches and technicians.”

“We are excited to introduce Tigercat to our customers in Northern Russia and Siberia. Our choice for Tigercat is based on the premium quality of the forestry equipment and high level reputation as a customer driven company with strong engineering capabilities,” comments Bjoerne Drechsler, First Deputy Managing Director, EkoNivaTechnika-Holding.

Ekoniva strives to establish a long-term, honest and mutually beneficial cooperation with its customers, stating, “Every customer is unique for us. Each order is completed with consideration of the customer’s requirements and specific possibilities.”

Tigercat looks forward to expanding its customer base in Russia and along with EkoNiva, will deliver a high-class customer.

 

BECSA

Becsa to acquire Matriarch Equipment

Bell Equipment Company SA (BECSA) has reached agreement in principle to acquire the business of Matriarch Equipment CC.

Matriarch designs and manufactures a range of material handling products used predominantly in the forestry and sugar industries across local and international territories.

Bell said the intellectual property (IP) of the products designed by Matriarch is aligned to the broader strategy of the company to enhance IP ownership and to provide niche product solutions in the forestry and sugar industries.

In terms of the transaction BECSA will acquire all the assets of Matriarch consisting of the inventory, the value whereof will be finalised at an inventory count to be conducted on or about January 31, 2019; the operating assets to the value of circa-R1.3 million; the value of the IP which was determined by valuing the business of Matriarch on a discounted cash flow basis; and take on the employees of Matriarch.

BECSA will pay an initial consideration of R3.8 million for the Matriarch IP plus a performance-based consideration (PBC) based on future sales performance of Matriarch Products, retrospectively per quarter for five years. In addition to the five-year time limit, the PBC has a monetary cap of R15 million.

The finalisation announcement is expected on or about February 1, 2019.

pellet

Segezha Group launch new pellet plant in Lesosibirsk

The new technological line for production of wooden pellets has been launched in a special ceremony at Lesosibirsky LDK No. 1 (Segezha Group, part of Sistema JSFC) at the end of the year 2018.

The presentation ceremony was attended by Аleksandr Uss, Governor of Krasnoyarsk Krai, c, and other heads of the Krai and the company.

The capacity of the new enterprise is 70,000 tons of ready pellets in a year, which will be exported all over Europe, but the designed solution allows to increase the output volume by nearly 1.5 times.

The investments into the pellet production facility amounted to RUB 816.6 million.

A month after the factory first started in “test mode”, the first batch, 120 containers, was loaded with approximately 2400 tonnes of pellets for European customers.

Biofuel production is one of the key areas of the Segezha Group in Ecology and Environmental Protection. The launch of a new factory allows the company to use wood processing resources to the fullest extent, providing handling of sawing by-product and processing it into biofuel and heat energy.

Photo: Mikhail Shamolin, Chairman of the Board of Segezha Group