May, 1995 -- The proposed lumber processing plant in Hudson Bay will produce a stronger oriented strand board (OSB) that will access a larger market than the present OSB panels, Saskfor Products Limited Partnership president John Robillard, said.
The key to the more durable product is longer wafers. The new
OSB panels will be manufactured from six inch wafers, twice the size
presently used in the OSB division of Saskfor Products. A new 7/16 inch
or 7/16 to 3/8 inch panel will have the strength of present half inch
panels, Robillard commented.
The stronger panels will be used in the production of engineered
high beams, high joists and flooring, commodities beyond the reach of
present OSB panels.
The present OSB market is mainly North America, but it isn't
restricted to only North America.
Environmentally Friendly -- The proposed new mill will be foremost in meeting environment
standards.
"This mill is designed with the state of the art
environmental control equipment. The air quality is going to be
better than anything in the Province of Saskatchewan from an industrial
point of view. It is going to be an extremely modern, clean operation.
It will be nothing like we see in the existing plants around the
Province."
"...We are not going to affect water quality because it is a dry
process. The only water we use in our plant is for the employees' use.
Water quality is not an issue ... The new requirements are so much
greater than the existing facilities have, this will be a tremendously
clean and safe environmental plant to work in," Robillard said.
Once in operation, one of the goals of Saskfor Products will be
to use waster bark and wood waste for a heat system. The waste will then
be burned rather than stored in bark or sawdust piles.
Robillard said the safety standards in the new plant will be
stringent, as legislated through provincial and federal laws. It is the
responsibility of the Company
to ensure the best environmental work place
is provided for employees.
Environmental
Impact Study -- The environmental impact assessment that is
in process may not have been necessary had the Government not been
involved, Robillard said.
"If we were not in partnership with the Provincial
Government we would be treated like any other Company
, and we would
not necessarily have to do an environmental impact assessment for
the plant ..."
'We were informed long before we ever made an
application that the Minister (Saskatchewan Environment and Resource
Management) arbitrarily demanded an environmental impact assessment
for this plant, maybe because they (Government) were involved."
"We as a new Company
will prepare an application
which will consist of pages and pages and pages of questions that
have to be answered."
Part of the environmental assessment process is
public involvement where there will be two sets of public meetings,
giving the public the opportunity to review what the Company
is
doing. The present environmental conditions in the area will be
outlined and the Company
will identify what changes the new plant
will be making.
Reports will be given on the Company
's effect
on air quality and water quality, as well as waste and bi-product
streams, increased transportation, and public and occupational health
and safety. A major component of the study is the socio-economic
effects of the investment on the community, namely there will be
up to 200 construction workers and 150 new employees, plus 300 jobs
created for seasonal work through bush contractors. The Company
will have to identify how it will minimize environmental and socio-economic
changes.
There will likely be one public meeting before July and another
in September or October before final approval for the new Company
is
given. Saskatchewan Environment and Resource Management is responsible
for the meetings.
Contrasting the proposed mill to the pulp mill in Prince Albert
that uses a lot of water waste, Robillard said on a scale of one to ten,
if the pulp mill is a 10 as far as risk goes, the new Hudson Bay facility
will be a one.
Run Independently -- Robillard said the Company will
be run without outside interference. "There is really no Government
involvement in this. The new Company is being run as an independent
Company . It is no longer a Crown Corporation and I think the people
have to understand that it is going to be much different. It will
not be run from Vancouver, and it will not be run from Regina or
with involvement or interference, whatever the case may be, of the
MLA's in the Province. It will be run as an independent business." Conservation Network -- Joy Dancer of the Saskatchewan
Forest Conservation Network has expressed concern about a chemical
that will be used in the new mill. Robillard said Dancer is referring
to a chemical known as MDI, a chemical the new Company will not
be using.
"MDI is in every household in this community, every one. Anybody
who has got a refrigerator, or hot water heater, or has tennis shoes or
... running shoes had MDI because the soles of those shoes are made up of
MDI. MDI is just a plastic type of composite, it is used for the lining
of refrigerators, hot water heaters. It is a binder ... We are not even
considering the use of MDI in the OSB plant. I don't know where this all
came from ... "
The same resin used by the present OSB division for 34 years will
be part of the new manufacturing process, he said. Saskfor Products
would like to improve the resin in co-operation with its manufacturer,
both from an environmental and efficiency point of view.
Future of Saskfor --
Growing for the Future -- is a slogan Robillard would like to
promote at Saskfor Products. That encompasses the responsibility to
ensure that harvested trees are replenished so that the children and
grandchildren of the area will have forestry-related jobs when they
become adults.
This will be accomplished by the Province which has a commitment
to reforestation through money earned from stumpage fees, and Saskfor
Products which will be spending money on reforestation.
One paradox in harvesting aspen is that, other than burning, the
tree species regenerates faster through harvesting. When aspen is cut
down, hundreds of others spring forth from the root system. An aspen
that dies without the interference of humans does not regenerate as
prolifically.
The only areas that will require special reforestation attention
are the landing and some loading areas where large equipment will churn
the soil and affect the trees' root systems. The loading and landing
areas will be replanted each year.
For every hardwood (aspen) cut, another 10 are planted or regrow
that wouldn't have regenerated on their own. An aspen tree can mature in
50 to 70 years, depending on growing conditions and soil while softwoods
take up to 100 years.
Secondly, the Company
wants to ensure that its product will be
long lasting and will meet marketplace demands, Robillard remarked.
The Company
will also be researching the possible utilization of
spruce trees. The peelers (larger sections of the softwood) come to the
plywood plant in Hudson Bay, while the sawmill in Carrot River utilizes a
smaller part of each log down to a 10 cm diameter. A substantial portion
of each tree, below 10 cm goes to the pulp mill in Prince Albert.
Through some research and work within Saskfor Products, the smallest log
segments may be used in the OSB production utilizing both aspen and
spruce, as other plants are doing.
First Nations -- Saskfor Products is working
with the Province, First Nations and the public to ensure there
is involvement and participation of everybody in the Company , Robillard
commented.
Robillard met with the Prince Albert Grand Council and First
Nations' representatives who see a lot of opportunity for employment in
forestry. At a meeting with a contingent from Red Earth - Shoal Lake,
discussion was held on openings for employment. The aboriginals comprise
20 per cent of the area's population, a significant factor in the
forestry business, Robillard remarked. Saskfor products will work
closely with them to ensure they have proper representation and
employment in the mill.
If there is a treaty agreement, Saskfor Products will work with
whatever group signs a land title.
Selling Wood to B.C. -- Commenting on the sale of spruce from Saskatchewan woodlots to
B.C., Robillard said that once forest companies in B.C. cut their quota
of wood, they look elsewhere for their wood supply, such as Saskatchewan.
"We certainly could use that wood. We would like
to have it for the future if it is not being harvested right now,
but it is something that we have control of, not on private land....
At the present time, we have enough wood for the foreseeable future
to run our business. We don't have to go into a bidding war to get
this wood. The season (the wood is going to B.C.) is, if you have
got a plant in B.C. that is worth $40 million and that plant is
only running one shift because it hasn't got enough wood, because
your investment is so great, your overhead costs are there whether
it is running or not, so all your wood is incremental cost. You
can pay a very, very high number for the incremental wood, because
then it averages. If your only other option was to shut your facility
down, if you don't have that incremental wood, then it is very costly.
They could not afford to run a mill full out on wood from Saskatchewan.
Impossible, impossible. This only supplements their own wood to
give them full operating opportunities ..."
Move to Hudson Bay -- The move to Hudson Bay from Ontario is a tremendous opportunity,
Robillard commented. "Number one because I would have the opportunity to get into a
very exciting business in a very exciting Company
that has some potential
and growth for the future. Secondly, it is coming home for me, so it is
very easy, it is something you look forward to. One of the big problems
we have is getting people who have never lived in Hudson Bay to come to
Hudson Bay. They see it as almost an isolated area where there is
virtually a change of lifestyle from a major city of another part of
Canada. But for someone who has lived here and has had the good times
that my family has had here, this is a tremendous opportunity. We looked
at it as that and said, "I think I can contribute something to this new
Company
, and I think this Company
will be a tremendous asset to Hudson
Bay and the northeast part of this Province ..."
The opportunity first presented itself in October
of 1994, when Robillard was made aware of the possible joint venture
between SFP and MacMillan Bloedel. He had to leave his position
at MacMillan Bloedel, and he made that decision knowing full well
that the opportunities were going to be very good.
He has signed a contract at Saskfor Products to
the end of the year 2000. The first clause states that upon completion
in December of 2000, and agreement upon both parties from SFP and
MacMillan Bloedel, the contract can be renewed. Three representatives
from SFP and MacMillan Bloedel sit on the Board and he reports to
the chairman.
Robillard said when he first came to Hudson Bay in January to
interview for his job, he saw uncertainty in the area; a week after the
announcement, there was a large difference in the mentality of the
community. There were smiles on people's faces, there was more of a
sense of security. Since leaving the community in 1980, he has noticed
the community is largely the same. Some stores have changed names, some
have closed, but Hudson Bay is still the same community he knew and grew
up in.
Robillard has 30 years of experience in the wood industry where
he has managed a number of mills, worked on the designs of new mills, as
well as locating and building new mills for MacMillan Bloedel and Trust
Joist MacMillan.
Robillard grew up in Hudson Bay where he attended
school, served as a Town Councillor from 1973 to 1978, and Mayor
from 1978 to 1980. While living here, he was active in the community
where he coached hockey and baseball. In 1980 the Robillard family
moved to Thunder Bay, Ontario.
Hiring -- In the future, a hiring committee
will be put together that will assess the requirements for employees
and take applications based on those requirements. Preference will
be give to people in the northeast part of the Province.
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