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West Fraser to sell Alberta’s Hinton Pulp to Mondi Group

West Fraser Timber Co. Ltd. said today it will sell its unbleached softwood kraft pulp mill in Hinton, Alta., to UK- and Austria-based Mondi Group plc.

The deal will see West Fraser continue to supply fibre from their Alberta sawmills to the Hinton mill under long-term contract.

The company said in a news release Mondi plans to invest €400 million to expand the Hinton mill, including a new 200,000 tonne per-annum kraft paper machine, with an expected operational start date in 2027.

“This transaction creates a sustainable long-term future for the pulp mill, while maintaining the integrated fibre supply chain in place with West Fraser’s operations in the region,” said Ray Ferris, West Fraser president and CEO. “The relationship with Mondi puts the Hinton pulp mill in the hands of a global industry leader, with the vision and experience to maximize opportunities for local employees and the community. We look forward to a mutually beneficial long-term relationship with Mondi and our other stakeholders in Alberta.”

Mondi employs 22,000 people across 100 packaging and paper production sites in more than 30 countries.

Mondi Group CEO Andrew King said in the release: “We are delighted to be making this investment in Canada and look forward to working with our Hinton colleagues, West Fraser as a long-term partner, and other local stakeholders towards improving the mill’s environmental footprint and securing its sustainable future.”