Georgia-Pacific breaks ground on $191M expansion of northern Ont. mill

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$191M expansion for northern wood mill

Georgia-Pacific invests $191M in Englehart mill expansion

Georgia-Pacific broke ground Tuesday afternoon on a $191 million expansion at its wood processing mill in Englehart, Ont.

The expansion will secure jobs and ensure the mill is around for at least the next 20 years, the company said.

Englehart OSB (oriented strand board) is often advertised as the largest operation of its type in the world. The facility employs 230 people and is the largest employer in Englehart.

“This is really big for the area,” said John Beers, Georgia Pacific’s president of panels.

“There’s so many people out in the bush cutting logs and all the people who drive trucks bringing the logs,” added Englehart Mayor Doug Metson.

The investment comes as the Englehart OSB mill celebrates its 15th anniversary as a Georgia-Pacific facility. The first board was produced at the mill in 1983, while Georgia-Pacific acquired it in 2010 from Grant Forest Products.

“A lot of the employees that work here at Georgia-Pacific live in Temiskaming Shores,” Temiskaming Shores Mayor Jeff Laferriere told CTV News.

Huge impact

“So, for us, this is a huge impact on the local economy.”

The $191 million will fund a new log processing system and include the expansion and construction of a new finished goods warehouse.

The plan includes a new 70,000-square-foot Green End’ facility, while a third of the mill’s equipment will be upgraded with new technology.

“We’re going to produce about 10 per cent more volume, which means we’re going to bring 10 per cent more logs in,” Beers said.

The Green End, Beers said, is the part of the mill where the logs are brought in and where they are prepared for chopping and turned into oriented strand board.

This type of wood is used for the construction of new homes.

“As our prime minister has said, ‘Build Canada build,’” said Nipissing-Timiskaming MP Pauline Rochefort in a brief speech.

“We are on a journey to build in Canada and that is the vision for our country.”

The processing system in an OSB mill includes sorting logs, debarking and cutting them into strands to prepare them for drying.

“We’re building the new green end adjacent to the current green end, which will allow us to continue to run the plant over the next two years while we build,” Beers added.

Easy decision

Georgia-Pacific said it was an easy decision to upgrade its “flagship mill,” which is responsible for more than 25 per cent of its overall production.

“It was a choice to make an investment here in this mill. Those choices don’t happen by accident,” said Vic Fedeli, Ontario’s Minister of Economic Development, Job Creation and Trade.

“At a time of global economic and trade uncertainty, Georgia-Pacific’s decision to reinvest here is a really strong testament.”

The mill ships 70 per cent of its product to the United States and the company remains unbothered by the trade war between Canada and its southern neighbour.

“We’re looking long term and long term, we believe it’s a great asset,” Beers said.

“It’s very close to the U.S., which allows us to service markets like the northeast and Midwest and even going as far west as Utah and California.”

Georgia-Pacific said the investment will allow the company to stay competitive as new mills open in the southeastern United States.

The expansion is expected to be complete in Summer 2027.