Canfor announced it will invest approximately $210 million to build a state-of-the-art sawmill complex in southern Alabama. The sawmill will have an annual production capacity of 250 million board feet on a two-shift basis and will employ approximately 130 people.

Startup of the facility is anticipated in the third quarter of 2024. In alignment with the company’s sustainability goals and decarbonization targets, the facility design includes investment in a biomass-fueled lumber drying system.

“Building on Canfor’s proud operating history in Alabama, we are excited to invest in a new world-class facility that will ensure our long-term ability to operate competitively,” Don Kayne, president and CEO of Canfor, said in a prepared statement. “In addition, the facility’s versatility and flexibility will enhance our ability to more closely align our production of high-quality products with market demand.”

The new facility in Alabama will replace the existing operation in Mobile, Ala. Following the construction and startup of the new facility, an orderly wind down of the Mobile operation will be undertaken, according to Canfor.

“We greatly value our employees and are committed to providing family-supporting jobs and generating economic activity in the region,” Tony Sheffield, president of Canfor Southern Pine, said. “We are pleased to be transforming the workplace for our employees by providing a new, modern facility that will continue to operate for generations.”