West Fraser Purchases Norbord For $3 Billion

West Fraser Purchases Norbord For $3 Billion

West Fraser Timber Co. Ltd. is acquiring all of the outstanding common shares of Norbord, the world’s largest oriented strandboard producer, for $3.1 billion. Following closing, the combined company will operate as West Fraser.

“Norbord’s OSB production is a perfect complement to the West Fraser portfolio, enabling us to deliver a wider range of wood products, and making us a more complete, efficient and valuable partner for our customers,” says Raymond Ferris, President and CEO of West Fraser.

Norbord operates 17 plant locations in the U.S., Europe and Canada, encompassing 15 OSB mills, one MDF plant, two particleboard facilities and a furniture plant.

West Fraser operates 34 sawmills in British Columbia, Alberta and the Southern U.S., as well as three plywood operations and two MDF facilities in Western Canada.

West Fraser will continue to be led by Ferris as CEO and Chris Virostek as CFO. Peter Wijnbergen, President and CEO of Norbord, will be appointed President, Engineered Wood, responsible for the company’s OSB, plywood, particleboard, MDF and veneer operations. Sean McLaren, currently West Fraser’s Vice-President, U.S. Lumber, will be appointed President, Solid Wood, responsible for all of the company’s lumber operations.

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500 Has A Nice Ring To It

500 Has A Nice Ring To It

500 Has A Nice Ring To It

500 HAS A NICE RING TO ITArticle by Rich Donnell, Editor-in-Chief, Panel World January 2020

In baseball, 500 is a magical number, and if a player hits 500 home runs during his career he’s on track to make the Hall of Fame. This issue of Panel World is number 500 in its 60-year lifespan, having been founded in 1960; and while Panel World may not be destined for anybody’s Hall of Fame, there’s still something to be said for its longevity as we enter 2020.

The fact that this is the 500th issue had slipped by us editors. Nobody on the editorial staff had thought about it, and we were in the process of planning the editorial content for this issue, when Shelley Smith in our production department buzzed me and asked me if were going to do anything special, given that this is the 500th issue of Panel World.

Actually we had done something special back in our March 2010 issue, when we devoted much of the issue to the 50-year anniversary of Panel World. So after giving it some thought I felt there would have been too much redundancy in doing something similar with this issue. But certainly number 500 deserves a mention. So thank you, Shelley.

James Burrell was the founder and the first editor of Panel World’s predecessor. He had been an editor for two other wood industry publications based in Indianapolis that had just been sold. He tells the story of sitting down at his desk in March 1960 and trying to decide what kind of magazine he wanted to start, blessed with financial support from Review Publishing Co., which later merged with Curtis Publishing Co. Burrell settled on the veneer and plywood industries. He simply called the magazine, Plywood. In 1966 he changed the name to Plywood & Panel with the intent of adding coverage of the particleboard and hardboard sectors.

Hatton-Brown Publishers of Montgomery, Ala., which already published three magazines in the forest products field, purchased the magazine in 1982, formed a separate company to oversee it and changed the name to Plywood & Panel World. I joined Hatton-Brown late in 1983 and in addition to my editorial duties on the other publications, I was told to join the editorial effort to make the magazine something better.

Right away we went hard after mill project and startup stories, while still covering industry news and product technologies. We also wrote about the personalities behind some of the great companies involved in the panel industry. That’s a formula that hasn’t changed much since then. Industry led us to where we needed to go with our coverage, which soon went beyond veneer and plywood and into particleboard, MDF, OSB and engineered wood products. In 1990, we changed the name to Panel World.

It’s been a great ride, and many great editors have traveled many miles to get Panel World to where it is today. And there’s still plenty left in the tank.

 

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The Martins Do It Again

The Martins Do It Again

The Martins Do It Again

Article by Rich Donnell, Editor-In-Chief, Panel World November 2018

Nearly ninety-five years after Roy Otis Martin purchased Creston Lumber Mill in Alexandria, Louisiana for $32,000 and renamed it Roy O. Martin Lumber Company, the Martins have started up a $280 million Greenfield oriented strandboard plant in Corrigan, Texas.

Let that one sink in a while.

Much has been written in the pages of this magazine and elsewhere through the years about the Martin family and its remarkable forest products business, which we know best as RoyOMartin or even Martco. The family itself published a book some years ago, but as demonstrated by the new Corrigan OSB plant, it’s a story that apparently has no ending.

My familiarity with the company and its current chairman, Jonathan Martin, goes back to when he was focusing less on their pine sawmill in Castor, La., where he had been plant manager, and more on the startup in 1983 of their first OSB plant in Lemoyen, La. The company had started up the Castor sawmill way back in 1933, and the founder’s son, Ellis, who was Jonathan’s father, became plant manager there in his early years.

Many years later Ellis led the company into OSB and Jonathan took the lead on the construction of the OSB plant. Martco’s mill at Lemoyen, GP’s OSB mill at Dudley, NC and LP’s “waferwood” mill at Corrigan, Texas were the first three in the South, all reporting production in 1983. Unique to Lemoyen however was that its raw material was hardwood, as the Martins owned considerable timberland in the area packed with low grade hardwood. The company also started up a hardwood sawmill at Lemoyen shortly after.

Speaking of sawmills, as the company continued to invest heavily in OSB—starting up a second one in Oakdale, La. in early 2007 and of course the Corrigan facility this year—sawmills always had their place: Alexandria, La.; Castor, La.; Lemoyen, La.; Mexia, Ala.—all of them since sold, but now running a timbers mill adjacent the Martin softwood plywood mill in Chopin, La.

And speaking of Chopin, by the time it began production in 1996, Jonathan was president and CEO, and his cousin Roy III was executive vice president and CFO. While I had conversed with Jonathan many times, it wasn’t until 2004 when I visited the new and very impressive headquarters in Alexandria that I had the good fortune to converse with Roy. Their official titles have changed through the years, not that anybody ever had their titles straight anyway.

I don’t recall ever asking them if they felt they were lumber guys or panel guys, but I’m guessing they would respond that they are simply forest products guys and point to the 550,000 acres of certified timberland the company owns. They are also very spiritual guys, philanthropical guys and employee-centric guys. At the fear of leaving somebody out, I won’t even begin to name the talented personnel they’ve always surrounded themselves with.

I’ve always been very appreciative that they have continued to let our editors into their mills so we could write and publish articles such as the one that starts on page 10 of this issue.

May many more chapters be forthcoming.

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Structural EWP Exempt From New EPA Formaldehyde Regulations

The U.S. Environmental Protection Agency’s (EPA) new federal formaldehyde emissions regulations took effect on June 1st, 2018. As of this date all composite wood products must be certified as compliant with these regulations.The EPA defines composite wood products here as both domestic and imported particleboard, medium density fiberboard (MDF), and hardwood (decorative) plywood.

Structural engineered wood products made for construction applications are exempt from this regulation, including structural plywood, oriented strand board (OSB), wood I-joists, laminated veneer lumber, and glued-laminated timber. All of these products are manufactured with low-emitting, moisture-resistant adhesives in accordance with existing product standards and building codes, according to The Engineered Wood Association (APA).

For quick reference, structural engineered wood products marked with the APA Mark of Quality are considered exempt from the new regulations. If unmarked products from APA member mills are sold into applications that do not require a certification mark, the product invoice and an APA certificate of conformance can be used to identify the product as exempt.

The Formaldehyde Standards for Composite Wood Products Act was signed by President Barack Obama on July 7th, 2010, based on the Air Toxic Control Measure developed by the California Air Resources Board (CARB). The first phase of regulation rollout, now in effect, allows for compliance with either the CARB ATCM Phase II or the U.S. EPA TSCA Title VI. Starting March 22nd, 2019, only the U.S. EPA TSCA Title VI will be permitted as a path to compliance.

From Builder: https://www.builderonline.com/building/regulation-policy/structural-engineered-wood-products-exempt-from-new-epa-formaldehyde-regulations_o

Half The Fun Is Getting There

Half The Fun Is Getting There

Half The Fun Is Getting There

Article by Jessica Johnson, Associate Editor, Panel World July 2018

This spring I had the opportunity to hop across the pond, and visit Ireland for the first time. An avid Ed Sheeran fan (yeah, I know, but I’m a woman in my early thirties, what do you expect?), I was very excited to visit the countryside he sings about in a few of his tunes. I had my picture made as I kissed the famous Blarney Stone, though it remains to be determined if I got a mystical gift of eloquence said to be bestowed upon those who kiss it.

I’m going to pull the curtain back on Panel World a bit. One of the key ingredients to our boots-on-the-ground reporting is actually getting PW reporters into our featured mills. I’ve been on countless airplanes, subways, ferries and logged more miles in a car than most people do in a lifetime traveling to production plants. It’s part of the job. However, when I was making my arrangements for Ireland, it didn’t occur to me that Ireland follows the U.K. system of driving. The steering wheel is on the right side of the vehicle, and cars drive on the left side of the road. Motorway signs are both in Irish (Gaelic) and English. Every “intersection” is a roundabout.

No big deal, obviously, because I’ve been driving since I was 15 years old. Except, it was a complete nightmare when you’re doing it by yourself jet lagged and lost. I am happy to report I was (basically) episode free, though the car I rented looked exactly like a bubble—the only car Hertz had on the lot that was an automatic—and made me cry in frustration more times than I want to admit. I am really proud of myself for (basically) successfully driving on the wrong side of the car and the wrong side of the road for more than 750 miles. But I got lost. A lot.

And the getting lost part made it somewhat difficult to get this PW reporter to the actual production plant. As you’ll read in the feature on OSB manufacturer Medite Smartply, the port of Waterford is just a few hundred meters from the plant’s weighbridge. I can attest to it because I tried to cross the port’s weighbridge initially before ending up at Smartply’s office.

When I arrived embarrassingly tardy to meet with Jim McCann, Operations Director of Medite Smartply, he laughed off my driving troubles, poured me a coffee, handed me a cookie and we settled in.

While discussing the history of Smartply, naturally attention turned to McCann: a 20-year OSB veteran first with Smartply while under the tutelage of Louisiana-Pacific and now with Smartply under Coillte’s ownership. But what perked up my attention was McCann’s four years in the early ’90s with a viscose manufacturer in Saraland, Ala.—just 150 miles from my home, and about 4,240 miles from where we were standing. As a fine mist settled over the log yard and an unseasonably cold wind whipped around, McCann and I bemoaned Alabama humidity and the inability to play tennis after 12-noon from April to September. The two climates could not be more opposite.

And yet, McCann with his Irish accent, who understood perfectly what “y’all” meant, told me he was glad to see Smartply grace the pages of Panel World —a welcomed reconnection for him to North American panel manufacturing. As McCann stated about Smartply’s OSB export markets, sure the world can feel like a big place, but it really is a small one, too.

 

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The monthly Panel World Industry Newsletter reaches over 3,000 who represent primary panel production operations.

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