Fibre Related Impacts

MLMP has an operating capacity of 1,100 tonnes per day. The mill consumes nearly 1,000,000 cubic meters of wood annually, or in the order of 23,000 individual truckloads. MLMP is the largest consumer of wood fibre in Saskatchewan. The wood fiber furnish is approximately 70 per cent aspen treelength and 30 per cent softwood, primarily sawmill chips generated as a by-product of lumber manufacturing.

The majority of aspen fibre is sourced from the Mistik Forest Management Agreement (FMA) Area with lesser amounts being procured from the Prince Albert FMA, the L&M FMA and minor purchase sources. MLMP shares ownership of Mistik Management Ltd. with NorSask Forest Products Inc. NorSask, owned by the Meadow Lake Tribal Council, is one of the largest First Nations-owned sawmills in Canada.

The aspen procured by MLMP supports jobs and economic activity associated with forest management planning, road construction and maintenance, harvesting, truck transportation, reforestation and operations supervision and administration. Most of this work is supplied by residents of communities proximal to the forest resource. The MLMP impact on First Nation employment and forestry businesses on the western side of Saskatchewan is significant.

With the Prince Albert Pulp mill closed, MLMP is the sole purchaser of sawmill residues (chips) in Saskatchewan. This outlet for by-product chips is an important component for the Saskatchewan sawmilling industry. The MLMP demand for aspen fibre facilitates integrated forest management and resulting operational cost efficiencies for sawmills located in central and western Saskatchewan.

Mill Operation Related Impacts

In addition to fibre procurement, MLMP provides significant other economic benefit to Saskatchewan, the region and the City of Meadow Lake. Those benefits include purchases of the following nature:

  • Direct mill employment

  • Outbound truck transportation services for BCTMP enroute to market,

  • Rail warehousing, transload and main line services (concentrated in North Battleford),

  • Specialized construction, fabrication and maintenance services (a number of which are supplied by companies located in Meadow Lake),

  • Operating supplies,

  • Technical and professional services,

  • Inbound transportation of process chemicals, and

  • Power and natural gas purchases.

The econometric component of this report will quantify those impacts in more detail.

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