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SENNEBOGEN 735 E with electric travel drive

Thu, 23/05/2019 - 12:03

Live at Ligna 2019

SENNEBOGEN develops Pick & Carry material handler with electric travel drive

At ligna 2019, in Hanover, SENNEBOGEN will showcase a new electric drive version of the diesel hydraulic Pick & Carry material handler SENNEBOGEN 735 that is so popular with the timber industry. The prototype is currently being field tested and will be ready to go into production by the end of 2019.

When it comes to mobile timber handling, many customers around the world depend on the reliable Pick & Carry material handler from SENNEBOGEN. These machines are mainly used in log yards to organize and sort, and to feed saw mills. The 7 series machines have been designed to run continuously. Electric solutions, such as those typically used in stationary timber manipulation, have not been possible due to the long travelling distances involved. At ligna, SENNEBOGEN will present the first machine with a new drive concept. All the work process still operate hydraulically, driven by an efficient stage 5 diesel engine, whilst the undercarriage travel drive is electric.

Joint development project with Bosch Rexroth
Bosch Rexroth and SENNEBOGEN, long-term partners in drive and application technology for material handlers, collaborated to develop this electric travel drive. The system solution is based on Bosch Rexroth components, is being jointly developed into a marketable product, and will be launched by SENNEBOGEN under the name ‘Green Efficiency Drive’. The Pick & Carry material handler 735 E will be the first machine to contain the series production technology for electric travel.

Design: up to 30 % more efficient thanks to the electric travel drive
The Pick & Carry machine can already switch continuously between acceleration, braking and driving under load and this provided options for improving the use of the available energy. The new drive concept consists of two electric drive engines in the undercarriage which are supplied with power by a generator operated by a diesel engine. In addition to the increased efficiency and lower consumption of this design, the development team have also managed to achieve a reduction in noise levels, and dynamic drive and braking in the pilot production. Initial applications saw efficiency increases of up to 30 % compared to the previously used diesel-hydraulic drive. The machine has already been very convincing in field tests with one customer. The machine was used for several days in the log yard of a Bavarian saw mill.

Experience the SENNEBOGEN 735 E with Green Efficiency Drive at ligna
As the first 7 series model, the SENNEBOGEN 735 E with the prototype Green Efficiency Drive will be on display at ligna. Additional technical details will also be available there. The new drive concept is currently undergoing intensive testing and the first models will be ready to go into production by the end of 2019.

In collaboration with Bosch Rexroth, SENNEBOGEN has developed a new electric drive concept for its Pick & Carry material handler. The SENNEBOGEN 735 E will be on display at ligna as the first machine with the new Green Efficiency Drive.
A joint SENNEBOGEN and Bosch Rexroth development team have successfully put the SENNEBOGEN 735 E, the first machine with a Green Efficiency Drive, through various field tests.
Fine-tuning during testing: the new drive concept is currently undergoing intensive testing and the first models will be ready to go into production by the end of 2019.

In collaboration with Bosch Rexroth, SENNEBOGEN has developed a new electric drive concept for its Pick & Carry material handler. The SENNEBOGEN 735 E will be on display at ligna as the first machine with the new Green Efficiency Drive

https://www.sennebogen.com/en/news-press/press-releases/article/sennebogen-develops-pick-carry-material-handler-with-electric-travel-drive.html

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Graanul Invest submits winning bid for Texas Pellets assets

Thu, 23/05/2019 - 11:27

Graanul Invest affiliate Woodville Pellets, LLC submitted the winning bid in the auction conducted on May 9, 2019 for the assets of Texas Pellets, Inc. and German Pellets Texas, LLC (collectively, “Texas Pellets”). The assets include Texas Pellets’ Woodville, Texas pellet manufacturing plant and its Port Arthur, Texas port terminal.

The transaction was approved by the United States Bankruptcy Court for the Eastern District of Texas after a hearing held on May 15, 2019 (subject to entry of a final order), and is planned to be finalized by June 15, 2019.

In connection with the acquisition, Graanul Invest received financing from funds managed by affiliates of Apollo Global Management, LLC.

The estimated manufacturing capacity of the wood biomass pellet plant in Woodville, Texas, US, is 450,000 MT of pellets per year. The Port Arthur terminal has a total storage capacity of 68,000 MT, and is capable of loading vessels up to approximately 60,000 MT.

Acquisition of Texas Pellets’ assets enables Graanul Invest group to expand its business to the United States to ensure greater security of supply to its customers. It also provides better logistical solutions for entering the Asian market, in particular the fast-growing markets in Korea and Japan.

With 11 pellet plants located in the Baltics, Graanul Invest group´s annual production volume is 2.2 million tons of pellets, making it the biggest pellet producer in Europe. Acquisition of the Texas Pellets pellet manufacturing plant offers a possibility to increase the group´s production capacity up to 25 percent.

“We have been looking for a suitable opportunity to start pellet production in the United States for over 10 years. Once we have successfully completed this transaction, we will have firmly established our presence in North America,” said Raul Kirjanen, CEO of Graanul Invest.

Graanul Invest group operates in the field of bioenergy and renewable energy production, forestry and biomaterials development. The group employs over 500 people.

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Quality and ergonomics are the premise of BMW Design Works’ interior solutions for fixed forwarder cabin

Wed, 22/05/2019 - 12:03

The fixed forwarder cabin has been updated based on customer feedback. The renewed fixed cab is more spacious and gives the operator more room when rotating the seat. The lighting has been enhanced and special attention has been given to acoustics, look, and operator comfort.

The renewed fixed cab features high-quality, easy-to-care-for interior materials and new LED lighting solutions that illuminate the floor space, the cab, and the new doored storage spaces in the upper part of the cab. The light on the ceiling illuminates the stairs when climbing into the cab. Machines equipped with a central locking system also have an approach light.

Production of the renewed fixed cab begins and replaces the previous cab design at the end of April 2019.

Further information:
Elina Suuriniemi
John Deere Forestry Oy
Tel. +358 400 466 476
SuuriniemiElina@JohnDeere.com

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Forests…Our ‘lungs of the planet’ keep us alive

Wed, 22/05/2019 - 11:26
Forests are vitally important for sustaining life on Earth – they play a major role in the fight against climate change. With the 2019 session of the United Nations Forum on Forests wrapping up recently in New York, we delve deeper into the subject, and find out what the UN is doing to safeguard and protect them.

Forests are the most cost-effective way to fight climate change
Arguably, protection and enhancing the world’s forests is one of the most cost- effective forms of climate action: forests act as carbon sinks, absorbing roughly 2 billion tonnes of carbon dioxide each year. Sustainable forest management can build resilience and help mitigate and adapt to climate change.

Speaking at the 2018 UN climate conference (COP24) in Katowice, Poland, Liu Zhemin, head of the UN’s Department of Economic and Social Affairs (DESA), said that “forests are central in developing solutions both to mitigate and adapt to climate change, adding that “these terrestrial ecosystems have already removed nearly one third of human- produced carbon dioxide emissions from the atmosphere. Through sustainable forest management, they could remove much more.”

At this week’s meeting session of the UNFF, it was noted that forest-based climate change mitigation and adaptation actions, if fully implemented, could reduce greenhouse gas emissions by around 15 gigatonnes of CO2 a year by 2050, which could potentially be enough to limit warming to well below 2°C (the target set by the international community in 2015). Today, fossil fuels emit 36 gigatonnes every year.

In addition, as renewable sources increasingly replace fossil fuels, forests will become more and more important as sources of energy: already, forests supply about 40 per cent of global renewable energy in the form of wood fuel – as much as solar, hydroelectric and wind power combined.

The goal of zero deforestation is close to being reached
Significant progress has been made in international forest protection over the past 25 years. The rate of net global deforestation has slowed by more than 50 per cent, a credit to global efforts to sustainably manage existing forests, while at the same time engaging in ambitious measures to restore degraded forests and land, and to plant more trees to meet the demand for forest products and services.

The goal of zero net global deforestation is close to being reached, bringing the world one step closer to the UN Strategic Plan for Forest’s target to expand global forest area by 3 per cent by 2030, an area of 120 million hectares, about the size of South Africa.

The biggest threat to forests is…agriculture
Many people will be aware of the devastating effects that illegal and unsustainable logging has on forests, but the biggest global driver of deforestation is actually agriculture, because of the extent to which forests are converted to farmland and livestock grazing land: a key challenge is how to manage the ongoing increase in agricultural production, and improve food security, without reducing overall forest areas.

A major UN report on biodiversity, released in May, made headlines around the world with its headline figure of one million species at risk of extinction, warned against the destruction of forests, noting that this “will likely have negative impacts on biodiversity and can threaten food and water security as well as local livelihoods, including by intensifying social conflict.”

The UN’s growing role in forest protection
The first time forests came to the forefront of the international agenda was at the 1992 Earth Summit in Rio, widely regarded as one of the landmark UN conferences. The Summit led to the adoption of Agenda 21, the first significant international action plan for achieving sustainable development, which noted the “major weaknesses in the policies, methods and mechanisms adopted to support and develop the multiple ecological, economic, social and cultural roles of trees, forests and forest lands.”

The Earth Summit also saw the adoption of the Forest Principles which, although non- legally binding, was the first global consensus reached on the sustainable management of forests. The Principles called for all countries to make efforts towards reforestation and forest conservation; enshrined the right of nations to develop forests in keeping with national sustainable development policies; and called for financial resources to be provided for targeted economic policies.

To better co-ordinate international efforts to put the principles into practice, an inter- governmental panel and forum were set up in the 1990s, to be replaced in 2000 by the UN Forum on Forests (UNFF), which meets every year at UN Headquarters in New York to monitor progress on the implementation of the six Global Forest Goals.

The Goals set targets for the sustainable management of forests, and reduction of deforestation and forest degradation, and were developed as part the forest community’s response to the 2030 agenda for Sustainable Development, the UN’s overall blueprint for economic progress that protects the environment and humanity.

This year’s top priorities: climate change and the real cost of deforestation
One of the key take-aways from the 2019 session of the UN Forest Forum was that, too often, forests are under-valued, because it’s hard to put a clear monetary value on all of the positive contributions they make to the world.

As a result, the true cost of deforestation and forest degradation is not taken into account when policy decisions are made on land use, such as decisions to clear forest land to use for commercial agriculture.

The importance of financing was another important element of the session: sufficient funding is an essential element in ensuring effective action to halt deforestation and forest degradation, promote greater sustainable forest management and increase the world’s forest area: despite the central role forests play in protecting the environment, only 2 per cent of funds available for climate change mitigation are available for efforts to reduce deforestation.

Source: United Nations via Scoop
Photo by kazuend on Unsplash

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Hitachi names Brandt new dealer for forestry products

Tue, 21/05/2019 - 12:00

The Brandt Group of Companies has made a major product-line announcement; they have been named a Hitachi forestry products dealer effective May 9, 2019.

Hitachi’s purpose-built forestry products will be a strong complement to Brandt’s full-line John Deere offering and is a natural fit, as both product lines are designed and manufactured through a joint venture – Deere-Hitachi Specialty Products (DHSP) – in Langley, BC.

This is an exciting day for Brandt and a big win for Hitachi equipment owners.” says Brandt President and CEO, Shaun Semple. “Hitachi’s strong forestry lineup is highly-compatible with our existing John Deere offering, so loggers currently operating Hitachi equipment will be able to come directly to Brandt for unparalleled customer support from Day One!”

The dealer change will give Hitachi equipment owners the opportunity to increase their operational uptime, thanks to a larger-than-ever offering of products, parts and services, including Isuzu engine parts, available via Brandt’s extensive service network and warehouse facilities. Existing Brandt customers will also benefit from additional forestry product options.

Brandt’s area of responsibility will include Alberta, Saskatchewan, Manitoba, New Brunswick, Nova Scotia, and PEI.

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Ponsse opens a new service centre in Sandviken Sweden

Tue, 21/05/2019 - 11:09

Ponsse has its sixth service centre in Sweden on 17 May when a new service centre opened its doors in Sandviken.

Ponsse is growing fast, and the need for services is increasing. We hope that we can meet future needs for maintenance even better than before, says after-sales manager Urban Folkesson. This signifies one-step in our strategy – our goal is to succeed together with our customers.

We hope that we can respond to demand even better with our new service centre. A little over a year ago, we opened our southernmost service centre in Värnamo, and this year we will open our sixth service centre in Sweden. Our personnel in Sandviken will consist of manager Peter Gästgivar, and service engineers Jonas Anderson, Anders Skog and Fredrik Jonsson, who will travel on service vehicles from Sandviken and Leksand to where service is needed.”

We decided to open this new service centre because we want to provide our customers with added value to meet their demands locally”, says Folkesson. We will invest heavily in providing our customers with the services they need in their day-to-day activities, such as products, a broad range of spare parts, as well as effective high-quality services. When necessary, we will also offer repair services with professional skills and tools. What is more, we will help our customers to update their hardware and software and provide them with information, support and training. Our goal is to offer the best services!

Jarmo Vidgrén, Sales and Marketing Director, tel. +358 40 519 1486

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Gilbert Products invests $ 5 million

Tue, 21/05/2019 - 10:37
Products Gilbert, of Roberval, specializes in the production of equipment for sawmills, all-terrain surfacers, equipment for the forest industry and for construction, invests $ 5 million to acquire new robotic machining units to increase productivity reports Denis Villeneuve leQuotidien www.lequotidien.com

The investment was announced recently by the president of the company, Sylvain Gilbert, in the presence of Richard Hébert, MP for Lac-Saint-Jean and Parliamentary Secretary to the Minister of Small Business and Export Promotion , and the member for Roberval, Nancy Guillemette, on behalf of his colleague, Minister of the Economy and Innovation, Pierre Fitzgibbon.

Gilbert products obtained financial assistance totaling $ 3.9 million in interest-free loans from three programs managed by Canada Economic Development, the Essor Program and Investissement Québec.

In an interview, Lydia Gaudreault, General Manager of Gilbert Products, said that the loans allow the acquisition of a Fastens robot that will supply three new machining and machining units from the manufacturer DMG Mori. “The robot we are acquiring will manage the tools of the three machining units whose function is to manufacture various parts. The robot we currently own does not start a job until there are 25 tools available. The new robot can undertake a task with five tools available, “she said. Two robot welders will also enter the factory.

Ms. Gaudreault added that the investment will greatly improve the productivity of the Boulevard Marcotte plant while the order book is already full at the cork.

Another aspect of the investment, she says, is that the company will be able to improve its performance in the delivery of spare parts for the equipment it supplies to the market.

In its main market for the manufacture of planers, feed tables, acceleration chains, automatic harvesting systems for sawmills and forestry parts, delays caused by parts shortages can be costly, in advance Ms. Gaudreault.

Despite the entry into the robotic systems factory, Gilbert Products plans to create 18 new jobs that will add to the 125 existing ones. The positions of machinists, mechanics, production employees, technicians in robotization and computer programming will be created after the installation of new equipment.

No expansion of the existing plant will be necessary since the installation of the new equipment requires interior refitting only.

Founded in 1986, the company is a leader in the design, manufacturing and marketing of snowmobile trail maintenance equipment (surface groomers) and forestry, sawmill and construction equipment.

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WRI: Global trade of wood pellets up more than 21% year-over-year in 2018

Mon, 20/05/2019 - 15:10

Global trade of wood pellets jumped more than 21% year-over-year in 2018 when a new record of 22.3 million tons was shipped, according to the North American Wood Fiber Review.

The five major pellet exporting countries (the US, Canada, Vietnam, Latvia, and Russia) have remained the top exporters for over five years. They accounted for about 69% of the world’s export volume in 2018.

Following the “big five” in 2018 were Estonia, Austria, Malaysia, Denmark and Germany, in descending order. Pellet production in the US South continued at record pace in, driven by a European move away from fossil fuels and towards renewable energy.

From the 1Q 2018 to the 4Q 2018, exports from the region were up almost 50%, further manifesting US’s role as the world’s largest producer and exporter of wood pellets, reports the NAWFR.

The United States ships practically all its pellets to three countries: the United Kingdom, Belgium and Denmark. Only a small share of the pellet production in the US is consumed domestically.

Demand for imported pellets in Japan and South Korea continued a three-year growth trend in the 4Q 2018 when import volumes reached new record highs of 339,000 tons and 993,000 tons, respectively. In 2018, the total annual import volume for the two countries was just over 4.5 million tons, more than doubling in just two years. With the increased trade, prices for pellets landed in both Japan and South Korea have moved upward over the past three years.

In the 4Q 2018, the price for pellets imported to Japan averaged $182/ton, up almost 6% from the 4Q 2017. Pellet import prices to South Korea, which were nominally lower than those in Japan, rose almost 25% during the same period. The lower average cost for South Korea can be explained by that country’s reliance on pellets from low-cost countries in nearby Vietnam and Malaysia. This is unlike Japan, whose major pellet supplier is British Columbia, a more expensive producer of high-quality FSC and SFI certified pellets.

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Profile Products Opens New Fiber Plant in Conover, North Carolina

Mon, 20/05/2019 - 14:39

Profile Products recently completed its state-of-the-art wood fiber processing plant in Conover, North Carolina as part of a five-phase expansion project that will include more infrastructure for creating new fiber technologies. The investment provides significant capacity to support growth for the foreseeable future.

In addition to the new plant, the project features state-of-the-art greenhouses that have more than tripled the previous space. These greenhouses will be used to continue Profile’s industry-leading research and development of sustainable products and technologies. The expansion also includes new training and educational facilities that offer more opportunities for customer and employee training. Other projects underway include new facilities for raw materials storage and packaging operations.

“Our customers have shown us they value our environmentally friendly products and this expansion will ensure we meet their growing demands for sustainable products,” said Jim Tanner, president and CEO of Profile Products. “We’re also excited to leverage the new greenhouses to develop the next generation of products for our customers.”

The expansion also builds on Profile’s commitment to environmental stewardship. Through its manufacturing efforts, Profile has already recycled more than 3.5 billion pounds of wood and paper, and the new wood fiber processing plant will continue to divert those resources from the waste stream and reintroduce them into the environment as sustainable products. The expansion is also in close proximity to Profile’s raw ingredients, allowing the company to keep trucking to a minimum and reduce its carbon footprint.

These investments are part of Profile’s long-term strategic growth plan.

For more information, please contact Jenna Jaynes, Swanson Russell,
402-437-6406, jennaj@swansonrussell.com

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Enviva Partners reports 1Q net revenue up 26.4% to $158.4 million

Mon, 20/05/2019 - 12:47

For the 1Q 2019, Enviva Partners, LP generated net revenue of $158.4 million, an increase of 26.4%, or $33 million, from the corresponding quarter of 2018.

For the 1Q 2019, Enviva Partners, LP generated gross margin of $9.9 million, as compared to $(5) million for the corresponding period in 2018, an increase of approximately $14.9 million.

For the 1Q 2019, net loss was $8.9 million, as compared to a net loss of $19.3 million for the 1Q 2018.

Adjusted EBITDA for the 1Q 2019 was $21.6 million, as compared to $17.6 million for the corresponding quarter of 2018. The increase was primarily due to higher sales volumes, partially offset by lower pricing due to customer contract mix and higher production costs associated with more significant and longer lasting seasonal factors.

Enviva Partners, LP is a publicly traded master limited partnership that aggregates a natural resource, wood fibre, and processes it into a transportable form, wood pellets.

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US pellet exports to UK jump 35.7% in first quarter

Tue, 14/05/2019 - 10:04

U.S. increased 35.7% y-o-y pellet exports to UK in first quarter of 2019 to 1.1 million tones with exports value was up 35.3% to $143 million, according to USDA data. The share of UK in U.S. pellet exports expanded 7 pp to 71.3%. Total pellet exports from U.S. soared 22.3% to 5.12 million m3 in the first quarter.

Pellet exports from U.S. to Denmark decreased 15.7% to 198.7 thousand tones with exports value was down 13.1% to $31.2 million and that to Belgium fell 25.2% to 93.3 thousand tones with export value declined 16% to $9 million. The share of Denmark decreased 6 pp to 13.3% and that of Belgium slided 4 pp to 6.2%.

U.S. pellet exports to Netherlands jumped 107% to 60.3 thousand tones and that to Italy soared 317.5% to 46.4 thousand tones.

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Jartek supplies wood thermal modification chamber to Donelley Sawmillers in NZ

Fri, 10/05/2019 - 14:04

Jartek delivered to Donelley Sawmillers Ltd first wood thermal modification chamber and thermal oil boiler plant in 2017. During year 2018 this plant with one 35 cubic metres chamber was not able to satisfy demand of thermally modified Radiata Pine and company decided to invest to second similar chamber.

Jartek is leading supplier in Finnish sawmilling technology. Also family owned company is specialized in log handling- and lumber handling lines, drying kilns, thermowood kilns and high speed planer lines.

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Pinnacle 1Q revenue up 26.2% to $89.6 million

Fri, 10/05/2019 - 13:00

Pinnacle Renewable Energy’s (“Pinnacle”) 1Q 2019 revenue totaled $89.6 million, an increase of 26.2% compared to $71 million for the 1Q 2018.

Pinnacle reported a net loss of $6.3 million in 1Q 2019, compared to $12.8 million in Q1 2018. Net profit in 1Q 2019 was $0.2 million. Comprehensive loss for 1Q 2019 was $6.8 million. Adjusted earnings before interest, taxes, depreciation and amortization (“Adjusted EBITDA”) totaled $8.3 million in 1Q 2019, compared to $12 million in Q1 2018.

“Our strong 1Q revenue growth reflects early contributions from our new production facilities and the continued market demand,” said Rob McCurdy, CEO of Pinnacle.

Pinnacle is a rapidly growing industrial wood pellet manufacturer and distributor and the third largest producer in the world. The Company produces sustainable fuel for renewable electricity generation in the form of industrial wood pellets.

Photo: Rob McCurdy, CEO of Pinnacle.

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Greenbacker purchases biomass project in Gypsum, Colorado

Fri, 10/05/2019 - 12:21

Greenbacker Renewable Energy Company LLC (“Greenbacker”) announced the acquisition of the 12-megawatt Eagle Valley Clean Energy (“EVCE”) biomass project. Terms were not disclosed.

The Eagle Valley Clean Energy biomass facility is a Gypsum, Colorado-based power plant which generates electricity from the combustion of waste wood. The plant sells 100% of its generated energy under a long- term contract with Holy Cross Energy, a not-for-profit Rural Electric Cooperative providing electricity to over 55,000 members.

Additionally, the transaction definitively concludes several legal disputes that had arisen between the plant and third parties and returns the plant into good standing with all contract counterparties, a critical feature of the transaction.

Greenbacker Renewable Energy Company LLC is a publicly registered, non-traded limited liability company that owns a diversified portfolio of income-producing renewable energy power plants, energy efficiency projects and other sustainable investments.

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Saratoga Forest Management suspends production

Thu, 09/05/2019 - 12:37

Saratoga Forest Management in Saratoga, Wyoming, suspends production starting May 20 and resuming on June 10, reports  Random Lengths.

“This suspension is to complete necessary maintenance projects in the sawmill and planer,” said Gary Ervin, SFM Managing Partner.

Normal shipping hours will continue during this downtime as long as there is inventory to ship.

Saratoga Forest Management applies modern forest management techniques for the maintenance of healthy forests and for the removal of dead and dying trees to speed tree stand regeneration and return forests to a healthy state.

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Ontario government invests in Ben Hokum & Son sawmill

Thu, 09/05/2019 - 12:04

Ontario government is investing $5.5 million over five years in Ben Hokum & Son Ltd sawmill, helping the lumber producer protect over 100 jobs, create at least five new jobs and purchase new technologies to optimize its business. These investments are expected to result in a significant jump in domestic sales as well as exports.

“Ben Hokum & Son Ltd is an Ontario success story and I am pleased to see how this business supports local employment and the economy,” said John Yakabuski, Minister of Natural Resources and Forestry. “When an independent sawmill is succeeding, so do the harvesters it buys from and the manufacturers it sells by-products to. This was not just an investment in Ben Hokum & Son Ltd, but an investment in this community and the forestry sector as a whole.”

“This is truly an investment in our people, to provide more opportunities for our youth, and all those in rural eastern Ontario who are involved in the forestry industry in one way or another,” said Dean Felhaber, President of Ben Hokum & Son Ltd.

Ben Hokum & Son Ltd was established in 1956 and is now one of eastern Ontario’s largest lumber producers, and the largest pine producer in the province.

Main Photo: Dean Felhaber, President of Ben Hokum & Son Ltd

Photo above: John Yakabuski, Ontairio Minister of Natural Resources and Forestry

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Bergs Timber to acquire Fågelfors Hyvleri in Sweden

Thu, 09/05/2019 - 11:32

Bergs Timber AB has signed a letter of intent with AB Fogelfors Bruk regarding a potential acquisition of all shares in Fågelfors Hyvleri AB.

The transaction is subject to the signing of a share purchase agreement (“SPA”), conducting a due diligence to the satisfaction of Bergs Timber, financing and board decision. The company will make an announcement once the SPA is signed and closing of the transaction is planned to 30 June 2019. The letter of intent grants Bergs Timber exclusivity for the period up until 30 June 2019.

The indicative purchase price for the shares in Fågelfrors Hyvleri is SEK 48 million ($5 million). SEK 30 million ($3.1 million) is intended to be paid in cash and SEK 18 million ($1.9 million) in newly issued class B shares in Bergs Timber AB.

Fågelfors Hyvleri is a wood pellet producer with an annual capacity of approx. 90,000 tons of pellets and approx. 20,000 tons of heating logs. In addition, Fågelfors Hyvleri operates a planing mill with an annual capacity of approx. 30,000 cubic meters.

“Fågelfors Hyvleri suits very well in our strategy to increase further processing. It is also well located in the area around our Swedish saw mills,” says Peter Nilsson, CEO of Bergs Timber.

Bergs Timber produces and sells sawn and further processed wood products. It operates its production facilities in Sweden, Estonia and Latvia. The Group also includes its own port and logistics operations in England.

Photo: Peter Nilsson, CEO of Bergs Timber

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Nz – Hawke’s Bay plans forestry awards

Wed, 08/05/2019 - 11:45

Hawke’s Bay’s flourishing forestry industry will be celebrated this year with the announcement of a new awards event being held in November.

It’s been eight months in the making and sees the region join the likes of Gisborne, Nelson, southern North Island, Whangarei and Southland in honouring an industry vital to our export economy.

Matt Croft, chair of the Hawke’s Bay Forestry Group who are driving the awards, says it is a great move for an industry that is one of the biggest contributors to the Bay. Export levels have doubled in the past 24 months, going from 1.6 million cubic metres in 2018 to over 2.2 million cubic metres now with growth expected to reach 3 million by 2021.

With 133,000 hectares of plantation radiata pine in the region and 48,000 hectares at a harvestable age, the industry with its associated services account for around $200 million of the region’s GDP.

“This is a chance to put our industry in public view and acknowledge the great work being done by those who work in forestry,” says Mr Croft. “In the past five years the industry has developed hugely, with a lot of investment in training, machinery and upskilling. This is a far more professional workforce than it was a decade or so ago and we want to recognise that and the contractors and crews who are putting in the time and money to make it what it is today.”

Mr Croft said it was exciting for all to be launching the new awards. “I really like the idea of the workers getting the recognition and for others to see them as the professionals they are,” he said.

There are 14 different categories with the overall Skilled Professional of the Year found from six of those covering forestry, roading, harvesting, distribution, wood processing and tree faller excellence. Women, trainees and the environment are also celebrated in the awards, with categories for each.

Mr Croft was hopeful the awards would highlight just how much was on offer for people keen to work in the industry. It should help people better appreciate the huge array of career opportunities within forestry. “The possibilities are endless,” he says, “with attractive options from tree planting to truck driving, harvesting, mapping, satellite photography, computer modelling, management, export, sales, genetics and more. “There is something for most- everyone in the forestry industry, and, as the awards will show, people on the inside of our industry are loving it.”

Nominations open on 1 August with judging in October and the Awards function in late November.

Photo: Mathew Croft

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NZ – Hunter Harrill leaving for USA role

Wed, 08/05/2019 - 11:09

Dr Hunter Harrill, is leaving University of Canterbury School of Forestry after 8 years to take up a new position at Humboldt State University, USA as Assistant Professor.

Rien Visser, Director of Forest Engineering at UC acknowledged Hunter’s influence saying, “He will be missed, as our students have greatly benefited from Hunters’ knowledge and enthusiasm for all things harvesting and he was well known to many loggers, especially those running cable logging systems.”

“He has carried out many applied research projects around the country as part of the FGR research programme. For example, his knowledge resulted in his running of several cable logging and planning workshops. More recently Hunter provided productivity coaching for Rayonier and Ernslaw One crews,” said Rien.

While his departure will be a great loss for the UC School of Forestry, its an excellent opportunity for Hunter and his wife Katie. They’re heading back to where they both studied, have extended family where he started his career, in the magnificent redwood forests of northern California.

Hunter will be able to make a valuable contribution not only to teaching the next generation of foresters there, but helping their loggers as they start to expand into winch-assist operations. This is already providing some collaboration opportunities between the two regions renowned for cable logging and working on steep slopes.

“We thank Hunter for his major contribution to the both the School of Forestry and our NZ industry and wish him and Katie all the best for the future.”

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North American sawmill profit margins fall

Fri, 03/05/2019 - 15:27

Lumber prices in North America continued their decline from the 3Q/18 with another quarter of substantial reductions. Average lumber prices for southern yellow pine were down 12% quarter-over-quarter in the 3Q/18, which was then followed by a reduction of 17% in the 4Q/18.

With practically no change in log or chip prices, gross margins, and the EBIDTAs, have plunged in the Southern states, after having reach a 13-year high in the 2Q/18, as reported in the latest issue of the WRQ. However, the region’s sawmill margins were still well above their ten-year average margin. With lumber prices continuing to decline faster than log prices in early 2019, profit margins have continued to slide in the 1Q/19.

Sawmills in British Columbia have also seen the prices for lumber in the US market come down substantially during the second half of 2018. Despite the weaker lumber market, sawlog prices still increased from the 3Q/18 to the 4Q/18 because of tighter supply and a rise in hauling costs. Sawmills saw their gross margins plunge to unprofitable levels and many companies decided to take market-related downtime in late 2018 and early 2019.

In Europe and Russia, market prices for lumber were much less volatile than in North America, with only small price adjustments from the 4Q/17 to the 4Q/18. Log costs were unchanged in Finland during most of the year, while the costs for spruce sawlogs in Sweden jumped in late 2018. Gross margins for sawmills in both countries are still at healthy levels and, in the 4Q/18, were close to the highest they have been in four years.

Sawmills in Siberia continue to expand exports to China with fairly stable lumber export prices the past three years. However, in the 4Q/18, lumber prices fell to their lowest level in almost two years. This occurred at the same time as sawlog costs remained unchanged from the previous quarter, resulting in reduced gross margins for many lumber producers at the end of 2018. Sawmill margins for 2018 were slightly below their five-year averages, but still higher than the average for the past 14 years.

Source: Wood Resources International LLC, www.WoodPrices.com

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by Dr. Radut