West Fraser selling two pulp mills to Atlas Holdings for US$120 million

VANCOUVER — West Fraser Timber Co. Ltd. has signed a deal to sell two pulp mills in Western Canada to Atlas Holdings for US$120 million.

The sale includes West Fraser’s Quesnel River Pulp mill in Quesnel, B.C., and its Slave Lake Pulp mill in Slave Lake, Alta.

The agreement also covers related woodlands operations and timber holdings in Alberta and a long-term fibre supply agreement for the Quesnel mill.

The mills will be operated by Edmonton-based Millar Western Forest Products, which is part of the Atlas family of businesses.

The transaction is subject to customary regulatory reviews and closing conditions.

West Fraser chief executive Ray Ferris says the sale of the pulp mills will help the company focus on its wood building products business.

This report by The Canadian Press was first published Sept. 22, 2023.

Companies in this story: (TSX:WFG)

The Canadian Press