Government of Canada Supports Diversification and Jobs in Quebec's Forest Industry

CHAPAIS, QC, Nov. 13, 2018 /CNW/ - Wood innovation has the power to advance the development of Canada's renewable resource economy and create good jobs while combating climate change.

Paul Lefebvre, Parliamentary Secretary to the Honourable Amarjeet Sohi, Canada's Minister of Natural Resources, today announced a $15-million investment to help Granule 777 Inc. build the first fully integrated industrial wood pellet and sawmill complex in Canada. On behalf of the Honourable Navdeep Bains, Minister of Innovation, Science and Economic Development and Minister responsible for Canada Economic Development for Quebec Regions (CED), he also announced a repayable contribution of $5 million to enable the company to acquire strategic and innovative production equipment.

Granule 777 Inc. received the funding as part of the Government's commitment to advancing innovative technology in Canada's forest industry. The funding is provided through Natural Resources Canada's Investments in Forest Industry Transformation (IFIT) program and CED's Quebec Economic Development Program.

Upon completion, the new mill will:

• manufacture 210,000 metric tons of wood pellets per year;
• use 450,000 green metric tons of biomass;
• reduce the reliance on fossil fuels; and
• create 40 new jobs for mill operations.

The company's adoption of advanced technology at the mill will deliver economic benefits to rural and Indigenous communities and the surrounding region by improving the mill's competitiveness, enhancing productive capacity and diversifying its product base. 

On June 1, 2017, the IFIT program received $55 million over three years as part of the Government of Canada's $867-million Softwood Lumber Action Plan to support workers and forest-dependent communities that have been affected by U.S. duties on Canadian softwood lumber. This new funding enabled innovative transformative technology adoption for the sector.

Quotes

"Innovation in the forest sector will help combat the effects of climate change, create new markets for Canadian forest companies and sustain good jobs for Canadians. Today's announcement is another example of our government's dedication to supporting renewable resource development and the advancement of forest diversification in Canada."

Paul Lefebvre
Parliamentary Secretary

"Canada Economic Development for Quebec Regions is committed to making strategic investments in all regions of Quebec in order to support businesses that are integrating clean technologies and to provide further support for those that are developing and marketing these technologies. By supporting Granule 777, the Government of Canada is once again demonstrating that a strong economy and a healthy environment go hand in hand."

Navdeep Bains
Minister of Innovation, Science and Economic Development and Minister responsible for CED

"We are very excited about the construction of this innovative integrated wood pellet plant, adjacent to our Barrette-Chapais sawmill. Over the past few years, we have successfully gathered the necessary winning conditions to move ahead with this project and make it a reality. We firmly believe it will be something very positive for the value-added sawmills' co-products, the local communities and the overall forestry sector in the province."

Benoit Barrette
President, Granule 777 Inc.

Associated Links

IFIT Program 
CED's Quebec Economic Development Program 
Simply Science

Follow NRCan Twitter: @NRCan (http://twitter.com/nrcan)
Follow CED Twitter: @CanEconDev (https://twitter.com/CanEconDev)

SOURCE Natural Resources Canada