VANCOUVER – A Chicago-area company has completed its $11.5-million purchase of the Kenora Sawmill.
The company, 1347 Investors LLC, a subsidiary of Vancouver-based Itasca Capital Ltd., say the mill can be optimized to produce up to 200 million board feet of lumber each year.
The immediate plan is to produce up to 150 million board feet, using 650,000 cubic metres of allowable harvest from Ontario forests.
The investors list the proximity to major transportation routes, including the Trans-Canada Highway and the Canadian Pacific rail line, providing easy access into the United States, as one of the biggest reasons for purchasing the mill.
"Our enthusiasm could not be higher about the advancement made by our principal investment at 1347 LLC,” said Larry Swets, director and chief executive officer at Itasca, in a release issued on Tuesday morning.
“Not only do we believe that 1347 LLC acquired the sawmill at a very attractive price, we are excited to see this asset grow as it is brought online."
Assets purchased include the sawmill and its equipment and approximately 114 acres of land.
The sale price was not disclosed.
