by Michael Kelly

“An independent consultant: hired
by. the government .to examine
ways of salvaging Westar’s Kit-.
wanga sawmilling - operation has
confirmed what Westar. has said
for several years — without addi-
tional: log supply the mill can’t be
viable. unless millions. of. dollars
are invested in converting it ‘to.
process.a different log profile and
produce different products: °

Garth Langford filed a 15-page
report with the Ministry of Forests.
Nov. 14. In it he recommends: a

joint venture, financed through a

federal government agency,

A2 Terrace Review — - Wednesday, December 12, » 1990"

however, Langtond « also’ acknowl- .
edges that

there. are major
obstacles to investment in the area.
Gitksan . Wet’suwet’an native
blockades, upheld by the courts,

have cut off logging north. of the |
Babine River, removing part of

Westar’s already inadequate timber
supply. The annuai allowable cut
in the Kispiox Timber supply
Area, where Westar has nearly 90
percent of its forest tenure, was
redistributed last year with five
percent going to the Small Busi-
ness Enterprise Program and a
further three percent reduction
under the ministry’s zero-waste
policy. The forest service is con-
sidering a further 20 percent reduc-

sider’ tiny further investment

area without better security of

timber supply.
Langford found that the Camaby

mill alone ‘requires 880,000 cubic.

metres of sawlogs — between six

and 30 inches in. diameter — to.

operate with two full time. shifts.
The company has to’ purchase
390,000 cubic metres of those
logs. After 1993, they will have to
buy 438,000 cubic metres —- 52
percent of their total requirement,
with 338,000 cubic metres coming

from outside-the Kispiox TSA. In

the report Langford. examines

panini

within and outside the Kispiox and.

found, "...log. supply from alterna-

- between Westar and the Kitwanga
native bands that would retool the
mill to process large logs and
produce value-added. wood pro-
ducts. By setting the Kitwanga mill
up to accept a different log con-

naby mill in Hazelton, a larger
percentage of the logs Westar is
cutting on its forest licence and
tree farm licence could be pro-
cessed, reducing the current need
for Westar to buy jogs.

The mill has stood idle since
May 18 of this year, when the
planer mill, the last section in
operation, was closed by a block-
‘ade of employees. The mill is
located. on the Kitwanga reserve,
and the largely native workforce
‘was wortied that the mill would be
dismantled and sold in pieces.
} Employees were told the mill
; would close down in September
fo 1989. One shift was cut at the
: sawmill Jan. 1, 1990 and the saw-

‘mill closed entirely March 31.
. -.When the Carnaby mill opened
| -"Mestar had been counting on ob-
‘~~ ‘taining all or part of the 400,000

“atelier

” . : cgnoup. of companies from Prince
"-cadSeorge meant that Westar could

7.8: ; “supply numbers were clear at that.
TS polnt : and Westar could have taken
action then to refit the Kitwanga
mill for large diameter logs and
_ other types of timber that couldn't

be processed at Carnaby.
In another section of the report,

| Dave Parker
W.L.A. for Skeena

635-4215

figuration than Westar’s new Car-

6 Jonger-sipply both Carnaby-and .
ae Feibiange - ‘with timber. Langford -
7° “ouotes* ir the “report that the log -

tion in the next two years, and a
re-inventory of Westar’s TFL 51
could result in further shrinkage.
Langford reported that he was
told by Westar they will not con-

. [ile metre per year Sustut-Takla . :
12. 2 S§fiiber licenee: north of Hazelton. BT:
S FEB awarding’ of that’ licence to a-”

future,".

tive areas on a-sustained basis is
‘not encouraging in the immediate

Westar has been discussing a
joint venture concept with the

Kitwanga natives for. more > than, a
year now, but. nothing has come of
it. Langford recommends that they

"continue to concentrate on the joint
venture possibility so that the
Kitwanga operation could comple-
ment Camaby rather than compet-.
ing. with it for logs.. He also
recommends. that the mill be.
restarted. and run to provide em-
ployment while the joint venture is

being worked out, to a maximum

of a year. He urges the forest
service to find a one-time supply.
of timber to feed the mill for that .

year, but makes no suggestions

about where the timber might be

found.

Westar Hazelton manager Keith
Spencer said that, aside from the
recommendation to restart the mill,
"Most of these ideas were put
together by Westar a long time
ago.

Stand out from the crowd.

Be informed.

| "The opportunity is there, it’s a
matter of. investment,” he’ said.

Spencer estimated that the changes

to the Kitwanga mill would -cost
between $5-7 million. With regard

to restarting the mill, Spencer said

it wouldn't make sense to start

consuming more logs when there is

already a shortage.
Regional forest manager Bob

Friesen said yesterday, “There are

no easy solutions.” With regard to

the suggestion to re-start the mill .
and run it until. it is refitted,.

Friesen acknowledged, “the
problem is finding the wood.

"If we take it out of a timber
supply area, who are we going to
take it away from? If we increase
the annual allowable cut, what
process do we use?

"There are three or four different
scenarios, but I can’t tell you what
they are at this time.”

—s,

Subscribe to your local newspaper

oe

C) Cheque

[J Money Order
Please send a subscription to:

Subscription Order Form
| 0 1 year — $39.00 | |

1] Master Card
Card No.

a Visa

Out of Canada $100.00

Name
Address Expiry Date __
Postal Cade Mail or bring this form to:
Phone — Terrace Review :
- . Seniors in Terrace and District $30.00 4535 Greig Avenue |
¥ Seniors outside of Terrace and District $33.00 Terrace, B.C. V8G 4M7 | : '

CaM RRO iig