Pictou County's M.R. MacDonald Holdings Ltd. has signed a new service agreeement with the new owners of Port Hawkesbury Paper.
On Monday PHP made the deal with M.R. MacDonald, which operates a hardwood mill and B.A. Fraser Lumber Ltd, a mill in Margaree Valley.
With the deal quality hard wood logs from Port Hawkesbury Paper will be exchanged for chips and softwood from M.R. MacDonald.
“This agreement promotes management of our tolerant hardwood stands, ensuring an improved hardwood resource now and for the future,” said Murray MacDonald, owner of M.R. MacDonald.
The hardwood mill is located in West River and is a fully integrated forest products company performing harvesting, hardwood selection silviculture and hardwood sawmill operations. Lumber products are produced for the domestic and overseas export market, including KD hardwood lumber, furniture components, flooring blanks and hardwood cants.
They've had a wood supply agreement with PHP for the last five years. Since the mill went bankrupt and now has new owners, a new deal had to be signed.
"We're a new company, we need new service agreements," explained Andrea Coombs, leader of sustainability and outreach at PHP.
She said the deal is a benefit to all parties involved.
"We try to always sell high value wood to users that would actually use them for what they are intended for," Coombs said.
