06:46 AM EDT, 05/10/2024 (MT Newswires) -- Canfor Corp. ( CFPZF ) overnight Thursday said it permanently shuttered its Polar sawmill in Bear Lake, British Columbia, and suspended its planned reinvestment in Houston, British Columbia.

This follows the announcement by Canfor ( CFPZF ) subsidiary Canfor Pulp (CFX.TO) that one production line will be indefinitely curtailed at the Northwood Pulp Mill.

The Polar sawmill, with a production capacity of about 300 million board feet annually, has been halted since January. The permanent closure will impact about 180 employees. The company plans to engage with unions to develop a transition plan that includes severance provisions and other means to support impacted employees.

The move followed a persistent shortage of economically available timber and challenging operating conditions in northern British Columbia, the company said.

Canfor ( CFPZF ) will also consider options to divest associated tenure to support other local manufacturing operations that are also facing challenges accessing fiber. This is expected to help prevent another operation from being closed or suspended, the company said.