MONTREAL—Resolute Forest Products Inc. has signed a deal to buy Tembec Inc.’s sawmill located in Senneterre, Que.
Financial terms of the deal were not immediately available.
Tembec says it will receive a nominal amount for fixed assets of the sawmill and the forest operations, which are located in the western region of Quebec, approximately 425 kilometres northwest of Montreal. The Senneterre mill employs 124 employees, who would be transferred to Resolute.
Resolute said the deal will allow it to optimize its own facility in Senneterre as well as the woodlands in the surrounding Abitibi and Nord-du-Québec regions.
The deal is conditional on the transfer of the sawmill’s wood supply between the two companies.