Canfor to sell Mackenzie assets for $70 Million

VANCOUVER — Canfor Corporation has signed  a Letter of Intent with McLeod Lake Indian Band and Tsay Keh Dene Nation to sell its forest tenure in the Mackenzie region of British Columbia as well as a separate agreement with Peak Renewables to sell its Mackenzie plant and equipment for a combined price of $70 million.

“We are very pleased that the sale of the Mackenzie tenure will provide an opportunity for the McLeod Lake Indian Band and Tsay Keh Dene Nation to grow their leadership in the forest economy and advance Nation stewardship values for the benefit of their communities,” said Don Kayne, President & CEO, Canfor in a statement.

According to a company statement, Canfor, McLeod Lake Indian Band and Tsay Keh Dene Nation intend to work towards a definitive agreement for the sale of the forest tenure and will seek approval from the BC Minister of Forests, Lands, Natural Resource Operations and Rural Development for the tenure transfer.

“First Nations in BC have been relegated to marginal roles in the forest sector for far too long. The Letter of Intent signed with Canfor has the potential to dramatically change this imbalance within the Mackenzie Timber Supply Area,”  said Chief Pierre of the Tsay Keh Dene Nation in a statement.