A wood chip plant majority-owned by a First Nation in British Columbia and previously supported by provincial funding is set to close its doors in March, delivering a blow to Vancouver Island’s forestry sector. Atli Chip LP, located in Beaver Cove, announced the closure citing ongoing industry changes impacting coastal forestry in British Columbia.
Jonathan Lok, CEO of Atli Resources, expressed the necessity of the closure, attributing it to the recent shutdown of Domtar’s pulp mill in Crofton, B.C., which effectively eliminated the demand for wood chips produced at the Beaver Cove facility. While the closure marks a significant setback, Atli, co-owned by the ‘Namgis First Nation, and its partners, including Domtar, are exploring alternative uses for the site. They emphasize that the closure is a temporary pause rather than a permanent exit from the region’s forestry sector.
North Island-Powell River Conservative member of Parliament, Aaron Gunn, took to social media to express his distress over the closure, criticizing the job losses and the forestry policies of the B.C. New Democrat government.
Despite the lack of immediate response from the provincial Ministry of Forests, Atli remains committed to managing a responsible transition within the forestry industry on north Vancouver Island. Lok reassured the community that collaboration with the ‘Namgis First Nation, local leaders, and stakeholders will be pivotal in shaping the future of the industry in the region.
Domtar had previously reported that the Atli plant and associated salvaging operations provided 25 to 30 full-time jobs, while the Crofton mill employed approximately 350 workers.