PotlatchDeltic Corp. announced Monday that it is investing $131 million to expand and modernize its Waldo sawmill located in Columbia County, Arkansas.<\/p>\n
The project will increase the mill's annual capacity from 190 million board feet of dimensional lumber to around 275 million board feet.<\/p>\n
The investment will also reduce the mill's operating costs significantly.The Waldo investment includes upgrades to the log yard and planer, a new saw line, and a new continuous dry kiln.<\/p>\n
The completion of the project is expected by the end of 2024. During the project, the existing mill will continue to operate.<\/p>\n
The expansion is expected to create 55 new indirect jobs.PotlatchDeltic has contracted with BID Group to design, build, and equip the expansion and modernization.<\/p>\n
Eric Cremers, President and Chief Executive Officer, said, \"We expect to achieve additional EBITDDA of $25 to $30 million per year and an IRR of approximately 22% in our base case, which is based on a relatively conservative lumber price assumption. The project reflects our belief that housing fundamentals will remain strong.\"<\/p>\n
PotlatchDeltic owns three sawmills and nearly 950,000 acres of timberlands in Arkansas.<\/p>","protected":false},"excerpt":{"rendered":"