Tolko announces ‘indefinite closure

Tolko Industries announced closure of its High Prairie mill effective Feb. 17. High Prairie Mayor Rick Dumont says the most important thing now is to secure the wood for area projects.

Mac Olsen
South Peace News

Tolko Industries Ltd. announced Feb. 17 its High Prairie mill will be shut down indefinitely, forcing 119 employees to look for work. The company cites “poor business conditions” such as the decline of U.S. housing starts, the strong Canadian dollar and uncompetitive operating costs. “We regret the impact on our employees and their families,” says Brad Thorlakson, Tolko Marketing and Sales Ltd. in a news release. “Restart will be considered when there are meaningful and sustainable improvements in the business conditions that prompted this announcement,” he adds. Those affected are being provided with various options, such as applying for vacant positions at other Tolko facilities, including Slave Lake. However Tolko pronounces this issue, it means a multi-million-dollar hit to the local economy. Last fall, then executive director Neil Shelly of the Edmonton-based Alberta Forest Products Association made a presentation to the High Prairie and Area Chamber of Commerce. He explained Tolko and Buchanan Lumber have a combined annual payroll of $32.1 million. When these two companies’ contributions to the local economy are factored in, they alone spend $65 million per year in High Prairie. Chamber president Gord Olson says High Prairie will not suffer greatly. “Anytime you lose a number of jobs, there will be a ripple effect,” says Olson. “But it’s no set in stone and we won’t know the impact for some time.” Olson hopes the U.S. housing market will rebound and Tolko will rehire workers for its High Prairie plant. Olson adds High Prairie is not a one-industry town. Besides a growing oil industry in the area, High Prairie provides many government services and has a prosperous retail sector. Olson says the local housing market stayed “pretty solid” from December 2007 to January 2008. It is hard to predict how much of an impact the indefinite shutdown will have on commercial and residential development and sales. However, Century 21 Sunnyside Realty has not received many calls with people putting their houses up for sale. High Prairie Mayor Rick Dumont discussed the Tolko announcement during the council meeting Feb. 13. He is determined that High Prairie must retain its timber rights. “My main concern … is that High Prairie (should) concentrate on keeping the timber rights for this area, in this area,” says Dumont. He alludes to a mill closure in Hines Creek, Alta. Where the community’s timber rights were transferred to Grande Prairie. “So I don’t want the town to be in that same situation. I’m going to start a letter writing campaign to make sure our timber rights stay in our area.” He will direct the campaign towards politicians like Premier Ed Stelmach. Incumbent Conservative Pearl Calahasen welcomes Dumont’s initiative. She hopes he receives as much support as possible, including from the M.D. of Big Lakes. “I would certainly be very disappointed if that wood was moved and … manufactured elsewhere,” says Calahasen. “We worked very hard (with) the Town of High Prairie, the M.D., the First Nations and the Metis to make sure that there would be an opportunity for the manufacture of that wood within High Prairie.” She also encourages the public to hold the candidates’ “feet to the fire” about issues like this during the election campaign. Steven Noskey, the Liberal candidate for the Lesser Slave Lake riding, says government needs to work closely with the forestry sector, as well as the employees and their families, about what should be done to alleviate the plight of the sector. “First and foremost, I think of those employees and they’re out of a job,” says Noskey. “What happens next? Is there a plan for the present government to alleviate the possible hardships of employees? I can’t answer that, but it’s of very grave concern for me. “It’s something that needs to be looked at, and I don’t think it’s right for industries such as Tolko to up and close the mill down.” If elected, Noskey says he would listen to the industry, the employees and their families and take their advice. New Democrat candidate Shabby Sharkawi could not be reached for comment. Action is being taken on some fronts. The AFPA has been lobbying the government to assist the forestry sector. Public affairs director Parker Hogan says the cost disadvantages Alberta has compared to other provinces in areas such as transportation and electricity costs in a factor. He adds a government-industry panel convened in December 2007 and put together a report on some short-term issues that could be addressed. He is confident some “meaningful support” will be provided to the industry.

Fast start propels Raiders to win over crosstown rival Saints

Prairie River’s Amadeus Giroux, in front, dribbles past St. Andrew’s Saint Justin Monahan.

Chris Clegg
South Peace News

The Prairie River Raiders jumped out to a quick lead and never trailed in winning their season opener 51-39 over their crosstown rivals, the St. Andrew’s Saints. The game marked the first boy’s action in Smoky River Junior High School Basketball League action this season. PRJH led 19-8 after the first quarter. They used their speed and a lack of effort defensively at the St. Andrew’s end of the court in bolting out to a big lead. However, as the game wore on the Saints started to adjust. The bottom line was, for the last three quarters the teams were only one point apart. Nathan Lang-Oke- maw led all scorers with 19 points while Amadaus Giroux chipped in with 16 points of his own. Offensively, they did most of the damage. Jarett Abram and Zach Auger each had six points while Harold Johnson and Colin Bjornson netted two points each. Jared Dumont scored a team high 15 points for the Saints. The rest of the scoring was spread out between four players. Zak Stokes had nine points, Justin Monahan eight, Mike Ochran four and Josh Perry three points. Both teams head into the Christmas break and will not resume action until Jan. 9. The Raiders travel to McLennan to play the Eagles while the Saints play their home opener against Valleyview St. Stephen’s School.

Copyright © 1999-2005 South Peace News. All Rights Reserved.
No part may be reproduced without written permission.

View our Privacy Statement.
Send website suggestions to the Webmaster