Flakeboard Co. Ltd. announced today that it's building a new melamine laminating plant across the street from its existing joint-venture facility on Baseline Road at Leigh's Bay Road.
Federal, provincial and municipal politicians (shown) gathered at Flakeboard this morning to serve up the dirt on the new 45,000 square-foot plant.
It will use up to 33 percent of the fibreboard products currently milled by G.P. Flakeboard in Sault Ste. Marie.
The announcement means new jobs for 25 people, all of whom will be recruited locally.
The new plant will have a state-of-the-art Dieffenbacher press capable of manufacturing 300 panels an hour.
The melamine laminates to be produced at the new facility are used in furniture and cabinet production.
Production is to begin one year from now.
An existing rail line that currently ends on G-P Flakeboard property will be extended 1,000 metres to the land parcel with $500,000 from FedNor.
The following news releases were issued today by FedNor and the Ontario Ministry of Northern Development and Mines:
******************************* FedNor supports industrial development in Sault Ste. Marie
SAULT STE. MARIE, Ontario, August 10, 2004 — The Honourable Joe Comuzzi, Minister of State (FedNor), today announced FedNor support for the City of Sault Ste. Marie to extend rail service to a west-end industrial land parcel, and to Flakeboard Company Limited for specialized equipment to be used in a medium-density fibreboard (MDF) melamine laminating facility. An existing rail line is being extended to industrial land, located at Base Line and Leigh’s Bay Road.
The property is a key component of the city’s Industrial Land Development Program and Industrial Marketing Strategy, aimed at increasing available serviced industrial land in order to attract new businesses.
The project involves constructing a 1000-metre extension, over city-owned land, to the existing rail line, which currently ends on G-P Flakeboard Company property.
The new rail spur will connect to the Wisconsin Central Division of the CN rail line.
The current line crosses Algoma Steel property, and the city has developed an agreement with the company to accommodate existing and new railcar traffic. Flakeboard Company Limited is constructing an MDF melamine laminating plant on five acres in this industrial park.
The 45,000-square-foot facility will be located adjacent to the existing G-P Flakeboard MDF plant.
It will house a state-of-the-art Dieffenbacher press capable of producing 300 panels per hour, and will use about one-third of the MDF produced at G-P Flakeboard’s plant.
The value-added product is used in furniture and cabinet production. "FedNor is dedicated to providing Northern communities and businesses with the support they require to grow, diversify and reach their full potential for success," said Minister of State Comuzzi.
FedNor is providing $500,000 to the City of Sault Ste. Marie for the rail line extension and a $500,000 repayable contribution to Flakeboard Company Limited for the purchase and installation of specialized equipment.
"Enhanced transportation infrastructure will greatly benefit our community by attracting new businesses and creating jobs," said John Rowswell, Mayor of Sault Ste. Marie. "We look forward to this initiative contributing to the vitality of the local economy," said Kelly Shotbolt, President and Chief Executive Officer of Flakeboard Company Limited.
FedNor works in partnership with Northern Ontario businesses, economic development stakeholders and community organizations to ensure Northerners enjoy full access to the information and services they require to be successful. By supporting the City of Sault Ste. Marie and Flakeboard Company Limited through its programs and services, FedNor is opening doors and building futures for a prosperous Northern Ontario. Funding for this initiative was provided for in the March 2004 federal budget and is therefore built into the existing fiscal framework. To find out more about FedNor, visit us at http://fednor.ic.gc.ca
******************************* Provincial investment brings new wood products plant to Sault Ste. Marie
McGuinty Government acting on plan to spur northern economic development
SAULT STE. MARIE – The McGuinty government, in partnership with private industry and other levels of government, is spurring economic development in the North by investing in a new wood products manufacturing plant, Sault Ste. Marie MPP David Orazietti announced today on behalf of Northern Development and Mines Minister and Northern Ontario Heritage Fund Corporation (NOHFC) Chair Rick Bartolucci.
"The Ontario government is committed to strengthening our community and creating more job opportunities," Orazietti said, during a ground-breaking ceremony at the project site. "Each new economic opportunity that we can help bring to Sault Ste. Marie, such as the one I’m delighted to announce today, takes us closer to that goal."
The Sault Ste. Marie Economic Development Corporation (SSMEDC), working with Flakeboard Company Limited (FCL), will use NOHFC funding of $1,550,000 to build a new melamine lamination plant that will finish fibreboard products milled at G-P Flakeboard’s adjacent facility on Baseline Road.
Other project partners include the City of Sault Ste. Marie and FedNor.
"Flakeboard’s decision to invest in Sault Ste. Marie is a solid step forward on implementation of our Industrial Marketing Strategy and our Destiny Sault Ste. Marie Strategic Plan," said SSMEDC President and CEO Bruce Strapp.
"From the company’s standpoint, the availability of a skilled workforce and industrial land with rail access, and the proximity of Flakeboard’s primary supplier, the local G-P Flakeboard fibreboard facility, made the Sault a very attractive location for this new development."
"We are actively promoting Northern Ontario’s competitive advantages to attract new business, innovation and diversification," said Bartolucci.
"By building a strong and prosperous economy, we are working to ensure that all northerners experience prosperity and a better quality of life. Our commitment to Sault Ste. Marie and all of the North is reflected in today’s announcement."
A refocused NOHFC is key to the government’s Northern Prosperity Plan for delivering real, positive change across the North.
The plan is founded on four pillars or areas of focus: Strengthening the North and its Communities; Listening to and Serving Northerners Better; Competing Globally; and Providing Opportunities for All.
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