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NEWS RELEASE

For immediate release: March 4, 2002

Joint forest management agreement a first in Alberta

High Prairie, Alberta - In a collaborative effort never before achieved in Alberta, Tolko Industries Ltd. and Buchanan Lumber have signed a long-term, joint forest management agreement (FMA).

The agreement, negotiated between Tolko, Buchanan and the Alberta government, is based on integrated management of coniferous and deciduous species in a shared, area-based tenure. The joint FMA will support in part the oriented strandboard and sawmill operations of the two partners.

Dave Knight, Tolko’s Regional Manager, Woodlands, says the joint FMA is the result of discussions between the two companies and the frustrations they were experiencing managing single species rather than mixed wood management on the same land base. "This agreement focuses on our goal of ‘growing trees’ – both aspen and coniferous – in our joint operating area. We want to try to duplicate the natural condition of the boreal forest where we both operate, while recognizing the unique challenge of coniferous reforestation. For example, spruce, which Buchanan harvests, is more difficult to re-establish after harvest. Our joint FMA will focus more attention on re-establishing this species."

John Brodrick, Buchanan Lumber, Special Projects Manager, adds, "Some of the positive benefits are better environmental management, improved forest management and reduced log costs for both companies because of coordinated planning."


For more information:
Dave Knight
Tolko Industries Ltd.
Regional Manager, Woodlands
Phone: 306-236-6565

John Brodrick
Buchanan Lumber
Special Projects Manager
Phone: 780-523-4544

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