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Drax to close BC wood pellet plant by end-2025 due to timber shortages and unviable economics.
Drax, a U.K.-based energy company, will shut its wood pellet plant in Williams Lake, British Columbia, by end-2025, citing insufficient timber supply due to nearby mill closures and lost contracts, making the operation no longer commercially viable.
The 30-employee facility will phase down as inventory is used.
The closure reflects broader struggles in Canada’s forestry sector, including weak markets, economic uncertainty, and U.S. tariffs, prompting Ottawa to pledge $500 million in loan guarantees.
Drax maintains its current fibre comes from low-grade wood that would otherwise be burned, countering past criticism over old-growth timber use.
Drax cerrará la planta de pellets de madera de BC a finales de 2025 debido a la escasez de madera y a una economía inviable.