Tembec is to buy the assets of the Weyerhaeuser sawmill at Chapleau, Ontario for C$25.5m.

The move follows its recent announcement of the purchase of two Nexfor mills in Québec for C$49.2m. Tembec president and CEO Frank Dottori said it was part of its strategy to effect much needed consolidation in the softwood lumber industry in North America.

The Chapleau sawmill has a softwood allocation of around 524,000m3 a year, a production capacity of 100 million board feet a year and employs 140 people.

The acquisition will take Tembec’s annual capacity to more than 1.8 billion board feet, including the two Nexfor mills that Tembec intends to buy by the end of this year.