Canada Provides $8.5 Million for New, State-of-the-Art Woodroom Launched in Alberta

News release

July 10, 2023         Peace River, Alberta                  Natural Resources Canada         

In every sector of the economy, the fight against climate change is both an economic as well as an environmental imperative. From investing in more sustainable products and technologies, to working with communities and organizations to promote local job growth, Canada has continued to support initiatives that enhance the competitiveness of the forest sector, its contribution to the bioeconomy and the resilience of the communities that rely on it.

In 2021, Natural Resources Canada contributed $8.5 million through the Investments in Forest Industry Transformation (IFIT) program to Mercer Peace River Pulp Ltd. Today, the Honourable Jonathan Wilkinson, Minister of Natural Resources, is pleased to announce that this contribution has resulted in a new, state-of-the-art woodroom.

The equipment installed in the new woodroom includes innovative and first-in-kind debarking, chipping and monitoring technologies. These new processes are improving how wood fibre is procured and processed at the mill, resulting in a more optimized use of wood fibre. In addition to using less wood to produce pulp, this initiative also minimizes the mill’s environmental impact by lowering its greenhouse gas emissions through an increase in efficiency and a reduction in fossil fuel consumption.

The pulp produced at Mercer’s Peace River Pulp Mill, sourced from sustainably managed forests, is known for its high quality, low environmental impact and consistent performance. The construction of Mercer’s new, state-of-the-art woodroom represents its commitment to continued growth, environmental performance and the creation of sustainable jobs.

By using advanced equipment and processes, Mercer’s new woodroom represents a step forward in promoting sustainable resource management and business practices. It will provide employment opportunities, support economic growth and help Canada achieve its environmental goals and mitigate climate change.

The IFIT program facilitates the adoption of transformative technologies and products by bridging the gap between development and commercialization. It aims to create a more competitive and resilient forest sector with a focus on low-carbon projects that result in new or diversified revenue streams.


“Canada’s forestry sector has supported livelihoods across the country for generations. Smart investments in innovative processes and technologies can increase efficiency and competitiveness while also lowering emissions. This investment has resulted in a cutting-edge woodroom and shows how we can create jobs, increase sustainability and grow the economy in communities across the country.”  

The Honourable Jonathan Wilkinson

Minister of Natural Resources 

“The completion of the new woodroom at Mercer Peace River has created a more sustainable business model, transformed the fibre procurement process, improved environmental performance and created several long-term career opportunities. We are proud to have completed this significant milestone that will enhance our region's economy for decades to come.”

Roger Ashfield

Managing Director, Mercer Peace River Pulp Ltd.

Associated links


Natural Resources Canada
Media Relations

Keean Nembhard
Press Secretary
Office of the Minister of Natural Resources

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