Canfor reported positive Q1, 2022 results despite pulp challenges, and Interfor acquired minority interest in GreenFirst Forest Products. In other Business news: JD Irving fails to secure expedited process in softwood duty review; construction spending is up but headwinds rise; and European markets are at a turning point.
In Forestry news: Greenpeace stages protest at World Forestry Congress, while delegates talk forest health; Colorado Governor takes aim at boreal forest protection, Europe looks to Saskatchewan for biomass; and Wood WORKS! Alberta award winners are announced.
Finally, exclusive to the Tree Frog News – Susan Yurkovich’s COFI Conference wrap-up!
Kelly McCloskey, Tree Frog Editor
BURNABY, BC — Interfor Corporation announced that its wholly owned subsidiary, Interfor East has acquired a total of 28,684,433 common shares in the capital of GreenFirst Forest Products from Rayonier A.M. Canada G.P., which represents approximately 16.2% of GreenFirst’s issued and outstanding common shares. The total cash consideration was approximately C$56 million. …This acquisition was made for investment purposes and builds upon, and is complementary to, Interfor’s recent expansion into Eastern Canada through the acquisition of EACOM Timber Corporation in February 2022. Before the transaction, Interfor did not own or have control or direction over any common shares or other securities of GreenFirst. …GreenFirst is a publicly-listed forest products company with seven sawmills and one paper mill in Eastern Canada.
WASHINGTON D.C. — The U. S. Court of International Trade declined to fast-track a Canadian lumber producer’s bid to secure a lower duty for its products Monday, finding that the company was not facing the sort of dire straits that merit a quicker process. In a brief opinion, CIT Judge Timothy M. Reif said that if J.D. Irving Ltd. prevails in its duty suit against the U.S. Department of Commerce, it will receive refunds, with interest, on any imports that were overcharged. The court rejected arguments from the company that a longer wait would strip away “much of” the value of a potential victory. [To access the full story a Law360 subscription is required]
VANCOUVER, BC — Canfor Pulp Products reported its first quarter of 2022 results with an operating loss of $26.0 million, compared to an operating loss of $137.2 million for the fourth quarter of 2021. After adjusting for a $1.1 million recovery in its inventory write-down provision in the current period, the Company’s operating loss was $27.1 million for the first quarter of 2022, a $14.0 million improvement compared to a similarly adjusted operating loss for the fourth quarter of 2021 of $41.1 million. …Kevin Edgson, President and Chief Executive Officer said, “This was another difficult quarter for Canfor Pulp, as the ongoing global supply chain crisis continued to impact not only our operations and shipments, but our ability to realize on a sharp increase in NBSK pulp list prices. Despite these challenges and operational upsets, we continued to preserve our strong cash position.”
The U.S. Census Bureau announced that construction spending during March 2022 was estimated at a seasonally adjusted annual rate of $1,730.5 billion, 0.1 percent above the revised February estimate of $1,728.6 billion. …During the first three months of this year, construction spending amounted to $376.6 billion, 12.0 percent above the $336.3 billion for the same period in 2021. …Spending on private construction was at a seasonally adjusted annual rate of $1,379.7 billion, 0.2 percent above the revised February estimate of $1,376.9 billion. Residential construction was at a seasonally adjusted annual rate of $882.0 billion in March, 1.0 percent above the revised February estimate of $873.2 billion. Nonresidential construction was at a seasonally adjusted annual rate of $497.6 billion in March, 1.2 percent below the revised February estimate of $503.6 billion.
Trade of logs and lumber in Europe will change dramatically in the coming years as timber harvests in Central Europe decline and the sanctions against Russia result in a plunge in forest products imports… according to a 
LENZING, Austria — 2022 marks the 30th year of the TENCE brand’s commitment to drive the fashion and textile communities’ sustainability journeys. The milestone reflects TENCEL™’s commitment to answering the industry’s green demands by providing sustainability-driven innovations, reinvigorating generations of wood-based cellulosic fibers and forging the way towards a “true carbon zero” future. This year, TENCEL™ will be unveiling a series of new initiatives globally as part of the “Feel Good Fibers Since 1992” campaign. …Additionally, TENCEL™ will continue expanding forest-to-fabric offerings through the recent opening of a state-of-the-art production facility in Thailand – the world’s biggest lyocell plant.
ONTARIO — Election promises should be examined carefully, from all parties, not just believed because they sound good. The recent Earth Day promises of the NDP and Liberals were simply reported without being questioned. …In their attempt to win the June 2 Ontario election, the NDP and Liberals tried to outbid each other on how many trees they would plant. Steven Del Duca’s Liberals were first out of the gate on Earth Day with a promise of 800 million trees over 8 years followed shortly thereafter by Andrea Horwath saying her party would plant 1 billion trees by 2030 if elected. It’s hard to be against trees, and I’m not, but these promises simply aren’t based in reality. …These promises are attempts by both parties to show they care about the environment while doing little to actually improve the environment.
A forest’s ability to regenerate after devastating wildfires, droughts or other disturbances depends largely on seed production. Findings from two new studies led by Duke University researchers could boost recovery and replanting after these disasters by providing foresters with new guidance on which trees species produce more seeds and how their productivity can vary from location to location. …One of the most unexpected findings from the studies is that trees in the wet tropics collectively produce 250 times more seeds than those in dry boreal forests. …Another key finding is that seed production is not constrained by seed size. This dispels a popular assumption that species that produce larger seeds must produce proportionately fewer of them and, as a result, be more susceptible to loss. …A third finding is that gymnosperms, have lower seed production than angiosperms, possibly because gymnosperms expend so much energy on making protective cones for their seeds. 
Tropical regions of the world lost 11.1 million hectares of forest cover in 2021, new data shows, calling into question global pledges to end deforestation by 2030. Taking in the Amazon and the Congo Basin, the tree loss included 3.75 million hectares of “critically important” primary rainforests, according to the World Resource’s Institute’s Global Forest Watch. This resulted in 2.5 gigatons of carbon dioxide released into the atmosphere, equivalent to the annual fossil fuel emissions of India, the forests monitor said. Global Forest Watch deputy director Mikaela Weisse told a virtual press conference: “The team specifically focused on the loss in humid tropical primary forests, which are areas of pristine rainforest that are important for carbon storage and biodiversity. …The report described the rate of primary forest loss in the tropics in recent years as “stubbornly consistent.
SEOUL, Korea — Greenpeace set up a large prop depicting a forest fire in front of the convention center in Seoul, where the opening ceremony for the 15th World Forestry Congress took place, urging attendees to stop forest destruction. …Greenpeace’s protest was aimed at telling the world about the excessive carbon emissions that have led to climate change, heightening the risk of forest fire, as well as the government’s biomass and forest development policies that are destroying the forests responsible for absorbing carbon. …Greenpeace sent an open letter to the transition team of President-elect Yoon Suk-yeol asking it to reduce the production of bioenergy, overhaul trade policies and introduce legal institutions to govern the inspection of the supply chain in order to prevent forest destruction and fulfill its vows made under international agreements for forest protection.
KAMLOOPS — BC Wildfire Service say they responded numerous wildfires between Falkland and Kamloops Monday (May 2). In a social media post Monday evening, the wildfire suppression service for the province states the fires are all suspected to be human caused. The fires are under investigation. “The BC Wildfire Service is urging British Columbians to be responsible, remain cautious, and do what they can to prevent human-caused wildfires,” the service states. According to the B.C. Wildfire Dashboard as of Tuesday morning, there are 10 active wildfires within the Kamloops Fire Centre: three new, two being held, and five under control. Two new wildfires were reported between Falkland and Kamloops: a 0.10-hectare fire near Station Forest Service Road north of Westwold and a 0.01-hectare wildfire near 2km Talbot Forest Service Road south of Westwold.