Brenda Bailey speaking at the Kruger Mill in Kamloops on Sept. 12, 2024.
Kruger is getting nearly $10 million from the provincial and federal governments for a first-of-its-kind new AI powered pressure diffusion washer at its Kamloops mill.
It’s part of a $32.4 million investment at the facility on Mission Flats Road, with the two upper levels of government providing $5 million each. The province’s funding is coming from the BC Manufacturing Jobs Fund (BCMJF), while the federal funding is coming from the Investment in Forest Industry Transformation (IFIT) Program.
Speaking in Kamloops, BC Jobs Minister Brenda says the new technology will help the Kamloops mill be more competitive.
“Because right now, they’re a little bit below what would be sort of best case scenario in terms of the quality and brightness of the fibre that they create,” Bailey told Radio NL. “This new diffuser will put them above the rest of the industry in terms of the quality and the brightness of the fibre that they create.”
In a statement, Kruger says the new pulp washing system will “enhance the plant’s effectiveness and significantly reduce inorganic material and talc in the finished product.”
“The process will also result in a notable reduction in bleaching chemical usage,” the statement said. “This technology will be combined with advanced controls and AI-based capabilities to ensure that the pulp consistently meets the most stringent requirements for specialty products that require ultraclean pulp.”
Bailey says the money will also help protect 340 existing jobs at the Kruger mill, while creating four new roles plus another 95 jobs during the construction phase,
“You know sometimes the investments we make through the manufacturing jobs fund is about growing additional jobs, but its also really important that we’re protecting the jobs that remain in forestry,” Bailey said.
“This particular one, there are 340 people working at Kruger right now in Kamloops, so we want to make sure that that company is successful. This helps them become more competitive and those jobs are maintained. And Kruger is committed to a long term relationship here in Kamloops.”
Irene Preto, the General Manager at Kruger Kamloops, says they’re grateful for the financial support. The company previously got $50,000 from the same fund to help with planning work.
“We’re especially excited to implement an innovative technology that will optimize our manufacturing processes, improve our environmental footprint, and reinforce Kruger’s position as a competitive supplier of high-quality, ethically sourced and sustainably sound specialty pulp,” Preto said.
Kruger says its new pulp-washing system is expected to be up and running by 2026.
“The project will enable Kruger Kamloops to ramp up production of ultra-clean pulp from 43,000 MT in its first year up to more than 115,000 MT annually in its third year and beyond,” the Kruger statement added.
Kamloops-based Thompson River Veneer Products is also getting $583,000 towards equipment upgrades. It will be commissioning six additional press platens, which the Ministry of Jobs, Economic Development and Innovation says will increase productivity and improve the surface quality of the panels.
“[It will help] make the business more competitive through accessing higher-value markets, while creating up to 11 additional full-time jobs,” the Ministry said.
The funding is part of $11.4 million going to eight forestry-sector capital projects and one planning project across the province.
