Mercer International Inc. has announced that its Peace River mill will undergo downtime to complete necessary repairs to the mill's digester following a mechanical failure. The company expects the repairs and related assessments to be completed in mid-October 2024. As a result, the production of northern bleached hardwood kraft (NBHK) at the mill is anticipated to be reduced by approximately 45,000 tonnes during this period.
Mercer International Inc. is a global forest products company with operations in Germany, the USA, and Canada. The company has a consolidated annual production capacity of 2.1 million tonnes of pulp, 960 million board feet of lumber, 210 thousand cubic meters of cross-laminated timber, 45,000 cubic meters of glulam, 17 million pallets, and 230,000 metric tonnes of biofuels.
The company also maintains property and business interruption insurance for the Peace River mill and expects the repairs and business interruption to be covered by such insurance, subject to customary deductibles and limits. The market has reacted to these announcements by moving the company's shares 1.9% to a price of $6.35. For the full picture, make sure to review Mercer International's 8-K report.
