Province backs $191 million upgrade project aimed at protecting jobs and expanding wood-product manufacturing
ENGLEHART, Ont. — The Ontario government is investing $10 million to support a major modernization project at Georgia-Pacific North Woods’ oriented strand board (OSB) facility in Englehart, a move the province says will help strengthen Ontario’s forestry sector, protect regional jobs and increase production of Ontario-made wood products.
The funding will support a broader $191 million expansion and upgrade initiative at the plant, which employs more than 220 workers and supports hundreds of indirect jobs across northeastern Ontario’s forestry supply chain. The investment comes as the province seeks to reinforce the sector against growing market pressures, including U.S. tariffs affecting forest-product exports.
The funding is being delivered through Ontario’s Forest Biomass Program, which supports projects that expand biomass usage and improve competitiveness in the province’s forest industry.
“Our government is investing in the tools and technology to transform how our forest sector remains competitive in today’s challenging and evolving markets,” said Kevin Holland, Associate Minister of Forestry and Forest Products. “This investment is delivering on our roadmap by putting underused wood to work, strengthening supply chains and supporting the production of high-quality, Ontario-made forest products.”
Facility upgrades expected to boost production capacity
The modernization project at the Englehart facility will include upgrades to log-processing operations, construction of new infrastructure, expanded on-site storage and the installation of modern production equipment.
According to the province, the upgrades are expected to increase production at the plant by 14 per cent once completed, reinforcing the facility’s role as a key manufacturing hub in northeastern Ontario.
Thermal energy system to improve efficiency
As part of the project, Georgia-Pacific will also acquire a thermal energy system designed to convert wood by-products into heat and power. The province said the system will help maximize fibre utilization and support more sustainable forest-management practices.
“Local facilities like this one are critical to Ontario’s regional economic stability,” said Mike Harris, Minister of Natural Resources. “By investing in upgrades that boost performance and expand these operations, we are protecting good-paying jobs and ensuring communities continue to benefit from a strong, competitive forest sector.”
The announcement aligns with Ontario’s recently released Roadmap to Protecting Ontario’s Forest Sector, a 10-year strategy unveiled in April that aims to defend, adapt and grow the industry while maintaining Ontario’s standing as a G7 leader in forest-product manufacturing and exports.
Forestry remains a major contributor to Ontario’s economy
Ontario’s forestry sector generates nearly $21 billion in business revenue annually and supports close to 155,000 jobs across the province, according to government figures.
The Forest Biomass Program, launched in 2023, provides up to $20 million annually for projects focused on biomass utilization, innovation and expanding market opportunities for wood products. The province said the program has already committed more than $65 million to over 55 projects, leveraging close to $250 million in additional external funding and creating more than 110 jobs.
The Georgia-Pacific investment follows a recent provincial commitment of $5.5 million to Greenwater Technology for the development of biofuel production pathways tied to the forestry sector.
Industry and municipal leaders welcome investment
Government officials and industry representatives said the project reflects growing collaboration between the public and private sectors to strengthen Ontario’s forestry economy and support northern communities.
“Through strategic initiatives like the Forest Biomass Program, we’re helping create the conditions for companies to invest with confidence and keep our forestry sector competitive. Georgia-Pacific North Woods doubling down on northeastern Ontario is a strong example of what happens when government and the private sector work together to strengthen communities, protect good-paying jobs and encourage long-term economic growth.”
— George Pirie, Minister of Northern Economic Development and Growth
“Georgia-Pacific Englehart is pleased to partner with the government of Ontario on our green end project. The government is committed to working with us to continue to grow and modernize the forestry sector through strategic innovation. This new investment helps secure our long-term position as a leader in the Ontario forestry sector.”
— John B. Beers III, President, Structural Panels, Georgia-Pacific
Municipal leaders in the region also said the investment would help reinforce the economic stability of northern communities that depend heavily on forestry operations.
“Ontario’s investment in Georgia-Pacific North Woods is welcome news for Englehart and area, as well as the surrounding forest based economy. It reflects the importance of Northern communities and shows a commitment to strengthening the long term economic vitality of our region.”
— Douglas Metson, Mayor of Englehart
Industry associations said continued investment in modernization will be critical as global demand for wood products evolves.
“The Forest Biomass Program continues to be a catalyst for innovation across the province. Today’s investment in Georgia-Pacific North Woods demonstrates a forward-thinking approach to Ontario’s forest industry – maximizing the value of our forest resources while strengthening the local supply chain. Continued industry modernization and investment will ensure that our sector remains competitive and ready to meet the growing demand for Ontario-made forest products.”
— Ian Dunn, President and CEO, Ontario Forest Industries Association
“FONOM welcomes this investment in Georgia-Pacific North Woods and the province’s continued support for Ontario’s forest sector. Forestry is the backbone of many Northern Ontario communities, and investments that modernize mills and protect jobs help ensure long-term economic stability and growth across the North.”
— David Plourde, President of the Federation of Northern Ontario Municipalities