Mark Sabo drove the truck that brought the first load of logs into the Midway mill yard under Vaagen Fibre Canada operation (Aug. 15). The logs came off Son Ranch north of Greenwood.
Chris Waters, log buyer for Vaagen, said they brought two loads in last Monday and will see that increase, especially after this week, when a brand new John Deere loader arrives in the log yard.
Waters said work is progressing on the mill and they continue to anticipate starting the new production line up in October.
In the meantime, the directors of Boundary Sawmill Inc. (BSI) are continuing their efforts to raise the money needed to pay off a $1-million mortgage note owed to the mill’s previous owner Fox Forest Products (FFP) of Montana.
The note is due on Aug. 31.
“There have been lots of inquiries about investing and we’ve raised over $100,000 (as of Aug. 15) on top of the $200,000 we already had,” said BSI President Doug McMynn.
“We are working with potential investors from Vancouver to Alberta and hope to complete the deal by the end of August.”
Financial analyst Stephen Hill, the BSI promoter who put the deal together to buy the mill, remains in Vancouver looking for investors.
He said he remains optimistic that the remaining $700,000 can be raised.
If the Aug. 31 date is not met, Vaagen Brothers has the option of paying off the loans and taking ownership of the property or alternatively, Fox Forest Products might foreclose.
Also due on Aug. 31 is an $800,000 balance remaining on a $1 million loan owed by BSI to the Southern Interior Development Investment Trust but BSI directors have said they plan to seek an extension on that loan.
Both Hill and McMynn say that meetings continue with potential investors.
– Pat Kelly, Boundary Creek Times