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Economic feasibility study: integrated industrial complex for the utilizatiion of aspen, birch and cottonwood in northeastern British Columbia

The feasibility of utilizing the aspen, birch
and cottonwood stands which are found in large volumes
in northeastern British Columbia was investigated. The
study included raw material analysis, plant design of
five integrated production lines, market study and
model of investment. The integrated complex was designed
to produce aspen and cottonwood dried veneer with an
annual capacity of 70 000 m³, 3 mm thick, 13 500 m³/year
of sliced - dried birch face veneer, 0.8 mm thick, 40
billion splints for match manufacture, 10 000t of pelle-
tized aspen bark and 50 GJh of thermal energy. The aspen,
cottonwood and birch veneer production was chosen because
of its higher profitability than other products and its
market potentials. The residue utilizing lines were included
to add manufacturing values in addition to the main products.
The complex is expected to consume 140 000 m³ of
aspen and cottonwood and 30 000 m³ of white birch yearly. This volume is considered a fraction of the species annual allowable cut in the Fort Nelson Forest Unit.
A total capital investment of $29 373 000 is required; of which $17 083 000 would be for fixed investment and $12 290 000 for annual operating cost. The expected

after tax profit on investment would be $10 910 000/year, based on annual sales of $3k million. Projected annual return on investment is expected to reach 6k% of the fixed investment with a payout of 1.6 years.
Sixty eight tables and 1+9 figures in addition to plant layout for the entire integrated industrial complex are included in the study as illustrating material. / Forestry, Faculty of / Graduate

Identiferoai:union.ndltd.org:UBC/oai:circle.library.ubc.ca:2429/22654
Date January 1981
CreatorsSourial, Farag Anis
Source SetsUniversity of British Columbia
LanguageEnglish
Detected LanguageEnglish
TypeText, Thesis/Dissertation
RightsFor non-commercial purposes only, such as research, private study and education. Additional conditions apply, see Terms of Use https://open.library.ubc.ca/terms_of_use.

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