SPOKANE, Wash. (News release) -- PotlatchDeltic Corporation has completed the planned downtime at the Waldo, Arkansas sawmill to tie-in equipment for the modernization and expansion project. The modernization project construction has been completed and the facility is beginning its ramp-up phase, and it is anticipated that it will take 6 to 12 months to reach the mill's new dimensional lumber capacity of 275 million board feet per year. The Waldo modernization and expansion project is a $131 million strategic investment that is expected to increase the mill's annual capacity by 85 million board feet, improve recovery by 6%, and reduce cash processing costs by approximately 30%. Once the ramp-up phase is completed, the mill is expected to generate approximately $25 million incremental Adjusted EBITDDA annually under a mid-cycle sales environment and an internal rate of return of approximately 22% in our base case.

PotlatchDeltic has collaborated with BID Group for this turnkey project. The project includes a new saw line, planer upgrade, and a new continuous kiln. In addition, a Fulghum Industries, Inc. 170' 45-ton log crane was installed and commissioned as part of the modernization. "I am very appreciative of the PotlatchDeltic and BID Group team members for their relentless efforts and focus on safety during this project. The productive working relationship with BID Group and the contributions by the suppliers and contractors on this project were an essential part of the on-time start-up," said Ashlee Cribb, Vice President of Wood Products at PotlatchDeltic.