“With 1 million m³ of sawn timber a year, we can present ourselves differently in the US than we could with only half of this volume.” This is Reinhard Binder’s approach, who is also responsible for sales at Binderholz. When asked whether the two sawmills are worth a total of $ 144 million, he replies: “That is not even € 120 million. If I build a state-of-the-art sawmill today, the costs amount to about € 180 million, and the groundbreaking would probably take place only in 2024. Thanks to this purchase, we can start immediately.”
Suitable main machines
However, much still needs to be done. The sawmill was built by Klausner in 2014, but never started up. “We realize that we have to invest a lot in infrastructure but we have a strong Linck line and a Ledinek Stratoplan 900, which is robust, fast and adequately dimensioned,” says Binder, listing the assets. For him, this also includes the log wood which he describes as better because of the bigger diameter (the average is supposedly up to 4 cm above that of Florida). “Stronger, naturally grown wood also means more clears,” explains Binder. He sees North Carolina as the best growing area for Southern Yellow Pine. “We have the wood for a constant $ 60/m³ in our plant and the sales market here in the southeastern US is right outside our door.”
Binder’s to-do list for Binderholz Enfield LLC includes adequate paving on 20 hectares, possibly an additional log yard and a multi-level sorting machine in the planing plant. The drying chambers are there but they have yet to be assembled. Binder is convinced that production in Enfield will start in early 2022 at the latest.
We are surrounded by raw material whose price has not changed in three decades.
Florida to start soon
In Live Oak, Florida, the plan is to start the trial operation in February 2021 and the regular operation in March.
Binder is not surprised that no North American timber company participated in the auction of the second Klausner site: “In the same way that we can’t operate a Chip-N-Saw sawmill, Americans don’t understand our European cutting technology.”
“The planing capacity is the most important factor in the US,” explains Binder who wants to have it as soon as possible. “There are more housing starts and due to the pandemic, buyers’ wishes are changing: They tend to choose bigger houses outside of the cities. A lot of wood will be needed for that.” Additionally, the global demand for wood is growing. “The EU’s requirements for reducing carbon emissions by 2030 can only be met by promoting timber construction.”
Processing to come in the US
According to the press release, the purchase of Klausner Lumber Two “laid the foundation for further investments in vertical range of manufacture”. It can therefore be assumed that all of the US lumber is at least planed. An in-house CLT production in the US would thus fit into Binder’s concept.
In 2020, Binderholz produces around 3.2 million m³ of softwood lumber, of which 85% are finished in the company’s own processing plants.
European team pack their bags
Binderholz will send a European team to the US. “We have already put the team together. We were surprised how many external people were interested in joining it. The core of the team, however, comes from our cadre,” he explains. The sites are managed by Gebhard Dünser as managing director and Matteo Binder as owner representative.
Binderholz’s major investment projects (glulam plant in Jenbach, new saw line in Oberrot, modernization of Baruth, expansion of Lieksa) of the past years are now considered as almost completed. “Oberrot starts in December. We will do trial cutting there in January,” announces Binder. “In Baruth, the drying system is completed, and a new saw line is still to come. Furthermore, we are building a second production line for multi-layer panels in St. Georgen. That’s all.” This way, the management power is now available for the US.
In the short term, prices are expected to be good in the US (“Just look at the January futures”) and Europe (“The market is empty”). “Prices will remain high which is also necessary with a natural product that takes 80 years to grow,” Binder concludes the interview.
Binderholz in numbers
Cutting volumes (2022) in
Fügen/AT: 1.1 million m³/year
Baruth/DE: 1.8 million m³/year
Kösching/DE: 1.1 million m³/year
Oberrot/DE: 1.1 million m³/year
Wolfegg/DE: 0.3 million m³/year
Lieksa/FI: 0.9 million m³/year
Nurmes/FI: 0.4 million m³/year
Enfield/US: 1.0 million m³/year
Live Oak/US: 1.0 million m³/year
Total: 8.7 million m³/year
Processing (2021):
Planed timber: 1.6 million m³/year;
CLT: 280,000 m³/year;
Mass timber panels: 5.81 million m²/year;
Glulam: 320,000 m³/year;
Solid structural timber (KVH): 105,000 m³/year;
Pellets: 322,000 tons/year