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Canfor Southern Pine to Invest $96M in Arkansas Facility Expansion

Canfor Southern Pine is pouring $96 million into its forestry operations in El Dorado, Arkansas, pushing a heavy industrial expansion that more than doubles...

Canfor Southern Pines Arkansas investment

Canfor Southern Pine is pouring $96 million into its forestry operations in El Dorado, Arkansas, pushing a heavy industrial expansion that more than doubles output at its Iron Mountain facility. We are grateful to the Arkansas Department of Commerce for its continued support.

The capital expenditure targets a phased modernization of the mill alongside a brand-new shipping transload facility designed to streamline logistics across Union County.

Sawmill Upgrades Target Completion by 2026

The multimillion-dollar project unfolds in distinct operational chapters. The initial phase focused on upgrading the planer and wrapped up in the second quarter of 2025. Crews are now tackling the second phase, which overhaul the Iron Mountain sawmill and log yard operations with a targeted completion date in the fourth quarter of 2026.

An associated shipping transload facility was constructed earlier this year to serve both Iron Mountain and the nearby Urbana Sawmill. The infrastructure allows lumber to shift smoothly between trucks and rail cars, slashing transit bottlenecks and widening market reach across North America.

Canfor iron mountain facility
Photo: tradeandindustrydev.com

Together, these infrastructural upgrades will push Iron Mountain’s annual net production to approximately 220 million board feet. The expansion also generates roughly 75 new jobs split between the facility and logistics.

Canfor Invests over 400 Million Dollars in Union County

“This investment marks an important step in strengthening our Iron Mountain operation and our broader regional hub in Arkansas,” said Lee Goodloe, President of Canfor Southern Pine, pointing to a cumulative investment exceeding $400 million in Union County since 2015.

State officials emphasized how much the timber sector drives the economy in southern Arkansas.

“Agriculture – including forestry – is the Natural State’s number one industry, with our abundant timberland providing everything from the paper we write on to the boards holding up our walls,” said Governor Sanders. “Businesses like Canfor in Union County keep those Arkansas traditions strong by investing in modern equipment and new opportunities for our workforce.I’m thankful for their continued investment in our state and the people who carry our way of life forward.”

Iron Mountain officially joined Canfor in August 2024 following the acquisition of Arkansas Resolute El Dorado Inc, shifting production toward Southern Yellow Pine dimensional lumber. With the log yard overhauls slated to be completed in the fourth quarter of 2026, the facility stands as a major modernization project at the Iron Mountain facility in El Dorado.

Local Officials Praise Plant Improvements

At a recent business retention and expansion visit at the facility, Kaitlyn Rigdon and Steven Jones noted they were blown away by what Tripp Evans and team are doing at the plant.

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