This investment is the next step in an expansion project that will upgrade the mill from 120MMFBM to 250MMFBM annual capacity.
This week, the Board of Directors of Southeastern Timber Products LLC, an STP-Tolko Partnership (STP) announced a $150 million capital investment in the STP lumber mill in Ackerman, Mississippi.
The partnership is a joint venture between Tolko Industries (U.S.) Ltd. and STP Holdings, LLC. This investment is the next step in an expansion project that will upgrade the mill from 120MMFBM to 250MMFBM annual capacity.
The project will conclude in the first quarter of 2024.
The lumber mill in Ackerman, Mississippi is a family-owned and operated manufacturer of southern yellow pine lumber, timber, and decking products since 1972.
In November of 2018, Tolko entered into a 50-50 joint-venture partnership with Southeastern Timber Products to form Southeastern Timber Products LLC, An STP-Tolko Partnership. The Ackerman mill employs 150 people and currently produces 100 million board feet of southern yellow pine products.
“Together, we look forward to working with the local economic community and the State of Mississippi to support a capital investment plan that will expand Southeastern’s capacity to 300 million board feet,” the website states.
Mississippi Governor Tate Reeves said that this is tremendous economic news and further solidifies Mississippi as a timer resource for the world.
“This investment is tremendous news for Choctaw County and Mississippi,” says Governor Reeves said in a release. “It further expands the economic strength of this community and solidifies our state as a timber source for the world. I want to congratulate the entire team at Southeastern Timber Products and greatly look forward to seeing your continued success and growth!”
$150 million is being invested into Ackerman by Southeastern Timber Products!
This is tremendous economic news and further solidifies Mississippi as a timber source for the world. pic.twitter.com/WoDwn6t3BT
— Governor Tate Reeves (@tatereeves) July 8, 2022
Board Chair Pino Pucci and Board Member Tommy Stansell said that they look forward to this investment providing a long and prosperous future in Choctaw County and the state of Mississippi.
“We want to thank Governor Reeves for his support on this project,” Pucci and Stansell said. “Enhancing the capabilities of STP will serve our customers across North America and abroad, and the STP partnership is looking forward to this investment providing a long and prosperous future in Choctaw County and the state of Mississippi.”
Billy Van Devender, CEO of Claw Forestry, said that this expansion will create jobs and bring value to Mississippi timberland owners, many being family owned.
“The Board approval of the expansion is a testament to the employees at STP-Tolko in Ackerman, MS,” says Billy Van Devender, CEO of Claw Forestry. “There have been significant incremental gains in our production and performance, which sets us up to make this additional investment into our mill and our state. The expansion will also create jobs and bring value to Mississippi timberland owners, many being family owned.”
Tolko CEO Brad Thorlakson added that they are excited to be moving to the next stage of this expansion.
“We first announced our partnership with STP in November 2018 and are happy to reinvest in the community as well as help strengthen and expand the local job market,” Thorlakson said.
