Performance Against 2016 Targets — Canfor Pulp

Certified Products

Objective

Performance

Combine FSC and PEFC certification audits in 2016.

Achieved.

Achieve an overall certified fibre supply level of 83%.

Achieved.

Renewable Energy

Objective	Performance
Convert mechanical steam drives on the pulp machine and white water system to high efficiency electrical drives at the Intercon mill to increase power generation by 2 MW.	Achieved. Exceeding expectations at 5 MW.
Increase renewable energy generation to 1 million MWh.	Set new annual record at 985,741 MWh.
Reduced natural gas consumption for boiler operations by 10% from 2015 levels.	Natural gas consumption higher due to weather and mill performance. Reviewing hog conveyor system at Intercontinental mill and boiler hog feed issues at Northwood mill to reduce consumption.

Environmental

Objective	Performance
Implement Oxygen Delignification at the Intercon Mill to reduce AOX discharge in mill effluent.	Project on line and optimization work in progress.
Implement new sludge press technology at the Taylor Mill to reduce moisture level in effluent solids to facilitate land application and provide other disposal alternatives.	Developmental work underway.

Safety

Objective	Performance
Meet the company-wide medical incident rate of 2.0 or lower.	Medical incident rate for Canfor Pulp was 2.29.

Community & People

Objective	Performance
Implement a First Nations recruitment and selection process to identify and support potential First Nations’ candidates.	Work ongoing supported by new corporate HR system.
Expand partnerships with First Nations through activities coordinated through a company-wide First Nations Working Group.	Work ongoing with examples of progress highlighted in the Working with First Nations section of this report.
Expand high school and post-secondary relationship that focus on supporting First Nations students.	Created new relationships leading to partnerships.
Host community events in all of our operating communities.	Community events held in Canfor Pulp operating communities.
Establish high school scholarships for forestry and trades related studies in all of our operating communities.	Work still underway to establish scholarships in all of our US communities. Scholarships already in place in all of our Canadian operating communities.
Continue to enhance the new skills development and training program to facilitate effective and safe performance of tasks.	Achieved. Continued focus on leadership training and succession depth and developed new training materials for employees.