Canadian wood-based panel products company Norbord has invested $135m to upgrade and expand its OSB mill in Inverness, Scotland.
The project will include the installation of modern continuous press technology on a new production line that will replace two smaller, dated multi-opening presses.
It is expected to nearly double the mill’s capacity to 720m sq ft in order to meet the growing demand of OSB in the UK and Europe.
Highlands & Islands Enterprise, the Scottish government's economic and community development agency, is offering a development grant of €15m for the project.
The new line is expected to be operational in the second half of 2017.
Norbord president and CEO Peter Wijnbergen said: “Our European business is a source of diversification that is unique to Norbord among OSB producers, and brings stability to our earnings through the business cycle.
“This is an important strategic investment, focused on the fastest-growing market for OSB, and will make our already strong European business a more meaningful part of our financial results.”