Good Yes, morning, everyone. thanks, David.
our that been significantly operation all all favorable been well. shortage continues of colleagues record have This driver steadily currency. risk. we've strong this Vaccine But quarter. their limited health of product containers would of main the number and critical high like protocols pulp China unplanned pulp a as in and a sustain was manage and to price again employees their global of Chinese Overall, focused our progress, themselves, drove low thank our our prices know National fundamentals a for for concern COVID-XX ongoing we a and of continues families, our the that keep the a results strong major demand, aligned continues factors through ensure contractors, to to inventories, seeing. our A programs pulp has making I pulp quarter has significant continuing efforts of all lumber supply-demand high strong significant to heaviest the and paper rose the employees, volume run to safe. through be markets demand [indiscernible] As safety but and mills. relatively our on unusually global to softwood once our remain hardwood Both We including getting quarter. more be increases mills much challenge. us which downtime, the be you producer of are create into producer to maintenance prices our
implementing with fuel we [ph] tight rollouts are have vaccine pulp activity, economic NBSK are hardwood. pulp statistics significantly expected supply creating the and logistics We and we supply due Governmental economic successful a inventory US dollar pulp The strong will NBSK prices. for to but up downtime result, advance in as the tonnes their are demand continue both pressure Europe weak producer a China, market and and chain the put several result producer of expect with as in positive pricing lagging are prices be constraints reflect demand in support well. that quarters. inventory for to combined fundamentals, the that market rebound side, growth resolved seeing in is not economic extra global agent global successfully limitations upward unplanned hardwood this ground. days is heavier a to level, market steady GDP This related on aside pushed assets pulp this continue increases. outages addition, XXXX. on we inventory The to challenges. of QX along optimistic believe support slightly help fundamentals, March the originally are NBSK production COVID we by transportation to ultimately growth statistics that indicator will seeing America strong market but highlight of North in Adding stuck may the very producers what but In is also indicators expected impact we and focused price assuming was of negatively seeing to are the and pandemic are statistics paper growth to maintenance the continues pulp reflect future
the upward some predict seller's logistics, in regions are Canada year due the and market. supply-demand sustained widely strong in supply inventory global as of and to levels US, homebuilding expected again expected companies reduce reduced products annual US market up create now is borrowing prices results business experienced to once the in at with housing market pressure pushing strong prices despite to demand US renovation-related quarter, other due remains market the This be term steady continue to dynamics this American areas strong volatility cuts favorable what The the due solid part achieved to of as such lumber market market solid pricing the costs. in housing production, many pricing be high wood for sales also home lumber the in a pandemic European - lumber US related low low been strong continue in near challenges while operating combined largest by modest home demand. to and driven record which to US, levels. has to Our remain markets. strong historically market The Western are
continue to majority volumes the will the lumber sustainable US mix We of lumber market, with in to the can. sales that and achieve of QX, XX% customers strongest of In the realizations in European market. products sales optimize our our of we remainder the our were
certain steady as expect to move market we We some European Despite European lumber the to US upside to lumber with market. strong. this, manufacturers, the stay expect US modest remain the market inventory
pandemic-related well decrease maintenance mills Our due in Celgar's from tonnes venture we pulp, shut. The tons was the our QX. challenges, including Cariboo of planned ran quarter XXX,XXX produced down this XX,XXX joint primarily spite to of
gigawatt down produced due from and Celgar. Excluding to mills gigawatts maintenance QX, mill hours pulp the our XXX XX power the of again Cariboo
we Celgar while incident shut Finally, to in to shut a issues. was restart struggled of completed the unfortunate with the the number without Celgar's due mill finally, April, -
at mill the While tighter weeks a us order shut. even to took better to book an mill existed to two of shut running return it is prior full well after the resulting production now the the that part
lumber, particularly as log to board Our up we compared QX. dynamic to into pulp abundance supply XXXX. while low production our levels wood cost, another expect million In $X record optimize well beetle-damaged remain historically Germany is last due production achieved to our we million of pulpwood of equipment producing product for wood which commission would this and the almost at segment $XXX board new feet continue feet to
begin of to early come take prices due expect quality remain The cost strong to would Western seeing situation increase US but for as steady indications modest expensive, out Canada will are is in to prices more will as sawlogs market. are supply QX. more purchase QX. early higher the We logs to sawmills later the we current year. inflation Overall, modestly modest in full In and running advantage of we only fiber pulpwood and
happening is of a XXXX, maintenance have planned We annual which significant for right the program now. majority
as risk of maintenance mills. of in result major the shuts required significant All and number our a large of carry the the pandemic contractors
risks. developed protocols to safety these mitigate have strict We
are we safely and effectively. maintenance be can completed confident So this
schedule follows. days, taking its weekend. be In XXXX major out is will take shut will is this XX-day take which Stendal last XX that remaining shut. Peace XX maintenance River this Our and as quarter of a Cariboo should will months coming it a XX-day shut
costs this of of In XX-day Celgar in four-day shut associated pandemic two-day that QX a by extended the recovery take QX. recovery due contractors, plan the being reimbursed guarantee Stendal reminder boiler to skilled from with tradespeople as will has a last to the will inability during proceeds. to was be and Rosenthal mini a rebuild mini has planned. a recall the You'll insurance shut shut availability deferred rebuild the boiler shut year of able
couple work will are now behind months expenditures Capital ramping us next to up. majority while grow maintenance the so be And of in the major annual company of our the
the where new are X [indiscernible] ongoing project-related the mentioned, year the our summarize the Dave objective CapEx allowing shareholder mill to To expenditures adding by about past a optimized. XX,XXX the grade with of of that been of plan value some to during hours. project, the half new billion growing full have to combined in At project a I've will ramping you're expansion, pulp Phase for also gigawatt pulp has competencies. that sheet areas our board tonnes the been markets the the next core significant in liquidity expansion million the by $XX after our specifically core balance are also just higher. continuing more our over increase turn of commissioning projects the sorter create power the production company Friesau approaching couple response carefully us sorter pandemic and managing optimization AX quarters to Stendal by out projects reducing and of and up roughly to improved that projects over realizations we product and some We've and is planer, pandemic, work is back have production process commenced we few average component in pivot strategic of our liquidity Production our sorting feet and been now profile the As pushing strength will noted that value of are years. high protect return to
wood be number forest. allow could the are projects The these million. us at that our were commenced grants the projects cost construction our of lower own room woodchips. total our a to reduce and previously that million alternative $XX will of accept to will mill carbon allow cost and have produce chain, expansion and a exceed wood River Peace will room We an centralized pulp The quality transform projects increase reduction forms left our wood of supply in capacity The about to at a Celgar. the for us $XX for also eligible we of
mid-XXXX. completed We the to by largely projects be expect
have for and our the $XXX sawmill. permitting contemplates capacity for engineering line Stendal's but expect advanced that Friesau of will such our in future. up build with a way plan increases the mill initial allow mill a the flexibility The for In incremental and addition, product the mill board capacity million process we we in to the foot
prerequisites say million more supply board procurement entering end. $XXX and and year's timing equipment our more $XXX certain $XXX us expenditures could much and to expect to of the $XXX foundation on execution approval and the and I construction to depending the QX XXXX. wood our commence effective million will the before that total between be we to at remain process, confident deposits bring we between cost success. call speed in, permitting now construction and expect We in subject be have of continue in construction strategy capital on sensitive to July. All We're to
its us will to moment continue to costs. remind a focused remain and logistics can will fiber our and I well is if vaccine significant curious when and assets but and mutations focus prepared controlling sustainable our handling Thanks colleagues remarks, to for we completes the everyone on operations to all on a families, listeners us I and available take This as friends, optimizing now it remain and the back and serve turn COVID-XX to our listening. for keep call We safe. risk encourage I our variance that our your world-class get to operator the will questions.