<B>Tembec Increasing Pulp Capacity at Matane Mill</B>

Tembec Inc. is expanding high-yield market pulp capacity at its Matane, Que. The project should be complete next month.

By modifying woodchip intake for the mill's two pulp lines, capacity will increase 24,000 metric tons/year, or by about 13 percent, from 186,000 tons/year to 210,000 tons/year, a spokesman said.

The company's total BCTMP capacity is currently 500,000 tons/year.

While noting the current robust conditions in the market pulp business, the company said the project is to achieve efficiency and to "grow in the BCTMP business."