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Markets and Processing Options for Small Diameter Trees

In May 2002, the Central Oregon Intergovernmental Council (COIC) as part of their Central Oregon
Wildfire Risk Reduction (COPWRR) project retained Corvallis-based Mater Engineering, Ltd. to evaluate
potential new market options for the processing of non-saw-timber biomass provided from fuel reduction
and forest restoration efforts in Central Oregon.

The study was primarily focused on Crook, Deschutes,
and Jefferson counties (hereinafter referred to as the “region”). Mater Engineering – a forest products
engineering and markets research firm that has serviced worldwide clients for over 50 continuous years –
provided a project scope of work to COIC that encompassed:

Ø Compiling the best available data on the historical and current small diameter biomass volume
and sales patterns in the region;

Ø Evaluating existing infrastructure in the three county area;

Ø Identifying new smaller-scale processing technologies likely to impact processing and attract
investment to the region focused on product development from small diameter trees;

Ø Providing a general markets overview that may impact product development from small diameter
trees in the region; and

Ø Recommending an economic framework for the region based on the results of the above.

This study focused primarily on the utilization of small diameter timber (5”- 9” dbh), which makes up the
majority of the underutilized, non-timber biomass volume and has the greatest potential for cost effective
utilization in commodity and value-add markets. For smaller biomass, several options are being
addressed through other projects such as energy generation, compost, or in-field treatments. Of the
technologies discussed, Sorbilite could utilize some of the smaller biomass along with residue from
processing of the small timber.

The results of resource, processing, and market reviews undertaken for the project suggest there may be
an opportunity to create the framework for a more consistent, stable small diameter wood flow from the
region’s forest by creating higher value markets for small diameter timber sales.

Options evaluated for
creating higher value products included assisting existing or new industries by stabilizing timber supply;

upgrading existing or developing new operations that can profitably process small logs;
introducing new
smaller-scale value-added process technology for manufacturing products from solid wood and residue
derived from small logs;
and capturing additio nal market opportunities resulting from growing product
trends and changing trade policy between the US and Canada.

The following synopsis provides an at-a-glance review of the report’s findings.
http://www.coic.org/copwrr/COIC%20ExecSynopsisFinal.pdf

The complete July 2002,
report for the project is available through the COIC http://www.coic.org/copwrr/reports.htm

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