Development of Atli Chip Market Diversification
‘Namgis Business Development Corporation, through Atli Chip Limited Partnership, is undertaking a structured Market Diversification Exploration Strategy to develop a preliminary business plan for alternative, viable uses of its industrial site and infrastructure following the closure of its wood chip processing operations in March 2026.
Warren Roberts, Wahkash Contracting (left), Doug Mosher, Atli Resources (centre), and Minister of Forests Ravi Parmar (right) visit the Atli Chip site in Beaver Cove, where planning is underway to support new value-added uses that strengthen the forest sector, advance a circular economy, and create opportunities for Indigenous-led economic development. (Image by ‘Namgis Business Development Corp)
Overview
The facility’s closure comes as result of broader structural changes in BC’s forest sector, most notable the shutdown of the Domtar Crofton pulp mill. These shifts significantly reduced demand for coastal residual fibre, ultimately rendering the existing business model unsustainable.
Despite this challenge, Atli Chip retains valuable assets, including a fully permitted industrial site, established fibre-handling infrastructure, and access to coastal residue fibre. Together, these strengths provide a solid foundation to explore diversified, value-added opportunities that align with regional economic development priorities and ʼNa̱mǥis economic development goals.
Through this Market Diversification Exploration Strategy, Atli Chip Limited Partnership will explore potential uses for the site and develop a preliminary business plan to support informed decision making and next steps.
The Trust is investing in this project through the Investment Readiness funding program, focusing on the Trust’s priority to develop Regenerative Forestry projects.
Project Details
Project Impact
The Trust invests in projects using a Wellbeing Impact Framework that looks beyond traditional economic metrics. This approach evaluates how each investment strengthens economic prosperity, cultural vitality, climate resilience, and social empowerment. By focusing on outcomes that matter to people and place, the Trust works to spur new investments that create meaningful, lasting benefits across Vancouver Island and the coast.
Economic Prosperity
Enabling the expansion of a major locally-owned business in Northern Vancouver Island
Forging four partnerships, including between First Nations and industry
Climate Resiliency
Processing and utilizing wood waste residuals to divert them from open burning prevents carbon emissions that would otherwise occur
Supporting healthier forest ecosystems by improving fibre efficiency and reducing waste
Safeguarding forest values by reducing pressure on primary timber resources
Cultural Vitality
Creating opportunities for youth learning and intergenerational knowledge transfer in evolving forest sector operations