INDEPENDENT SUSTAINABLE FOREST MANAGEMENT AUDIT RELEASED

The results of the first independent sustainable forest management audit conducted under Saskatchewan's updated legislation were released today, marking a significant milestone for monitoring and reporting of forest practices in Saskatchewan.

Mistik Management Ltd. (Mistik), a Forest Management Agreement (FMA) holder based in Meadow Lake, had its performance assessed in a comprehensive audit conducted in 2004. The auditors, KPMG Performance Registrar Inc., found Mistik to be a progressive forest company in many respects. They also found areas where both the company and the government needed to improve.

"We accept all findings and recommendations made by the auditor," Environment Minister David Forbes said. "While there were many positive aspects identified in KPMG's very thorough report, there were also areas where we need to do better. We acknowledge this and, as a reflection of our shared commitment to improve our practices, are working with Mistik to make sure that all concerns are addressed."

The auditors found that Mistik was doing a commendable job in several areas, including implementing innovative and effective forest renewal practices, maintaining ecological values in undertaking its harvest activities, protecting scenic values, consulting with communities and maintaining a high level and equitable distribution of employment and economic benefits to local communities. KPMG also found areas needing improvement for both the company and the government, notably the development, approval and implementation of the 20-Year Forest Management Plan, and the implementation of harvest operations and road building and reclamation activities in the northern part of the licence area. Action plans have been developed and implemented in response to the issues identified. Detailed information is available online at: www.se.gov.sk.ca/forests under "Forest Management."

"It's important to note that Mistik's renewal and harvesting practices were noted by the auditor as strengths," Forbes said. "I am confident that the forest has been, and continues to be, sustainably managed."

Mistik Management Ltd. is jointly owned by NorSask Forest Products Inc. and Millar Western Pulp (Meadow Lake) Ltd. The company is responsible for sustainable forest management and harvesting activities on approximately 1.8 million hectares of boreal forest in northwest Saskatchewan.

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For More Information, Contact:

Al Willcocks Environment Prince Albert Phone: (306) 953-2486 Cell: (306) 961-7866