Pledging to reinvest in the aging Kamloops, B.C., sawmill, Interfor has agreed to buy Weyerhaeuser Co.'s dimension lumber plant and timberlands.

Ian Fillinger, general manager of International Forest Products Corp.'s Canadian operations, said Tuesday the company has confidence in the future of markets and believes in the timber and workforce at the plant.

"Our plan is to significantly rebuild the mill with the goal of ensuring its long-term viability," said Fillinger, who is based in Kamloops.

That pledge was greeted with relief by the union that represents hundreds of sawmill workers.

"We're encouraged by the announcement a company wants to invest in the community and maintain employment," said Marty Gibbons, president of United Steelworkers Local 1-417.

Harvesting rights for Weyerhaeuser's Kamloops timberlands equal 700,000 cubic metres a year.

Interfor announced earlier this year it would invest $100 million at Adams Lake to modernize that operation, building a new mill alongside the existing plant designed to deal with beetle-killed timber.