Lumin to invest $136M in new plywood mill in Uruguay, expanding production capacity to nearly 500,000 m3

MELO, 9 February 2022 — Lumin, a leading timberland and forest products company, will invest ~US$ 136 million to build its third industrial plant in Uruguay, which is expected to create more than 300 jobs and significantly increase the country’s sustainable plywood production. The announcement was made this afternoon in Melo at an event attended by the President of Uruguay, Luis Lacalle Pou, the Mayor of Cerro Largo Department, José Yurramendi, and Lumin´s CEO, Álvaro Molinari.

Following approval by Lumin’s Board of Directors, which includes representatives of the BTG Pactual Timberland Investment Group (TIG) and British Columbia Investment Management Corporation (BCI), construction of the new plant will begin in the first quarter of 2023, with operations expected to commence the first quarter of 2026. The expansion is part of Lumin’s strategy to capitalize on the growing global demand for sustainable timber products for the construction and furniture sectors. All of Lumin’s 120,000 hectares of commercial forests are independently certified as meeting the global standards for responsible forest management of the FSC® (FSC-C162602).

This new investment complements investments of US$ 48 million made over the last two years into the company’s existing facilities, which includes the construction of a thin peel line and a new warehouse facility.

Álvaro Molinari, Lumin’s CEO, said: “Lumin currently employs 780 people and produces 304,000 cubic meters of plywood per year at its two existing plants in Tacuarembó. We expect this new plant to create 320 additional jobs and to expand Lumin’s production capacity to nearly 500,000 cubic meters. Based on current figures, this would make Uruguay the second largest producer of plywood in Latin America.”

The new plant aims to capitalize on tree farms that Lumin has been sustainably managing for more than 15 years in the departments of Cerro Largo and Treinta y Tres.

About Lumin
Lumin is a leader in forestry and forest products in Uruguay. With more than 25 years of experience, Lumin manages 120,000 hectares of timberland in Uruguay in the departments of Rivera, Tacuarembó, Cerro Largo and Treinta y Tres. Lumin is dedicated to the
sustainable production of plywood panels destined for international markets.

About BTG Pactual Timberland Investment Group
BTG Pactual (BPAC11) is the largest investment bank in Latin America, operating in the Investment Banking, Corporate Lending, Sales & Trading, Wealth Management and Asset Management markets. BTG Pactual Asset Management has an international presence with over US$ 100 billion in assets under management and administration. BTG Pactual Timberland Investment Group (TIG), a division of BTG Pactual Asset Management, is one of the world’s oldest and largest timberland investment managers with US$ 5.6 billion in assets and commitments and 3.0 million acres under management globally as of Q4 2022. TIG is focused on achieving compelling investment returns while also applying high standards of environmental and social governance. TIG has a 40+ year track record with over 100 professional staff members in 15 offices around the globe, bringing local, regional, and global experience to bear on the management of client investments.

About BCI
British Columbia Investment Management Corporation (BCI) is amongst the largest institutional investors in Canada with C$211.1 billion under management, as of March 31, Based in Victoria, British Columbia, with offices in Vancouver and New York City, BCI is invested in: fixed income and private debt; public and private equity; infrastructure and renewable resources; as well as real estate equity and real estate debt through our independently operated platform company QuadReal Property Group. With our global outlook, we seek investment opportunities that convert savings into productive capital that will meet our clients’ risk and return requirements over time. BCI’s infrastructure & renewable resources program (I&RR), valued at approximately C$20.2 billion, invests in tangible long-life assets in the Americas, Europe, and Asia Pacific, including a portfolio of direct investments in regulated utilities, energy, telecommunications, transportation, timberlands, and agri-businesses.

For more information, please visit