Cost analysis of Weyerhaeuser’s Pembina Timberlands log haul

Abstract

This thesis compares the log truck configurations currently used to haul roundwood on the Pembina Forest Management Area located in west central Alberta. Weyerhaeuser is the licensee and employs six stump to dump contractors currently operating a fleet of 90 trucks. After processing occurs at landings 8 foot to 20 foot logs are delivered to its Edson and Drayton Valley mills using a multitude of truck configurations that have been stratified into the following 6 configuration groups. These are the 10 axle B-train, 9 axle B-train, 8 axle B-train, 8 axle quad, 8 axle jeep-tridem and the 7 axle tri-tri. These configurations have varying payload, purchase price, parts and repairs, fuel consumption and additional costs such as tires. This study determined the most cost-effective truck configuration to be the 10 axle King B which had an hourly operating cost of $151.45/hour and the lowest operational cost per tonne/hour of $2.79 hauling softwood to Drayton Valley and $2.98 hauling hardwood to Edson. A potential savings of $3,950,669 annually was determined if the implementation of the most cost effective trucking fleet was accomplished. Further insight is provided into potential barriers and room for improvement within the Pembina log haul.