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Seeley Lake Could See Revival of Wood Products Industry with New State Loan Program

Missoula, MT — A recently passed Montana law from the 2025 legislative session may pave the way for the reopening of a wood products facility in Seeley Lake by providing up to $6 million in low-interest loans to potential developers.

The initiative aims to encourage investment in new or restarted wood product mills, with Seeley Lake’s former Pyramid Mountain Lumber site emerging as a prime candidate. Todd Johnson, owner of the now-closed Pyramid Mountain Lumber, expressed optimism about the prospects the new legislation creates.

“The likelihood of someone coming here is promising,” Johnson said. “There’s opportunity at other mills, but this site’s ability to source timber locally makes it very attractive.”

Pyramid Mountain Lumber ceased operations in March 2024, citing economic challenges, including declining lumber prices and a shortage of labor necessary to sustain profitable production levels. Johnson explained that labor shortages significantly affected the facility’s output.

“Our mill was 75 years old and spread out over several buildings, requiring many workers,” he said. “Newer mills are highly automated and streamlined, allowing fewer employees to produce two to three times more.”

Johnson emphasized that a modern mill on the site could leverage advanced technology to overcome previous labor challenges. Additionally, the existing infrastructure—such as power and water supply—already in place at the former mill property would reduce startup costs for any potential buyer.

Montana Representative John Fitzpatrick, a Republican from Anaconda and sponsor of the law, stated that the funding is intended to be part of a broader financing package, or “capital stack,” to help developers secure necessary resources to reopen or establish wood product facilities.

Despite current labor shortages in Seeley Lake, Johnson noted some former employees might be willing to return if offered competitive benefits, further supporting the potential for a successful reopening.

With increased efficiency and reduced labor needs, a new wood products facility could revitalize the local economy and preserve Seeley Lake’s historic connection to the timber industry.

Written by Denise Malone

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