Inverness-based Norbord (www.norbord.co.uk), a wood panel manufacturer, is making significant progress at its Dalcross factory, following a further £35 million investment earlier this year.

This second investment at the site, after a £110 million expansion programme last year, will see the construction of a second wood debarker and flaker, a heat plant and a dryer at the Morayhill mill, boosting production capacity.

Set for completion in 2021, the development will allow the mill to meet increased demand for oriented strand board (OSB) in the UK and Europe.

Norbord Europe managing director Alan McMeekin said: “The plan was always to invest further, and we are pleased that the very successful start-up has enabled us to enhance the facility earlier than we originally anticipated.

"This £35 million investment will increase capacity and deliver an increased level of support to our strategic customer base, further underlining Norbord’s status as the world’s number-one OSB producer.”

General manager Stuart Hendry said: “This investment showcases our commitment to our Inverness workforce and supply chain, as well as the significant growth potential there is within the European OSB industry.”