Exhibit 10.7.3





Exhibit 10.7.3




PORTIONS OF THIS EXHIBIT DENOTED WITH THREE ASTERISKS (***) HAVE BEEN

OMITTED AND WILL BE SUBJECT TO A REQUEST FOR CONFIDENTIAL TREATMENT

WITH THE SECURITIES AND EXCHANGE COMMISSION.




[LETTERHEAD OF NORSKE SKOG CANADA LIMITED]




February 1, 2005




Western Forest Products Inc.

3rd Floor, 435 Trunk Road

Duncan, British Columbia

V9L 2P9




	 	 	 
	Attention:

	 	Mr. John Dalton
	 

	 	General Manager, Log Supply






Dear John:



Supply Arrangements for Chips, Sawdust, Hog Fuel and Sawlogs




We are writing to confirm the correction we discussed to the Schedule of Revised Terms attached to
our letter of December 2, 2002 to Doman Forest Products Ltd. regarding changes to the Chip and
Sawlog Supply Agreement dated September 8, 1980 originally between British Columbia Forest Products
Limited and Doman Industries Limited now between NorskeCanada and Western Forest Products Inc.



We confirm that the December 2, 2002 letter is amended by replacing the Schedule of Revised Terms
attached to that letter with the Schedule of Revised Terms attached to this letter. The only
changes are to the fifth bullet point under the heading “Chip and Sawlog Agreement”, the third
bullet point under the heading “Hog Fuel Supply Agreement”, deletion of references to the Chemainus
mill and replacing references to Doman with Western. The Chip and Sawlog Agreement and the Hog
Fuel Supply Agreement as amended by the December 2, 2002 letter and this letter remain in effect.



Please confirm your agreement with the above by signing and returning the enclosed copy of this
letter to us.



Yours very truly,




Brian Nordman

Vice-President, Fibre Supply



Confirmed and agreed this                      day of February, 2005




	 	 	 	 	 
	WESTERN FOREST PRODUCTS INC.	 	 
	 
	 	 	 	 
	Per:
	 	 	 	 
	 

	 	 

	 	 






 


 









 





SCHEDULE OF REVISED TERMS




Chip and Sawlog Agreement





	•	 	Annual commitment of Chips sold to Norske by Western to be varied for the 1st year
following the effective date of the CCAA arrangement (“Effective Date”) to (***) Volumetric
Units in first four months, (***) in the next four months and (***) in the last four months.
The annual commitment for years 2, 3 and 4 after the Effective Date will be (***) Volumetric
Units and for the balance of the term will be (***) Volumetric Units per year






	•	 	Term extended so that the agreement expires 10 years from the Effective Date






	•	 	All Chips produced at Western’s Ladysmith, Cowichan Bay and Western Lumber sawmills
(Saltair and Nanaimo) will be delivered to Norske. Norske will deliver back to Western the
volume of Chips in excess of the annual commitment.






	•	 	Norske will arrange for Western to be offered (***) cubic metres of Sawlogs for every
Volumetric Unit of Chips purchased by Norske under the Agreement up to the annual commitment
volume






	•	 	Norske will also have the first right to purchase all other Chips produced by Western’s
Ladysmith, Cowichan Bay, Duke Point, Vancouver and Western Lumber (Saltair and Nanaimo) mills
that are surplus to the needs of the Woodfibre Pulp Mill






	•	 	Other terms and conditions, including pricing, quality, and delivery arrangements remain in
effect





Sawdust Agreement





	•	 	Term extended so that the agreement expires 10 years from the Effective Date. Cancellation
by either party on 12 months notice shall not apply until after the second last year of the
term.






	•	 	Western will sell all Sawdust (except red cedar) produced at all of its sawmill facilities
in coastal British Columbia, including Ladysmith, Cowichan Bay, Duke Point, Vancouver and
Western Lumber facilities (currently Saltair and Nanaimo)






	•	 	Cedar sawdust will be purchased at Norske’s option for use in the sawdust process






	•	 	Other terms and conditions, including pricing, quality and delivery arrangements remain in
effect





Hog Fuel Supply Agreement





	•	 	Term extended so that the agreement expires 10 years from the Effective Date. Cancellation
by either party on 12 months notice shall not apply until after the second last year of the
term.






	•	 	Hog Fuel produced at the mills referenced under the heading Chip and Sawlog Agreement will
be delivered to Norske’s Crofton mill or other mills as directed by Norske






	•	 	Norske will have the first right to purchase all other Hog Fuel produced by Western’s Duke
Point mill and merchandiser and Vancouver mill that are surplus to the needs of the Woodfibre
Pulp Mill






	•	 	All other terms and conditions of the existing Hog Fuel supply arrangement between Norske
and Western, including pricing, quality and delivery arrangements will apply





Pulplog Supply Arrangement




During the term of the Chip and Sawlog Agreement, Norske will offer Western on a first rights basis
any surplus pulplogs Norske is willing to offer to sell for cash to any potential arms-length buyer


 


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