Canadian firm Norbord has announced plans to invest £95m at its wood panels plant in the Highlands.

It aims to double production at its base in Dalcross, near Inverness, to meet rising demand.

Highlands and Islands Enterprise has also offered an £11m grant towards the proposed expansion.

The factory produces "oriented strand boards" which are used in the construction industry.

Alex Paterson, chief executive of Highlands and Islands Enterprise said: "We have been working very closely with Norbord on their development plans and are delighted to be supporting the company to invest so substantially in its Highland base.

"This development will put Norbord’s Inverness plant on a sustainable footing for decades to come, and is a huge vote of confidence in the company’s Scottish workforce.

"It’s worth noting that the positive impact of today’s announcement will be felt well beyond Inverness and the Inner Moray Firth.

"Norbord is not only a significant local employer in its own right, it also plays an important strategic role in the region’s forestry sector and is a major user of haulage companies and port infrastructure."