PULP MILLS UPDATE

 

July/August 2011

 

McIlvaine Company

 

 

The Forecast chapter of the Pulp Mills Analysis and Forecast has been updated with tables of worldwide production statistics by country for pulp and recovered paper, reports from the Forestry division of the FAO, and the Global Forestry Survey by PriceWaterhouseCoopers.  In addition, a report on India has been added to the Plant Database chapter.

 

 

TABLE OF CONTENTS

 

INDUSTRY NEWS

Paper Packaging Produced In Canada Nears 80% Recycled Content

Celluforce to be Producing Nanocrystalline Cellulose by 2012

Lignol Partners With Fpinnovations for Cellulose Development

Ontario Research Partners Focus on Chemicals from Poplar

AMERICAS

ITT to Supply World’s Largest Ozone Bleaching Capacity for Brazilian Pulp Mill

Uruguay’s Second Pulp Project Receives 200 Million Loan from IDB

ABB to Buy Lorentzen & Wettre to Strengthen Pulp and Paper Business

AbitibiBowater Shows Improved Results in Q2

Abitibibowater Fort Frances Secures Fibre Supply

Prince Albert Pulp Plans to Open September 2012

Canfor Chooses Metso Vision System for Three B.C. Pulp Mills

Canfor Pulp Invests $10 Million in Pulp Quality Monitoring, Innovation Centre

Rocktenn Buys Smurfit-Stone Container, Including Canadian Mills

Weyerhaeuser Completes Sale of Hardwoods Business

ASIA

Emami Paper Planning Expansions

Siemens Equips Chinese Paper Board Greenfield Mill

EUROPE

Sweco Wins Major Order in Poland

SCA Injects £15 Million into UK Tissue Mill

Weyerhaeuser Starts Construction of its First European Production Facility in Gdańsk

 

INDUSTRY NEWS

 

Paper Packaging Produced In Canada Nears 80% Recycled Content

The average recycled content of paper packaging produced by Canadian mills for use in Canada has jumped to 77%, according to PPEC (Paper & Paperboard Packaging Environmental Council).

 

"This is a very impressive result," states PPEC executive director John Mullinder. "The average has increased by 30% over the past 20 years and we're very proud of it.

 

"But we also have to understand that recycled content is only one part of paper's life cycle and that the packaging material produced in Canada is only half of what Canadians actually use, the balance being imported as raw materials or converted boxes, bags or cartons. We have no control over the composition of imported board."

 

According to Mullinder, the Canadian industry is heavily weighted to recycled content, adding that of the 30 mill sites capable of producing packaging grades in 2010, almost two-thirds produced 100% recycled content, with the balance using a blend of recycled and virgin, or 100% virgin material.

 

Domestic shipments of containerboard used to make corrugated boxes averaged 82% recycled content in 2010 while the lighter boxboard carton averaged 77% recycled content.

 

Celluforce to be Producing Nanocrystalline Cellulose by 2012

The nanocellulose joint venture of Domtar and FPInnovations will be named CelluForce, the partners announced in early June. Construction of the NCC production facility is underway at Domtar's Windsor, Que., pulp and paper mill, and will be completed in the fourth quarter of this year. The companies expect to be producing NCC in January 2012.

 

The joint venture, launched last year, will be led by Jean Moreau, a former vice-president finance with Domtar. CelluForce already has about 30 employees, and a headquarters in Montreal.

"The name CelluForce reminds us that one of the main characteristics of the nanocrystalline cellulose is the great strength it provides to the materials to which it is added, but the name also represents the strength of our relationships with our shareholders, our partners and out customers, which is one of the company's core values," explains Moreau.

 

He notes that the new venture differs from traditional pulp and paper products because the end product will be marketed as a chemical. "The input is pulp, the output is NCC, which is a specialty chemical ingredient."

 

Lignol Partners With Fpinnovations for Cellulose Development

Canadian cleantech company Lignol Energy Corp. has signed a five-year agreement to develop cellulose-based materials with FPInnovations.

 

FPInnovations is a forest products research institute with labs in Québec City, Montréal, Thunder Bay and Vancouver.

 

Under the new joint development and commercialization agreement, FPInnovations will advance new applications for the cellulose that Lignol produces through its biorefining process.

 

"We'll be doing the primary processing at our facility in B.C. and then working with FPInovations in their various labs throughout country to develop higher value applications for cellulose," says Lignol president Ross MacLachlan.

 

Those applications could include biofuels, sugar platform chemicals, and cellulose-based materials in sectors such as textiles, paper and food products.

 

The financial details of the agreement are not being disclosed, but MacLachlan says the deal involves a series of projects and also includes funding from government and additional partners.

The goal will be to develop new products and market opportunities.

 

FPInnovations has already developed two commercial wood composite applications using Lignol's lignin formulations. "It's becoming increasingly important to have more than one product in your mix," says MacLachlan.

 

That's especially true for the forest products sector. "Over the years, we've seen people live and die by pulp prices. When they're off, the whole industry is in a mess," he comments.

 

Diversification into areas ranging from biochemicals to biotechnologies can cushion companies in market ups and downs. "We're just on the cusp of these new technologies coming to market," MacLachlan says.

 

Ontario Research Partners Focus on Chemicals from Poplar

CRIBE is providing $3 million for an innovative partnership between Lakehead University's Biorefining Research Initiative (LU) and G2 BioChem in Chatham, Ont.

 

G2 BioChem's facility is the only one in the province that will allow the complete breakdown of wood fibre outside of a laboratory environment. This unique opportunity will allow the Thunder Bay university to be at the forefront of new uses for forest biomass.

 

G2 BioChem's main focus will be on design and development of biorefinery processes, using its new $42M demonstration plant at its Center of Excellence in Chatham. Meanwhile, LU will focus on the development of value-added chemicals from the process. Using poplar, an underutilized species, G2 BioChem will develop ways to recover hemicellulose, lignin, and bark extracts. Lakehead will in turn look to developing new value-added uses from these products, such as adhesives, biochemicals, and biopharmaceuticals.

 

CRIBE, the Centre for Research and Innovation in the Bio-Economy, is an independent, not-for-profit research corporation with a mandate to transform the forest products industry in Northern Ontario, and $25 million from the provincial government to invest.

 

Of the total $3 million in funding for this project, CRIBE is providing $2 million to G2 BioChem in Chatham and $894,500 to Lakehead University. CRIBE's participation in this project will give access to the full research facility and industrial expertise at Chatham to LU researchers, students and CRIBE members. Results from work at the demonstration plant will be used by CRIBE, its clients in Northern Ontario, and LU researchers to develop local projects that will generate revenue and bring new jobs to northern communities.

 

In addition, CRIBE is also providing $150,000 to the biochar/biomass recovery project at Lakehead University. LU is partnering with Ontario Power Generation and AbitibiBowater to study possible applications for the waste "wood ash" or biochar products left over after using forest biomass to create energy, specifically as an additive to agricultural soil. This will generate cost-savings for the producers by diverting waste from landfill as well as providing a safe, low cost soil amendment for local farmers.

 

"I am happy to see the work of CRIBE moving forward to find ways to build new economic activity from our sustainable wood fibre," said Bill Mauro, MPP Thunder Bay-Atitkokan. "This innovative approach taken by our government will most certainly lead to new jobs and investment in Northwestern Ontario to the benefit of us all."

 

"We are most grateful to CRIBE for their generous contribution to G2 BioChem's demonstration plant. This contribution will go a long way to unlocking the future of next generation ethanol," said Barry Wortzman, president of G2BioChem and vice-president, business development, GreenField Ethanol. "G2 BioChem's technology optimizes next-generation ethanol yields using all available sugars."

 

G2 BioChem will commence construction of its cellulose demonstration plant in 2011.

 

AMERICAS

 

ITT to Supply World’s Largest Ozone Bleaching Capacity for Brazilian Pulp Mill

ITT Corporation has been awarded a $9.2 million contract to deliver ozone systems for an expansion of the Fibria pulp and paper mill in Jacarei, Brazil. As part of the world’s largest ozone production facility, the pulp bleaching line will be equipped exclusively with ITT’s WEDECO® ozone systems.

 

The mill in São Paulo state has a production capacity of 1.1 million tons of bleached pulp per year, of which 91 percent is exported. With the expansion, the plant will increase production by more than 15 percent. The upgrade also increases total ozone production capacity by 50 percent to 750 kg per hour of ozone (18 tons per day), with up to 1 ton of ozone per hour during peak periods.

 

“We are particularly proud about the ongoing satisfaction and trust of our customers and ITT's selection for the Fibria paper mill upgrade project that's now operated solely with WEDECO equipment for its ozone production,” says Joachim Sigg, general manager at ITT's WEDECO business in Herford, Germany.

 

The ozone is used at the Fibria pulp mill for the bleaching of 3,600 tons per day of eucalyptus pulp, feeding two separate fiber production lines. Each line is using specialized ozone mixing systems for high and medium pulp consistencies. In 2005, the mill became the first plant in the world to produce 1 million tons a year of bleached pulp with one single digester. It's also self-sufficient in electricity, with more than 80 percent provided from renewable natural resources.

 

“With our long experience in pulp bleaching applications, high efficiency and long-lasting equipment, including performance guarantees, our customers recognize us as reference solution provider,” says Franz-Josef Richardt, manager of ozone sales support for WEDECO products and a specialist for pulp bleaching applications. “With this project, we again will meet those expectations by providing the best performance with regard to investment and operating costs, environmental performance, and process efficiency.”

 

On January 12, 2011, ITT Corporation announced its intention to spin off its Water and Defense businesses into separate publicly traded companies prior to the end of this year. The new water company, to be called Xylem, will be a global leading provider of products and technologies for water and wastewater; residential and commercial water; analytical instrumentation and flow control and do business in more than 150 countries.

 

Uruguay’s Second Pulp Project Receives 200 Million Loan from IDB

The Inter-American Development Bank (IDB) approved a 200 million dollars loan for Uruguay’s second major pulp mill investment, Celulosa y Energía Punta Pereira S.A. and Zona Franca Punta Pereira S.A., belonging to the Montes del Plata Group.

 

Punta Pereira on the River Plate where the new pulp mill is under construction

 

The loan will help finance the construction and operation of a mill to produce pulp from eucalyptus wood. In addition, the IDB expects to raise 250 million dollars more in financing from commercial banks.

 

Monte del Plata has a strategic importance for the development and positioning of Uruguay’s forest products sector. At approximately 2 billion dollars, it is the biggest industrial private sector-led investment in Uruguay’s history.

 

The plant will produce 1.3 million tons of pulp per year, and it will have a 160-megawatt biomass-based power generation unit. Additional infrastructure includes a river port terminal and barge terminals with yards for wood storage, as well as a wood chip plant.

 

These facilities are being built in a free trade zone in Punta Pereira, 190 kilometers west of Montevideo, specifically granted for the investment. The eucalyptus plantations that will feed the mill are located in various areas of Uruguay.

 

“This undertaking will add value to renewable forest assets by producing pulp and power in accordance with high environmental and social standards. It will have considerable impact on Uruguay’s GDP and balance of payments, create a significant number of jobs and promote sustainable practices,” said IDB project team leader Martin Duhart.

 

The mill’s power unit – the largest biomass generator in Uruguay – will cover the plant’s electricity needs and supply additional energy to the Uruguayan power grid through an agreement with the state-owned electricity utility, UTE.

 

Once on stream, Montes del Plata is expected to contribute about 750 million dollars per year to the country’s GDP, with exports reaching 700 million. The project should create some 5,800 direct and indirect jobs during the construction phase and 5,350 direct and indirect jobs during operations.

 

The project is consistent with the country strategy the IDB has agreed with Uruguay for 2010–2015 as it supports the sustainable use of natural resources associated with agro-industry, forestry, and the adoption of technology in agro-industry, designed primarily for export purposes.

 

The 200 million dollars loan is for 12 years, with a 3-year grace period and payments spread over 9 years.

 

Montes del Plata, a joint-venture of Celulosa Arauco y Constitución of Chile and Stora Enso of Finland, comprises Celulosa y Energía Punta Pereira, S.A.; Zona Franca Punta Pereira, S.A.; Eufores S.A.; Forestal Cono Sur S.A.; Stora Enso Uruguay S.A.; El Esparragal Asociación Agraria de Responsabilidad Limitada; and Terminal Logística e Industrial M’Bopicuá S.A.

 

Celulosa y Energía Punta Pereira S.A. and Zona Franca Punta Pereira S.A. will develop the pulp mill plant and the infrastructure related to the free trade zone, respectively. The other companies in the group will carry out forestry and logistics operations.

 

ABB to Buy Lorentzen & Wettre to Strengthen Pulp and Paper Business

ABB will buy Lorentzen & Wettre from ASSA ABLOY AB for approximately US$119 million to strengthen its business in the pulp and paper area. The company will be incorporated into ABB's process automation division.

 

Based in Sweden, Lorentzen & Wettre manufactures equipment for quality control, process optimization, and test instrumentation for the pulp and paper industry. It has production facilities in Sweden and Finland, and sales and service offices across Europe and in Canada, the U.S., China, Japan, and Singapore. The company has approximately 190 employees.

 

"This is an excellent strategic fit as Lorentzen & Wettre's products and services will enable us to address the broad spectrum of pulp and paper production challenges," said Veli-Matti Reinikkala, head of ABB's Process Automation division.

 

Founded in 1895, Lorentzen & Wettre has technology that contributes to improving paper quality, reducing manufacturing costs, and cutting the consumption of raw materials and energy. The company's offering includes automated fibre and pulp analysis devices, consistency transmitters, moisture sensors, laboratory paper testing instruments, automated paper testing systems, and industry specific services.

 

The transaction is subject to customary regulatory approvals. ABB expects the acquisition to be completed during the second half of the year.

 

AbitibiBowater Shows Improved Results in Q2

AbitibiBowater Inc. today reported net income for the second quarter of 2011 of US$61 million on sales of US$1.2 billion. These results compare with a net loss of US$297 million on sales of US$1.2 billion for the second quarter of 2010.

 

"Our pricing for our pulp and paper products improved in the second quarter, and we completed our major annual maintenance at all our kraft pulp facilities," said Richard Garneau, president and CEO. "Although overall economic indicators are weak, I believe our focus on cost and debt reduction should yield improved financial results in the second half of the year."

 

The newsprint segment had operating income of US$26 million for the second quarter of 2011, an increase of US$7 million from the first quarter operating income of US$19 million. The company's average transaction price increased US$9/tonne compared to the first quarter of 2011.

 

Average operating costs were equivalent to the first quarter, primarily as a result of a US$9 million energy benefit that was booked in the quarter relating to prior quarters for the implementation of an Ontario power program, offset by a stronger Canadian dollar and higher recycled fibre costs.

Total newsprint shipments were 41,000 tonnes higher in the second quarter compared to the first quarter. The downtime and roof damage that occurred in February at the Clermont, Que., facility reduced production by approximately 31,000 tonnes during the quarter. The machine restarted in June and is performing well.

 

Operating income for coated papers for the second quarter was $23 million compared to operating income of US$3 million in the first quarter.

 

For the second quarter, the specialty papers segment had operating income of US$11 million compared to breakeven in the first quarter. The company's average transaction price increased US$26 per short ton, however AbitibiBowater curtailed 26,000 tons of production due to weak demand.

 

Operating income for market pulp was US$14 million in the second quarter of 2011 compared to operating income of US$23 million in the first quarter. The average market pulp transaction price increased US$32 from the first quarter. Average operating costs increased US$64/tonne compared to the first quarter as a result of kraft mill maintenance outages at the Thunder Bay, Calhoun and Coosa Pines facilities and the stronger Canadian dollar, partially offset by a US$2 million energy benefit.

"We remain cautious about the economy and the impact it could have on advertising and, in turn, paper demand," said Garneau. "We expect pulp pricing to be weaker but still expect pricing to stabilize later in the year."

 

Abitibibowater Fort Frances Secures Fibre Supply

AbiBow Canada Inc. has received an additional wood allocation from the province of Ontario that will allow the mill to increase pulp and paper production to previous levels and generate power at the mill.

 

"This new wood supply allocation is crucial for the future of our Fort Frances operations, and is an important element as we build a sustainable future for this facility," said Roger Barber, general manager for forestry and fibre resources for Ontario and Atlantic Canada, AbitibiBowater.

 

The new wood supply consists of  317,500 cubic metres per year of merchantable and unmerchantable spruce, pine, fir, white birch and poplar.

 

Barber told a local radio station, B93 FM, that the wood supply includes merchantable softwood fibre for the pulp and paper facility as well as unmerchantable fibre that will become biomass as a feed stock for our biomass boiler. Barber said the supply provides the mill with more long term security and a better fibre cost structure.

 

Prince Albert Pulp Plans to Open September 2012

A pulp mill in Prince Albert, Sask., that was shuttered in 2006 is expected to begin producing dissolving pulp September 2012. The mill was purchased by Paper Excellence in March, and will operate as Prince Albert Pulp Inc.

 

Paper Excellence's vice president Ed Roste told CTV Saskatchewan it's taking the company longer than planned to get the new equipment. "The delivery time on the equipment is pretty long because it's made in western Canada and all the fabricating shops are pretty busy, so we find that the schedule has slipped a couple months already."

 

CTV reports that Paper Excellence is also in preliminary talks with SACAW, the group that controls the allocation of wood in the area. The company says this group has nine different shareholders that they have to negotiate with.

 

"We have to develop more commercial relationships with all the shareholders in order to secure fiber for the mill. That's a large process that will take place over the next 12 to 16 months," says Roste.

 

Once operational, the mill will employ 250 people. There are now 20 employees at the mill.

 

Canfor Chooses Metso Vision System for Three B.C. Pulp Mills

Metso will supply its advanced process and quality vision system, Metso PQV, to three of Canfor Pulp Limited Partnership's pulp mills in British Columbia. The new Metso PQV systems will replace an existing off-line dirt count analysis system. Through faster, more accurate, and more efficient detection of defects in the produced pulp, it is expected the mills will improve quality control.

 

"Implementation of the Metso PQV across all four of our fibre lines confirms our commitment to constantly improve our quality to Canfor Pulp's global customers," stated Joe Nemeth, president and CEO of Canfor Pulp LP.

 

Metso PQV uses advanced high-resolution, high-speed digital imaging technology, and integrates web quality inspection and web break analysis capabilities. The project for Canfor Pulp includes a dirt count application for full web-length pulp quality analysis.

 

According to Metso, this system incorporates high intensity LED-illumination and transmission imaging to analyze the on-line dirt count of the pulp according to TAPPI's statistical dirt count index, significantly improving the dirt count measurement accuracy.

 

The new systems were delivered in March 2011 and will be fully operational in the fall. Total value of the delivery is EUR 1.3 million (about C$1.8 million).

 

With an annual production capacity of 1.2 million tons of premium NBSK, Canfor Pulp is the third largest producer of northern softwood kraft pulp in the world.

 

Canfor Pulp Invests $10 Million in Pulp Quality Monitoring, Innovation Centre

Canfor Pulp has announced three major new investments related to innovation in pulp production: installation of advanced pulp quality monitoring systems at three B.C. mills, an in-house innovation lab, and support for research activities at two British Columbia universities.

Joe Nemeth, president and CEO of Canfor Pulp Products Inc., which owns 49.8% of Canfor Pulp Limited Partnership (CPLP), announced $10-million in investments at a ceremony opening the new Canfor Pulp Innovation Centre in Burnaby, B.C.

 

CPLP is the largest producer of market kraft pulp in British Columbia, and the third largest in the world.

 

Nemeth stated that innovation "is the cornerstone of globally successful companies. This major investment of more than $10 million is aimed at securing our future as a global leader in pulp."

The Canfor Pulp Innovation Centre will have an annual operating budget of $2 million, a 6,400 sq. ft. laboratory, and a staff of nine. Key equipment items in the centre are a pilot refiner for simulating paper mill treatment of pulps, and extensive, advanced technical instruments for testing pulp and paper.

 

Another initiative is a set of partnerships with government in collaboration with equipment suppliers to implement advanced sensing technology in all three of CPLP's Prince George mills. CPLP's investment of $8 million in these technologies will include the Metso Quality Vision System, the Eurocon PulpEye and two sensors developed by FPInnovations in Vancouver. The FPInnovations sensors consist of a patented fibre wall thickness measurement sensor and a specialized wood chip sensor.

 

This comprehensive initiative in sensing technology is supported by matching funding of $2.4 million from Natural Resources Canada and $2.1 million from the BC Ministry of Forests, Mines and Lands. It will provide CPLP with unique capabilities for monitoring the quality of its fibres on-line and thereby provide information to adjust operations and maximize pulp value recovery from the sawmill-produced wood chips it uses.

 

Complementing CPLP's in-house research, Nemeth also announced the company's commitment to a new research grant program: a collaboration between CPLP and the University of British Columbia and the University of Northern British Columbia. The program will provide a total of $225,000 over the next three years to university faculty for novel research projects in areas relevant to CPLP's mandate.

 

Rocktenn Buys Smurfit-Stone Container, Including Canadian Mills

RockTenn, a Georgia-based manufacturer of corrugated and consumer packaging, completed its acquisition of Smurfit-Stone Container Corp. in late May and immediately moved to close three U.S. facilities.

 

Three former Smurfit-Stone corrugated container plants will be closed in the fourth quarter of fiscal year 2011. The plants are located in Birmingham, Ala., Jonesboro, Ark., and Santa Fe Springs, Calif. Existing business will be transitioned to nearby RockTenn facilities.

 

"This action is a necessary first step in realigning the box plant system of RockTenn following the acquisition of Smurfit-Stone. We plan to take many actions in the next year to maximize the efficiency of our manufacturing processes as well as to reduce costs and eliminate redundancies throughout our operations as we move forward to achieve the operating synergy that we anticipate from the Smurfit-Stone acquisition," stated Jim Rubright, chairman and CEO.

In Canada, Smurfit-Stone owns a linerboard mill in La Tuque, Que., a corrugating mill in Matane, Que. (temporarily shut down), and various converting facilities across the country. Smurfit-Stone emerged from bankruptcy protection about one year ago.

 

With the addition of Smurfit- Stone's facilities, RockTenn is now the second largest producer of containerboard and the second largest producer of coated recycled board in North America.

 

Weyerhaeuser Completes Sale of Hardwoods Business

Weyerhaeuser Company (NYSE: WY) today announced it has completed the sale of its hardwoods business to American Industrial Partners.

 

Total proceeds from the sale will be approximately $108 million.

 

Assets included in the transaction are located in Tuscumbia, Ala.; Elkhart, Ind.; Grand Rapids and Lewiston, Mich.; Brainerd, Minn.; Coos Bay, Eugene and Garibaldi, Ore.; Titusville, Pa.; Arlington, Centralia and Longview, Wash.; and Dorchester and Onalaska, Wis.

 

Weyerhaeuser Company, one of the world's largest forest products companies, began operations in 1900. We grow and harvest trees, build homes and make a range of forest products essential to everyday lives. We manage our timberland on a sustainable basis in compliance with internationally recognized forestry standards. At the end of 2010, we employed approximately 14,000 employees in 10 countries. We have customers worldwide and generated $6.6 billion in sales in 2010. Our stock trades on the New York Stock exchange under the symbol WY

 

ASIA

Emami Paper Planning Expansions

Emami Paper Mill has planned expansion projects for setting up 200,000 TPA Wood Based Integrated Pulp & Paper Mill project and 132,000 TPA Newsprint, and has obtained approval from State Level Single Window Clearance Authority of Govt. of Orissa and has also taken steps for environmental clearances from Pollution Control Board and Ministry of Environment & Forest.

 

Siemens Equips Chinese Paper Board Greenfield Mill

Shandong Bohui Paper Industry Co., Ltd., China, selected Siemens to provide drive technology for its new board paper mill at Dafeng, Yancheng city, in Jiangsu province, East China. The new mill is scheduled to produce 750,000 tons board paper per year based on wood pulp. With the new manufacturing base, Bohui Paper will become China’s biggest board paper mill. The project has a total volume of around 3.8 million euros and is scheduled for completion by end of 2012.

 

Shandong Bohui Paper Industry Co., Ltd is engaged in the research, development, manufacture, and sale of paper products and paper pulp in China. To increase the production capacity of high-end packaging boards the company is to build a new mill in Yancheng. Siemens will provide the motors for the new board paper machine and for two winder machines. They are supplied with power via power inverters and rectifiers of the type Sinamics S120. A Sipaper Drives Controller based on Simatic PCS7 is responsible for open-loop and closed-loop control of the machines.

 

The board paper mill will thus have a uniform operator control and visualization platform for all the drive and automation equipment. All together Siemens will install 205 motors, 207 drive loops, and automation and control systems. The company will also be responsible for the engineering and commissioning of the supplied equipment. The drive system application to be used is part of the Sipaper solution specially developed for the pulp and paper industry.

 

EUROPE

Sweco Wins Major Order in Poland

Sweco's industry consultants have signed a major contract from Stora Enso in connection to its investment in a new paper machine in Stora Enso Poland Ostro??ka Mill. The contract is worth approximately SEK 50 million.

 

Stora Enso is investing EUR 285 million in a new paper machine in order to increase the production of paper for corrugated packaging products at the pulp and paper mill in north western Poland. Recycled fibres will be used as raw materials in the new paper machine that will have an annual capacity of about 455 000 tonnes.

 

"We are pleased to have received this contract and that Stora Enso has chosen us in order to increase production capacity at the Ostro??ka Mill. This is also a sign that the market is beginning to turn upwards again after a long period of low industrial investments, particularly in the European based pulp and paper industry. This is the second major contract we have signed in a short time," says Kari Harsunen, President of Sweco Industry.

 

The scope of the work includes process, layout, piping, electrical, automation, HVAC and fire protection engineering and will be mainly executed by Sweco Industry in Finland but also partly by local sub engineering companies in Poland. The overall implementation of the project will take about two years.

 

Sweco is an international consulting group with combined expertise in consulting engineering, environmental technology and architecture. Sweco has around 6,000 employees in 11 countries and recorded annual sales of approximately SEK 5.3 billion in 2010. The company has projects currently underway in some 80 countries worldwide. Sweco is listed on NASDAQ OMX Stockholm AB.

 

SCA Injects £15 Million into UK Tissue Mill

SCA has invested £15 million in new state-of-the-art equipment at its Tyne Valley production site.

 

The move will inject vital funding into the local economy while securing jobs and creating new employment.

 

The £15 million has been used to fund two separate projects. The first is a new production line that enables SCA to produce Tork zigzag-fold towels in the UK for the first time. This will significantly cut down on transport emissions when delivering Tork zigzag-fold towels to UK customers - a move that will result in major carbon footprint reductions throughout the supply chain.

 

The second project concerns a new de-inking plant which will increase the capacity of recycled tissue fibre in the UK. Tony Richards, factory and site manager at Prudhoe, said: “This project is the latest in a long line of key investments designed to improve efficiency to ensure that we remain on a path towards achieving a long-term, sustainable future for the mill.

 

“This will in turn help to provide new employment and keep existing jobs safe while providing support for the local economy.” The well-known Triple Velvet and Asda Shades brands of toilet tissue are manufactured at Prudhoe mill.

 

Kevin Starr, SCA sales director UK and Ireland, said: “Our new de-inking plant will increase the amount of recycled fibre being produced in this country. Meanwhile, our new manufacturing facility will help to reduce the carbon footprint involved with supplying Tork zigzag towels to customers. This underpins our recently-launched ‘A sustainable choice is in your hands’ campaign.”

 

Prudhoe mill has a range of accreditations including ISO 14001, ISO 9001, FSC and BRC. In 2008 the mill won an Environmental Management Award at the North East Business Awards competition.

 

Weyerhaeuser Starts Construction of its First European Production Facility in Gdańsk

 On 2 August 2011, the ceremony of laying a foundation stone for the construction of a new modified fibres processing facility took place in the premises of Weyerhaeuser Poland Company located at the MASZYNOWA Industrial and Technology Park. The foundation act of commencing construction works was signed in the presence of the representatives of US Embassy, Gdańsk authorities, the representatives of the Pomeranian Special Economic Zone, and guests. The construction site was consecrated by His Eminence Senior Archbishop Tadeusz Gocłowski.

 

The Plant in Gdańsk Kokoszki is the first European investment of the company and the most modern object of this kind in the world. The Weyerhaeuser Company, which was founded in 1900, is a world leader among timber processing companies. It operates in 10 countries and employs over 14,900 employees, mainly in the USA and Canada. Its innovative solutions concerning the use of modified fibres are applied in the production of everyday use hygienic articles. The company was running social actions since 1948 via the Weyerhaeuser Company Foundation, now renamed Weyerhaeuser Giving Fund.

 

 

 

 

McIlvaine Company

Northfield, IL 60093-2743

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