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SCA to Spend SEK 800 Million on Pulp Project in Sweden

Sept. 14, 2007 - SCA said that it will spend SEK 800 million to expand production of mechanical pulp at its Ortviken paper mill in Sweden.

"Through our just established joint venture with Statkraft, we have now secured long term supply of electricity at a very competitive price and allows for this investment, " said Kenneth Eriksson, president of SCA Forest Products.

"Since our most recent paper machine went into operation in 1995 we have increased production by almost 50% through fine tuning and investments to eliminate bottlenecks. We have now reached a level where pulp production is restricting the mill's continued development," Eriksson said.

New, high capacity refiners are the major items included in the expansion project, SCA said.

Work will start immediately, and the project is scheduled for completion by spring 2009, SCA added

SCA Forest Products produces publication papers for newspapers, magazines and catalogues, pulp, solid-wood products and forest-based biofuels.

SOURCE: SCA Forest Products




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