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Ilim Group Opens NSSC Pulp Mill in Russia

Sept. 23, 2009 - Russia's Ilim Group has officially opened its neutral sulfite semi-chemical pulp (NSSC) mill in Koryazhma, Arkhangelsk Oblast, Russia.

Construction of the new RUR 1.7 billion (approx. US $56.6 million) plant was a priority investment, Ilim said.

"Our new plant in Koryazhma is an example of our efficient cooperation with the local government. It is also the best NSSC plant in the world," said Paul Herbert, CEO of Ilim Group. "While working on this project, we were convinced that the plant must have only cutting-edge equipment. For us, the use of the advanced technologies means solid prospects of company development, reduction of the environmental impact, better working conditions and improved employee skills."

Iliya Mikhalchuk, Governor of the Arkhangelsk Oblast, said, "It is very significant that Ilim Group implements its technological upgrade and reform plans regardless of the recession, keeping its previously announced projects perfectly in line with the approved schedules. Softwood fiber is used in the NSSC manufacturing process. The Arkhangelsk Oblast has sufficient forest resources to provide the plant with wood and is willing to allocate additional timberland to the company."

The new pulp mill has an annual capacity of 310,000 tons per year, or 900 tons per day.

Ilim said the plant allows it to reduce costs associated with containerboard production, while raising production output by more than 40,000 tons per year.

In a written statement, Ilim said the implementation of this project is an important step towards development of the core production and the infrastructure at the Koryazhma Branch of Ilim Group. The startup of the new NSSC pulp plant increases the availability of high quality fiber used in the manufacture of containerboards, while at same time consuming less wood per ton of pulp then conventional pulping.

The plant also utilizes the latest environmental technology enabling it to reduce discharges by 15-20%.

SOURCE: Ilim Group




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