PaperAge Magazine

Stora Enso to Make Organizational Changes in Its Paper Division Following Oulu Mill Grade Conversion in 2020

Stora Enso Oulu Mill Currently, Stora Enso's Oulu Mill has the annual capacity to produce 1,080,000 tonnes of woodfree coated papers and 360,000 tonnes of bleached softwood pulp.

Oct. 21, 2019 - Stora Enso today announced plans to make organizational changes in its Paper division following the company's decision to convert the Oulu paper mill in Finland into packaging production at the end of 2020.

The planned changes could result in a reduction of a maximum of 135 employees in the Paper division by the end of 2020.

In May of this year, Stora Enso announced its plan to convert the Oulu mill's production from woodfree coated paper to kraftliner for packaging grades. With an investment of approximately EUR 350 million, the plan includes converting paper machine 7 into high-quality virgin-fibre-based kraftliner production, and the closure of paper machine 6 and sheeting plant.

The scope of the investment will include a new production line for virgin fiber-based kraftliner (both brown and white-top) with an annual capacity of 450 000 tonnes, the modification of the pulp mill and drying machine for unbleached brown pulp, as well as investments to enhance the millís environmental performance.

Oulu Mill's current annual capacity is 1,080,000 tonnes of woodfree coated papers. Typical end-uses for woodfree coated papers are e.g. high-quality advertising and magazines. The mill also produces bleached softwood pulp.

Stora Enso said the new organizational set-up is expected to be complete in the first quarter of 2021.

The transition to the new organization will take place in phases to ensure good customer service, Stora Enso noted.

No decisions regarding the planned changes will be taken, nor will there be any redundancies until the appropriate co-determination negotiations have been concluded, the company added.

Part of the bioeconomy, Stora Enso is a leading global provider of renewable solutions in packaging, biomaterials, wooden constructions and paper. To learn more, please visit: www.storaenso.com.

SOURCE: Stora Enso