Rottneros Mill in Sweden Temporarily Halts CTMP Production

Flash drier on the CTMP line at Rottneros Mill in Sweden.

Dec. 10, 2010 - Swedish pulp producer Rottneros said that the CTMP (chemi-thermomechanical pulp) line at Rottneros Mill (Rottneros, Sweden) has been at a standstill for around ten days, which corresponds to a loss of production of approximately 2,500 tons.

The stoppage is due to the combination of extremely high electricity prices and high timber costs resulting in sales of marginal volumes being unprofitable, Rottneros said.

The strong Swedish kronor also contributes to reducing export margins, the company added.

The mill's production volume for the remaining part of December depends on how these factors develop, Rottneros noted.

The production line for groundwood pulp at Rottneros Mill has not been affected by the stoppage.

The Group's other manufacturing unit, Vallvik Mill, which produces chemical pulp, is not as sensitive to electricity prices and is being run at full capacity, Rottneros said.

Rottneros Mill produces two grades of mechanical pulp — groundwood and CTMP pulp. The mill has a production capacity of about 170,000 tons per year. In 2009, the mill produced 131,500 tons, which is a reduction of 9%.

SOURCE: Rottneros