Sappi to Invest $165 Million at its Somerset Mill to Increase Production Capacity
The project in involves Paper Machine No. 1 at Sappi's Somerset Mill in Skowhegan, Maine, that will increase paper production capacity to almost one million tons per year.
Feb. 8, 2017 - Sappi Limited today announced the approval of a US$165 million capital project to expand Sappi North America's manufacturing capabilities and flexibility to include a variety of consumer packaging products.
The project involves Paper Machine No. 1 at Sappi's Somerset Mill in Skowhegan, Maine, that will increase paper production capacity to almost one million tons per year.
Currently, the Somerset mill's annual production capacity 795,000 metric tons of publication grade paper (used for magazines, catalogs, advertising brochures, direct mail, etc.) and 525,000 metric tons of pulp.
"This move complements our long term 2020Vision strategy, which seeks opportunities to substantially increase our group EBITDA," said Steve Binnie, CEO of Sappi Limited. "By investing in our business to pursue growing areas of demand, we can remain profitable and competitive in the global marketplace."
Mark Gardner, President and CEO of Sappi North America, said, “Somerset's existing world class infrastructure together with its talented workforce and access to high quality fiber makes the mill an excellent and obvious choice for this investment. Increasing our flexibility and expanding the paper mill's capability and capacity will ensure that we continue to make superior products at Somerset for years to come."
The planned project at the Somerset Mill in Maine is slated to come online early in 2018.
Sappi Limited is a global company focused on dissolving wood pulp, paper pulp and paper-based solutions. Headquartered in Johannesburg, South Africa, with over 13,000 employees and manufacturing operations on three continents in seven countries, customers in 161 countries, and group sales of US$6 billion. To learn more, please visit: www.sappi.com.
SOURCE: Sappi Limited