Suzano Earmarks R$720 Million in 2017 to Diversify Product Mix and Improve Production Efficiency
Feb. 21, 2017 - Suzano Pulp and Paper said that it will invest around R$720 million by year-end in a set of projects intended to diversify its operations in Brazil through higher-value products, boost structural competitiveness, cut costs and enhance environmental initiatives.
The investments will be used to build two tissue lines — one at the Mucuri Unit in Bahia state and the other at the Imperatriz Unit in Maranhão state. Suzano will also build a lignin production line at the Limeira Unit in São Paulo state.
Suzano noted that a project to debottleneck the Imperatriz Unit will be concluded this year, as will projects to expand and modernize the wastewater treatment plant and the installation of a new crystallizer on Line 2, both at the Mucuri Unit.
In a press release Suzano said, “These projects are included in our investment plan for 2017, which is estimated at R$1.83 billion and also includes R$1.11 billion in maintenance initiatives, including in the forestry and industrial operations. The maintenance investments aim to ensure the good operating conditions of our assets, as well as to cultivate and preserve green areas.
“The production of tissue and lignin, whose startup is slated for this year, represents another step in our strategy to diversify the returns on our asset base, with the opening up of new avenues of adjacent businesses by capturing efficiency and profitability gains in our operations.”
Suzano explained that a number of the projects are designed to improve the company's competitiveness. For example, once the debottlenecking of the Imperatriz Unit is complete, the annual capacity of local production will expand from 1.5 million to 1.65 million tons of pulp.
In addition, upon the completion of the project to modernize and expand the wastewater treatment plant at the Mucuri Unit, the quality of the water discharged into the Mucuri River will be greatly improved.
Another ongoing investment in 2017 is the installation of a new crystallizer at the Mucuri Unit, which will optimize the consumption of chemical inputs for pulp production on Line 2, Suzano said.
Suzano Pulp and Paper produces market pulp (paper grade and fluff), paper (coated and uncoated printing and writing paper) and paperboard. Based in Brazil, the company is the second-largest producer of eucalyptus pulp in the world. To learn more, please visit: www.suzano.com.br.
SOURCE: Suzano Pulp and Paper