Norske Skog Announces Strategic Review Process to Reposition Its Tasman Newsprint Mill in New Zealand
Currently, the Tasman mill has the capacity to produce 150,000 tonnes per year of directory, newsprint, improved newsprint and book paper products.
Oct. 13, 2020 - Norske Skog [on Oct. 9] announced to employees and stakeholders in New Zealand that due to the likely irreversible and rapid negative impact that COVID-19 has had on the newsprint industry in the region, the group has engaged in a broad process to identify alternative production options to reposition the Tasman newsprint mill at Kawerau industrial site in New Zealand.
Norske Skog will perform a strategic review process for the Tasman newsprint mill, which is located at the Kawerau industrial site close to the east coast of the North Island. The mill has a total annual production capacity of 150,000 tonnes. Several options for the long term future of this industrial site are being considered. Once a preferred option is identified, a proposal will be put forward for consultation with employees at the mill. One option, which is currently being developed, is to establish a BCTMP (bleached chemical thermo-mechanical pulp) facility at the mill site. KPMG has been engaged to assist Norske Skog with the review process.
About Norske Skog Tasman
Norske Skog Tasman is a manufacturer and supplier of directory, newsprint, improved newsprint and book paper products to publishers and print media organisations in New Zealand and overseas. The mill, which has one paper machine, PM3, is an entirely virgin fibre mill and uses sustainably managed plantation radiata pine. It is also a generator, seller and significant consumer of electricity participating directly in New Zealand's wholesale electricity market.
Norske Skog is a world leading producer of publication paper with strong market positions and customer relations in Europe and Australasia. The Norske Skog Group operates four mills in Europe of which two will produce recycled containerboard following planned conversion projects. In addition, the Group operates two publication paper mills and a pellets facility in Australasia. Norske Skog aims to further diversify its operations and continue its transformation into a growing and high-margin business through a range of exciting fibre projects. The Group has approximately 2,300 employees in five countries, headquartered in Norway and listed on the Oslo Stock Exchange under the ticker NSKOG. For further information, visit: www.norskeskog.com.
SOURCE: Norske Skog ASA