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Stora Enso to build consumer board and pulp mill in China

A plantation-based integrated board and pulp mill is to be built by Stora Enso at Beihai city in China. The site will initially include a 450,000 tonnes/year state-of-the-art paperboard machine and pulp capacity of 900,000 tonnes/year, including necessary energy plant and auxiliary facilities. The project investment will be approximately €1.6 billion.

The board and pulp mills will be self-sufficiently integrated with wood supply from 120,000 hectares of self-managed eucalyptus plantations. The ultimate target is to expand the paperboard capacity to 900,000 tonnes at a later stage. The operations will be managed by an equity joint-venture company established by Stora Enso (85%) and the state-owned Guangxi Forestry Group (15%). The joint venture will serve the fast-growing market for liquid packaging board and other premium consumer board grades.

Construction of the new facility is expected to commence in the second half of 2012, with production scheduled to start in the fourth quarter of 2014.

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