UPM-Kymmene is investing €160 million in its Kymi pulp mill in Finland, to strengthen its position in the growing end-use segments of the global pulp market.
"Kymi is a profitable and competitive pulp mill in comparison with the world's leading pulp mills," says UPM president and CEO Jussi Pesonen. "Our investment will result in a significant capacity increase with competitive costs and low risk. We have set ourselves clear targets for growth initiatives in pulp production, biofuels, speciality papers in Asia and label materials for the coming three years. With these initiatives we are targeting an additional €200 million EBITDA when in full operation. The Kymi investment will bring a significant contribution to this."
With the investment, Kymi's annual pulp production capacity will increase by 170,000 tonnes, up to 700,000 tonnes of bleached northern softwood and birch pulp. The investment makes a significant part of UPM's earlier announced target to reach a 10 per cent increase in its 3.3 million tonne pulp capacity over the next three years.
During the past few years UPM has established a strong position on the pulp market co-operating with customers in the growing end-use segments such as tissue, speciality papers and board.
The investment at Kymi comprises a new pulp drying machine, modernisation of the softwood fibre line, a new debarking plant, and improvements in the energy balance of the Kymi integrate consisting of pulp and paper mills.
www.upm.com
