Arctic Paper has announced plans to expand the biofuel installation at its Grycksbo paper mill.
The biomass boiler will be upgraded and, as a result, Arctic Paper will be able to lower energy cost by SEK50m annually, the company writes. The main biofuels used will be sawdust and wood chips, but the modernised boiler will be flexible to also use other biofuels.
Furthermore, Arctic Paper will install a new 50,000 t wood pellets production at the site, using residuals from sawmills. The pellets will be sold to the market, which is expected to generate additional sales revenues of SEK100m per year, according to the company.
Arctic Paper has earmarked SEK285m for the investment, which is expected to be completed during the first half of 2025.
“The investment will secure long term competitiveness of Arctic Paper Grycksbo as a premium supplier of high-quality coated paper”, comments the company’s CEO Michal Jarczyński.
The Grycksbo mil, located in Dalarna, Sweden, has roughly 300 employees. At the non-integrated paper mill, Arctic Paper operates two PMs with a total capacity of 220,00 tpy of coated woodfree paper.