Loss-making Gohrsmuehle label and cast coated paper mill in Germany up for sale.
Metsä Board will invest €170m in a new board machine at the Husum mill in Sweden. According to Metsä Board, the production capacity of the new BM will be approximately 400,000 tpy. The machine will be commissioned in early 2016 and full production capacity is expected to be reached by the end of 2016.
The company plans to fully exit production of 600,000 tpy coated and uncoated graphic papers at Husum by the end of 2017. A huge part of the total capacity, however, will be discontinued already by the end of the next year.
After the investment and the planned paper capacity closures, Husum mill will house two machines, producing 400,000 tpy of folding boxboard and 300,000 tpy of coated and uncoated kraftliner. Uncoated fine paper business reel production on PM 8 will be continued until the linerboard sales volumes have been grown to the full capacity of the machine, the company explained.
Metsä Board is also planning to divest its 50,000 tpy Gohrsmuehle cast coated and label paper mill in Germany during the first half of 2015 to eliminate losses of the site. "If the divestment does not materialize in the set time frame, Metsä Board will introduce other measures to eliminate the unit's heavy losses", the company said.