The project forms part of the Swedish group's future strategy which includes organic growth of its pulp mills.
Södra plans to further expand the capacity of its Värö pulp mill in Sweden. After the mill was completely rebuilt in 2016, raising its NBSK pulp capacity to 700,000 tpy, another increase to 850,000 tpy will follow by the end of 2022.
According to Södra, the project is scheduled to start up in April 2022 and will ramp up by the end of the same year.
Södra modernised and enlarged the Värö NBSK pulp mill in 2016 at a cost of SEK4bn. The further pulp mill expansion to 850,000 tpy was covered by the mill's existing environmental permit, the company said.
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