Billerud Korsnäs to relocate kraft paper machine from Tervasaari to Skärblacka, decision on new BM for Gruvön still pending

Billerud Korsnäs' Skärblacka mill in Sweden.
Photo: Billerud Korsnäs
13 Jun 2016 − 

Tervasaari 100,000 tpy MG kraft paper machine is to be fully integrated to pulp production at Skärblacka mill. Feasibility study on Gruvön board machine investment to be completed by the end of this year.

Packaging paper and board manufacturer Billerud Korsnäs will relocate its machine glazed (MG) kraft paper machine from Tervasaari/Finland to Skärblacka/Sweden. The PM currently produces 100,000 tpy of MG kraft paper, which is used for medical applications, food packaging and release liners. At the same time, the company said it would invest in Skärblacka to increase surface treatment capacity on the mill's PM 7. The relocation of the Tervasaari MG kraft paper machine and the PM 7 investment are part of the company's plans first announced in autumn 2015.

The investments will be carried out between 2016 and early 2018, according to the company. Start-ups of the relocated PM and the rebuilt PM 7 are expected to take place between Q4 2017 and Q1 2018. Billerud Korsnäs puts the total investment amount at SEK1.28bn (around €138m). The measure is said to create 40 new jobs.

Billerud Korsnäs is also working on a feasibility study regarding the potential investment in a new 500,000 tpy board machine at its Gruvön mill in Sweden. So far, no investment decision has been, Billerud Korsnäs explained. The study is currently in an intense phase and is expected to be completed by the end of 2016, the company added.

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