Oil and chemicals company VKG mulls building a pulp mill in Estonia

VGK sees big potentials for bio-based products.
22 Jul 2021 − 

VKG says it was looking to create added value for Estonia's pulpwood, while serving additional domand for renewable energy and bioproducts.

Shale oil, energy and chemicals company Viru Keemia Group (VKG) intends  to build a new pulp mill and bioproducts facility in Estonia's north-eastern part of Vira-Idu. VKG reportedly initiated a local government spatial plan in order to explore the possibilities for a production of pulp, dissolving pulp, tall oil and renewable energy. Depending on the product, the pulp mill's capacity would range between 330,000 and 500,000 tpy.

According to VKG, building a bioproducts facility would constitute "a leap in the value addition of wood in Estonia, partly also replacing the current export and burning of wood." The company puts the investment cost for the project at €800m.

VKG had already conducted a preliminary environmental study. In addition, consulting company AFRY completed a preliminary feasibility study for the project, the company announced.

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