June 14, 2013
Stora Enso has decided to commence a feasibility study with the aim of converting the Varkaus Mill fine paper machine in Finland to produce virgin-fibre-based containerboard. The findings of a recently completed pre-feasibility study supported continuation of the process. The feasibility study, which is expected to be completed in the first quarter of 2014, will evaluate the profitability of the project to manufacture containerboard at Varkaus Mill.
If the investment is approved following the feasibility study, the capital expenditure for the conversion is estimated to be in the range of EUR 80–100 million and in line with Stora Enso’s investment criteria. Utilising existing capabilities within Stora Enso by modifying them to a new product line is part of Stora Enso’s transformation to a value-creating renewable materials company focusing on growth markets.
Varkaus Mill, which employs 260 people, has one paper machine with an annual capacity of 285000 tonnes of uncoated fine paper. The potential capacity of the board machine would be about 350 000 tonnes per year.