Swedish pulp and paper manufacturer BillerudKorsnäs has teamed up with Norwegian forest owners group Viken Skog to explore the possibility of producing pulp at the latter’s Follum mill in Hønefoss.
Both parties plan to initiate a feasibility study on future pulp production at Follum, which is expected to be completed in the first half of 2023.
BillerudKorsnäs and Viken Skog partnership
BillerudKorsnäs and Viken Skog intend to establish a bleached chemo-thermomechanical pulp (BCTMP) production line at the site, with a potential capacity of up to 200 kilotonnes per year.
The Follum factory already has some of the infrastructure needed to set up the production line, and it is located in an area with a competitive and sustainable wood supply and good connectivity with the cardboard factories of BillerudKorsnäs.
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Christoph Michalski, President and CEO of BillerudKorsnäs, said: “This initiative is part of BillerudKorsnäs’ strategy for sustainable and profitable growth and supports our growth ambition in cardboard. To cover the growing need for BCTMP for our growing paperboard production operations, we want to explore the possibilities of producing this grade of pulp in Follum, together with Viken Skog.
“As part of this partnership, the intention is also to enter into a long-term timber supply agreement with Viken Skog. We initially see good prospects for creating an efficient supply chain and competitive access to the raw materials needed to produce the packaging materials of the future.
BillerudKorsnäs will invest between 600 and 800 million NOK (61 to 81 million euros), if the project gets the green light after the feasibility study.
“A solid partner”
Olav Breivik, Chairman of the Board of Viken Skog, added: “In BillerudKorsnäs, we have found a strong partner who, like us, wants to establish an efficient supply chain and explore the opportunities for sustainable products provided by forest raw material.
“The existing infrastructure at Follum offers a promising base for establishing pulp production with a relatively low investment requirement. We will also explore in the feasibility study the possibilities of biogas production, and later also carbon capture solutions in Follum. We are very pleased with this partnership and look forward to starting the feasibility study. »
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