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Metsä Tissue plans new TM as part of €230m investment

Metsä Tissue has applied for an environmental permit in Mariestad, Sweden, as part of its Future Mill programme.

In the first phase, the plan includes a new tissue paper machine, an automated warehouse and an office building in the Mariestad mill.

The possible investments in first phase are estimated to amount to approximately €230m.

The Future Mill programme was announced in April and aims to increase the long-term industrial efficiency and environmental performance of the tissue paper business.

Metsä Tissue is also aiming for totally fossil-free mills by 2030.

Improving the product quality and ensuring the availability of premium tissue paper are also part of the programme.

Esa Kaikkonen, chief executive of Metsä Tissue, said: “Metsä Tissue is the only tissue paper producer on the market with strong roots in sustainably managed northern forests.

“Premium tissue papers made from pure fresh fibre, grown close to our customers and consumers and the leading tissue paper brands in the Scandinavia, Katrin, Lambi and Serla, have always played an important role in our company.

“Now we’re planning to continue to increase premium tissue paper production by investing, in the first phase, approximately €230m at the Mariestad mill.

“Our increasingly strong focus on fresh fibre in the future is also a result of the continuous decline of the availability and quality of recycled fibre.

“An investment in the production of premium fresh fibre tissue paper products with modern technology is the most sustainable solution for the future.”

The environmental permit process and a pre-feasibility study aims to create preconditions to double the company’s tissue paper production in two phases and to construct an automated warehouse and an office building in the Mariestad mill site.

The study is expected to be completed in the first half of 2021 and the final investment decision concerning the first phase could be made during the second half of 2021.

In the first phase, the planned investments would increase Mariestad’s annual tissue paper production capacity by 50,000 tonnes fully as of 2024.

Kaikkonen added: “Scandinavia is our most important market area and we’re committed to the development of our operations here.

“Tissue paper production is local, so we want to be close to our customers to be better able to meet growing demand.

“For us, Sweden and Mariestad represent a good operating environment and a possibility of developing the company with our professional and committed personnel.”