The Management Board of Arctic Paper decided to invest SEK 70 million ($8.5 million) in an expansion of the hydro power plant at the Munkedal mill in Sweden. The investment will double the amount of Arctic Paper Munkedal’s energy supply produced by environmentally friendly hydro power, which increases the mill’s energy self-sufficiency. Completion of the project is planned for the last quarter of 2019, as the company says in the press release received by Lesprom Network.
All necessary permissions are in place. During the construction phase the Group plans to finance the project out of its own funds. After completion of the project the costs will be refinanced with bank credit. Arctic Paper has already signed a letter of intent with Swedbank for refinancing.
Arctic Paper Munkedal manufactures high quality uncoated, wood-free graphical paper, mainly under the Munken brand. Munken is one of the most renowned brands and the product range caters to a wide spectrum of printing needs, in particular book printing, advertising and marketing material. The mill has a production capacity of 160,000 tonnes.
