BSW Timber, the UK’s leading integrated forestry and timber company, has announced its latest investment of Euro 40 million in Slovenia, constructing a new sawmill, CHP plant and pellet manufacturing facility which will see the creation of 170 new jobs.
The investment will see the construction on three sites, including a modern sawmill in Gomilsko with state-of-the-art wood processing technology, the development of pellet production and wood biomass cogeneration at the Šoštanj site, and a final site in Letuš will focus on the production of value added products.
Tony Hackney, Chief Executive at BSW Timber, said: “With the developing wood shortages in UK, Slovenia is a very attractive country for us to invest in. The Slovenian Government has agreed a 15-year long term contract for 120,000 cubic metres of roundwood which will be backed up by supply from a very supportive private sector while working with domestic sawmills.”
The new sawmill will have the capacity to process an annual input in excess of 300,000 cubic metrees sawlogs, making it the largest mill in Slovenia. Its products will be available for the Slovenian market, however BSW plans to build on its successful Latvian marketing model and predominantly export to international markets, such as UK, Southern Europe, North Africa, North America and Asia. Co-products from the Gomilsko mill will be transferred to Šoštanj where the Company will invest in CHP capacity and pellet manufacturing.
BSW is set to begin construction in September 2018, with the aim to start production in early 2020.
