Mayr-Melnhof Holz and LSR to build a timber-processing enterprise in Leningrad region worth EUR 40 million by 2008

Jul 25, 2005. /Lesprom Network/ Mayr-Melnhof Holz (Austria) and LSR group (Saint-Petersburg, Russia) intend to build a timber-processing enterprise in Leningrad region worth EUR 40 million by 2008, spokesperson for the Leningrad region committee for economic development announced. Leningrad region administration is currently preparing a memorandum that will be soon signed by the 2 companies. According to the document, the parties are mutually interested in fulfilling the project. In accordance with the project, the companies will build an enterprise with the capacity of 250 thousand cub m/yr (1st term will be launched in 2007, 2nd term – in 2008). The mill will produced glued cant, pellet-biofuel. The mill is expected to justify the expenses in 5 years. According to a statement released by the corporat PR departments, the companies will take all efforts in order to fulfill the project after getting a positive answer from environment protection and other institutions. LSR is the largest association of building enterprises in the North-West of Russia. The main production trends are construction, production of building materials, transportation and mechanization services and etc.