Fortress Paper Ltd. announces a strategic supplement to the already announced birch usage project (the "Birch Project") at the Fortress Specialty Cellulose Mill aimed at extracting hemicellulose from underutilized species such as birch (the " Hemicellulose Project").
The Hemicellulose Project will allow the Company to advance its research and development in hemicellulose derivative products. Hemicellulose is a cellulosic sugar, which when extracted and processed, has high value-added by-product potential such as for biofuel and biomaterial feedstock. The Company anticipates that its development in hemicellulose products will provide it with an opportunity to enter the growing renewable raw materials market.
As part of the Hemicellulose Project, the Company plans to install a new accumulator at the Fortress Specialty Cellulose Mill which will allow for the collection of hydrolysate.
The Birch Project and Hemicellulose Project are expected to cost approximately $23.4 million in aggregate, of which $3.65 million is in respect of the Hemicellulose Project.
Fortress Paper operates internationally in two distinct business segments: dissolving pulp and security paper products.
