New paper mill in Setúbal, Portugal, will allow Portucel Soporcel group to increase its exports by $480 million

Nov 21, 2008. /Lesprom.com/. The new Portucel Soporcel group paper mill, a project recognized as having fundamental importance to Portugal's economy, is currently under development close to the river Sado in the district of Setúbal, south of Lisbon, Graphic Arts Online reported. Expected to begin operation in August 2009, the new mill will reinforce the Group's export capacity and competitiveness in the international uncoated woodfree paper market, bringing it to a leading position on a European level. The new industrial unit will be equipped with the world's largest and most sophisticated machine for producing uncoated woodfree paper (UWF), a cutting edge piece of equipment with a nominal paper production capacity of 551,000 ton (short)/year. This investment will strengthen the Group's industrial base, enabling it to integrate all the pulp produced at the Setúbal industrial unit into paper and increase the total paper production capacity of the Portucel Soporcel group to some 1.65 million ton (short) per year, which will strengthen the Company's position as one of the sector's key players in both Europe and the world. The future Setúbal mill will comply with the most stringent environmental standards in force in Portugal and the European Union, and was specially designed to integrate into the bay of Setúbal. With the new Paper Mill in Setúbal, the Portucel Soporcel group's capacity for producing printing and writing paper will increase to 1.65 million ton (short) per year. With an annual turnover of over $1.5 billion, representing roughly 3% of all Portuguese exports, the Group exports 92% of its production and 10% of the production is exported to the USA. The new paper mill in Setúbal will allow the Portucel Soporcel group to increase its exports by $480 million to around $1,750 million. Investment in the industry of $754 million will directly create 350 highly qualified jobs. The new machine will produce 551,000 tons (short) annually, allowing for all the pulp produced in the Setúbal industrial complex to be converted into paper. With a width of 36.4 ft (11.1 m), this machine is the largest and most sophisticated in the world for the manufacture of high quality office paper. The Portucel Soporcel group will make a bid for the position of European leader in the European market for uncoated woodfree paper.