Apr 23, 2004. /Lesprom Network/. Stora Enso Timber is today formally inaugurating its second sawmill in Russia in a ceremony at the village of Nebolchi in the Novgorod Region. The new sawmill is part of Stora Enso's strategy to increase industrial operations and enhance wood procurement in Russia. The total investment was EUR 10.3 million and the full production capacity of 100 000 m3 will be reached by the end of 2005. The mill will employ fifty people. The products will serve the building products industries in Europe. Nebolchi Sawmill is the second greenfield sawmill built by Stora Enso Timber in Russia. The first started up in August 2003 at Impilahti, Pitkдranta municipality, in the Republic of Karelia. Experience gained at Impilahti was fully utilised in the Nebolchi project. "Nebolchi Sawmill demonstrates Stora Enso's long-term interest in expanding operations in Russia. Successful local production is crucial to our goal of developing wood procurement and the marketing of wood products in Russia," says Arno Pelkonen, Senior Executive Vice President, Stora Enso Forest Products. Wood for Nebolchi Sawmill comes from the Novgorod, Leningrad, Vologda, Tver and other regions in Russia. The sawmill processes only spruce saw logs. Wood for the sawmill is procured by Stora Enso Wood Supply Russia, which has a terminal at the sawmill, ensuring smooth and efficient handling of raw material. Stora Enso Timber is an international wood products company that provides customer-focused solutions to wood products industries and trade worldwide. With annual net sales of EUR 1.4 billion, Stora Enso Timber's annual production capacity is 7.4 million m3 of sawn wood products, of which 2.8 million m3 are further-processed products. The company employs 4 600 people at 25 sawmills and 22 further processing plants throughout Europe.