Aug 10, 2005. /Lesprom Network/. Svetogorsk JSC (Leningrad region, Russia) CEO Sergey Pondar said that Svetogosky pulp and paper enterprise will build a pulp mill (chemical and termomechanical mass) worth $150 million in 3-4Q 2005. The project already passed preliminary environmental examination, Prime-Tass reported. The production capacity of the new enterprise is 200 thousand tons of pulp/yr. The mill will process 400 thousand cub m of aspen timber. The project will be finished in 2006. According to the CEO, the pulp produced by the new mill will be used on Svetogorsky pulp and paper enterprise and will be exported to the Eastern and Western Europe, as well as supplied for the interior market. The construction of the new enterprise is carried out in accordance with the International Paper project to restructure own business. The following announcement was made by IP Europe president Thomas Cadien after the meeting with Leningrad region governor Valery Serdyukov. A month ago International Paper announced its restructuring plan and intention to stress upon pulp, uncoated paper, consumer package and corrugated cardboard production. Svetogorsky meets the requirements of the restructuring plan and therefore fits in the business development strategy, Thomas Cadien said. According to Thomas Cadien, partially the earnings obtained through the sales of some assets will be directed for the priority business trends, including the development of Svetogorsky. Thmas Cadien also said the International Paper is interested in developing its business in Russia. According to Sergey Pondar, in 2005 $100 million will be invested in Svetogorsky, during the last 5 years the enterprise received $150 million.