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Holmen Invests in Increased Paperboard, Pulp Production

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Holmen, Sweden, this week reported that it will invest a total of SEK 530 million to increase paperboard and pulp production capacity of its Iggesund Paperboard operations. The production capacity for paperboard at Holmen’s Workington mill in the U.K. will rise by 10% or 20,000 metric tpy through a rebuild of the paperboard machine’s press section. The rebuild, which is expected to be completed during the first half of 2016, will also bring improved product quality. 
At Holmen’s Iggesund Mill in Sweden, pulp capacity will rise by 15% or 50,000 metric tpy. The investment will be implemented in stages from 2015–2016. The measures will also improve production stability and cut variable costs.
"Recent years have seen us invest strongly in reducing our energy costs and our dependence on fossil fuels. Now we’re investing in increased production, while also cutting our variable costs, and thus strengthening our competitiveness," explained Annica Bresky, CEO of Iggesund Paperboard. "Our strategy is to grow organically and to make additional increases to our paperboard production. For the mill in Workington, this investment marks a first step in that direction. At Iggesund Mill, our ambition is to increase production by 10% in coming years without any major investment." 
Holmen is a forest industry group that produces printing paper, paperboard, sawn timber, and runs forestry and energy production operations.

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