Arauco Increasing Pulp Capacity to 3.3 Million MTPY with Expansion in Chile

Celulosa Arauco y Constitucion SA, Santiago, Chile, reportedly will boost its wood pulp production capacity to 3.3 million metric tpy, from 3.2 million metric tpy, as it completes expansion of its Nueva Aldea mill in Chile this month. Arauco, which has operations in Chile, Argentina, Brazil, and Uruguay, is ramping up production as pulp prices have remained firm on the back of strong international demand, in particular from China, according to a Dow Jones Newswire report.

Arauco, a subsidiary of fuel and forestry conglomerate Copec SA, will finish ramping up production at the Nueva Aldea mill to 1.05 million metric tpy, from 867,000 metric tpy later this month.