Weekly Spotlight
U.S. DOJ Concludes Review of IP Acquisition of Weyerhaeuser Pulp

Over the Wire


Late this past week the Dept. concluded the Hart-Scott-Rodino review of International Paper's (IP) announced acquisition of Weyerhaeuser's pulp business without taking any action. Regulatory reviews in other non-U.S. jurisdictions are ongoing. Completion of the transaction is expected to occur in the fourth quarter of 2016.
Cellulose Prevents Short Circuits in Batteries
By finely tuning the thicknesses of the two layers, comprised of a cellulosic nanomat inside thicker polymer, researchers were able to design a separator membrane that delicately balances the tradeoff between preventing leakage current and supporting fast ion transport.
Evoqua to Provide Systems for Bioenergy Plant at P&G Tissue Mill in Georgia
new $200 million, 50 MW biomass/wood waste-to-energy cogeneration project in Albany, Ga., will be built by DCO Energy. It will provide 100% of the steam energy used by P&G's Albany manufacturing facility. The steam will be used mainly for drying tissue paper.
G-P Awards Scholarships to Employees' Children in S.E. Georgia
Four local students who live around the Savannah River Mill in S.E. Georgia, USA, were selected as recipients of Georgia-Pacific Foundation Employees’ Children Scholarships. All four of the recipients' parents are employees at Savannah River Mill. The four students chose in pairs to either go to UGA or to Ga. Southern.
SKF Application Specialist: Extending the Life of Pumps and Fans
Pumps/fans are foot soldiers of the process industry and SKF products in this sector are used heavily in papermaking, but their quiet dedication means they're often ignored. A senior expert on pumps/fans for SKF discusses the benefits of upgrading, monitoring, and having skilled operators reduce expensive replacement and downtime.
Market Roundup
Brazil BEK Pulp Exports Down in July, but up for the Year
Country's BEK pulp exports were down 6.4% y/y in July, but up 12% ytd.
Indonesia Could Face Timber Market Complications from U.K.'s Brexit
Economists predict late June's Brexit, in which citizens of the U.K. voted to leave the EU, will slow down the U.K. economy as well as those across the EU and China. Indonesia’s EU timber exports, affected by Brexit, could shrink by 2%, or $12 million this year. U.K. was a supporter of licensing Indonesian forests for EU supply.
Global Alcoholic Beverage Packaging Market Forecast 2016-2020
This past month the analysts at Technavio forecast the global alcoholic beverage packaging market to grow at a CAGR of 4.81% during the period 2016-2020. Growing prices of raw materials such as wood/paper pulp may increase the manufacturing cost of packaging as well as reduce vendor margins.
China Pulp Imports at All-Time High
July 2016 pulp imports were at 1.82 million metric tons, up 7.7% y/y and 15.5% vs. June.
Microcrystalline Cellulose Market Forecast to Surpass $1 Billion by 2024
Material is growing at more than 7% CAGR from 2016 to 2024. Increasing application scope in pharmaceuticals and cosmetic sectors accompanied by FDA approval as safe ingredient to consume are among the key factors driving global MCC market size growth.
Safety Hats - Direct Digital Manufacturing Services
Pulp & Paper
Mac Papers Acquires Higdon Paper & Packaging
The deal adds three Higdon account managers, one inside sales representative, and one driver/warehouseman to the Mac Papers Birmingham, Ala., USA, branch staff. Charlie Higdon, former owner, will assume the position of packaging sales manager.
Metsä Board to Close PM3 in Hämeenkyrö, Finland
The demand for wallpaper base is decreasing globally, and Metsä Board is focusing on paperboard, meaning that wallpaper base production is not included in the company’s core business operations. In 2015, sales from Kyro’s paper business operations totaled EUR 50 million, and the operating result was EUR -5 million.
Sappi N.A. Invests $25 Million in Somerset Mill Woodyard
This strategic plan will allow the company to modernize the wood debarking, chipping, and chip distribution systems at the Skowhegan, Me., USA, site. This capital investment will improve reliability, reduce white wood losses and costs, as well as enhance efficiency gains through the increased production of wood chips.
St. Croix Tissue Has ABB Deliver Automation And Power To New Mill
ABB’s delivery for both machines at the new Baileyville, Me., USA, mill includes quality control systems, tissue machine drive systems, 800xA control systems, collaborative production management, as well as motors, drives, and electrification equipment and infrastructure, and a resident service contract.
Stora Enso Begins Internal Review of Paper Business
Stora said late this past month it started a review on how to manage the paper division facing increasing cost pressure and declining demand. Analysts took the move as a sign that Stora is stepping up its efforts to reduce exposure to the business. An industry researcher said that no one wants to put more capital in the business.
Stora Enso Contracts Hector Rail to Continue Timber Transport Until 2022
As part of the modernization of the company's business with Stora Enso, Hector Rail will insert freight wagons with larger profile and introduce new locomotives, which means better environmental adaptation and more streamlined operations for shipments between Norway and Sweden.
Zhejiang Dongda Paper Has Valmet Supply Moisturizer System to Mill in China
"IQ Moisturizer is very important for our PM 2. Before our decision, we visited another mill where it has been installed and were very impressed by its performance. We expect the solution to solve our current curl issue and help us to increase the machine speed to the targeted level," said the GM of Zhejiang Dongda Paper.
Zhuji Paper Begins Trial Runs with New Andritz Tissue Machine in China
New tissue machine has a trim width of 2.85 meters and a design speed of 1,600 m/min. It was initially scheduled to start up at the end of 2015.
Universal Electric Corp.
Advance Packaging Corp. Expands Grand Rapids Facility
The corrugated box plant will add 75,000 sq.-ft. to its Grand Rapids, Mich., USA, facility. The company is also hiring new employees and is trying to lure them away as experienced workers from other jobs. Soon the company will reimburse employees up to $2,000 a year for childcare costs.
Mel Paper Has Greycon Improve Cartonboard Production with Modern Optimization
The Greycon system plans, schedules, trims and executes the production. Working seamlessly with SAPtm R3 it effortlessly transitions between the different modules. Since implementation, the Greycon system has created significant cost savings for the Greek company and optimized productivity.
Panel Plus MDF Orders Andritz Pressurized Refining and Chip Washing System
These new systems are for medium-density fiberboard production lines 1 and 2 at the Hat Yai mill, Thailand. Start-up is scheduled for September 2017. Pressurized refining system to have capacity of 30 bdmt/h.
Pankaboard Opens First Sales Office in North America
North America is a key market for the company. The new physical presence in the U.S. in Stamford, Conn., will facilitate optimization of service and sales to existing and prospective customers. The office will be led by Michael Walsh, formerly with Stora Enso North America.
Smurfit Kappa Recognized for POP Excellence in Retail with Two POPAI Awards
"...Smurfit Kappa has demonstrated the company's relentless drive to innovate. We excel at developing designs that address the motivation of the end consumer, ‘from the shelf backward’. Everyday we explore what will appeal to the consumer and help our customers’ sell their products," said the CEO of Smurfit Kappa Benelux.
Sonoco Introduces First Academic Offering to Train Cold Chain Packaging Professionals
The first level offers participants a systematic approach to foundational understanding of temperature assurance packaging. The second level, the "Professional Course," is a one-day, live training conducted by university professors, laboratory engineers, and industry experts with hands-on instruction and interactive activities.
WestRock to Move Operation from Milwaukee to Germantown
Chris Augustine, WestRock director of corporate communications, said the new Germantown warehouse facility would replace the Milwaukee, Wis., USA, operation. Determination on what the company would do with the Milwaukee facility hasn't been made. WestRock also operates a sheet feeder plant in the city.
Eggs in Silver Nano-Coated Paper Trays Stay Fresh Longer
The reduced surface contamination that comes from an application of silver nanoparticles on paper trays raises the shelf life of eggs from 10-14 days to 25-30 days. The concoction can only be applied to paper trays.
Iranian Scientists Use Clay Nanoparticles to Produce Stronger Paper
Adding clay nanoparticles to paper increases the number of bonds between paper fibers which results in an increase in tensile, busting, and crush strengths. However, the amount of nanoparticles should be optimum to prevent a decrease in tearing resistance.
New Products
NNZ Introduces Paper-Vento Fast Packing Material
Specially coated paper is used, meaning the material can be processed on quicker, vertical machinery. Suitable for dry to lightly moist products with a total weight of 0.5 to 2.5 kilograms. The bag has a trendy look and possibilities for printing are optimal. This past month the material saw its first commercial use packing potatoes.
Stora Enso Collaborates on New Interactive Wooden Bike Packaging
Latvia’s Brum Brum wooden bicycle for kids seems to have taken the idea of children playing with the packages their toys come in a step further by transforming the corrugated box it comes in into a fun, playhouse-like contraption that serves as a parking spot for the bike when not in use.
Catalyst Projects to Boost Biron Mill’s Efficiency and Environmental Performance
One project at the Biron, Wis., USA site will convert Biron’s No. 4 boiler from high-sulfur coal to natural gas. The second project will modify the TMP reboiler to reclaim unused waste steam from the thermomechanical pulping process to heat fresh water supplying the paper machines, decreasing the demand on both coal and natural gas.
Resolute Continues to Lead in Reducing CO2 Emissions with Greenhouse Innovation
The company's new CAD 7.4 million project involves the capture of up to 30 metric tons of CO2/day (tpd) from Resolute's softwood kraft pulp mill, the majority of the CO2 being transported to a neighboring world-class vegetable greenhouse. In addition to lowering greenhouse emissions, it will improve greenhouse performance.
Sofidel Noted by WWF for Reducing Greenhouse Gas Emissions, Sustainable Forestry
During a private meeting between a delegation from WWF Italy and Sergio Mattarella, president of the Republic, held to celebrate the 50th Anniversary of the environmental NGO in Italy, WWF presented the report that quotes Sofidel as a model for corporate environmental sustainability.
AF&PA: U.S. EPA Lagging Behind Europe in Recognizing Benefits of Biomass Energy
According to the AF&PA, a new E.U. proposal reinforces the need for the U.S. to appropriately recognize the benefits of biomass energy. The uncertainty caused by EPA is putting the U.S. out of step with the rest of the world, and potentially puts American workers and job creators at a competitive disadvantage.
Bio-PAPPEL Has GE Supply Energy Cogeneration to Paper Factory in Mexico
GE is supplying the LM2500+ gas turbine unit and a 20+ multiyear services agreement to help Bio-PAPPEL improve reliability/availability of the turbine as well as paper production. GE will provide remote monitoring and diagnostics monitoring of unit to ensure the plant’s increased availability by extending maintenance intervals.
UPM Shotton Solar Success Seen from Space
The Solar Park has more than 250,000 individual photovoltaic panels and during daylight hours can provide the UPM Shotton site with 100% of its output. The paper mill is also connected to the National Grid and is able to sell-back some of its unused energy, for example, during maintenance time when the PM is not running.
G-P Palatka Tissue Mill Fire Injures Three
"It was the equipment associated with a beater. That was where the heat source was. It created the smoke and took a good many resources to find the source, which is why we had that many departments responding," a G-P spokesman said. Most operations were back in action the next day after firefighters worked for hours.
Pöyry Launches Cyber Security Services for Industrial Control Systems
Unlike traditional data attacks, a compromised information control system can impact a plant's physical operations, causing significant financial and reputational risk, and potentially even threatening lives.
Arctic Paper's Grundberg to Resign from Supervisory Board
The company received information that Member of the Supervisory Board of Arctic Paper S.A., Rolf Olof Grundberg, will resign from his position on the Supervisory Board of the Company effective September 14 of this year.
CPI Appoints Andrew Large as New Director General
"The immediate future presents us with a whole new set of issues as we try to unravel the real impact of Brexit... [His] previous experiences and areas of expertise will allow him to influence policy makers in both the U.K. and Europe to secure the best for our businesses," said the president of Confederaton of Paper Industries.
UPM Appoints Sari Mannonen VP of Biofuels Business
Mannonen previously worked as director, Sales and Marketing within UPM Biofuels and was in that role since 2014, responsible for commercial strategy and product launches in Biofuels business. Mannonen has worked for UPM since 2011 in leadership positions and before joining the company she worked for Lindström and Biohit.
Verso Announces Senior Leadership Changes
David J. Paterson will retire as the Chairman and CEO of Verso effective August 31. Verso’s board of directors has begun the search for a new CEO. In the meantime, Verso’s board of directors will establish, as of September 1, an Office of the Chief Executive to lead the company until a new CEO comes on board.
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Two Upcoming Training Courses for Tissue Makers
TAPPI is already filling seats for two exceptional courses in early and mid-October offered expressly to those in tissue and towel operations.
Paper Formation Explained - Roll Up Your Sleeves for WIST Workshop
Wisconsin Instutute – Steven’s Point is offering an important workshop October 27-28 that digs into the essentials of paper formation, fibers and floccing, and demonstrates what you can do to improve your end products.
Supercharge Your Biobased Business Plan at IBBC 2016
Are you struggling with how to move your bioproduct project from proof of technical concept to commercialization? IBBC 2016 is bringing together industry leaders to head a panel discussion addressing key critical elements required to put together a successful biobased business plan.
Alternative Mechanical Pulp Uses Discussed at IMPC 2016
Every eight years, mechanical pulping experts gather in the U.S. for the International Mechanical Pulping Conference (IMPC) to discuss how the industry can best meet changing market and regulatory conditions world-wide. Key critical topics such as alternative mechanical pulp uses will be discussed during the three day event.
TAPPI Press Book of the Month
Save 15% on The Mechanics of Rollers now through August 31.
TAPPI Career Center: Rayonier Advanced Materials Seeks Product Development Engineer
Rayonier Advanced Materials is currently seeking a Product Development Engineer for its Jesup, Ga., USA, location.
TAPPI Press to Perform Inventory Audit
TAPPI will be performing its fiscal year-end inventory audit starting August 23. As a result, TAPPI Press orders will not be processed from August 23 through August 31.