Norske Skog Skogn to Invest NOK 180 Million in New Thermomechanical Pulp Line
27 January 2023
Norske Skog announced that its newsprint mill in Skogn, Norway, will invest around NOK 180 million (USD 18.2 million) — after NOK 40-50 million in grant funding from the NOx fund — in a new thermomechanical pulp production line that will replace expensive recycled paper with fresh fibre.
According to Norske Skog, the new TMP line will reduce variable costs, significantly reduce NOx and fossil CO2 emissions, and reduce landfilled waste. Start-up is expected in the first half of 2024.
"With this investment decision, we have taken the first step in the long-term competitiveness of Norske Skog Skogn," said Håvard Busklein, Managing Director at Norske Skog Skogn AS. "We want to secure our position in the newsprint market while at the same time providing opportunities to establish ourselves in new markets. This will strengthen our already good environmental position through major reductions in emissions of greenhouse gases."
Currently, newsprint is produced at Norske Skog Skogn with a pulp mix, consisting of wood fiber and recycled paper. The investment will replace the use of expensive recycled paper fiber with fresh wood fiber in newsprint production. The production capacity of thermomechanical wood pulp at the mill will increase by 100,000 tonnes per year.
The investment will significantly reduce Norske Skog Skogn's emissions of fossil CO2 and NOx. A fossil CO2 reduction of around 80% has been calculated, and the NOx emissions will be reduced by around 40%. The ash reduction is estimated at around 60%. Ash from fresh fiber has smaller amounts of residual materials, and has several application opportunities that will be investigated, Norske Skog explained.
Norske Skog noted that it is not only the result of the project that will lead to reduced emissions. In order to reduce CO2 emissions and reduce investment costs, the mill will purchase machinery and equipment from a closed paper mill in Sweden instead of buying new equipment.
"As a company, we are concerned about sustainability at every step of the value chain. The vast majority of the equipment is reused from other mills in the industry, which have chosen to close or convert their production. Our skilled employees have seen this opportunity and utilized it to create a very cost-effective project," Busklein said.
Norske Skog Skogn
Located in Skogn, Norway, Norske Skog Skogn is one of the largest newsprint mills in Europe. The mill has three paper machines with a combined capacity of 480,000 tonnes per year. The mill has its own port facilities and operates regular lines to the UK and Continental Europe. Norske Skog Skogn can also produce interliner.
Norske Skog is a leading producer of publication paper with strong market positions and customer relations in Europe and Australasia. The Norske Skog Group operates four mills in Europe, two of which will produce recycled packaging paper following ongoing conversion projects. In addition, the Group operates one paper mill in Australia.