SCA Considers Major Expansion of Östrand Pulp Mill

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SCA, Stockholm, Sweden, is reportedly considering a major expansion of its Östrand pulp mill near Sundsvall, Sweden, that would almost double its current capacity of approximately 500,000 metric tpy. According to a report this past week in Dagens Industri, a Sweden-based business daily newspaper, the expansion would be aimed at increasing SCA's pulp self-sufficiency.

The company has been buying some 60% of the pulp used at its Swedish mills, and the escalation of pulp prices in recent months has weakened its profitability. SCA has made recent investments in the Östrand mill, almost all of them designed for a higher capacity than the mill currently has. The company is in the process of installing a new lime kiln that is scheduled for startup in November 2011. In the newspaper article CEP Jan Johansson said that a decision to expand the mill likely will not be made until after the new kiln is up and running.