Australian Paper to Build $90 Million Recycling Plant at Maryvale Mill
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Australian Paper (AP), Australia, reports that its parent company, Nippon Paper of Japan, has approved construction of a $90 million wastepaper recycling plant at AP's Maryvale Mill in Victoria's Latrobe Valley, Australia. The plant will generate 50,000 metric tons of premium recycled pulp each year, diverting up to 80,000 metric tpy of wastepaper from Australian landfill, equivalent to more than 16 billion sheets of A4 office paper every year.
AP is Australia's largest manufacturer of fine papers. The company also produces packaging papers.
"Australian Paper is delighted to confirm this important investment in sustainable manufacturing following an extensive feasibility study. The Maryvale recycling plant will secure Australian Paper's position as the market leader in premium recycled paper and is a positive initiative for our local environment, jobs, and the community," said Jim Henneberry, CEO, Australian Paper.
The plant will triple Australian Paper's usage of recycled fiber and will enable the development of an innovative range of new Australian made recycled office, printing, envelope, and stationery papers. The $90 million recycling plant will begin construction soon, with startup scheduled for early 2014.
"We are proud of this investment in sustainable Victorian manufacturing and would like to acknowledge the strong support we have received from a broad range of stakeholders including our customers, unions, the Latrobe City Council, environmental groups, and a range of business and community stakeholders. In particular, we thank the state and commonwealth governments and Low Carbon Australia for their support and for sharing our vision to make this investment possible," Henneberry said.
An Economic Impact Report prepared by Western Research Institute calculates that Australian Paper's total operations supported around 6,000 FTE (full time equivalent) jobs and contributed more than $750 million to the Australian economy in 2011. Including flow-on impacts, the recycling plant will support more than 950 FTE jobs during construction and around 250 FTE jobs on-going. Construction and ongoing operations of the plant will also drive around $160 million in combined value to the economy. The plant will be closely integrated with the existing Maryvale Mill to optimize energy and transport efficiencies.
"This will further differentiate our products from the imported paper out of Indonesia, China, and Thailand that do not share the same local environmental, social, and economic benefits as our Australian manufactured papers," Henneberry noted.
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