Displaying items by tag: Arauco

Stora Enso’s and Arauco’s joint-venture company Montes del Plata will build a new state-of-the-art 1.3 million tonnes per year pulp mill at Punta Pereira, in the department of Colonia, Uruguay. The total investment is estimated to be approximately USD 1.9 billion (EUR 1.4 billion). Each of the joint-venture shareholders has a 50% stake in the mill’s equity and will be entitled to half of its output. The project will be financed about 40% through equity and about 60% through loans raised by Montes del Plata. Stora Enso is consolidating its 50% share with the equity method.

The project comprises a state-of-the-art with Best Available Techniques pulp mill, a deepwater port and a power generating unit based on renewable resources. The new mill is expected to be operational by the end of the first quarter of 2013.

The eucalyptus pulpwood will be sourced essentially from Montes del Plata’s own plantations. The company currently owns 254 000 hectares of forestland in Uruguay, of which 138 000 hectares are planted, about 100 000 hectares are protected and 16 000 hectares are suitable for planting. The project will also be of value for the economic and social development of Colonia and Conchillas, where the company is committed to an environmental performance of excellence and to working with the local authorities and the community.

“Low cost plantation-based pulp is one of the cornerstones of our strategy. Our investment is a concrete step in implementing this strategy to build the future of our Group. The Uruguayan government authorities both nationally and locally have been a welcoming supporter to Montes del Plata. We look forward to implementing the project in close co-operation with them. We are also proud to invest together with a great partner like Arauco and have a joint vision of building something in Uruguay that will be a role model for the world,” says Jouko Karvinen, CEO of Stora Enso.

“We are extremely happy to see this investment becoming a reality. It is the result of hard work by the team of Montes del Plata, strong support from the shareholders Stora Enso and Arauco, and seamless co-operation between the company and the Uruguayan and Colonia authorities. A new stage is beginning in which we will strive to build a project of excellence,” says Erwin Kaufmann, CEO of Montes del Plata.

The new pulp mill will be the largest-ever privately executed investment in Uruguay. The construction and operation of the pulp mill will have significant economic and social impacts in the country. An average of 3 200 and a peak of 6 000 workers will be employed during construction and about 500 people is expected to work at the mill once it is operational. The mill is forecast to have a positive impact on Uruguay’s GDP of 0.8% during construction and 2% when it is operating.

The entire country, as well as ARAUCO, have set an agenda to aid the victims of the earthquake and tsunami that hit Chile on February 27. The Chilean people's spirit of cooperation was seen during the Telethon that took place on March 5 and 6, which collected 50 billion pesos. The company contributed 1,500 million pesos to this effort and commited to install two facilities to build emergency homes: one in Constitución and another in Arauco, which is where the company has focused most of its relief aid.

During the first ten days following the catastrophe, ARAUCO sent trucks with relief aid to workers, contract workers and their families, as well as to part of the communities neighboring its facilities.

In total, the company has distributed 5,500 food rations; more than 319 thousand units of non perishable food (in kilos, cans, packs or liters according to each unit); more than 17,700 liters of drinking water; more than 97,600 units of essential personal care products; more than 13,900 units of clothing, bed linen, mattresses, mats, tents, plastics and bags, etc.; six electrogen equipment units and more than 94,300 liters of fuel.

Also, in a joint effort with the municipality, machinery was made available to clear the streets and highways and to provide basic services. Additionally, four hectares of land were donated for the temporary installation of one thousand emergency homes.

During this first phase, corporate aid has been important but we would like to highlight the spontaneous support efforts that company workers who have not been affected by the earthquake have organized, through the company, to help their coworkers down south.

Today, the company as a whole is preparing for the second phase which will mainly consist of debris removal and cleaning and repairing the affected production facilities and locations to get them back on their feet.

The Sustainable Social Housing in Wood Design Contest (Visumad in Spanish), organized by Universidad del Bío Bío, ARAUCO and Un Techo Para Chile Foundation, celebrated its award ceremony on January 6, at the Regional Government headquarters of Chile's VIII Region.

During the ceremony headed by Regional Intendant Jaime Tohá, first place was given to Rafael Anguita and José Becerra, a team of architects from Barcelona. Additionally, two honorary mentions were given to Santiago teams and three proposals were qualified as "suggested projects", one of which belonged to a team from San Pedro de la Paz, a community in the province of Concepción.

This initiative, which is part of the Public – Private Cooperation Agreement for the Development of the Arauco Territory, signed last June between the Regional Government, ARAUCO and the Arauco 7 Municipality Association, seeks to strengthen the region's forestry and wood identity, create new job opportunities and support economic development and social integration of the communities in the Arauco Province.

Iván Chamorro, ARAUCO's Corporate Responsibility and Public Affairs manager, pointed out that these are high standard social housing designs which include energy savings, neighborhood aspects and the incorporation of wood. "We're proud to be a part of this because we are an international company that has not forgotten its roots, and these are in Arauco. In this sense, we find this is an essential initiative that puts the intelligence and talent of the company, the academic world and the people to service in an area that is very precarious", he said.

Projects
First place was awarded to José Becerra and Andrés Anguita, whose project has been recognized for its use of a flexible system of housing typologies, creating variety and reinforcing the resident's identity. The houses are arranged in such a way that it creates good community areas with a social headquarter, emphasizing the notion of community life.

The home has a central basic nucleus for kitchen, bathrooms and a stairway that leads to the second floor, facilitating diverse arrangements for bedrooms, den and dining room with the possibility for future extensions. It integrates wood in its structure as well as in divisions and details. Also, the housing complex and each home individually take advantage of the solar radiation, reducing energy costs for light and heat.

As an alternative to traditional insulation, the project proposes the use of material manufactured using recycled paper that has low thermal conductivity, providing protection from summer heat and contention for heat inside the home, and providing excellent acoustic insulation as well.

One of two projects awarded with an honorary mention, belongs to Juan Pablo Ivanovic, Tomás Milnes and Pablo Valdivia. It was distinguished for creating a flexible home unit that can be enlarged, with community areas that generate identity and the combination of technical requirements and resource economy.

The project also presents three sustainability strategies: it defines the position of the houses in relation to the sun's path in order to provide the most sunlight; the house is designed with a wood structure based on prefabricated and industrialized modules, which simplifies construction and allows for it to be taken apart and moved; and the project proposes the installation of a sunlight collector on the roof of each home.

The other project that was awarded an honorary mention belongs to Rodolfo de la Paz, Laura Villanueva, Horacio Croxatto, Paola Adrovez, Daniel Díaz and Rafael Bas. It is based on a group of homes that emphasizes the notion of a neighborhood, set along a central community area that favors pedestrian circulation, eliminating the automobile direct accesses to homes (using a common parking area) which promotes neighbor interaction. The project also proposes maximization of space, auto construction, energy costs reduction and even the use of non organic waste.

The prizes for the winning projects were 2.5 million pesos for first place, and 600 thousand pesos for each of the honorary mentions.

The contest was organized by the Architecture, Construction and Design Faculty of Universidad del Bío Bío, ARAUCO and the Un Techo para Chile (A Roof for Chile) Foundation. It as sponsored by the Chilean Chamber of Construction, the Architects School of Chile, the Concepción regional delegation, the Arauco Plan, the National Project for Energy Efficiency, the VIMAD Project – CYTED Network, Bío Bío Region SERVIU, the Latin American Union of Architecture Schools and Faculties and CORMA – CTT.

Stora Enso's and Arauco's joint-venture company in Uruguay, Montes del Plata, has decided to initiate a feasibility study on Punta Pereira as the site for a possible future pulp mill. Punta Pereira was also the site chosen for Spanish pulp maker ENCE's planned pulp mill. Stora Enso and Arauco acquired the majority of ENCE's operations in Uruguay in October 2009.                                

Studies prepared by Montes del Plata show that Punta Pereira, in the Department of Colonia, is a promising location for the possible pulp mill and therefore more detailed economic, technical, environmental and social studies are justified. Punta Pereira also offers flexibility in terms of planning of a long-term investment.                                                           

“We have come out with a decision which is based on our preliminary economic, operational and environmental findings. The identification of Punta Pereira will allow us to proceed to the next phase - a detailed feasibility study,” says Stora Enso CEO Jouko Karvinen.                                                  

The final decision on construction of the new pulp mill will be taken by the Boards of Directors of Stora Enso, Arauco and Montes del Plata once the feasibility study is completed.                                                 

For further information, please contact:                                        
Jouko Karvinen, CEO, tel. +358 2046 21410                                       
Nils Grafström, President, Stora Enso Latin America, tel. +55 1181 759 283      
Lauri Peltola, Head of Group Communications, tel. +358 2046 21380               

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Stora Enso is the world leader in forest industry sustainability. We offer our customers solutions based on renewable raw materials. Our products provide a climate-friendly alternative to many non-renewable materials, and have a smaller carbon footprint. Stora Enso is listed in the Dow Jones Sustainability Index and the FTSE4Good Index. Stora Enso employs 29 000 people worldwide, and our sales in 2008 amounted to EUR 11.0 billion. Stora Enso shares are listed on NASDAQ OMX Helsinki (STEAV, STERV) and Stockholm (STE A, STE R). In addition, the shares are traded in the USA as ADRs (SEOAY) in the International OTCQX over-the-counter market.                                                       
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