International technology Group ANDRITZ has received an order from Volga Pulp and Paper Mill in Balakhna, Nizhnij Novgorod Region, Russia, to supply a new OCC line as well as to convert its PM 6, a newsprint paper machine, to a packaging paper machine. Start-up is scheduled for the spring of 2023.

After the conversion, PM 6 will produce packaging paper from a unique mix of OCC and TMP fibers – a groundbreaking raw material composition for the production of packaging paper. Volga Pulp and Paper Mill is currently producing packaging paper from 100% TMP fibers and has now opted for this innovative solution to save resources. The rebuilt PM 6 will have an annual production capacity of 140,000 tons and a design speed of up to 720 m/min, producing lightweight fluting and testliner in the range of 65–120 gsm. The rebuild includes the paper machine approach flow system, the forming, press and dryer sections, including the steam and condensate system, a new PrimeFilm film press, some of the paper machine drives, as well as the complete tail threading system and the slitter rewinder.

The new OCC line will process local OCC (Old Corrugated Containers) and feature a capacity of 400 bdmt/d. ANDRITZ will supply all of the main equipment, from bale receiving to the dump chest, including a FibreFlow Drum pulper (type FFD350EE), which is a complete pulping system in one unit. The new drum pulper will ensure superior accept quality thanks to the gentle pulping concept and efficient removal of coarse contaminants with minimum fiber loss. Furthermore, the drum pulping technology is a perfect match for the upcoming changes in raw material and for furnish with increasing reject content. The OCC line will be delivered with an extended scope, including fractionation, screening, cleaning, and pumps as well as automation and electrification equipment with a DCS from ANDRITZ.

The ANDRITZ scope includes supervision of the mechanical installation work, commissioning, and start-up assistance.

ANDRITZ FibreFlow Drum pulper “Photo: ANDRITZ”.

In 2020, Volga Pulp and Paper Mill successfully started up a new TMP line supplied by ANDRITZ. This repeat order further strengthens the fruitful long-term relationship between the two companies.

CEO of Volga Pulp and Paper Mill Sergey Pondar says: ”The smooth start-up of our TMP line one year ago convinced us that ANDRITZ would once again be the right partner for us. The conversion of PM 6 will be an even more ambitious project, especially in view of the tight time frame.”

JSC Volga is one of the largest Russian newsprint producers and mainly uses 100% TMP as furnish. The company is also one of the top 200 exporting companies in Russia, ranking among the top 50 companies in the Russian forestry industry and the top 100 companies in the Nizhnij Novgorod region.

ANDRITZ GROUP

International technology group ANDRITZ offers a broad portfolio of innovative plants, equipment, systems and services for the pulp and paper industry, the hydropower sector, the metals processing and forming industry, pumps, solid/liquid separation in the municipal and industrial sectors, as well as animal feed and biomass pelleting. Plants for power generation, flue gas cleaning, recycling, and the production of nonwovens and panelboard complete the global product and service offering. Innovative products and services in the industrial digitalization sector are offered under the brand name Metris and help customers to make their plants more user-friendly, efficient and profitable. The publicly listed group has around 26,700 employees and more than 280 locations in over 40 countries.

ANDRITZ PULP & PAPER

ANDRITZ Pulp & Paper provides equipment, systems, complete plants and services for the production of all types of pulp, paper, board and tissue. The technologies and services focus on maximum utilization of raw materials, increased production efficiency and sustainability as well as lower overall operating costs. Boilers for power generation, flue gas cleaning systems, plants for the production of nonwovens and panelboard (MDF), as well as recycling and shredding solutions for various waste materials also form a part of this business area. State-of-the-art IIoT technologies as part of Metris digitalization solutions complete the comprehensive product offering.

https://www.andritz.com/

Accounting for 25,090 tonnes in 2021, the specialty papers market is dynamic and will present multiple lucrative diversification opportunities across the next five years. This includes delivering new grades that will allow companies to deliver on commitments to substitute away plastic in packaging; and niche industrial applications such as filtration, battery and electrical insulation papers.

As a sector, specialty papers will see solid growth through the first half of the decade at a compound annual growth rate of 2.4%, driving demand to 28,260 tonnes in 2026.

Published today by Smithers, The Future of Specialty Papers to 2026 is a dedicated market report that quantifies historic, current and future demand for 46 specialty grades. It shows that the immediate challenge is reengaging with markets in the immediate wake of the Covid-19 disruption. Globally consumption of specialty papers declined by -1.6% (CAGR) across 2019-2021, but the pandemic’s impact was far from uniform.

Demand for labelstocks and release papers increased as more consumers took to ordering goods online during lockdown. Several food contact grades – such as wax and parchment papers – also benefited from a surge in home baking and food preparation; other food packaging types saw increased sales linked to more take-outs and delivery of food from restaurants.

Medical specialty papers use rose, as protective measures were implemented in hospitals and locations for Covid-testing and vaccination. These testing protocols meant that demand for laboratory papers remained positive and these will continue to see robust growth through to 2026.

Most other industrial segments saw a fall in demand as end-use industries closed or slowed production. Consumption of ticket papers fell by -16.4% over 2019-2020, as travel restrictions were implemented; and the wider use of contactless electrical payments saw cheque paper volumes fall by -8.8%. In contrast currency papers increased by 10.5% in 2020 – but this is very much a short-term phenomenon. It is not representative of more cash circulating, but rather the understood tendency in times of economic uncertainty for consumers to hold hard currency.

In 2021, Asia-Pacific is already the largest region for specialty papers, accounting for 42% of the global market. As the economic shock of 2020 subsides, paper manufacturers in China are ramping up production to feed booming domestic demand, as well as selling to export markets. This recovery and especially the spending power of a burgeoning local middle class will make Asia-Pacific the fastest growing region over the next five years. Growth in the mature markets of North America and Western Europe will be more flaccid.

The medium-term outlook for packaging papers – C1S, machine glazed, etc – remains positive, especially where these are combined with the latest water-based coatings to provide a more recyclable alternative to flexible plastic packaging.

Where these can deliver the necessary barriers to moisture, gas, oil and grease, they can substitute a recyclable monomaterial paper for plastic formats. These are innovations that brand owners will pay for, as they search for demonstrable ways to meet regulatory and sustainable corporate citizenship goals.

References

https://www.smithers.com/en-gb/services/market-reports/paper/the-future-of-specialty-papers-to-2026

About Smithers

Founded in 1925 and headquartered in Akron, Ohio, Smithers is a multinational provider of testing, consulting, information, and compliance services. With laboratories and operations in North America, Europe, and Asia, Smithers supports customers in the transportation, life science, packaging, materials, components, consumer, and energy industries. Smithers delivers accurate data, on time, with high touch, by integrating science, technology, and business expertise, so customers can innovate with confidence. www.smithers.com

impact of Covid-19 on industrial segments will be temporary. As normality returns, and new government-backed infrastructure and house-building policies come on stream, demand for electrical – insulation, battery separator, cable – papers will rebound. Some of these will directly benefit from spending on new technologies, such as electric vehicles and supercapacitors for green energy storage. New home construction will also boost use of wallpaper and other décor papers, although this will be concentrated mostly in the less mature economies of Asia, the Middle East and Africa.

Smithers’ analysis forecasts that the pre-pandemic trend for larger companies to expand their global footprint and enact savings through vertical integration by acquiring converting capacity will foster future M&A activity. This will increase pressure on smaller less diversified specialty paper makers, even as they look to find their position in a market space reshaped by Covid-19.

Global and regional production of 46 different specialty paper types is profiled in-depth in the new Smithers report – The Future of Specialty Papers to 2026 [https://www.smithers.com/en-gb/services/market-reports/paper/the-future-of-specialty-papers-to-2026]. Comprehensive data forecasts are contextualised with analysis of impact of Covid-19, other essential market and technology trends, and profile of the leading 20 specialty paper companies worldwide today.

Valmet and CMPC have signed a letter of intent (LOI) for Valmet to deliver key technology for the BioCMPC project. The target of the project is to increase the production capacity of the Guaíba pulp mill’s line 2 from 1.5 million ADt/y (air dry tonnes per year) to 1.85 million ADt/y. The modernization is expected to start operation in the fourth quarter of 2023.

Valmet and CMPC target to finalize the contract during October 2021.

This expansion project, BioCMPC, targets both to increase the production capacity of the Guaíba mill and also improve the environmental performance with for example increased production of renewable electricity and minimized water usage in pulp production process.

“Valmet delivered the CMPC’s Guaíba mill line 2 in 2015 and the mill has been a showcase for many of our technologies. Over these years we have introduced value adding industrial internet solutions and offering our expert services for mill maintenance. To be chosen as the main partner for this remarkable project reinforces Valmet’s commitment for a more sustainable future,” says Celso Tacla, Area President, South America, Valmet.

“With this project we will continue delivering the best technology available combined with leading automation and industrial internet solutions for efficient and even more sustainable pulp production. This delivery will feature our latest technology to lower water usage, reduce emissions and eliminate odorous gases. Our experts will support optimizing the mill performance both onsite and remotely,” says Bertel Karlstedt, Business Line President, Pulp & Energy, Valmet.

Valmet and CMPC sign letter of intent for the modernization of Guaíba pulp mill in Brazil

Technical information about the delivery

Valmet’s delivery for the Guaíba pulp mill line 2 modernization will include rebuild of the pulp drying, fiberline, evaporation and white liquor plant, a new recovery boiler and new ash treatment, extended distributed control system including advanced industrial internet features. The technology delivery is supported by spare parts packages. The upgraded line is optimized for high reliability and performance with low environmental impact.

The pulp drying line upgrade will increase the drying and baling capacity and performance with the same high operational safety requirements that always guide Valmet’s projects. The upgrade includes improvements to screening and drying, automatic tail threading and an additional baling line.

The fiberline upgrade includes cooking plant technology update, fiberline improvements in brown stock and post oxygen washing and a new additional bleaching stage. The upgrade gives flexibility to minimize water usage and effluent generation improving the fiberline sustainability and environmental KPIs.

The white liquor plant upgrade includes capacity increase of the recaustisizing and lime kiln. The modernized lime kiln electrostatic precipitator (ESP) and lime mud disc filter will ensure low emissions.

The evaporation plant will be upgraded to process 2,000 t water per hour. The eight-effect design provides high steam economy and features robust and reliable Valmet Tubel design. Improved condensate treatment will lower water consumption of the mill.

The new recovery boiler will have a design capacity of 1,900 tds/d (tonnes dry solids per day) and will feature several high-power features for low energy consumption and high steam generation. The delivery also includes electrostatic precipitators (ESP) tailored for recovery boiler conditions. The recovery boiler ash will be treated with Ash Leaching Duo technology offering easy operation and improved leaching efficiency to maximize cooking chemicals recovery.

The CMPC Guaíba mill has already been the benchmark of the industry as an odorless mill. The collection and handling of the mill’s odorous gases is further improved with NCG upgrades across process islands.

The automation delivery includes Valmet DNA distribute control system, advanced process controls (APC) for selected process areas, analyzers and online measurements.

The delivery is supported with extensive Valmet Industrial Internet (VII) services package with onsite and remote expert support. The VII services include Valmet Performance Center support, Data Discovery, Dynamic Center Line Advisor, Performance Monitoring tools and Operator Training Simulator.

About the customer CMPC

CMPC produces and markets wood, pulp, packaging products, paper, tissue, and personal care products from certified plantations. The Company has over 641,000 hectares of forest plantations, mainly pine and eucalyptus, located in Chile, Brazil and Argentina. CMPC Pulp SpA operates 4 production lines in Chile and 2 in Brazil, with total annual production capacity of approximately 4.1 million metric tons of pulp.

Valmet is the leading global developer and supplier of process technologies, automation and services for the pulp, paper and energy industries. We aim to become the global champion in serving our customers. 

Valmet's strong technology offering includes pulp mills, tissue, board and paper production lines, as well as power plants for bioenergy production. Our advanced services and automation solutions improve the reliability and performance of our customers' processes and enhance the effective utilization of raw materials and energy.   

Valmet's net sales in 2020 were approximately EUR 3.7 billion. Our 14,000 professionals around the world work close to our customers and are committed to moving our customers' performance forward - every day. Valmet's head office is in Espoo, Finland and its shares are listed on the Nasdaq Helsinki.   

Read more www.valmet.com

Mitsubishi HiTec Paper produces recyclable barrier papers with water-based coatings for food and non-food packaging under the brand name barricote®. In the EU, the so-called SUPD (Single Use Plastic Directive) has created a great deal of uncertainty for this innovative and sustainable packaging material, on which we would like to take a position, as follows.

By July 3, 2021, two years after the Single Use Plastic Directive (EU) 2019/904 came into force in the European Union, the member states had to transpose the directive into national law. We expressly support the goal of avoiding and reducing littering and pollution through single-use plastic.

The intention of the guidelines published at the end of May 2021 was to provide clarity about the interpretation of the terms used in the directive. Unfortunately, the opposite is the case, because the conceptual definitions in the guidelines have created a great deal of uncertainty in paper production and processing. In particular, this concerns the statements about what is to be understood by a “main structural component” and by a “plastic coating”. It is true that the regulation and guideline underline the fact that paper can function as a sustainable alternative to single-use plastic items. At the same time, however, it is stated: "If, however, a plastic coating [...] is applied to the surface of a material made of paper or cardboard or another material in order to offer protection against water or grease, the end product is considered to be a composite article, [...] and [falls] [...] within the scope of the directive."

Barricote products are often used as wrapping paper for food

In this context, we expressly point out that the application of aqueous dispersions to the paper surface used by us for the production of our barricote barrier papers cannot be equated with a "plastic coating" - as so-called in the guidelines. No separate plastic layer is produced, but instead the natural and synthetic materials selectively protect the underlying paper against external influences, without creating a structure-giving or separable plastic layer.

These contradicting and ambiguous definitions of terms lead to great uncertainty in future product design. In the packaging sector, this inhibits the development of innovative biogenic and paper-based materials that are developed with the aim of achieving the best possible recyclability and biodegradability.

We therefore support the demands of the PTS (Papiertechnische Stiftung) and the DIE PAPIERINDUSTRIE e.V. association to the legislative bodies to create clarity in the interpretation of the directive and laws in the interests of the companies subject to them, and to expressly exclude papers with water-based dispersion coatings from the scope of the directive.

Further explanations of our point of view:

For over six years we have been making a valuable contribution to the actual goal of SUPD with our innovative barricote barrier papers, namely the reduction of pollution and littering of the environment with single-use plastics. Because our barrier papers are fully recyclable in the waste paper cycle, confirmed by PTS and cyclos-HTP, and replace classis plastic products.

Today ensuring full protection of packaged goods is still not possible without polymer-containing barrier products. But the proportion of plastic can already be significantly reduced and the product can thus be produced in a recyclable manner. We are intensively researching on completely plastic-free solutions and expect the first results within the next few years. We also believe that the use of bio-based and biodegradable plastics in combination with paper as a carrier material should continue to be an important component of alternative barrier products. Many of the substances used are approved in everyday products and food and have been shown to pose no health risk.

Aqueous dispersions themselves are not dimensionally stable without a carrier material. They do not represent a separable and stand-alone component and therefore, in our opinion, do not fall under the SUPD. Coatings made from aqueous plastic dispersions are to be regarded as paints, varnishes and adhesives (bonding agents, adhesion promoters, etc.). They do not form an independent structural element that can stand alone, but are only stable in connection with a carrier material as the actual component.

Mitsubishi HiTec Paper Europe GmbH is a German subsidiary of Mitsubishi Paper Mills Ltd., Japan, one of the world's leading manufacturers of specialty paper. The roughly 770 employees at Mitsubishi HiTec Paper Europe produce high-quality direct thermal, inkjet, carbonless, label and barrier papers for flexible packaging at two tradition-rich locations in Bielefeld and Flensburg. Each factory stands out for own base paper production, state-of-the-art production machinery and innovative coating technologies. Through its dense global sales network, Mitsubishi HiTec Paper Europe supplies a full range of specialty papers for many applications and printing technologies – and is a highly capable partner whenever customized coated paper solutions are required.

www.mitsubishi-paper.com

SCA and St1 have entered a joint venture to produce and sell liquid biofuels. SCA will supply tall oil to the joint venture and will invest approximately SEK 0.6 billion in the company. SCA and St1 will be equal shareholders of the joint venture, which will itself have a 50% share in the St1 Gothenburg Biorefinery, which is now making an investment in a biorefinery with total capacity of 200,000 tonnes of liquid biofuels, estimated to a total investment cost of SEK 2.5 billion. The new biorefinery will be operational in Q2 2023.

“Partnership with SCA is a key element in the implementation of our renewable fuels investment program and it secures the supply of renewable feedstock materials to meet the ambitious Nordic climate targets for 2030”, says Henrikki Talvitie, CEO of St1 Nordic Oy.

“In line with our communicated long term strategy, we will now with the joint venture with St1 go from being a supplier of tall oil to the chemical and fuel industries to becoming active in the further refining of our renewable raw materials”, says Ulf Larsson, President and CEO of SCA. “We will continue to develop the business potential of the renewable by-products we have from our forests and industries in order to further develop our value chain and to contribute to the EU’s ambitious climate strategy.”

The new biorefinery is under construction on the St1 refinery site in Gothenburg and will have a total capacity of 200,000 tonnes of liquid biofuels. It is designed to optimize production of renewable HVO diesel and biojet fuel and to use tall oil-based feedstock. The joint venture will have access to SCA’s tall oil, a by-product from the kraft pulp production at SCA’s mills in Östrand, Obbola and Munksund. The biorefinery will also be capable of using a wide range of other feedstocks and is expected to be operational in Q2 2023.

As part of the agreement, St1  also becomes a 50% owner of SCA Östrand Biorefinery. The Östrand biorefinery project has recently received environmental permits for the production of 300,000 tonnes of liquid biofuels based on black liquor (a by-product from kraft pulp production) and solid biomass (such as sawdust or bark). The biorefinery in Östrand is a development project where a number of technological challenges remain to be solved before a project design can be finalized.

St1 Nordic Oy is a Nordic energy group whose vision is to be the leading producer and seller of CO2-aware energy. The Group researches and develops economically viable, environmentally sustainable energy solutions. St1 focuses on fuels marketing activities, oil refining and renewable energy solutions such as waste-based advanced ethanol fuels and industrial wind power. The Group has 1250 St1 and Shell branded retail stations in Finland, Sweden and Norway. Headquartered in Helsinki, St1 employs currently more than 1000 people. www.st1.com

The core of SCA’s business is the growing forest, Europe’s largest private forest holding. Around this unique resource, SCA have built a well-developed value chain based on renewable raw material from the company’s own and others’ forests. SCA offer packaging paper, pulp, wood products, renewable energy, services for forest owners and efficient transport solutions. 2020 the forest products company SCA had approximately 4,000 employees and sales amounted to approximately SEK 18.4 bn (EUR 1.8 bn). SCA was founded in 1929 and has its headquarters in Sundsvall, Sweden. For more information, visit w.sca.com

International technology group ANDRITZ has successfully started up key production equipment for the first of two environmentally friendly hardwood pulp production lines supplied for Bracell’s “STAR” project in Lençóis Paulista, São Paulo. The second line is expected to be started up by the end of September.

Project STAR is one of the largest and most sustainable pulp mills in the world, operating with the highest environmental standards. It features two flexible, environmentally friendly hardwood fiberlines for a capacity of 2.6 to 2.8 million tons/year of bleached kraft pulp or 1.5 million tons/year of dissolving pulp made from sustainably cultivated eucalyptus.

The ANDRITZ A-ConFlex^TM continuous kraft and dissolving pulping technology enables flexibility in production of high-quality dissolving pulp and kraft pulp. With this delivery, ANDRITZ once again confirms its position as the only technology supplier with solid references and experience in continuous cooking of dissolving pulp. With a capacity of 13,000 tons per day, the ANDRITZ HERB^TM recovery boiler is the largest in the world. It will make the mill self-sufficient in energy supply and additionally produce around 180 megawatts of green energy for the Brazilian grid. This covers the energy consumption of about three million people in the region.

ANDRITZ supplied major pulp production equipment for Project STAR, Brazil “Photo: ANDRITZ”

The ANDRITZ scope of supply includes:

• a complete, high-capacity wood processing plant, enhanced with state-of-the-art ANDRITZ IIoT Smart Woodyard solutions to ensure optimum chip quality,
• two flexible fiberlines with DD-Washer technology,
• the largest EvoDry^TM Pulp Drying System in the world, with two energy-efficient pulp drying lines and equipped with the Metris DryQ smart pulp drying solution and Metris remote connection to ensure a fast start-up,
• an ANDRITZ HERB recovery boiler,
• a non-condensable gas (NCG) treatment system.

ANDRITZ GROUP

International technology group ANDRITZ offers a broad portfolio of innovative plants, equipment, systems and services for the pulp and paper industry, the hydropower sector, the metals processing and forming industry, pumps, solid/liquid separation in the municipal and industrial sectors, as well as animal feed and biomass pelleting. The global product and service portfolio is rounded off with plants for power generation, recycling, the production of nonwovens and panelboard, as well as automation and digital solutions offered under the brand name of Metris. The publicly listed group today has around 27,000 employees and more than 280 locations in over 40 countries.

ANDRITZ PULP & PAPER

ANDRITZ Pulp & Paper provides equipment, systems, complete plants and services for the production of all types of pulp, paper, board and tissue. The technologies and services focus on maximum utilization of raw materials, increased production efficiency and sustainability as well as lower overall operating costs. Boilers for power production, flue gas cleaning plants, plants for the production of nonwovens and panelboard (MDF), as well as recycling and shredding solutions for various waste materials also form a part of this business area.

AMETEK Surface Vision, a leading provider of online surface inspection solutions, will be both exhibiting and presenting its technical expertise at next month’s TAPPICon Live! pulp and paper industry conference.

Held in in Atlanta, Georgia, from October 3-6, TAPPICon Live! is the foremost pulp and paper industry conference in the US, and offers a comprehensive technical program, multiple networking opportunities, and exhibitions.

AMETEK Surface Vision will exhibit its surface inspection solutions on Booth 908. Francois Levac, the company’s Business Director, America, will also discuss ‘Detection of Subtle Streaks and Classification of Defects based on Color’ as part of the show’s New Technology Showcase.

This presentation will highlight AMETEK Surface Vision’s new coating applications inspection feature, which detects subtle streaks and classifies defects based on color. This allows faster, more accurate defect detection and classification, allowing immediate action to avoid scrap material being produced.

It is based around the proven SmartView® inspection system, which has more than 2,500 installations around the world, providing product visibility and process quality to a wide range of industries. Around 950 of these installations are in the pulp and paper sector.

As a modular system, SmartView can be configured with the best-fit technology for each application, including color cameras to enable better identification of defects and to distinguish them from harmless spots that may be falsely flagged as defects by a monochrome system.

Francois Levac, Director of Sales – Americas, said: “TAPPICon Live! provides an excellent opportunity for us to demonstrate the benefits of our color camera inspection systems in pulp or paper contaminant detection applications. I’m looking forward to explaining how this new technology allows us to accurately classify defects based on color, including blood, insects, dye clumps versus dirt, and more, reducing scrap material.”

Visit AMETEK Surface Vision’s expert team on Booth 908. For more information visit www.ameteksurfacevision.com. To register for TAPPICon Live! go to https://tappicon.org/?_TAPPICon_ .

About AMETEK Surface Vision

AMETEK Surface Vision is a world leader in automated online surface inspection solutions with a broad product portfolio optimized for web and surface inspection as well as monitoring and process surveillance applications.

Its product portfolio includes two distinct product lines: SmartView^® systems and SmartAdvisor^® systems. Each product line uniquely enables customers to inspect the surfaces of materials processed in a continuous fashion across the metals, paper, plastics, nonwovens, and glass industries. Learn more by visiting ameteksurfacevision.com.

AMETEK Surface Vision is a unit of AMETEK Process and Analytical Instruments, a division of AMETEK, Inc., is a leading global manufacturer of electronic instruments and electromechanical devices with 2020 sales of more than $4.5 billion.

Smurfit Kappa Group plc (SKG:ID SKG:LN) (together with its subsidiaries, “Smurfit Kappa” or the “Group”), one of the world’s largest integrated manufacturers of paper-based packaging products, with operations in Europe and the Americas, have just announced a dual-tranche offering by one of its wholly-owned subsidiaries, Smurfit Kappa Treasury Unlimited Company, comprising €500 million in aggregate principal amount of senior notes due 2029 and €500 million in aggregate principal amount of senior notes due 2033 (together, the “New Notes”) (the “Offering”).

The Group intends to use an amount equivalent to the net proceeds of the Offering to finance or refinance a portfolio of eligible assets and expenditures (“Eligible Green Projects”) in accordance with its previously announced green finance framework (the “Green Finance Framework”), which the Group may, in the future, update in line with developments in the market. The Green Finance Framework and the ISS ESG Second Party Opinion thereon are available at smurfitkappa.com/investors.

Under the Green Finance Framework, Eligible Green Projects include circular economy adapted products, production technologies and processes and/or certified eco-efficient products, such as: (i) reclamation of used fibres; (ii) recycling of used fibres; (iii) paper milling; and (iv) packaging conversion. In addition, Eligible Green Projects include the environmentally sustainable management of living natural resources and land use, such as the procurement of responsibly-sourced raw materials or ingredients (like wood, pulp, paper and recovered paper) and the utilisation of forests and raw materials certified in accordance with (i) Forest Stewardship Council (FSC) standards; (ii) Sustainable Forestry Initiative (SFI); and (iii) Programme for the Endorsement of Forest Certification (PEFC).

The Group intends to issue a notice today for the conditional redemption of €500 million in aggregate principal amount of the 2.375% Senior Notes due 2024 (the “2024 Notes”), issued by Smurfit Kappa Acquisitions Unlimited Company pursuant to an indenture dated 24 January 2017. The Group intends to use cash on hand and/or existing available facilities to fund the redemption of the 2024 Notes and pay accrued but unpaid interest thereon. The redemption is currently anticipated to take place on 25 September 2021 and is conditional upon the completion of the Offering and the receipt by the Group of the net proceeds from the sale of the New Notes on or before the redemption date. There can be no assurance that the Offering or the redemption of the 2024 Notes will be completed.

The New Notes are being offered in a private placement and there will be no public offering of the New Notes. The New Notes will be offered and sold only to non-U.S. persons outside the United States in accordance with Regulation S under the U.S. Securities Act of 1933, as amended.

Kemira, a global chemicals company serving customers in the pulp and paper industry, announces price increases in the Process & Functional chemistry portfolio globally. The increase will be up to 30%, and effective for deliveries from October 1^st 2021 onwards or as contracts allow.

The Process & Functional portfolio includes all specialty chemical products utilized in pulp, paper and board production. Applications include pulping, wet-end chemistry, surface chemistry and water treatment.

The industry is experiencing a sharp increase in the costs for raw materials, transportation, packaging and labor, as well as tightening regulatory demands. Raw material and logistics availability continue to be constrained.

Kemira remains committed to adding value to its customers’ operations by providing the highest quality products and services in these challenging global conditions. The company focuses on optimized operational efficiency to ensure smooth deliveries in all circumstances.

Kemira also continues to invest in digital technologies, the development of new products and functionalities and proceeding with further capital investments in its factories and plants, building future growth for the paper and board industry together with its customers.

Kemira is a global leader in sustainable chemical solutions for water intensive industries. We provide best suited products and expertise to improve our customers’ product quality, process and resource efficiency. Our focus is on pulp & paper, water treatment and oil & gas. In 2020, Kemira had annual revenue of around EUR 2.4 billion and around 5,000 employees. Kemira shares are listed on the Nasdaq Helsinki Ltd.
www.kemira.com

39% of Suzano’s debt linked to social and environmental commitments

Suzano, the world's leading eucalyptus pulp and paper producer and a global benchmark in the manufacture of bioproducts developed from eucalyptus, announces the completion of a new seven-year (2028) US$500 million Sustainability-Linked Bond (SLB) linked to social and environmental targets. The capital raising received high levels of investor interest, attracting USD 3.4bn in demand - 6.8x oversubscribed.

The targets have clear links to Suzano’s Environmental, Social and Governance commitments around diversity & inclusion (D&I), as well as its continued focus on conservation and promoting biodiversity.

Specifically, Suzano is dedicated to:

• Increasing the representative of women in leadership positions in the Company to 30% by the end of 2025 (16% of women were in leadership positions in 2019), and
• Decreasing the intensity of water captured in industrial operations by 12.4% to 26.1 m3/ton produced or less by the end of 2026 (from 29.8 m³/t in 2018).  

Julio Ramundo, Director of Corporate Finance at Suzano, commented: “We are delighted with the outcome of this new issuance. Once again, we received high investor demand, driven by ongoing investor appetite for climate-conscious capital opportunities. That has translated into reduced cost of capital for Suzano as the 2028 transaction resulted in the lowest yield for a Brazilian corporation for the seven-year term.

“ESG practices have been an inherent part of Suzano's DNA and daily operations for many years. This latest transaction underlines Suzano’s commitment to making its capital structure as responsible and sustainable as possible. 39% of Suzano’s debt is now issued through Sustainability Linked Bonds or other green finance products compared to 9% two years ago.

“That said, Suzano recognizes that its ESG journey is far from complete and is committed to continuously reviewing and advancing its position and levels of transparency, which is driven by having clear goals”.

This new seven-year (2028) bond follows the completion of a US$1 billion Sustainability-Linked Bond; it makes use of similar targets as the ten-year transaction completed in June 2021 which received high investor demand at >4.5x the initial planned issuance of US$750 million. The bond was the first SLB of its kind in Latin America that includes a D&I target, with bondholders entitled to receive a higher amount of interest if Suzano fails to meet its targets.

Since 2020, Suzano has raised approximately US$2.75 billion in Sustainability Linked Bonds, making Suzano one of the leading corporations in this field. In September 2020, Suzano became only the second company globally to link its public commitments on ESG to the company's debt management by launching its first Sustainability-Linked Bond. This was the first by any Latin American company and in the pulp and paper sector. The bond is linked to the goal of reducing greenhouse gas emissions by 15% by 2030 and raised a total of US$1.25 billion in the international market (US$750 million in September 2020 and a further US$500 million in November 2020).

These capital raisings underline Suzano’s leading position as an agent of change in the combined development of innovative and sustainable solutions contributing to tackle society’s greatest challenges through its business. In addition, this transaction highlights Suzano’s commitment to making its capital structure as sustainable and green as possible. After this issuance, 39% of Suzano’s debt is issued through Sustainability Linked Bonds or other green finance products compared to 9% at the end of 2019.

The two Sustainability-Linked Bond goals are part of Suzano’s 14 long-term public goals, called the ‘Commitment to Renew Life’. These goals can be viewed at: https://centraldeindicadores.suzano.com.br/en/long-term-goals2/