Subjects: FNC, ACC
Stora Enso invests in cross laminated timber (CLT) production in Czech Republic
HELSINKI, Sept. 7, 2020 /PRNewswire/ -- Stora Enso has decided to invest approximately EUR 79 million in a new production line for cross laminated timber (CLT) at its ?dírec sawmill in the Czech Republic. The investment will further enhance Stora Enso's position as a global provider of high-quality engineered wooden elements and as a market leader in CLT.
Production is scheduled to begin during the third quarter of 2022. The estimated annual production capacity will be approximately 120 000 mł after ramp-up. The investment is expected to generate annual sales of approximately EUR 70 million when run at full capacity and to meet the Wood Products division's profitability target of 20% operational return on operating capital (ROOC).
"This investment enables us to accelerate our growth within the mass timber construction market. It is well in line with our strategic integrated mill concept. It will further improve our capabilities to offer a high-quality range of building solutions for our customers around the world. CLT is showing significant growth potential in the market, with characteristics that make it possible to build higher, lighter and yet stronger than ever before. With our well-proven building concepts and supporting digital tools, we intend to inspire and drive the construction industry towards a more sustainable future, built on renewable materials," says Lars Völkel, Executive Vice President, Stora Enso Wood Products division.
Construction is expected to start during the first quarter of 2021. Stora Enso invests in the latest technology, which, together with fully integrated production at the ?dírec sawmill, will provide customers with cost-efficient solutions and premium products. Integration with the existing sawmill will also add benefits in, for example, raw material and energy supply, and logistics. The ?dírec sawmill is favourably located close to the European markets of Stora Enso.
The investment is estimated to increase the number of employees at the mill by approximately 110 FTEs. Stora Enso has received all required permits for the project.
Currently, Stora Enso has three CLT production units with a total capacity of 270 000 m3: Gruvön in Sweden and Ybbs and Bad St. Leonhard in Austria.
Photos are available at https://storaenso.emmi.fi/l/Bf7gJBSs5qQP
Part of the bioeconomy, Stora Enso is a leading global provider of renewable solutions in packaging, biomaterials, wooden constructions and paper. We believe that everything that is made from fossil-based materials today can be made from a tree tomorrow. Stora Enso has some 25 000 employees in over 30 countries. Our sales in 2019 were EUR 10.1 billion. Stora Enso shares are listed on Nasdaq Helsinki (STEAV, STERV) and Nasdaq Stockholm (STE A, STE R). In addition, the shares are traded in the USA as ADRs (SEOAY). storaenso.com
The Wood Products division is a leading provider of innovative wood-based solutions. The product range covers applications for construction and the window and door industry, as well as for the packaging and decoration industries. Biocomposites offer plastic replacement opportunities in, for example, consumer goods, industrial components, cosmetics and packaging. Pellets provide a sustainable solution for heating. The offering includes service concepts such as Building Solutions and e-business. Our solutions meet strict requirements regarding safety, quality, design and sustainability.
For further information, please contact:
Ulrika Lilja
EVP, Communications
tel. +46-72-221-9228
Investor enquiries:
Ulla Paajanen
SVP, Investor Relations
tel. +358-40-763-8767
This information was brought to you by Cision http://news.cision.com
These press releases may also interest you
|
News published on and distributed by:
