BRUSSELS , Jan. 31, 2012 (Viewpoint) -
The January edition of RISI's World Pulp Monthly, which is being published this week, includes details that we have developed about a very large greenfield market pulp mill that is currently in development in Indonesia. This news could take many in the industry by surprise, and it will have implications for the long list of companies that are developing their own plans for BHK market pulp mills, especially in South America.
We have been able to confirm with reliable sources that Asia Pulp and Paper (APP) is actively developing a large BHK market pulp mill to be located in south Sumatra. Details are not finalized, but the mill is expected to have a nominal capacity of between 1.5 and 2.0 million tonnes per year of BHK, making it the largest single pulp line in the world. APP has been doing extensive planting in the south Sumatra area for some years now, and there is a considerable amount of wood reaching maturity. It is not expected that there will be paper machines installed at the site. We believe that APP has been in discussions with equipment suppliers, but no further details are available. Startup for the mill is being targeted for 2015-16.
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