Wermland Paper is in the forefront of biofuel development thanks to an agreement with STFI-Packforsk
August 2007
By Graeme Rodden
China's explosive growth in steel production has been a boon for Wermland Paper, Kristinehamm, Sweden. In 2007, specialty paper production at the company's two Swedish mills, Backhammars and Amotfors, will reach 162,000 tonnes. And, one of the products is an interleaf paper for stainless steel to prevent scratching.
The boom in Chinese steel production has helped Wermland increase sales by 15% since 2005 and profits by even more. Although the interleaf paper is a key product, it is not the only one in the Wermland range. Production is forecast to reach 166,000 tonnes/yr in 2008 and an extra shift will be added at the Amotfors mill. This is a remarkable achievement for a company that was only formed in 2003, and which only produced 136,000 tonnes/yr at that time.
Wermland Paper runs four paper machines in all, two at each mill. The Backhammars mill also produces 175,000 tonnes/yr of unbleached kraft pulp and expects to add another 5,000 tonnes/yr in 2008 (with no major capital investment). It used to sell about 15,000 tonnes/yr on the market but with production being ramped up at both mills, all the pulp will be used internally in 2008. Wermland must still buy some bleached kraft pulp for its high-bright products.
President and CEO Christer Simren says Wermland is now a specialty kraft paper producer, selling almost all its output to industrial customers. He calls the change in the business, particularly the increased sales of specialty and technical papers to China and India "thrilling". As well as steel interleaf, Wermland also sells absorbent and electro-technical papers to these countries. They account for 5-10% of the company's sales. "Steel interleaf growth in China has been fantastic," Simren adds. "In 2007, three million tonnes of cold rolled steel will be produced in China; that requires interleaf paper."
The increase in revenue has meant additional sales help had to be hired: there is now 10 full-time sales staff. And, the company is seeing growth in Russia as well. But, growth at Wermland is not all about production. At Backhamars, the turbine is being rebuilt in connection with planned revision work at an overall cost of Euro 3 million ($4.1 million) to improve the mill's energy self-sufficiency to 60% from 50%. More importantly perhaps, Wermland Paper is also in the forefront of developments in the biofuel sector.
A pioneer in biofuels
The company has an agreement with STFI-Packforsk for the production of LignoBoost, a fuel made from lignin with a high dry solids content that is taken from the evaporators.
Although much has been discussed and written about biofuels recently, at Backhammars, the history goes back well before Wermland Paper was founded. Simren explains that the former owner of the Backhammars mill, Ingmar Petterson, had worked with what is now Borregaard ChemCell in the 1980s.
Borregaard took black liquor from the Backhammars mill, extracted some of the content and used it to produce specialty chemicals. The thinner black liquor was then returned to the mill to be burned in the recovery boiler. The plant was built across the road from the mill, with Borregaard owning the equipment and Backhammars owning the building.
Simren says Backhammars "did well" from the plant over the years, receiving about Euro 200,000/yr from Borregaard for the energy loss from the thinner black liquor.
However, Borregaard decided to close the plant and sell the rights to produce the chemicals to an American concern.
In 2005, STFI contacted Wermland about re-opening the facility to produce LignoBoost. According to STFI-Packforsk director, fiber, pulp and energy division, Peter Axegard, LignoBoost is the result of the research programs Ecocyclic Pulp Mill and Future Resource Adopted Pulp Mill, launched and operated by STFI-Packforsk between 1996 and 2002. The work was done as a collaborative effort between universities and private enterprise, with Backhammars one of the partners. The research institute had done some work during the Borregaard era and wanted to establish a demonstration facility that could run continuously, adds Simren.
Using an existing building with equipment already installed was much more economical than building a greenfield site. Wermland made a verbal agreement with STFI to continue development, explains Simren. STFI purchased the equipment from Borregaard but Wermland Paper still owns the building. By February 2007, the plant was in production. Virtually all of the existing equipment could be used. Concerns about the cleanliness (sodium content) of the lignin, meant that an additional washing stage had to be added.
Capacity of the plant is 10,000 tonnes/yr, but it is currently operating at about 4,000 tonnes/yr. The mill sends black liquor to the plant across the road via a pipeline. Currently STFI sells the LignoBoost to the Swedish energy company, Fortum.
In effect, Wermland Paper controls production because the mill's needs take priority. Production director Johanna Svanberg says, "They give us a weekly forecast of how much they will need and the operating staff on both sides keep in touch regarding tank levels." In case of stoppages, each site has a buffer tank.
Svanberg notes that some 5% of the mill's total liquor flow over a year is sent to the LignoBoost facility.
The thin black liquor is returned to the mill and mixed with the mill's other weak black liquor.
Interested in the long-term
The cooperation agreement between STFI and Wermland Paper runs until the end of 2008. The paper company is interested in the technology and the agreement includes license rights. Taking over the equipment would, however, mean negotiating with STFI. "In the long-term we see it as interesting because we want to replace fossil fuels in the limekiln," explains Svanberg. "We could be open to trials in the limekiln but we would need some investments, because the burners cannot handle solid fuels. Also, perhaps we can do a study on how the turn the lignin into a slurry, instead of using it in a dry form."
Transporting a fuel like this for any distance does not make sense, she adds, for energy and environmental reasons.
Just as when Borregaard operated the plant, the mill has seen no impact on the recovery boiler's performance.
As could be expected with this technology, the mill has entertained a number of visitors to see the process and product. Svanberg says she is often asked about the effect on the recovery cycle and she answers that there is none. "The liquor we get back is the same we got back from Borregaard." However, notes Svanberg, "When Borregaard stopped its operation, our sulfidity decreased." Wermland is hoping to regain this sulfidity to clear a bottleneck in the causticizing unit/limekiln.
"For a number of mills where the recovery boiler is a bottleneck, [LignoBoost] could be a solution," believes Simren.
