Otor to build biomass plant at Papeterie du Doubs

BRUSSELS, June 25, 2008 (RISI) - Otor has teamed up with POWEO, a French electricity and gas operator, to build a new biomass power plant at its Papeterie du Doubs facility in Novillars, northeastern France.

The two companies have created a joint venture, Biomasse Energie du Doubs, which will build and run the biomass plant. The joint venture will install a boiler and a steam turbine during 2010. The investment will cost some Euro 48 million ($75 million) and will create around 15 new jobs at the site. Otor and POWEO are currently applying for the necessary permits. The two firms are also deciding what stake in the joint venture they will each own.

The project will improve the environmental impact of Papeterie du Doubs, which currently uses 12,000 tonnes/yr of heavy oil as its main source of energy. The investment will also reduce its carbon dioxide emissions by 44,000 tonnes/yr.

The cogeneration facility will meet the mill's steam needs. The 126 million kWh of electricity produced will be sold back to the local grid and will feed the equivalent of some 50,000 homes.

The project will also help to improve the productivity of Papeterie du Doubs. But the plant's recycled containerboard capacity will remain at 72,000 tonnes/yr.