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Forest products

Issue date: 
December 2009

UPM'S FRAY BENTOS PULP MILL IN URUGUAY

On 8 December 2009, UPM, Metsäliitto, M-real, and Botnia closed the transaction according to which Metsäliitto's and Botnia's share of the Fray Bentos pulp mill and the eucalyptus plantation company Forestal Oriental in Uruguay were transferred to UPM. UPM has a 91% ownership in the Fray Bentos pulp mill and 100% in Forestal Oriental.

Construction of the Fray Bentos pulp mill began in 2005. The total investment was 1.2 billion US dollars. The mill started pulp production in November 2007.

Issue date: 
April, 2010

Some Thoughts on the Future of Pulp

PaperMoney asked me to write a bimonthly column on the industry in “my” area, which is Canada. As the deadline rolls around I find myself in Uruguay, working on a permit application for a new 4000 tons/day mill, and realize that the situation here has much to do with North America.

Some of the current, and impending, closures of pulp mills in Canada and the United States are of course due to the expansion of low-cost, high quality pulp producers in South America.

Issue date: 
April 16 2010

Sweden: Strike at six Swedish mills

April 16 2010 Swedish Paper Workers Union’s notice of total stoppage of work at six Swedish pulp and paper mills was carried out early Friday morning.

Issue date: 
16-Apr-2010

Finnish paper firms fear renewables reform-report

HELSINKI, April 16 (Reuters) - Finnish forestry companies UPM-Kymmene and Stora Enso fear that the government's plan to subsidise use of wood as a source of renewable energy will increase its price and serve another blow to the struggling industry.

Issue date: 
Apr 5, 2010

Sale of French mills expected to allow Tembec to ride pulp price wave

MONTREAL — Tembec's impending sale of two French pulp mills will allow the Quebec-based forestry company to reduce its debt and better ride the current wave of rising global pulp prices, an industry analyst said Monday.

Issue date: 
April 15

Guyana: Illegality in forestry sector significant -study finds

There is a “significant” level of illegality in Guyana’s forestry sector though it is lower than in several other major tropical timber producing countries in South America and around the world, according to a study commissioned by Norway’s Ministry of the Environment.

Issue date: 
April 13, 2010

Grandson of Black Liquor: Congress Milks Another Pulp Byproduct for Bogus Savings

For the second time this year, Congress plans to “pay” for a new program partly by closing a non-existent loophole involving a pulp byproduct.

The House-passed version of the “Small Business and Infrastructure Jobs Tax Act of 2010” counts on nearly $1.9 billion in revenue from making crude tall oil ineligible for Cellulosic Biofuel Producer Credits (CBPC). As with the $23.6 billion Congress recently “saved” by closing the mythical Son of Black Liquor loophole, the crude tall oil savings are a mirage because the chemcial probably could not qualify for the credits anyway.

Crude tall oil starts as a substance skimmed off of black liquor at kraft pulp mills that use pine as their wood source. In theory, it can be burned as a fuel, but it is almost always refined into more valuable chemicals that are used in such products as soaps, inks, adhesives, lubricants, and rosin. (Yes, baseball and fiddle fans, that kind of rosin.)

The legislation, which has been referred to the Senate Finance Committee, states that “The term ‘cellulosic biofuel’ shall not include any processed fuel with an acid number greater than 25.” (Acid number, rather than pH, is the measure of acidity commonly used for oils.)

“The normal acid number for crude tall oil is between 100 and 175,” says an explanatory document from Congress’ Joint Committee on Taxation. “Since the acid number for crude tall oil exceeds 25, crude tall oil would no longer qualify for the credit under the provision.”

Issue date: 
Apr 14, 2010

CEP signs deal with Sinar Mas regarding Mackenzie pulp mill

The Communications, Energy and Paperworkers Union of Canada (CEP) has signed a deal with Sinar Mas (parent company of Asia Pulp and Paper) - the company that is purchasing the former Pope & Talbot/Worthington pulp mill in Mackenzie, British Columbia.

Issue date: 
April 12, 2010

Chile’s wood products industry reconstructs: what does this mean for North American markets?

 

Issue date: 
April 2, 2010

Valuing Water and its Ecological Services in Rural Landscapes: A Case Study from Nepal

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by Dr. Radut