UPM plans to invest EUR 2 billion in a new mill to be located near the city of Paso de los Toros in central Uruguay. The new mill would have capacity to produce about 2 million tonnes of eucalyptus pulp annually. A year ago UPM and the government of Uruguay signed an investment agreement which outlines the local prerequisites for a potential pulp mill. The agreement details the roles, commitments and timeline for both parties as well as the relevant items to be agreed prior to the final investment decision. Currently UPM is carrying out technical studies and applying for the necessary permits. “A pulp mill investment of this scale requires efficient logistics to enable secure wood supply and pulp deliveries from the inland mill to the port of Montevideo. This will require the construction of a modern railway to the port and a modern pulp terminal as well as development of the road network,” says Petri Hakanen, Senior Vice President of the UPM Uruguay Development Project. Click read more below for additional detail.
Midland received the communication below from our Zanders Mill representative today:
It is with heavy hearts that I tell you Zanders Paper has officially stopped production and we will close our doors. Unfortunately, a viable agreement could not be found between our investment group and the insolvency administrator to allow Zanders to move forward.