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Södra to invest in textile pulp production

December 20, 2010 (Sweden)

Södra’s board of directors has approved an investment to produce dissolving pulp at its Södra Cell Mörrum pulp mill. This will involve converting pulp line 1, which is currently used to produce paper pulp.

At full capacity, Södra Cell Mörrum will produce 170,000 tonnes of dissolving pulp based on hardwood. The production of dissolving pulp will gradually increase to compensate lost paper pulp volumes as a result of the development of digital media.

Södra strongly believes in the potential of the dissolving pulp market, and especially in the textile fibres segment.

“The demand for renewable, wood-based textile fibre will increase as it replaces cotton fibre and oil-based synthetic fibre,” said Gunilla Saltin, CEO of Södra Cell.

The investment at Mörrum will give Södra competitive dissolving pulp production based on hardwood. However, Södra will also continue to produce paper pulp based on birch at its mill in Mönsterås.

Work on the conversion will begin immediately with production expected to start by the end of 2011. Existing production will not be affected during the construction period.

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