Borregaard has received 4 million Euros in research grants from the EU. The funding will be used for demonstration plants within development projects connected to Borregaard’s biorefinery concept.

“Borregaard has shown ability and willingness for research and development. Now we have been are rewarded for it,” says technology director Gudbrand Rødsrud.

The EU’s seventh framework programme for research and development is offering altogether 57 million EUR through the Joint Biorefinery Call during the period 2010-2014. More than 50 projects applied at the beginning, but only three have received support. Borregaard is represented in two of these.

The intention of the EU funding is to stimulate European industry to be more competitive in the international markets. The Joint Biorefinery Call is particularly aimed at the development of renewable fuels and chemicals to reduce greenhouse gases and make us more independent of oil and gas in the future.
From biomass to products

One of the projects has been named EuroBioRef and is coordinated from Lille University in France. The project has 28 partners who are jointly developing new methods of making chemicals from biomass. In this project Borregaard alone has received funding of 2.9 million euro.

“Our role in EuroBioRef is to develop technology which degrades the biomass to sugars in solution,” says Gudbrand Rødsrud.

The other project Borregaard has received funding for, Suprabio, is also about complete biorefinery processes from biomass to a range of products. Here Borregaard is contributing with microfibrillar cellulose. The project has 16 partners and Borregaard alone is receiving 1.1 million euro in EU support.
Unique funding

What is unique about this funding is that it is focused on building demonstration and pilot plants for optimising processes.
“This funding enables us to carry out research and build demonstration plants that would not otherwise have been possible,” explains Rødsrud.

For more information, please contact:
Tone Horvei Bredal, phone: 0047 92467711,
e-mail: This email address is being protected from spambots. You need JavaScript enabled to view it.

About a year ago the Turku based work shop Stairon Oy (Ltd.) started with its partner to plan a new strategy how to gain new business opportunities and growth in the future. “Starting point was the fact  that already now the customers are demanding deliveries with larger scope than for a couple of years ago and the customer does not hand out ready drawings to work with / to start with”, says Mr. Hussi - the Managing Director and the major share holder of Stairon Oy (Ltd.). “We made a decision to reach out for reliable and competent partners with whom we can offer the customer deliveries with a wider scope – “turnkey”- deliveries - everything from engineering to installation and maintenance. This was the fastest way to gain knowledge and experience”, concludes Mr. Hussi.

The goal was to find four to six companies that mutually complement each other and together are able to deliver the customer with the demanded knowledge in the business areas that the customers want. The new strategy includes a new business plan, gaining of the knowledge in the existing and new business areas.

In order to integrate the operations a common brand S4i – Stainless for Industry – was formed. S4i comprises of five mutually complementary companies specialised in making of welded sheet metal structures, machinery and equipment made of stainless and acid-resistant steel as well as aluminium for the Pulp & Paper, Energy and Environmental Technology industries. S4i is an umbrella organisation containing extensive and diverse competence and machinery enabling comprehensive “Turn key”-deliveries.

“Our goal is to be together stronger than the sum of the five of us standing alone”, says Mr. Sorsavirta,  the Deputy Managing Director of Sepima Oy (Ltd.), who was originally behind this concept with Mr. Hussi. The close cooperation between the S4i-companies supports the entrepreneurship – that certain edge, which keeps the companies going more focused compared with a company with a single ownership.

The second important decision that was made was to export and get activated in internationalization process. S4i has appointed a Joint Export Manager who coordinates the export efforts of the S4i-companies and is responsible for the export activities in Central Europe. “We want to be regarded as an organization with unique expert knowledge and competence also outside of Finland, since otherwise we would be in danger of losing our position in the Finnish markets as well. There are no longer the traditional home markets in the EU – therefore our main market area is Europe but due to the global activity of our partners, all the S4i-companies have delivered worldwide through large Finnish concerns, making us a global player”, Mr. Hussi continues.

As mentioned earlier customers want nowadays more than just a product or service.  The best way to manage this demand is to offer the customers comprehensive knowledge, added value in a win-win-manner – furthermore one has to be agile and adaptive.

Mr. Hussi is pleased that we started to plan the changes already prior the current economical situation, so we have a slight head start. What we need now is new thoughts and new business models. Problems are no longer solved with old fashioned thinking – they are solved with a new, wider understanding, looking at things differently from a wider perspective with new insights.

Members of the S4i bring their own supplier and customer network to the common use of the S4i, which leads to larger volumes and serves the whole S4i.

The business areas of the S4i are as mentioned Pulp & Paper, Energy and Environment Technology. Kymtec Oy (Ltd.) is responsible for the development of the process technology needed in the S4i-deliveries, whereas the other members focus on the development and optimization of the production and service concepts. This enables us to compete with competitors from the LLCC (Low Labour Cost Countries).

The S4i–complete service concept is offered by workshops Stairon Oy (Ltd.), High Metal Production Oy (Ltd.) and Sepima Oy (Ltd.) as well as engineering company Kymtec Oy (Ltd.) and industrial installation and maintenance company Efkava Oy (Ltd.).

S4i employs today more than 300 professionals and has revenues totalling approximately EUR 40 m€. In future we will be able to deliver increasingly demanding and extensive bespoke systems and components for our customers.

The S4i-Companies

Stairon Oy (Ltd.) is a Turku-based workshop with roots leading back to the 1960s. With turnover of approx. EUR 13 million, the company employs 75 people. Stairon is a system supplier providing comprehensive high-quality equipment made of stainless and acid-resistant steel or aluminium to various industries. It specialises especially in ventilation systems for paper machines. Other typical products include air dryers for paper machines, runnability components, heat exchangers, heat recoverys systems, fans and silencers.

High Metal Production Oy (Ltd.) is a Vantaa-based workshop established in 1949, with turnover of EUR 4 million and 30 employees. The company develops and manufactures innovative sheet metal structures from stainless and acid-resistant steel using the latest cutting and welding laser technology. Typical products include hygienic conveyors, corrosion-proof equipment and systems, silos and funnels, special filters, applicators and hoods.

Sepima Oy (Ltd.) is a Naantali-based contract workshop and turnkey supplier. Established in 1989, the company now has 20 employees. Its main materials are stainless and acid-resistant steel as well as aluminium. The company utilises the latest production technologies, including water cutting and robot welding. Its typical products are machines and aggregates, containers, funnels and pipelines.

Kymtec Oy (Ltd.) is an engineering office based in Kouvola, specialising in technical design. The company was established in 1989 and has turnover of approx. EUR 2 million with 24 employees. Kymtec’s design and planning services cover process planning, industrial design and energy planning. It has specialist competence in paper and board processes, chemical processes and energy technology investments and projects.

Efkava Oy (Ltd.) is an industrial installation company headquartered in Helsinki. Established in 1989, it has turnover of EUR 10-20 million and 165 employees. Efkava has a nationwide regional network in Finland, and has been involved in international project exports to some 20 countries.

The export chain is managed by Export Manager Juha Rossi.

In case of any further inquiries, please do not hesitate to contact our Export Manager –

Mr. Juha Rossi

Tel.: +358 400 18 11 18

Tel.: +49 173 41 01 561

Email:  This email address is being protected from spambots. You need JavaScript enabled to view it.

www.s4i.fi

This year's Asian Paper show was held from June 16 - 18 in Bangkok, Thailand. Despite the turmoil earlier this year in Bangkok, the show has been very successful for Feltest Equipment.

Many visitors, both from local and international paper mills, were pleasantly surprised to learn that there is company like Feltest Equipment BV to help them optimize the performance of their Paper machine Clothing!

For more info contact: Marcel Lensvelt +31 313 652 215

A screen that uses less energy than all comparable products on the market has convinced the Technical Association of Pulp & Paper Industries (TAPPI). The Japanese Voith Paper subsidiary Voith IHI Paper Technology won this year’s Sasaki Award from the respected trade association for its development of the LP Screen.

The new technology, developed for the Japanese market, reduces specific energy consumption at the screening stage to 3-4 kWh per tonne of stock. For comparison, the best competitor product still needs twice as much specific energy.

The secret of the Low Power Screen lies in its construction. It uses the entire screen area to effectively separate accepted from reject stock, thereby improving quality and throughput. A circulation mechanism ensures that the consistency of the suspension is the same throughout the screen’s interior. Reject and accepted stock are separated and conveyed upwards via different outlets. Thickened and heavy reject is mixed with the inflowing stock, ensuring that the pulp has a uniform consistency throughout the entire screen basket.

In addition to its revolutionary low-profile the LP Screen can be combined with a high-performance C-bar screen basket with optimized slot distribution. This improves the efficiency and ensures that it is stable throughout the screen. Specific energy use can be reduced to a minimum and the quality of the stock is improved.

A significant contribution to the Japanese paper industry

The LP Screen is now the sixth development for which Voith IHI Paper Technology has won the Sasaki Award. The prize is awarded annually by TAPPI to Japanese papermakers who have made a significant contribution to the Japanese pulp and paper industry thanks to their technical developments or research.

27 LP Screens have already been installed at customer sites, two others are on the order books. After the break through of Voith Paper in the IntensaPulper development, the LP Screen is just another example how energy savings in the paper industry can be achieved.

Voith Paper is a division of the Voith Group and the leading partner to and pioneer in the paper industry. Through constant innovations, Voith Paper is optimizing the paper manufacturing process, focusing on developing resource-saving products to reduce the use of energy, water, and fibers.

Voith is setting the standard in the paper, energy, mobility, and service markets. Established on January 1, 1867, Voith currently has 39,000 employees, € 5 billion in sales, and over 280 locations worldwide and is one of the largest family-owned businesses in Europe.

Martin Schily

Tel +81 80 5521 8927
E-Mail This email address is being protected from spambots. You need JavaScript enabled to view it.

In the 1Q/2010, the Global Sawlog Price Index (GSPI) reached US$76.77/m3, the highest level in over a year, according to the Wood Resource Quarterly. Much of the increase has been the result of a weaker US dollar, but sawlog costs have also gone up in local currencies in many markets, including Finland, Sweden, Germany, Latvia, Russia and New Zealand.

The full article can be found in the attached PDF file.....

Wetterauer Druckerei in Friedberg recently obtained a certificate for the first climate-neutral printing press in Germany. The Speedmaster SM 74 five-color press with coating unit from Heidelberger Druckmaschinen AG (Heidelberg) was installed in the spring of this year. The greenhouse gases produced while manufacturing the press have been calculated and compensated. The calculations took into account all relevant parameters - from the extraction of raw materials and the production of materials to the manufacture and testing of the press and its transportation to the print shop.

The new Speedmaster SM 74 uses less IPA (isopropyl alcohol) than conventional presses, which benefits the environment and employee health and creates a clean pressroom environment. The press is also equipped with the Prinect Axis Control standard measuring and control system, which measures color values in the quality control strip and then regulates the color online. This saves paper waste, which is a crucial way of making production operations more resource friendly.

"We have been consistently expanding and redesigning our print shop in line with ecological considerations since 1976," explains Andreas Kugland, owner of Wetterauer Druckerei. "It is our job to combine economy and ecology, while also ensuring perfect quality for the customer. This is exactly what we have achieved thanks to the new Speedmaster SM 74," adds Kugland, who previously worked exclusively with presses from other manufacturers.

The presses print on FSC-certified paper from sustainably managed forests. And the company has switched over entirely to green electricity from power supplier OVAG Energie. Moreover, Wetterauer Druckerei has already manufactured all annual production for 2009 and 2010 in a carbon-neutral manner according to Gold Standard. As a certified member of the climate initiative of the print and media associations, the print shop offsets the volume of CO2 generated through the production of print products by investing in climate protection projects.

Wetterauer Druckerei und Verlag was founded in 1934. Now in its third generation, this fully integrated, cutting-edge print shop currently employs a workforce of 20. Topname manufacturers and advertising agencies are included among the core customers from Germany and beyond who rely on this print shop's services and appreciate its environmentally aware approach to business.

Further information for journalists:
Heidelberger Druckmaschinen AG
Corporate Public Relations
Hilde Weisser
Phone: +49 (0)6221 92 5066
Fax: +49 (0)6221 92 5069
E-mail: This email address is being protected from spambots. You need JavaScript enabled to view it.

The SCA Tissue plant was operating as normal on Friday after a fire began on the facility's roof at around 10:30 p.m. on Thursday 15th June 2010.

Flames from two exhaust fans on the roof could be seen upon arrival at the 1 River St. facility, South Glens Falls Chief Pete Corlew said.

Cindy Stilp, a spokeswoman for SCA Tissue, said Friday the fire began when dust build-up around the exhaust fans ignited.

"It was truthfully a minor fire," Stilp said. "These fans operate at close to 1,000 degrees, and coupled with the fact that the exterior temperatures were so high does create the possibility for fire."

The portion of the roof where the exhaust fans are located is monitored by cameras, Stilp said, and as soon as the fire was spotted by security staff, the plant's employees enacted "standard operating procedures" to extinguish the fire.

Stilp said there was no damage to the building or its machines or wiring, as the fire was contained to the dust deposits.

"We do want to thank the fire department for their professionalism and their response," Stilp said.

There were also no injuries reported, Corlew said.

Fire officials said SCA employees originally fought the blaze before it grew out of their control.

Though Corlew said the cause was initially thought to be an electrical malfunction, Stilp said that was not the case. The dust was ignited only by the heat of the exhaust fans combined with the hot summer weather, she said.

More than a dozen firetrucks responded to fight the fire. Fire departments included South Glens Falls, West Glens Falls, Queensbury, South Queensbury, Hudson Falls, Gansevoort and Wilton.

West Glens Falls Chief Kevin Miner said a large number of firefighters were brought in because the hot and humid night meant they could only battle the blaze for 15 minutes at a time.

• Profit after net financial items amounted to SEK 61 (-112) million for the first half of 2010. Operating profit amounted to SEK 55 (-102) million for the first six months of the year. Profit after net financial items amounted to SEK 50 (3) million for the second quarter of 2010.

• Cash flow from operating activities amounted to SEK 134 (34) million during the first half of 2010.

• An interest-bearing net receivable of SEK 101 million was reported as at 30 June 2010, compared with SEK 10 million at the start of the year.

• The pulp market has been strong and demand has improved during the period. Pulp prices have gradually been increased throughout the first six months of the year.

CEO's statement

Profit was SEK 50 million in the second quarter, representing a clear improvement on the first quarter (SEK 11 million). Return on capital employed for the quarter amounted to 17% and operating cash flow amounted to SEK 44 million. These are welcome figures after the major redeployment work we were obliged to implement in recent years. As previously reported, we were compelled to stop work at our sulphate factory in Vallvik late May/early June on account of the old part of the evaporation plant – which is being replaced in the autumn – getting clogged up. The cost of this amounted to almost SEK 15 million, primarily owing to production losses.

The strong improvement to our result is of course mainly attributable to the favourable pulp market. However, as is often the case, when the price of pulp increases the price of wood also drifts upwards, restricting the increase in profit. It has been possible to implement successive pulp price increases the price of pulp over the year and we are now at a historically high level. Demand has been strong up until now, both in North America and Europe, with increases of almost 15% compared to the weak start last year. On the other hand, the relatively firm trend in 2009 for supplies to China saw a strong reversal (down approximately 20%). Certain Chinese macro indicators are pointing downwards and importers' trade prices for pulp in China have fallen over the past few weeks.

We have low sales volumes in China and have not felt any adverse effects of this slowdown. We note that stock levels are low; that customers want to buy more than we can manufacture and all of our price increases during the year, including those for June, have been accepted. We remain optimistic, despite certain warning signals. Both the American and European paper mills have good order books. If the improvement of the business cycle continues, also the weakest part of the paper market, namely printing paper, continues to recover underpinned by the advertising market, in spite of the continual growth of the Internet.

We are in the midst of intensive improvement work at Vallvik Mill and decided investments in the evaporation plant and the recovery boiler will be carried out in conjunction with the October shutdown, which has been extended this year to almost three weeks to allow these investments. This will provide an initial increase in capacity of 10% and facilitates further increases.

Our South Africa Project, which involves a new factory being built together with local partners using some of the equipment from our former mill at Utansjö, has been affected by further delays owing to increased guarantee demands on the part of our cooperating partners. The demands now presented go beyond what we consider to be reasonable, for which reason it now appears less certain that the project will in fact be implemented. We have consequently intensified our work on alternatives to this project, calling for some other use for our equipment and skills to be found.

We also continued during the spring to study our capacity to increase production of bio products. We currently manufacture both tall oil and green electricity at Vallvik Mill in addition to various 'renewable' pulp products. The new areas that interest us most and which we believe might be suitable for our mill are the manufacture of, within the range of energy fuels, another more refined form of pellets or alternatively methanol and possibly the production of considerably more green electricity with the aid of new technological developments. This may entail substantial investment and our main approach will be to find suitable cooperating partners.

We see an exciting future ahead of us …

Ole Terland
President and CEO

(For full report, including tables, see attached file)