Major Swedish Investment Provides Better Paper Qualities - Royal Inauguration for First Specialist Machine

Western Europe's largest - and the world's first custom-made - paper machine for the production of high brightness so-called MF Magazine paper was inaugurated at the end of September by the Swedish King, Carl XVI Gustaf. The plant in question is the Holmen-owned Hallsta Paper Mill in Hallstavik, 100 km north of Stockholm. This mill has invested a total of SEK 1.85 billion in its new paper machine, the PM 11. The result is the industry's most modern and cost-effective production plant ever within the product area. With a world-class speed - almost 2,000 metres a minute - 330,000 tonnes of this improved quality paper will be produced annually. The market for this wood-content printing paper - with better performance, printing characteristics and brightness than traditional newsprint paper - is primarily among high-quality periodicals, supplements and printed advertising materials.

This investment in Hallstavik is one of the largest in the Swedish forestry industry in recent years, and Hallsta Paper Mill's largest for 30 years. The primary supplier was Finnish Metso Paper, with its OptiConcept and Jaakko Pöyry as the head consultant engineer. In total, almost SEK 4 billion has been invested in the plant over a five-year period. In addition to the new paper machine, there is also a new rolling machine, a reconditioned PM 12 paper machine, a new electrical distribution plant and a modernised recycled paper plant. With a combined annual capacity of almost one million tonnes through its four European production plants, Holmen Paper is now a European market leader with regard to MF Magazine paper.

"With the products from this new machine, to a certain extent we are aligning ourselves with new customers and application areas. Simply because this type of untreated paper hasn't normally been the natural choice and, in our assessment, this area can expect continued good growth," comments Magnus Hall, business area CEO for Holmen Paper.

The Holmen Group has annual sales of almost SEK 17 billion. Almost 5,000 employees are found in the four paper production units (in Sweden and Spain) and the factories producing paperboard (almost 500,000 tonnes/year) and wood products (220000 cubic metres/year).


For additional information, please contact:
Anders Lyngenberg, Manager Public Communications,
Holmen Paper AB, ph + 46 11 23 50 00.


Facts & Figures

PM 11
Capacity 330,000 tonnes/year, average 920 tonnes/day

Surface weight,
produced paper 42-55 grams per square metre
Raw materials Fresh spruce wood, sawdust/wood chips, recycled paper, purchased pulp
Average speed 1,720 m/min
Product: MF Magazine paper for offset printing, coldset and heatset, and gravure (Holmen Plus/Holmen Plus G/Holmen XLNT)
Length 146 metres including winder section, press section, drying section, calendar, rolling chair and rolling machine
Major suppliers Metso Paper, NCC, ABB

Holmen Paper
Net sales 2001 SEK 8,757 million
Employees 2,494
Production capacity 1,800,000 tonnes/year newsprint and magazine paper
Production plants Braviken Paper Mill (Norrköping) Wargön Paper Mill (Wargön)
Hallsta Paper Mill (Hallstavik) and Papelera Penisular (Madrid, Spain)

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Major Swedish Investment Provides Better Paper Qualities - Royal Inauguration for First Specialist Machine

Major Swedish Investment Provides Better Paper Qualities - Royal Inauguration for First Specialist Machine

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