Borregaard announced NOK 115 million (around USD 13.5 million) investment in capacity increase of Ice Bear products in Speciality Cellulose. The company plans to finalize the investment in the second half of 2018, and will bring Borregaard’s Ice Bear capacity to approximately 60,000 tonnes.
According to the announcement, the initial Ice Bear investment had proven that Borregaard’s technology will enable the company to deliver world class quality into segments with the strictest quality requirements. The new investment enables a more optimal production process in addition to the increased capacity.
The ramp-up of the Ice Bear production will be based on market demand. The volume potential for Borregaard is, as previously communicated, estimated to be around 20-30,000 tonnes per year by end of 2018.
The Ice Bear project is the company’s main initiative to drive further specialisation by developing new “niches within the niches” products as well as solidifying existing market positions within speciality cellulose.
The company operates the world’s most advanced biorefinery. By using natural, sustainable raw materials, Borregaard produces advanced and environmentally friendly biochemicals, biomaterials and bioethanol that replace oil-based products. It has 1050 employees in 16 countries and had revenues in 2016 of approximately USD 535 million. The lignin business constitutes close to 50% of the Group’s turnover with plants in 7 countries.