Mondi decided to postpone its EUR 135 million investment in a new 90,000 tonne per annum machine glazed speciality kraft paper machine at its Steti mill in the Czech Republic.
David Hathorn, Mondi Group CEO, commented:
“We have decided to postpone the machine glazed speciality kraft paper machine investment after a careful review of market conditions. While the proposed new machine remains an exciting investment opportunity, offering the lowest cost production of its sort in Europe, recently announced industry capacity expansions are expected to result in a market imbalance over the period in which the new machine was planned to come on line.
There is no change to our EUR 335 million investment in modernising the mill including rebuilding the fibre lines, de-bottlenecking the existing packaging paper machines and a new recovery boiler, which is progressing as planned.”
Earlier The European Commission approved investment aid to paper manufacturer Mondi SCP in Slovakia
About Mondi Group:
The company is an international packaging and paper group, employing around 25,000 people across more than 30 countries. Its key operations are located in central Europe, Russia, North America and South Africa. The company offers over 100 packaging and paper products, customised into more than 100,000 different solutions for customers and end consumers. In 2015, Mondi had revenues of EUR 6.8 billion and a return on capital employed of 20.5%.