The investment will help increase the paper mill’s production output by 70kt to 450kt per year and reduce CO2 emissions by 5,500 tonnes per annum
Smurfit Kappa invests €35m to expand Hoya paper mill in Germany. (Credit: Smurfit Kappa)
Packaging company Smurfit Kappa has announced a further investment of €35m to expand its Hoya paper mill and board production plant in northwest Germany.
The latest funding represents the last phase of an investment programme, which began in 2011.
It will help increase the paper mill’s production output by 70kt to 450kt per year and reduce CO2 emissions by 5,500 tonnes per annum.
As part of the expansion, the complete press section of the PM2 paper machine will be replaced with the latest technology, improving the overall efficiency of the production process.
Smurfit Kappa Europe CEO Saverio Mayer said: “This investment will be the final and significant phase of a programme of sustained investment at our Hoya Mill which commenced over a decade ago.
“Today’s announcement underlines Smurfit Kappa’s continued commitment to developments in leading-edge technology and our operations in Germany.”
With a width of 7.5m, the PM2 paper machine produces both test-liner and fluting packaging paper. Also, the production speed will be increased to 1,250m/min, as part of the expansion.
When completed, the paper machine is expected to further boost the industrial efficiency of Smurfit Kappa’s containerboard system.
The production facility is expected to begin operations from the first quarter of 2023.
Smurfit Kappa Hoya Mill managing director Andreas Noss said: “This investment will make the PM2 a state-of-the-art lightweight paper machine that enables us to meet the changing needs of our customers.
“It will increase production speed and produce lightweight paper in the most efficient and sustainable way possible.”
The Hoya site has been operational for more than five decades and is said to be a major regional employer, with over 300 employees working at the mill.
Last month, Smurfit Kappa announced plans to invest €40m to expand the capacity of its Mold plant in North Wales, UK.