Papermaker BillerudKorsnäs announced that it has decided to install a new recovery boiler at the Frövi plant in Sweden. The current boiler has been in operation since 1969, and no longer meets environmental standards. The change requires an investment of SEK 2.6 billion (EUR 260 million).
"The Frövi plant is a strategic asset for BillerudKorsnäs and this investment will be a solid basis for the future development of the group. A new recovery boiler will improve environmental performance, increase energy production and create opportunities for increased efficiency and plant integration", commented Christoph Michalski, CEO of BillerudKorsnäs.
Sales up, profits down
The Swedish pulp and paper manufacturer also presented its annual financial results. In 2020, the group achieved sales of 5?803 million Swedish kronor (571 million euros), which represents an increase of 2% (excluding the currency effect). The papermaker's earnings before interest, taxes, depreciation and amortization (EBITDA) amounted to SEK 568 million ('56 million) compared to SEK 618 million in 2019 (-9%).
"Adjusted EBITDA decreased due to lower market value, higher maintenance costs and unfavourable foreign exchange effects, while lower fiber costs had a positive impact explained the CEO.
