The investment cost of Finnpulp’s bioproduct mill is updated to 1.6 billion euros

2.10.2019

The investment cost of Finnpulp’s planned bioproduct mill in the city of Kuopio in Eastern Finland has been updated to 1.6 billion euros. The new estimate is based on completion of a feasibility study during the summer and is close to 200 million higher than previous estimate in 2016.

The increase is based on the increase of construction costs and elaboration of the planning. For instance, the updated plan includes construction of a sizeable biocoal plant. The use of 6.7 million cubic meters of roundwood results in large amount of bark, which is estimated to amount to approximately 10% of the volume of the wood. Bark accumulated during the summer cannot be optimally utilized in energy production.

Biocoal replaces coal and peat

According to Martti Fredrikson, CEO of Finnpulp, the biocoal plant can solve problems relating to storage and logistics of bark. The biocoal plant enables valuable biofuel to be optimally utilized regardless of the season, while minimizing the waste heat.

Estimated annual biocoal production is up to 100 000 tons. Biocoal will replace coal, but also peat. The technology is based on Finnish innovation.

In the new cost estimate, Finnpulp also plans implementation of the tertiary cleaning of waste water to ensure compliance with conditions of the environmental permit set by Vaasa Administrative Court.

Bioelectricity: Two times larger than Kuopio’s need

The maximum bioelectricity produced by the mill to the market is 1.2 TWh, which is two times larger than the annual consumption of the city of Kuopio or the amount of electricity required by all planned 250 000 electric cars in Finland in 2030.

According to Fredrikson, the updated investment cost is final, and no further changes are expected.

For more information: Martti Fredrikson, CEO of Finnpulp. P. 050 310 4400

Download printable press release (pdf) here

Contact details
for media

Finnpulp

Martti Fredrikson
CEO
martti.fredrikson@finnpulp.fi

Mill Project

Timo Piilonen
Director
timo.piilonen@finnpulp.fi