SWEDEN (News release) -- Stora Enso will invest EUR 40 million in new technology and restructuring of its fluff pulp production site in Skutskär, Sweden. The objective is to increase cost efficiencies and further improve the site's climate footprint, thereby aligning with Stora Enso's goal to provide regenerative solutions.

Stora Enso is Europe's leading producer of fluff pulp. The Skutskär site produces fluff pulp used in hygiene products such as baby diapers, feminine care and adult incontinence protection products, as well as in air-laid nonwovens such as wipes, napkins and medical pads. The investment in new bleaching technology supports Stora Enso's ambitious climate targets and will enhance both operational efficiency and the site's carbon footprint performance.

With its science-based targets updated in 2021, Stora Enso commits to reducing absolute greenhouse gas emissions from operations by 50% by 2030, aligned with the 1.5-degree scenario. The transition to new technology will enable a carbon footprint reduction of 5% for the site's products through resource and energy efficiencies.

"Both with our products and in our operations, we aim for maximal performance with minimal impact on the environment. Our Skutskär site is already close to carbon neutral, and through this investment we are now taking the next important step towards a climate-positive contribution. Moreover, technology upgrade investments will further sharpen our competitiveness in the growing hygiene products sector," says Johanna Hagelberg, Executive Vice President, Biomaterials division at Stora Enso.

The investment will enable the number of bleach lines to be reduced from three to two, improving cost competitiveness and creating opportunities for future development. Implementation is planned to start in Q1 2022, with the upgraded bleaching plant estimated to be in operation in Q2 2023, followed by decommissioning and closure of the obsolete bleach line in Q2 2024.

The Skutskär site has an annual production capacity of 540,000 tonnes. It produces fluff, hardwood and softwood kraft pulp. The site employs approximately 420 people.