Ministry of Industry and Trade of Russia: APPM’s priority investment project “Reconstruction of Cardboard Process” is now officially completed

30 december 2020
“The primary objective of our investment project was the reduction of cost price of the virgin-pulp kraft-liner without compromising its consumer appeal.” — emphasized Vladimir Krupchak, Chief Investment Officer of Pulp Mill Holding, member of the Board of Directors, JSC Arkhangelsk PPM.

On December 29, 2020, Denis Manturov, Minister of Industry and Trade of the Russian Federation signed the order, which declared the priority investment project of Arkhangelsk PPM in the field of forest exploitation (according to the Order no. 10 of the Russian Federation Ministry of Industry and Trade dated 1 July 2008 On Inclusion of the Arkhangelsk PPM Investment Project in the List of Priority Investment Projects in the Field of Forest Development) officially completed.

Arkhangelsk PPM has been implementing this priority investment project in 2008–2020. The total amount of investments was 18.8 bn Rubles. The project is expected to break even in 2023.

“This is truly a breakthrough investment project. I am glad it has been implemented in our region, in one of the leading wood industry enterprises not only in Arkhangelsk Oblast, but in the whole country”, — commented Aleksandr Tsybulskii, governor of Arkhangelsk Oblast. — It is important to say, that APPM’s project was aimed not only and the increase of company’s productivity, but also at reduction of pressure on the environment. This company is among the most ardent investors to conservation efforts of our region”.

On September 11, 2020, Denis Manturov, Minister of Industry and Trade of the Russian Federation, participated in grand opening ceremony of the new Valmet evaporator in Arkhangelsk PPM, which cost 6.5 bn Rubles. Start-up of the new facility marked completion of the company’s priority investment project.

“The primary objective of our investment project was the reduction of cost price of the virgin-pulp kraft-liner without compromising its consumer appeal.” — emphasized Vladimir Krupchak, Chief Investment Officer of Pulp Mill Holding, member of the Board of Directors, JSC Arkhangelsk PPM. — This will help us to remain altogether competitive on both domestic and foreign containerboard markets amongst rivalry with chipboard manufacturers, as well as to reduce costs of finished product output as pertains to consumption of energy resources, chemicals, lowering of raw materials consumption for production of finished product, and change in composition of pulp through increase of share of cheaper pulp.

Mr. Krupchak also pointed out that in 2021 the total output of pulp and semi-chemical pulp of APPM will exceed one million tons per year. The mill will join the ranks of the industry’s “million makers”.

As previously reported, more than 100 bn Rubles will be invested in development of production facilities as part of the APPM and Holding’s Development Strategy 2025.

However, together with production growth, the company intends to significantly reduce the pressure on the environment: reduce water consumption by 50  %, emissions — by 65  %, effluent discharges — by 75  %, greenhouse gases CO2-eq (1  %) — by 18 thous. tons as compared to the beginning of reconstruction of production facilities.