Cascades Inc.’s Norampac division is building a $430 million containerboard mill in New York State.
June 27, 2011
by PLANT STAFF
KINGSEY FALLS, Que.: Cascades Inc.’s Norampac division is building a $430 million containerboard mill in New York State.
Greenpac Mill LLC, a corporation created with the Caisse de dépôt et placement du Québec, Jamestown Container and one other industry partner, will construct the state-of-the-art mill on property located adjacent to an existing Norampac facility in Niagara Falls, NY.
Cascades, a manufacturer of green packaging and tissue paper products based in Kinsey Falls, Que., will have a US$83.6-million (59.7%) equity stake in Greenpac, the Caisse $28.3 million (20.2%), and Jamestown Container with an unidentified industry partner $28.1 million (20.1%). The rest will be made up of $228.9 million in debt financing.
Cascades said Greenpac will manufacture a lightweight linerboard, made with 100% recycled fibres, on a single machine, one of the largest of its kind in North America with a 8.33-metre width, supplied by the Metso Group. Annual production capacity will be 540,000 short tons.
Voith is providing the stock preparation equipment and anaerobic effluent treatment plant, while Siemens will provide the power and control technology.
Fibre supply will come from Cascades through its recovery operations.
Marc-André Dépin, president and CEO of Norampac, said the linerboard produced on the new machine will achieve “optimal strength while maintaining a low basis weight thereby allowing our customers to better respond to the growing trend towards lightweight packaging.”
The building and the machinery will be designed for optimal energy efficiency, many operations will be automated and he said the mill will treat and reuse process water to reduce consumption.
Cascades said the construction of the mill will create 108 new jobs in NY.