Stora Enso will close its Virdia operations in the United States

Stora Enso has decided to permanently close its US-based Virdia operations during 2021. Virdia was acquired in 2014 and has focused on conversion of cellulosic biomass from sugar cane bagasse into refined sugars. The operations have consisted of a research centre in Danville, Virginia and a demo plant in Raceland, Louisiana, which will both be closed.

The closure is in line with Stora Enso’s strategic choices in R&D to drive future growth and value creation from forest-based materials. Furthermore, today, the company’s innovation work focuses considerably more on applications further down the value chain instead of being a raw material supplier. There will be a stepwise process for discontinuing the operations and closing the sites during 2021. The employee impact will be approximately 65 Stora Enso employees and 18 contractors.

The asset write downs and provisions were booked as items affecting comparability (IAC) of EUR -53 million in Stora Enso’s fourth quarter 2020 results. A further EUR -6 million of items affecting comparability are expected to be recorded in the Q1 2021. The closure will not have material impact on Stora Enso’s sales.

In its US-based operations, Stora Enso has been studying alternatives for separation technologies that enable cellulosic biomass, such as bagasse, to be converted into highly refined sugars. The company has gained insights from this research for its innovation work, which will be of benefit in future applications. The intellectual property belongs to Stora Enso for further use by the different businesses in the company.

Stora Enso is committed to a safe and orderly closure of operations and will honour existing contractual obligations and liabilities with relevant stakeholders as required and deemed appropriate. Stora Enso will provide support for its local employees throughout the shutdown process.
https://www.storaenso.com/en/newsroom/regulatory-and-investor-releases/2021/1/stora-enso-will-close-its-virdia-operations-in-the-united-states?prid=a7ad3751c0fb2387

Related Posts

Recyclable, Fiber-Based ENVIsual® Board Now Available for Next-Generation Retailers Wanting to Replace Unsustainable Styrene

Monadnock Paper Mills, Inc. is pleased to introduce the “Un-Plastic Alternative” for in-store marketing applications. New ENVIsual Board is a renewable, fiber-based and curbside-recyclable option engineered for a new generation of retail and hospitality graphics, POP displays, and signage. ENVIsual Board is FSC® certified, manufactured carbon neutral (VERs) and made with 100 percent renewable Green-e certified wind powered electricity (RECs) under a third-party certified ISO 14001 Environmental Management System. “ENVIsual is an easy alternative to unsustainable styrene. It is the latest in a long line of Monadnock’s sustainably-advantaged materials serving as smart and high-performing replacements for traditional plastic based products,” said Julie Brannen, Director, Sustainability Solutions, Monadnock. “We will continue to deliver the performance, sustainability, and premium-quality attributes demanded by today’s brands and retailers.”

Resolute Invests close to $13 Million in its La Doré Wood Products Facilities in Quebec

Resolute Forest Products Inc. announced major investments totaling $12,956,700 in its La Doré wood products facilities, located in the Lac-Saint-Jean region of Quebec. The announcement was made during a press conference attended by Quebec Premier Philippe Couillard, as well as dignitaries and company employees. The investments will be used to integrate new technologies into the manufacturing processes in order to sustain the facilities' continuously enhanced performance in an ever-changing competitive environment. Also through these investments, energy efficiency will be improved as operational processes are modernized. Click Read More below for additional information.

Norske Skog: Higher market share in challenging publication paper market

Norske Skog’s EBITDA in the third quarter of 2024 was NOK 91 million, a decrease from NOK 471 million in the second quarter of 2024. Norske Skog implemented price increases for both containerboard and newsprint during the quarter to mitigate continued cost increases. Norske Skog received excellent feedback from containerboard customers as deliveries continued to grow. Despite signs of positive market developments for Norske Skog in the publication and containerboard markets, these markets are still experiencing excess capacity, thus closures are still required. “We are receiving excellent feedback from our customers on the quality of our containerboard products, which bodes well for our plan to deliver a total of 760,000 tonnes of packaging paper from Bruck and Golbey to the market in the coming years. We are particularly pleased to have strengthened our position in the newsprint market by increasing our market share through higher sales volumes in the third quarter of 2024 compared to the same quarter last year, especially in a declining market for publication paper,” says Geir Drangsland, CEO of Norske Skog.
Back To Top
×Close search
Search