See more news releases in: Paper, Forest Products & Containers, Restructuring & Recapitalization
Intended Closure of Sappi Usutu Pulp Mill and Restructuring of Forestry Business in Swaziland in Response to Market Conditions and Forest Fire Damage
JOHANNESBURG, Oct. 30 /PRNewswire/ -- In response to adverse market conditions, as well as the cumulative severe impact of fire damage over the past few years, in particular the fires of August 2008 which destroyed 40% of the Usutu timber crop, it has become apparent that the Sappi Usutu Pulp Mill is no longer sustainable.
(Logo: http://www.newscom.com/cgi-bin/prnh/20090826/NE66332LOGO )
Sappi has therefore today announced that it will begin the process of consulting with staff and all other relevant stakeholders regarding its intention to close the Usutu Pulp Mill on 31, January 2010. With the closure of the mill Sappi would also exit the unbleached softwood flash-dried pulp market served by Usutu Pulp Mill. The mill has a capacity of 190,000 tonnes annually.
Sappi will continue to seek future beneficiation opportunities for the profitable utilisation of the Usutu forests. This could include the introduction of new investors.
The Sappi Usutu Pulp Company directly employs around 600 people.
SOURCE Sappi
Back to top
Custom Packages
Browse our custom packages or build your own to meet your unique communications needs.
PR Newswire Membership
Fill out a PR Newswire membership form or contact us at (888) 776-0942.
Learn about PR Newswire services
Request more information about PR Newswire products and services or call us at (888) 776-0942.
Featured Video
More in These Categories
Journalists and Bloggers
Visit PR Newswire for Journalists for releases, photos, ProfNet experts, and customized feeds just for Media.
View and download archived video content distributed by MultiVu on The Digital Center.
Free Investing Newsletter from Investor Uprising!
Learn to navigate the world's financial system and profit from leading companies.
Register for Investor Uprising, the people's investment site, for a free weekly newsletter, information, education and premium research including our latest IU Confidential Report - "All The Glitters: The Ultimate Gold Report".