Södra Launches Major Initiative to Electrify Transportation

Nov. 25, 2022 - Södra is now launching a major initiative to electrify the operation’s transportation. A new project will study the future potential to operate electric-powered trucks, forklifts and loaders that can help further reduce the association’s fossil-fuel emissions.

Södra is currently a net producer of electricity and is aiming to reach net-zero emissions of greenhouse gases by 2040. A natural step in this process is to electrify the vehicle fleet and operations. Parts of the mills’ vehicle fleet already run on electricity, including electric forklifts at the Värö and Långasjö sawmills. This work will now enter the next phase and Södra is launching a project for the large-scale electrification of internal and external transportation.

The project includes the electrification of logging and chip trucks in Södra’s own haulage business as well as vehicles at mills. It will also clarify which vehicles and type of charging equipment are suitable for Södra’s various units and how infrastructure and logistics should be planned. Furthermore, the project includes a study of how electrification can take place in a safe manner and how future business models should be designed to create the right conditions for large-scale electrification.

Large-scale electrification reduces fossil-fuel emissions

The aim is to electrify large parts of the vehicle fleet and further reduce fossil-fuel emissions. Every day, 1,000 of journeys are made by heavy road transports from Södra members’ forests to the mills. Moreover, the mills are operating at historically high levels.

“Södra is one of Sweden’s largest freight purchasers and transportation accounts for the largest share of our fossil-fuel emissions. This is why large-scale electrification is an important piece of the puzzle, together with liquid biofuel, to reduce our fossil-fuel emissions and to further contribute to society’s climate transition,” said Henrik Brodin, who is Head of Energy and responsible for the ‘A Fossil-free Södra’ project.

Södra wants to lead the electrification of truck transportation

Closest to hand is the continued electrification of internal transportation, where most of Södra’s internal forklift fleet will be replaced by the next generation of electric forklifts. The time horizon for external truck transportation is longer, involves more operators and makes new demands on business models.

If electrification is to succeed, an expansion is needed of charging infrastructure at Södra’s own units and across Götaland. Södra’s own haulage operations will be a driving force in these developments together with strategic partners. The project is part of the ‘A Fossil-free Södra’ project and will run until 2025. The ambition is thereafter to pursue the transition as part of regular operations.

“Today, we are a net producer of electricity, which means will could become self-sufficient in fossil-free electricity for our own transportation needs,” Bodin said. “This is a long-term and ambitious target, but it is important that we aim for this goal. It will require a systemic change in infrastructure, vehicles and energy supply. It is a major challenge and requires all participants to continue working together to create the right conditions.”

Founded in 1938, Södra is Sweden’s largest forest-owner association, with 52,000 forest owners as its members. In 2021, net sales amounted to SEK 27 billion and employees totaled 3,100.

SOURCE: Södra

OneFortyOne’s Kaituna’s Woodchip Sets Sail from New Zealand to Japan

Nov. 22, 2022 - OneFortyOne’s Kaituna Sawmill and its partners recently celebrated its first export shipment of woodchip out of Port Marlborough (New Zealand), as part of a new export initiative with partner Marusumi Whangarei Co., Ltd.

Woodchip has been accumulating at Shakespeare Bay over the last three months, in preparation for the loading of the Southern Star Vessel which docked on Monday, Nov. 7 and departed Wednesday, Nov. 9.

Another vessel is planned for the new year of which woodchip is now being accumulated.

Port Marlborough has been a critical partner in providing logistical support for the trial operation, including 4,000m2 (0.4 ha) in the port’s Shakespeare Bay log yard currently for the operation.

Tracy Goss, General Manager Kaituna Sawmill said this initiative has been four years in the making. “It is part of our growth strategy and an exciting opportunity for us to diversify our wood residues market.”

“It also happened to be very beneficial when Sh6/Sh63 roads to Nelson were closed during the flooding events in August. Without this alternative growth market, the Kaituna Mill more than likely would need to cease production during the road closures.”

“The woodchip is a by-product generated during timber production. This new export initiative complements our existing market in New Zealand, and we now have access to a growth market in Japan where woodchip is used in next generation cellulose nanofiber (CNF)”.

Rhys Welbourn, Port Marlborough CEO said the diversification of the port’s forestry industry offering was important for Marlborough.

“Port Marlborough supports several key industries in the region and we are always looking at ways to add value for our customers. This is an exciting opportunity for us to diversify our wood export offering, and to develop our commercial partnerships with industry leaders OneFortyOne.”

Angela MacKenzie, South Island Wood Council said the exporting of wood chips from Port Marlborough opens up markets that haven’t previously been available to the industry in the Top of the South and will provide greater employment and market certainty.

“This is a huge boost for the local forest industry and will have many positive flow-on effects for Marlborough.

“The Top of the South Wood Council is focused on exploring new applications for the use of this by-product, especially biofuels and is appreciative of the initiative of OneFortyOne in making this happen,” said Angela.

OneFortyOne Kaituna Sawmill signed an agreement with Marusumi Whangarei Co to manage the export initiative. Marusumi has been exporting both softwood and hardwood chip from Marsden point since 1995, predominantly to its parent company Marusumi Paper Co. Ltd, and other end users in Japan and China.

SOURCE: OneFortyOne

Metsä Group Says Port Warehouse and Private Track Project for Kemi Bioproduct Mill on Schedule

Nov. 21, 2022 - Metsä Group announced that construction and installation work for its new Kemi bioproduct mill in Kemi, Finland, is progressing as planned and on schedule for completion by the end of the year.

The new 110 kV power line has now been completed, and it will be deployed when the mill comes online. Bioelectricity generated by the mill will be transmitted to the national grid along the new power line. The mill will produce 2.0 TWh of renewable energy annually, which is equivalent to 2.5 per cent of Finland’s overall electricity production.

The autonomous cranes in the woodyard have reached roof height. The electric cranes will unload wood arriving by train and lorry independently.

Rail

When the bioproduct mill is up and running, train transports will have a significant role, as most of the wood will arrive at the mill by rail. The mill will receive around nine trains per day. The bioproduct mill’s new private railroad track will be in use by the end of the year. A total of 4.5 kilometres of the new track has now been constructed.

Ajos Port Warehouse

Construction of the Ajos port warehouse will also be complete by the end of the year. The new warehouse covers a gross area of 37,000 m2. The Port of Ajos is an essential part of the mill’s efficient logistics. Pulp will be transported from the bioproduct mill to the port by lorry and from there it will be shipped to customers around the world.

The bioproduct mill’s commissioning will begin in early 2023.

Background

Metsä Fibre, part of Metsä Group, in February 2021 announced the decision to build a new bioproduct mill in Kemi, Finland on the site of Metsä Fibre's current Kemi mill. The value of the investment is EUR 1.6 billion. The Kemi bioproduct mill will produce some 1.5 million tonnes of softwood and hardwood pulp per year, as well as many other bioproducts.

SOURCE: Metsä Group

UPM Inaugurates Its New Deep Sea Pulp Terminal in the Port of Montevideo, Uruguay

Oct. 5, 2022 - UPM inaugurates today its new pulp terminal in the port of Montevideo, Uruguay. This investment of approximately USD 280 million is a fundamental part of UPM’s USD 3.47 billion growth investment in Uruguay that includes a state-of-the-art pulp mill in Paso de los Toros, new eucalyptus tree nursery as well as local community investments in Paso de los Toros.

“This is a significant milestone in our growth project in Uruguay. The new pulp terminal with direct connections from the new pulp mill and to the global markets plays a key role in the growth and competitiveness of UPM’s pulp business,” says UPM President and CEO Jussi Pesonen. “The public infrastructure investments to the deep sea port and railway improve the competitiveness of all export sectors in Uruguay.”

The new pulp terminal is located in the newly developed deep sea port in Montevideo, and it will have a direct rail connection to the new UPM Paso de los Toros mill. In the future, all UPM pulp from Uruguay will be shipped with fully loaded ocean vessels directly from Uruguay. This is a significant change to the current logistics that have depended on the deep sea ports in Brazil. The new direct connection from Uruguay to global markets increases efficiency and supply security.

UPM will operate the pulp terminal as a long-term concession holder. The terminal will operate 24/7 with an annual operating capacity of over 2 million tonnes of pulp and approximately 100 ships per year, creating a 60% increase in the total annual cargo exported from the port of Montevideo. The terminal will employ approximately 100 people, with another 200 people working in the loading and unloading of cargo ships. The terminal includes a large storage warehouse of over 50,000 square meters, a control room, logistics spaces and offices.

UPM’s new 2.1 million tonne per year greenfield eucalyptus pulp mill near Paso de los Toros in central Uruguay is scheduled to start production by the end of Q1 2023.

SOURCE: UPM