Metsä board logo
/ Investors / Metsä Board as an investment / Investments

Investments

Our strategy is to grow in fibre based packaging materials and renew our industrial operations. We implement this with sustainable investments. Below are listed our ongoing and completed as well as planned (* *) investments.
  1. 2024-

    Renewal of Simpele board machine - Ongoing

    The renewal of the folding boxboard machine is part of a larger modernisation programme at Simpele board mill. Investment decision made on April 2024.

     

    Investment decision New capacity (Estimated) Completion Investment value Investment period
    Q2 2024 10,000 tonnes of folding boxboard H2 2025 EUR 60 million 2024-2026

    The investment include renewals in the pre-dryig and coating section of the folding boxboard machine. It will enable the replacement of fossil fuels in paperboard production, increase production efficiency and improve the quality of folding boxboard. The increase in production capacity will bring Simpele's production capacity of folding boxboard to about 310,000 tonnes/year. Simpele mill produces high-quality lightweight folding boxboard, mainly for food and pharmaceutical packaging

  2. 2023-2024

    Renewal of the Husum port concept - Completed

    Due to the growing logistics volumes of the Husum integrated mill, the port concept was renewed. The value of the investment was around EUR 20 million.

  3. * *

    The renewal of Husum pulp mill's drying machine - Pre-engineering

    No investment decision made yet.

  4. * *

    Modernisation of Simpele mill - Partly planned

    A major investment programme to modernise the Simpele board mill, which will be implemented in phases.

    The programme includes renewals in the mechanical pulp production, in the pre-drying and coating section of the paperboard machine as well as in the finishing area. The programme also includes a new power plant. As a result of the programme, the quality, performance and cost competitiveness of the folding boxboard will improve, and the production capacity will increase. Renewals will also support company's target of fossil-free production by the end of 2030. 

    On 24 April 2024 Metsä Board made an investment decision on the renewal of the paperboard machine in Simpele. Estimated investment value of EUR 60 million. 

    The total estimated investment cost of the Simpele and Kyro paperboard mills is EUR 250 million over the next 10 years. (Investor news 21 March 2024)

     

  5. * *

    Investment programme in Kyro board mill - Pre-engineering

    Improve the performance of the current barrier board and expand its end-use areas at Kyro board mill. No investment decision made yet.

  6. * *

    New products on current white kraftliner mill in Husum BM2 - Pre-engineering

    In cooperation with Metsä Tissue, Metsä Board has started a pre-engineering project to investigate potential change of product produced on Husum BM2. The planned investment would enable new capacity of approximately 80,000 tonnes of foodservice packaging papers and siliconised greaseproof papers. The pre-engineering phase is expected to take 12 months and the investment decision could be made earliest in Q1 2026. The start-up of the rebuilt line would be earliest in Q4/2027. The production of white kraftliner will continue at full capacity at least until the possible investment shutdown of BM2.

  7. 2021-2023

    Folding boxboard capacity expansion in Husum mill - Completed

    At the Husum integrated mill, the annual production capacity of folding boxboard was increased by 200,000 tonnes. The investment was completed in November 2023.

     

    Investment decision  New capacity  Start-up Investment value Investment period 
    Q2 2021 200,000 tonnes folding boxboard Q4 2023 EUR 230 million 2021-2023

     

    Investment in brief

    Following the investment, the annual capacity of folding boxboard of paperboard machine BM1 in Husum is 600,000 tonnes per year. Start-up for additional capacity was in Q4 2023, and capacity is expected to be fully on the market in 2026.

    The investment will increase sales by approximately EUR 200 million. In addition, it is expected to have a positive impact of approximately EUR 50 million on the company’s annual comparable EBITDA. Sales growth and improved result is expected to be reached in full in 2026. 

    Part of the investment costs were transferred into 2024. 

     

  8. 2021-2023

    Development programme of the Kemi paperboard mill - Completed

    The development programme for the Kemi paperboard mill included capacity expansion of white kraftliner, a purchase of a unbleached pulp production line and improved energy and water efficiency of the mill. The investment was completed in September 2023.

     

    Investment decision  New capacity  Start-up Investment value Investment period 
    Q1 2021 40,000 white-top kraftliner, mainly coated Q3 2023 EUR 110 million

    2021-2023

    Investment in brief

    The programme increased the mill's annual white kraftliner capacity from 425,000 tonnes to 465,000 tonnes. This will strengthen Metsä Board's global leading position as coated white kraftliner producer.  As part of the programme, the Company will buy a modernised production line for unbleached pulp, an annual capacity of 180,000 tonnes, from Metsä Fibre. The development programme will reduce Kemi mill's water use by 40% and energy use by 5% per tonne of paperboard produced.

    Start-up for additional kraftliner capacity was in Q3 2023 and capacity is expected to be fully on the market by the end of 2025.

    Part of the investment cost was transferred into 2024.

  9. 2019-2022

    Renewal of the Husum pulp mill, phase 1 - Completed

    A new recovery boiler and turbine.

    Investment decision New capacity Start-up / completion Investment value Investment period
    Q2 2019 No new pulp capacity Q4 2022 EUR 380 million 2019-2023

     

    The new recovery boiler and turbine increased the
    pulp mill's bioenergy generation, and improved the
    electricity self-sufficiency of the integrated mill from 50% to over 80%. The new recovery boiler and turbine reduced the energy and maintenance costs, improved production efficiency and shortened the duration of annual maintenance works. The investment improved Metsä Board's annual cash flow by approximately EUR 35 million, of which EUR 30 million improvement in EBITDA.