Thursday, March 28, 2013

Norkse Skog Plans Additional Cost Reductions

Norske Skog plans to reduce costs by NOK 500 million ($86 million) by the end of 2015 at its 550,000 tonne/yr Saugbrugs supercalendered (SC) paper mill in Halden, southern Norway.
The plant already achieved cost savings of some NOK 110 million in 2012 and has similar ambitions for the coming years, managing director Roy Vardheim said. Costs will be cut in areas including energy, pulp, chemicals and logistics. None of this will affect the mill's production capacity. 
Norske Skog may also raise the capacity of the biogas facility at its Saugbrugs mill in order to cut costs. The biogas plant uses sludge and residues from the wastewater treatment plant as raw material and the biogas is used in the mill's boiler.