SANTIAGO Feb 6 Chile's Celulosa Arauco y
Constitucion is looking to boost its wood pulp production by
over 40 percent with a recently approved $2.1 billion expansion
project, the company said on Thursday.
The company's Arauco mill in southern Chile will see overall
production jump to 2.1 million tonnes once the expansion, which
environmental authorities approved on Wednesday, is complete.
The project, called the Proyecto Modernización y Ampliación
Planta Arauco (MAPA), involves the suspension of Arauco mill's
280,000 tonne eucalyptus production line, a modernization of the
506,000 tonne pine line, and the construction of a third 1.56
million tonne line.
"Today Arauco's (wood pulp) production is 3.15 million
tonnes per year and MAPA will add a net 1.3 million tonnes," the
company said, but did not provide a time frame for completion of
Arauco, the wood pulp and forestry arm of
industrial conglomerate Empresas Copec, has been
pumping cash into expansion projects and acquisitions in Brazil,
Canada, Chile, the United States and Uruguay.
The $2 billion Montes de Plata eucalyptus pulp mill in
Uruguay, a joint-venture between Arauco and Stora Enso
, is due to start production this year.