GLG News by Titanium Dioxide Experts

Dave HillmanIndependent ConsultantDave Hillman

Gunns-Tasmania....Finally A "Go"

March 11, 2011

After more than 5 years the Federal Gov't has given Gunns full approval to move head with the building of a 1.1 million mt/year eucalyputus market pulp mill. Initially the mill will operate at the rate of only 820,000 mt/year. It's assumed it will take 28 months for the mill to be operational. The cost will now exceed US$2.3 billion. This is expected to be the most environmentally compliant pulp mill in the world. This was a key requirement by all the environmental groups who had objected.

Dave HillmanIndependent ConsultantDave Hillman

More Mills Announce A Shift To Dissolving Pulp - How Many Is Too Many?

March 8, 2011

Five years ago Birla of India purchased the NBHK mill from Parsons & Whittemore. Later, Fortress Paper announced changing over the Thurso NBHK mill to rayon grade.Mercer Int'l plans to convert a portion of the tonnage at Stendahl and Celgar to DP.SAPPI is studying the Ngadwana, South Africa mill to produce DP.Paper Excellence (APP) has just announced the purchase of the shut Prince Albert mill in Sask. to convert it to DPFinally, several Chinese mills are considering changing over to DP.

Dave HillmanIndependent ConsultantDave Hillman

On and Off Gunns-Tasmania Mill Nears Environmental Approval

March 8, 2011

Analysis of:Gunns Pulp Mill Approvals Process Extended | news.paperindex.com

Gunns has been a major supplier of Eucalyptus-Nitens chips to the Pacific Rim. In 2003 they announced plans to build a 1.1 million mt/year state-of-the-art market pulp mill. Since then environmental groups have thrown up numerous roadblocks which has delayed groundbreaking. Now the Federal Government has extended by one week the process for final environmental approvals. Gunns is determined to provide the latest, best-available, environmental technology raising the scope to $1.7 billion.

Dave HillmanIndependent ConsultantDave Hillman

Suzano Speeds Up Construction of New BEK Market Pulp Mill

March 3, 2011

Suzano, an integrated pulp and paper producer has entered into finalized agreements with Metso and Siemens for key pieces of equipment for their proposed new mill at Maranhao. This will be a 1.5million mt/year facility due to begin operations in late April, 2013 and to cost US$2.3 million. It will also produce 100 MW surplus energy for sale to the local grid. The most appropriate end use will be for the top layer on Ultra Facial Tissue...which is produced globally.

Paul HodgesChairmanInternational eChem

Chemical companies report strong Q4 results

March 2, 2011

Chemical companies had an unexpectedly good 2010. Stimulus measures in China drove an improvement in demand, whilst feedstock supply constraints supported pricing and margins. But today's high oil prices will hit discretionary spending in the West, just as China tightens its policies to combat inflation. 2011 therefore looks much more uncertain.

Dave HillmanIndependent ConsultantDave Hillman

Mercer Considers Producing Dissolving Pulp at 2 Mills-easier said then done!

February 25, 2011

With cotton prices near $2/lb the demand for rayon is unprecedented. No one anticipated the rapid escalation in prices and those producers with uncommitted tonnage have been getting as much as $2450/mt on the spot market.Mercer wants to shift part of their NBSK tonnage at Celgar (BC) and Stendahl (Germany) to produce rayon grade (Alpha cellulose content of 94-95). This will require much harder cooking and causticizing to wash out the 5 carbon hemi-cellulose polymers (unwanted by customers).

Dave HillmanIndependent ConsultantDave Hillman

China's Containerboard Industry Continues To Grow and Grow and Grow

February 14, 2011

Nine Dragons Paper (Holdings) began in 1995, is the largest packaging paperboard producer in Asia and one of the largest in the world. The have now started up two new machines in Jiangsu Province, a 3-ply linerboard machine and one for corrugating medium These machines 285" and LIner as heavy as 175 gsm can be produced. The furnish will be predominantly OCC purchased from the US, Japan and Western Europe. Both machines started up at high speed with product on the wire in only 5 hours.

Ian DavenportPresidentDavenport Associates

Ineos refinery deal with PetroChina can be the first step in a wider partnership

February 2, 2011

Analysis of:INEOS is offered $1 billion by PetroChina for a 50% share in its European refining business. | www.ineos.com

Ineos have concluded a deal to sell 50% of the European refining business to PetroChina. This deal can be expanded eventually to downstream products and technologies and be a model for deals by other US and European chemical companies.

Paul HodgesChairmanInternational eChem

PetroChina offer $1bn for INEOS European refining JV

January 31, 2011

INEOS have closed their proposed JV refining deal with PetroChina. They have got an excellent price, plus the potential to expand their activities further as the strategic partnership develops.

Dave HillmanIndependent ConsultantDave Hillman

Newsprint's Cash Costs - The Connection With Housing Starts

January 31, 2011

Newsprint mills have traditionally relied on sawmill residuals (chips) from nearby saw mills producing dimension lumber for industrial and residential construction. In 2006/07 housing boomed and saw mills were all operating at 100% capacity with 2 x 4s selling for $375 thousand board feet. Distributors' warehouses filled up as housing starts plummeted. Saw mills began to shut down as prices tumbled to $150/mbf. Now paper mills now must do their own logging (manpower) and chippping (energy).

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