Fortum and Sappi Finland agree on extensive long-term energy cooperation, Fortum
Release Date: 2009-05-28
Fortum and Sappi Finland Oy have agreed on extensive portfolio management, delivery of physical electricity and production balance management. Sappi Finland is a part of the Sappi Fine Paper Europe group, the leading European coated fine paper manufacturer. The company has ten production plants in Europe. Two of these, the Kirkniemi and Kangas mills, are located in Finland. The long-term agreement between Fortum and Sappi Finland will ensure close cooperation at least until the end of 2012.
Portfolio management service includes electricity management hedging trades, risk management and reporting. In addition, Fortum takes care of production balance management and physical electricity delivery for Sappi Finland’s mills. Sappi’s own production covers approximately 600 GWh. The rest of the ca. 1.1 TWh electricity need, is covered by Fortum’s deliveries. The present agreement is, therefore, also a considerable electricity delivery contract.
“We welcome Fortum Markets as our electricity supply partner convinced by their extensive experience and energy expertise. As we have already a long standing and good cooperation with Fortum Heat and Service on the operation and maintenance of Kirkniemi's power plant, we look forward to extending our partnership” says Martti Savalainen Director Sappi Kirkniemi mill.
As part of the acquisition of M-real’s coated graphic paper business in the latter half of 2008, Sappi acquired two paper mills in Finland: Kirkniemi mill in Lohja and Kangas mill in Jyväskylä. The mills produce world class coated magazine papers for top quality publications under the Galerie brand. Sappi is now the largest supplier of coated paper in Europe and the world.
“Demand for extensive energy partnership solutions continues to increase in the manufacturing industry. Our versatile energy expertise allows wide cooperation with large and small customers alike, whether operating in Finland, Sweden or Norway – or in them all. It is considerably easier to work with one familiar, reliable partner than with many operators,” says Risto Paldanius of Fortum Markets.
Fortum Markets
Communications
| Type: | NORMAL |
| Company: | Fortum |
| Country: | Finland |
| Url: | http://www.fortum.com/news_section_item.asp?path=14022;14024;14026;14022;25730;551;47997 |