FINLAND – Stora Enso has secured a €435 million (US$473.48 million) loan from the European Investment Bank (EIB) to support its expansion in fiber-based consumer packaging.
This financing will aid the company’s €1 billion (US$1.09bn) investment in the Oulu mill in Finland, which will feature a state-of-the-art production line for packaging materials by 2025.
The loan, structured with amortization and final repayment in 2036, will enhance Stora Enso’s debt maturity profile.
The company aims to transform the Oulu mill into one of Europe’s most advanced and cost-efficient packaging production sites.
The new facility will focus on producing renewable and circular packaging solutions to replace plastics in food and personal care products, using wood fiber sourced from sustainably managed Nordic forests.
“This investment supports our strategy in renewable packaging by providing new volume for the growing market,” said Hannu Kasurinen, Executive Vice President of the Packaging Materials Division. Kaarlo Höysniemi, SVP of Group Treasury, highlighted the loan’s role in providing financial flexibility and supporting sustainable growth.
With its new production line in the Oulu Mill in northern Finland, Stora Enso will increase its capacity and produce 1.2 million tonnes of sustainable packaging materials at one site starting in 2025.
Altris partnership
Last month, Stora Enso partnered with Altris, a Swedish developer of sodium-ion batteries. The two companies aim to advance the development and commercialization of a sustainable battery value chain in Europe.
Together, they will drive the adaptation of Stora Enso’s hard carbon solution Lignode as an anode material in Altris’ sodium-ion battery cells.
Lignode by Stora Enso is a sustainable hard carbon derived from lignin, a by-product of pulp manufacturing.
It is used as an anode material in lithium-ion and sodium-ion batteries and serves as a more sustainable alternative to incumbent anode solutions. Lignin makes up 20-30% of a tree, ensuring a stable and consistent raw material supply for anode material manufacturing.
Lignode was developed in Stora Enso’s pilot plant in Kotka, Finland, which is technically being upgraded. Today, the significant majority of battery materials are sourced from outside Europe.
The partnership between Stora Enso and Altris aims to support the establishment of a European battery value chain, fostering the continent’s sustainable electrification.
Stora Enso’s European-based operations offer a localized solution that minimizes environmental impact and promotes energy independence.
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