The Finnish chemicals manufacturer Kemira plans to start production of hydrogen peroxide in Uruguay for the pulp mill being built by Metsä Botnia in that country.
Kemira has other chemical production facilities under construction in the area. In addition to hydrogen peroxide, it will also produce sodium chlorate, chlorine dioxide, and oxygen.
Kemira’s overall investment is more than EUR 80 million. The factories are expected to start operations next year.
The setting up of a hydrogen peroxide factory means that Kemira will be able to meet all chemical needs of the Metsä-Botnia pulp mill. According to Lauri Junnila, President of Kemira’s Pulp & Paper Chemicals Business Area, the Uruguay factories will use the best available technology. He says that the factories meet all environmental norms in force in both Uruguay and Europe.
Kemira’s Pulp & Paper Chemicals (PPD) produces chemical processes primarily for the pulp and paper industry.
Kemira sees the investment in Uruguay to be strategically important. Junnila notes that it is the start of its operations in South America.
Commenting on the dispute between Uruguay and Argentina on the establishment of the pulp mill in Fray Bentos on the Uruguay River separating the two countries, Junnila said that Kemira is monitoring the situation.
Kemira PPC has a turnover of about EUR 1.1 billion, and employs about 2,500 people. Kemira’s hydrogen peroxide accounted for slightly over EUR 100 million last year.
Kemira also announced on Tuesday that it was selling its hydrogen peroxide unit in South Korea to DegussaHeadwaters. The unit has had an annual turnover of about EUR 20 million. The selling price was EUR 27.5 million.
