European corrugated giant Smurfit Kappa is set to invest £98m over three years in its Townsend Hook, Kent paper-making facility. The installation and commissioning of a five-meter, lightweight recycled container board machine is due to be completed and operational by the end of 2014.
The new machine will secure the supply of paper for all of Smurfit Kappa's packaging operations in the UK and Ireland and will produce corrugated papers, for use in the company's integrated plants meeting market requirements for sustainable, recycled paper-making.
Smurfit Kappa has sourced the equipment from Cartiera di Cadidavid and will replace two existing container board machines, increasing Townsend Hook's capacity of recycled paper per annum by over 8% to 260,000t from 240,000t.
The company said together with Smurfit Kappa's SSK mill in Birmingham, it will offer the portfolio of corrugated paper available in the UK to ensure their customers have continuity of supply and its security is enhanced by its recycling organization operating a fully closed loop system from recovered fiber, to paper, to box and back.
Smurfit Kappa Paper UK CEO Chris Allen said the design of the new machine features technology that will produce a lightweight paper, enhancing the company's position.
The company's two UK mills will now specialize in producing all the recycled brown corrugated case material for its UK and Irish corrugated business, while maintaining its presence in the market.
