HIGH-TECH WOOD MADE FROM PULP PRODUCTION AT THE HIGHEST LEVEL

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1 HIGH-TECH MADE FROM WOOD PULP PRODUCTION AT THE HIGHEST LEVEL

2 PROVEN QUALITY, ADDED STRENGTHS independently and privately run total level of investment since 2005: 400 million Euros lowest possible emissions: CO 2 -neutral mill high-quality bleached kraft paper world s largest MG Steel Yankee cylinder Zellstoff Pöls AG in Pöls (Austria) is the largest producer of high-quality elemental chlorine-free bleached softwood sulphate pulp in Central and Southeast Europe and the leading producer of high-quality bleached Kraft paper. As a subsidiary of the Heinzel Group it is independent and privately managed. Investments of more than 400 million euros in the last ten years have made the pulp and paper mill in Pöls into a highly up-to-date site in Europe with the best technology available. Due to the optimisation of energy use across the whole factory, the precious raw material wood, which mainly comes from local sources, is used as efficiently as possible: it is both utilized for the production of our prime goods as well as to generate energy consumed in the mill. In this way, the mill can be run with the fewest possible emissions and in a CO 2 -neutral way Acquisition by Heinzel Group 2005 Start of Pöls 500+ capacity expansion 2008 New impregnation tower for wood chips 2010 Tall oil plant construction 2011 Steam turbine put into operation 2013 Paper machine 2 put into operation 2015 General overhaul of recovery boiler WHAT WE STAND FOR As a forward-looking company, we are constantly evolving. Our business strategy is based on responsible growth and sustainable success. AWARDS 2014 PPI Award for Business Strategy of the Year (Starkraft) 2006 New lime kiln 2009 Construction of a new 110 KV power line 2011 Steam turbine put into otperation Austrian Climate Protection Prize for district heat project TRIGOS Award for sustainability Austrian Logistics Prize (Starkraft) 3

3 NBSK! * * NORTHERN BLEACHED SOFTWOOD KRAFT ORION pulp is mainly used in the production of high-quality printing and writing paper, as well as tissue paper, packaging and speciality paper. ORION stands out most for its consistently reliable quality and its wide range of applications that result from this. The combination of tensile and tear makes ORION universally suited for the most diverse paper production applications. Its good level of refining leads to energy savings, stiffness and volume. Above all, this yields significant advantages in relation with low grammage. This is made possible by two pulp qualities: ORION sheet and ORION flash. Furthermore, ORION is characterised by high levels of purity and whiteness. ORION flash, in particular, wows with higher volume, 30% higher porosity and outstanding tear resistance. optimal tensile/tear ratio high refining performance good dissolvability high levels of purity and whiteness WHAT WE STAND FOR We actively promote crossgeneration knowledge transfer and exchange everybody can learn from the other. 5

4 HIGH-TECH MADE FROM WOOD We are committed to the preservation and sustainable protection of the most valuable raw material for pulp production wood: through well managed forest management, compliance with FSC and PEFC regulations and, above all, optimal utilisation of this diverse raw material. Thereby, the wood, which is mostly sourced from domestic forests, is first utilised as a production material by processing the wood s fibres for the manufacture of premium ORION pulp. Subsequently, the wood is used to generate power, achieving an excellent degree of efficiency: the heat generated in pulp production is not only used to supply the factory itself but also to provide more than 15,000 households in the region with district heat. The steam generated in production is converted into electrical energy which is used next to the mill itself - to supply power to some 20,000 households. Our Kraft paper machine, the most modern in Europe, is located right next to the pulp mill and produces more than 80,000 tons of Kraft paper annually, using the company s own ORION pulp, of course MILLION SOLID CUBIC METRES ANNUALLY PULP ELECTRICITY DISTRICT HEAT TALL OIL TURPENTINE 333,000 t 15 GWh 12 GWh t 430,000 t 70 GWh * 120 GWh ** t 340 t t * 20,000 households ** 15,000 households Reduction in CO 2 100,000 t/year PAPER 13,000 t 80,000 t 100,000 t 6 7

5 A STATE-OF-THE-ART PULP PRODUCTION PULP MILL 01 Wood Yard Up to 12,500 solid cubic metres of wood arrive here every day in the form of chips and roundwood around 270 trucks and 115 waggons. 02 Fiber line Here, the wood chips are disintegrated and make their way through our continuous digester, oxygen bleaching, washing, a secondary bleaching stage and screening. 03 Recovery line The chemicals required for pulp production are recovered in the recovery line. 04 Drying Two independent drying lines the sheet dryer and the flash dryer ensure continuous production Storage The pulp is stored in the warehouse as ORION Flash or ORION Sheet, ready for dispatch PAPER 06 STARKRAFT The PM2, the most up-to-date Kraft paper machine in Europe, can produce 1,000 metres of the highest quality paper per minute with 5.4 metres working width. ENVIRONMENT AND SUSTAINABILITY 07 iological water treatment B The process water from production is recycled here and released back into the river Pöls. 08 District Heat From the district heat supply in the recovery line, warm water flows into the pump station and over a 23 km-long district heat system to more than 15,000 households in the region. 09 Tall Oil Plant Tall oil is a product of pulp production and is used in the production of tyres and adhesives, for example. 10 Turpentine extraction Turpentine is used in the cosmetics industry in particular and is a further product of pulp production alongside tall oil. 11 Turbine Large parts of the generated steam are converted to electric power. On the one hand, some 20,000 households can thus be supplied with electricity and, on the other hand, our mill can be operated without additional power. 9

6 PULP We produce some 430,000 tons of ECF-bleached ORION softwood sulphate pulp annually. In modern pulp production, every process stage is important: the wood yard, where the valuable raw material arrives and the fiber line, which takes apart the raw material as well as the recovery line, in which the chemicals needed are processed and recovered. After drying, the finished ORION pulp is prepared to be dispatched

7 WOOD YARD Upon receipt, the wood loads are meticulously classified and quantified after which the freshly delivered raw material starts its journey through the pulp mill. Using the site s own railway system or via lorry, the wood chips are delivered to the inspection where they are unloaded and temporarily stored as a pile of wood chips. Incoming logs are either stored or directly debarked and processed into wood chips. some 270 trucks and 115 waggons per day up to 12,500 solid cubic metres of wood per day 12 13

8 FIBER LINE DRYING LOGISTICS On its way through continuous digester, oxygen bleaching, washing, a secondary bleaching stage and screening, the wood chips are turned into a white sea of pulp in the fiber line. In the continuous digester, the wood chips are first pre-heated in an impregnation tower using steam and pre-impregnated through adding cooking chemicals. Subsequently, the wood chips are cooked at 160 C and a pressure of 6 bar for a period of several hours in the liquor. This dissolves the wood into its main components of fibres and lignin. After this stage, lignin and chemicals are washed out in the downstream oxygen bleaching stage and guided to the chemical recovery system. Contaminations are removed through screening and the now pure pulp runs through the secondary bleaching stage until it reaches copying paper whiteness. SHEET DRYER/FLASH DRYER PULP STORAGE To prepare the finished and bleached pulp ready to be transported off, it is dried by means of a sheet or flash dryer. The wrapped pulp waits to be transported off at the central pulp warehouse divided into the qualities ORION sheet and ORION flash. WHAT WE STAND FOR Relying on our highly qualified staff, we guarantee extraordinary security of supply, optimised and secure processes and high levels of availability

9 RECOVERY LINE Chemicals and wood components (e.g. lignin) washed out of the pulp are inserted in their liquid form (black liquor) Black liquor is thickened and incinerated in the recovery boiler The entire pulp production system s energy demand regarding steam and electricity can thus be covered Chemicals are deposited on the boiler s bottom and can be conditioned to be used for digesting by means of a closed recovery process 16 17

10 PAPER Starkraft, Zellstoff Pöls AG s paper brand, is the leading provider of premium bleached Kraft paper. Decades of experience in paper production allow us to develop and produce products precisely tailored to our costumers requirements, needs and processes

11 STATE-OF-THE-ART TECHNOLOGY HIGHEST LEVEL OF REFINING EXCELLENT SHEET FORMATION BEST POSSIBLE RUN- NING CHARACTERISTICS PERFECT SMOOTHNESS VARIABLE REEL SIZES CONSISTENT PAPER QUALITY With four refiners we are able to control the pulp s refining intensity in such a way that, at the end of the process, we ensure maximum density and strength. Our paper machine provides optimal dewatering and dilution water control. This is highly significant for sheet formation and paper density. The world s largest MG Steel Yankee cylinder guarantees outstanding surface quality and perfect gloss. This in turn, assures best possible running characteristics and excellent printability. Our calender ensures that requirements towards gloss, smoothness, thickness and paper structure are implemented perfectly. Our reels with widths of 450 to 3,200 mm rule out winding errors, feature straight-edged face sides and provide perfect winding structure. During the entire production process the paper quality is controlled and monitored by on-line measurement and control systems, which guarantee a consistent high quality

12 OUR ENVIRONMENT The power required for our mill is produced on site and fed into the public grids in the form of electricity and district heat. To minimise the emissions of our pulp and paper production, the waste water coming out of the production line is cleaned in a biological waste water treatment plant. This system is also used to clean the surrounding communities communal waste water making it a valuable resource for the region. BIOLOGICAL WATER TREATMENT The installed cleaning capacity is equal to that of a communal waste water treatment plant of a medium-sized city with 200,000 citizens. WHAT WE STAND FOR We protect our environment at a level far exceeding legal requirements and assume responsibility for improving quality of life in the region. Our production is CO 2 -neutral and we continuously improve our environmental protection measures and minimise our ecological footprint. The power generated in our production process makes us independent and even allows us to provide the region with electric power

13 SUSTAINABILITY Contrary to other raw materials, wood is CO 2 -neutral: for its growth, it only needs solar energy and carbon dioxide (CO 2 ). This energy and the carbon are stored in the wood. When the wood is burned, this solar energy is released as heat. The combined carbon is also released to the atmosphere. However, the amount of CO 2 emitted merely corresponds to that extracted from the environment by the tree during its growth. Furthermore, the stored energy is optimally used

14 CO 2 -NEUTRAL PRODUCTION Due to the optimisation of energy use across the whole mill it can be run with the fewest possible emissions and without additional energy consumption. POSITIVE CO 2 BALANCE Through the generation and supply of district heat, green electricity as well as tall oil and turpentine, we are able to save more than 100,000 tons of fossil CO 2. This results in our location s positive CO 2 balance and, in turn, a favourable effect for the environment. WHAT WE STAND FOR We respect different cultures, opinions and ideas thus uncovering new views for a successful future. We are an attractive employer for all those who value trust, appreciation and respect. DISTRICT HEAT Hot water is guided from the district heat supply in the recovery line into the pumping station and a 23 km-long district heat system. The purposeful use of the pulp mill s surplus heat makes the region more independent from fossil fuel and reduces traffic by reducing raw material transport and additionally lowers emissions. ELECTRICITY The steam turbine allows the conversion of large parts of the steam generated in pulp production into electric power. The steam turbine runs with a degree of efficiency of more than 85 percent thus contributing significantly to CO 2 -neutral power generation in the region. 35 million Euros were invested into the steam turbine and its accompanying structural measures. It generates some 150 GWh of green power for the mill itself and some 20,000 households

15 OPTIMAL UTILISATION OF VALUABLE RAW MATERIALS Wood contains some 1 to 3 percent of resins such as tall oil or turpentine in order to use these raw materials we have invested in tall oil and turpentine extraction facilities Among others, tall oil is used for the manufacture of soap, glue or rubber products Turpentine is primarily used in the cosmetics industry 28 29

16 STRONG PARTNERS privately run high availability premium quality central location unique logistics solutions PÖLS WHAT WE STAND FOR 30 Our company stands for premium products, professional service and state-of-the-art production methods. We believe in maximum customer satisfaction as a significant quality feature. As a privately run company in the heart of Europe, we guarantee highest levels of quality and consistent availability of our products. Our central location shortens our delivery routes and our unique logistics solutions yield the shortest possible delivery times. A competent contact person from the Heinzel Group s international sales network is always available to answer your questions on products, orders or logistics. Since its foundation year 1700, Zellstoff Pöls AG s location has evolved many times in order to always meet the technical, economical and ecological requirements, but also in order to set new benchmarks. Certified management systems (including ISO 9001, ISO and OHSAS 18001) help us to optimally manage our current and future tasks. We have already achieved our goal to produce in a CO2-neutral way thanks to a multitude of individual measures and investments aimed at saving and optimally utilising power. Our company s important focal points furthermore include work safety, fire protection and the incorporation of risk management into our entire system. For our dedication to healthy workplaces, we have been awarded the seal of quality for exemplary workplace health promotion by the government. Zellstoff Pöls AG s draws its success from its tradition, innovative power and careful resource management and has thus distinguished itself as a successful international industry company. Together with you, we would like to continue this path. We are looking forward to constructively cooperating with you! 31

17 ZELLSTOFF PÖLS AG Dr. Luigi-Angeli-Strasse Pöls, Österreich Telephone: Fax: office@zellstoff-poels.at Web: