High electricity price shuts down Swedish CTMP line

Dec 10 2010 The CTMP line at Rottneros mill north of Karlstad has been at a standstill for around ten days, due to en extremely high electricity price.

The halted CTMP line at Rottneros mill results in a loss of production of approximately 2,500 tons - so far. The stoppage is due to the combination of extremely high electricity prices and high timber costs, resulting in sales of marginal volumes being unprofitable. The strong Swedish Krona also contributes to reducing export margins.

The production volume for the remaining part of December at Rottneros' CTMP line depends on how these factors develop, according to a company spokesperson.

The production line for groundwood pulp at Rottneros mill has not been affected by the stoppage. Rottneros' other manufacturing unit, Vallvik mill, which produces chemical pulp, is not as sensitive to electricity prices and is being run at full capacity.