At its small-diameter timber sawmill in Orrefors, Sweden, Södra is investing about SEK 35 million ($4.1 million) in a new boiler and drying facility, which will enable production increases in the future. The supplier is Fröseke Industriservice AB.
“This investment is necessary for profitability. Currently, there is insufficient boiler capacity, which means we must sell some goods undried. The investment will enable us to increase production and also dry the entire sawn volume,” said Jörgen Lindquist, President of the Södra Wood business area.
The limiting factors for the sawmill’s capacity are the boilers and wood dryers. The two existing biofuel boilers that currently serve the sawmill are to be replaced by a new, larger biofuel boiler of 6 MW instead of todays 2.5 MW.
“The change of boiler will also enable the simultaneous expansion of wood drying through the addition of six chamber dryers. Following the investment, the sawmill will go from a drying capacity of about 60,000 cubic metres to approximately 105,000 cubic metres,” says Jörgen Lindquist.
The new facility will be put into operation in 2018.
Södra is the economic association that unites more than 50,000 forest owners in southern Sweden. The Group’s three business areas are production of sawn and planed timber goods, interior products, paper pulp and biofuel. In recent years Södra has also become such a large producer of electricity. It employs 3,500 people in areas that range from forestry management and environmental conservation to accounting, sales and product development.