RENKUM, The Netherlands, Feb. 15, 2016 (Press Release) -In June 2015 graphic paper manufacturer Parenco announced the conversion of its PM2, an investment of 100 million Euro. This machine was idled in 2009 due to the declining demand of newsprint paper. After the conversion, PM2 will produce packaging paper, intended for the production of corrugated board.
Update PM2 conversion
Today the conversion of PM2 is well underway, even two weeks ahead of schedule. Mechanical installation has started after completion of the main civil works. Production of paper will start as planned, at the latest on August 8th, 2016 – Parenco will be producing Testliner 3 and Fluting, ranging from 70 to 160 grs. Production capacity after the conversion will be 385.000 tons, to be achieved in 2020.
Restarting PM2 also means an enormous investment in human capital: around sixty new employees are being recruited for all kinds of operational and administrative positions. At this moment about 36 new employees have been hired already and are currently being trained at PM1.
When it comes to sales activities the mill has chosen a mixed model in order to provide its potential customers with the best possible service. Sales in the core markets Germany, Benelux, France and the United Kingdom will be handled by a dedicated sales team at the mill.
For Italy and Poland agents have been appointed. In Italy Parenco will be represented exclusively by Intercart S.r.l., in Poland by Ekman Polska Sp. Z.o.o.. Parenco is extremely pleased to have these experienced partners on board.
Investments in PM1 continue
Amidst all conversion activities, production on and investment in PM1, the machine that produces SC- paper for the graphical market, continues. This market is and will continue to be of utmost strategic importance for Parenco. Therefore the mill will invest 1.4 million Euro in a conversion of one of the winders behind PM1, with the aim to increase the efficiency of the installation. Parenco produces 270.000 tons of SC- paper annually.