UPM continues to invest in efficient energy generation

(UPM, Helsinki, 1 February 2012 at 11.15 EET) – UPM continues to invest in efficient energy generation and builds a new combined heat and power plant at the UPM Schongau mill in Germany. The target is to significantly reduce energy costs as well as to secure the energy supply. The total investment is EUR 85 million.

The new power plant will generate process heat as well as electricity for the mill. It will also provide sustainable and energy efficient district heating for roughly 750 households and public institutions such as local school and hospital in Schongau. The renewed energy supply at the mill will be based on the highly efficient combined heat and power technology utilising gas as a fuel.

“The new gas power plant will improve the security and self-sufficiency of energy supply to our mill,” explains Winfried Schaur, General Manager, UPM Schongau. “The renewal of the energy generation ensures efficient production and will safeguard the competiveness of the mill. Furthermore, it guarantees a sustainable paper production loop based on innovative and low-emission technologies.”

The start-up is planned by the end of 2014. The gas power plant will replace the old plant facility which has operated more than 40 years.

UPM aims to achieve improved energy efficiency and energy savings in all its businesses. The company favours a wide range of low-emission energy sources. During the past decade UPM has invested over EUR 1 billion on carbon neutral power and heat generation at its mill sites.

For further information please contact :
Dr. Hartmut Wurster , Executive Vice President, Technology, UPM, tel.: +49 821 3109 264
Winfried Schaur , General Manager, UPM Schongau, tel.: +49 8861 213 122

Notes to the editors

UPM leads the integration of bio and forest industries into a new, sustainable and innovation-driven future. Our products are made of renewable raw materials and are recyclable. UPM consists of three Business Groups: Energy and pulp, Paper, and Engineered materials. The Group employs around 24,000 people and it has production plants in 16 countries. UPM's annual sales exceed EUR 10 billion. UPM's shares are listed on the Helsinki stock exchange. UPM – The Biofore Company – www.upm.com

UPM has 23 modern and sustainable paper mills in Finland, Germany, the United Kingdom, France, Austria, China and the United States. Many of them are large recycling centres and bioenergy producers, as well as paper manufacturers. In 2011, the business group’s net sales amounted to EUR 7.2 billion. To learn more, visit: www.upmpaper.com

UPM Schongau
UPM Schongau mill manufactures newsprint and uncoated magazine papers. Its three production lines have a combined annual capacity of 770,000 tonnes. Located in Bavaria, South Germany the mill employs 550 people. The mill was founded in 1887.

UPM-Kymmene Corporation
Pirkko Harrela
Executive Vice President,
Corporate Communications

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