Renewable packaging material specialist BillerudKorsnäs will commission two feasibility studies for a new board machine at its production facility in Gruvön, Sweden, as well as streamline packaging papers production operations.

The feasibility studies will help the company to cater to the increasing demand for its products.

BillerudKorsnäs president and CEO Per Lindberg said: “These two investigations clearly indicate that we have our sights set on growth.

“These two investigations clearly indicate that we have our sights set on growth.”

“We carefully compare all different growth scenarios to each other. Right now, we consider conditions for organic, investment-driven growth in our own production structure as the most favourable.

“These investigations do not exclude the possibility of further acquisitions.”

The company is considering the installation of a new machine at the Gruvön site as it looks to increase production capacity within consumer board business area.

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Said to become one of the most cost-efficient devices, the machine will be capable of annually producing close to 500,000t of liquid packaging board, cartonboard, food service board and white kraftliner.

BillerudKorsnäs plans to cease kraft papers production at the Gruvön unit which will be moved to the company’s other units.

It is also considering to move MG paper machine in Finnish Tervasaari to Swedish Skärblacka integrated unit, as well as invest in surface treatment capacity at existing MG paper production in Skärblacka, which could strengthen the facility’s position as one of the world’s most efficient production units for white MG papers.

The company expects to make a final investment decision next year.