Voith has secured a contract from graphic paper manufacturer Parenco to convert the latter's paper machine 2 (PM2) into a packaging production line and for renovating its manufacturing unit at Renkum, Netherlands.
Parenco is investing €100m in the conversion of the machine at the Renkum facility, while creating 60 new jobs.
Voith will use the existing TMP and Deinking plant buildings during the upgrade, and rebuild the recycled fibre plant and the wet end process.
The conversion of PM2 includes the addition of a new two-layer headbox, NipcoFlex shoe press, SpeedFlow sizing unit and after dryer section.
The process line package includes all auxiliaries, electrics, DCS, starch preparation, pumps and piping, automation control system and engineering.
Expected to become operational in mid-2016 after the rebuild, the PM2 will produce more than 385,000t of packaging paper for the production of corrugated board.
Parenco managing director Geert Wassens said: "Globally, the demand for graphic paper is declining in principle and there is sufficient capacity. Restarting PM2 with this type of product was therefore not an option.
"The market for packaging paper has been growing for years however and it is expected to continue doing so. Extensive research showed that investing in a conversion to the production of packaging paper was the right step to guarantee long-term growth and continuity for our company."
Parenco may select Valmet Technologies for the construction of a new winder behind PM2.
Image: Parenco contracts with Voith to upgrade its paper machine to packaging paper production line. Photo: courtesy of Voith.