Kruger doubles production of its future tissue machine in Sherbrooke, Que.
by CM Staff
The double-wide machine, which features LDC (light dry crepe) technology, will be able to produce at least 60,000 metric tonnes of tissue products annually.
Kruger doubles production of its future tissue machine in Sherbrooke, Que. (CNW Group/Kruger Inc.)
SHERBROOKE — On Dec. 17, Kruger Products announced that it will double the size and production of its future LDC tissue machine in the Brompton borough of Sherbrooke. The machine is slated to be commissioned in 2024.
After revealing on February 26, 2021, a $240-million expansion project to install the machine and add two converting lines, the Company announced that it is increasing its investment by $111.5 million, for a total of $351.5 million. The double-wide machine, which features LDC (light dry crepe) technology, will be able to purportedly produce at least 60,000 metric tonnes of tissue products annually for the Canadian and U.S. markets.
Kruger Products’ new Sherbrooke tissue plant was commissioned on time and on budget earlier this year, after close to one million hours of construction during the pandemic. When combined with the $600 million invested in this plant and artificial intelligence, investment in the Brompton Borough totals nearly $1 billion and will result in the creation of 321 jobs in all.
“The additional production capacity will enable us to drive our Company’s growth and continue to supply our customers across North America with high quality tissue products such as Cashmere®, SpongeTowels®, Scotties® and Purex® in Canada, and White Cloud® in the United States,” explained Dino Bianco, CEO of Kruger Products.
Earlier this year, the Government of Québec, a partner in the project, provided a $165-million loan through Investissement Québec. The additional investment of $111.5 million announced on Dec. 17, however, is entirely funded by Kruger Products and a bank syndicate.
“Quebec’s pulp and paper industry needs to renew and modernize itself. Kruger Products’ acquisition of this new machine is a great example of technological innovation, which will allow it to double its production capacity. It’s the kind of initiative that will boost the industry’s performance and growth,” said Pierre Fitzgibbon, Minister of Economy and Innovation and Minister Responsible for Regional Economic Development.
