CHILE – With an investment of about USD 4.6 billion, Arauco’s new pulp mill in Brazil will have an annual capacity of 3.5 million tons. Arauco has selected Finnish company Valmet as its technology partner.

As a leader in pulp and bioenergy, Arauco is advancing the Sucuriú Project, its largest investment. Following the Board’s approval, Valmet will supply the production line for the mill in Inocência, Mato Grosso do Sul. Valmet will provide a state-of-the-art production line with automated systems to maximize energy efficiency and minimize waste.

Carlos Altimiras, President of Arauco do Brasil, stated that this project represents cutting-edge automation and environmental efficiency. It will be the largest single-stage pulp production project worldwide, reflecting Arauco ‘s commitment to innovation.

Mato Grosso do Sul’s governor, Eduardo Riedel, noted that this project strengthens the State’s growth and Arauco’s commitment, promising job creation and economic development.

The Sucuriú Project will incorporate Industry 4.0 technology, enhancing safety and resource efficiency. It will also include a Gasification Plant for biofuel production to replace fossil fuels and the largest Chemical Recovery Boiler in the industry.

The plant will generate over 400 megawatts (MW) of electricity, with surplus energy available for the national grid. These initiatives underline Arauco’s sustainability commitment.

“This investment marks a significant milestone for the industry. We are proud to partner with Arauco and ensure this plant becomes a benchmark for sustainable technologies,” said Thomas Hinnerskov, CEO of Valmet.

Located 50 kilometers from Inocência, the Sucuriú Project involves a USD 4.6 billion investment. Since the 2022 Agreement with the Mato Grosso do Sul government, the project has progressed in environmental approvals and is now in the earthmoving stage, preparing for construction to start in 2025. The plant is expected to be operational by late 2027 and will create about 14,000 jobs at peak construction.