23.8.2006: Meldung: Stora Enso upgrades and expands its sawmilling operations in Russia

Stora Enso is investing EUR 31.5 million in its Nebolchi Sawmill and EUR 12.5 million in its Impilahti Sawmill. These investments will enhance the competitiveness of Stora Enso"s sawmilling business and wood procurement in Russia. Impilahti sawmill started operations in 2003 and Nebolchi in 2004 producing fresh sawn timber. The investments will upgrade the sawmills to manufacture products with added value. The investments will also improve access to the fast-growing building material markets in Russia.

At Nebolchi Sawmill the investment will allow all the output to be kiln dried and 100 000 m3 per year of new on-line planing capacity to be targeted at the European and Russian do-it-yourself (DIY) markets. The production capacity of the sawing line will be almost doubled to 220 000 m3 per year. This project will start by the end of this year and is scheduled to be completed during the first quarter of 2008. The number of employees is expected to increase by 57.

At Impilahti Sawmill kiln drying facilities will be added and production capacity increased slightly to 140 000 m3 per year. This project will start during autumn this year and is scheduled to be completed during the third quarter of 2007. The number of employees is expected to increase by 11.

For further information, please contact:
Peter Kickinger, Executive Vice President, Stora Enso Timber, tel. +43 664 182 5348
Kari Vainio, Executive Vice President, Corporate Communications, tel. +44 7799 348 197
Keith B Russell, Senior Vice President, Investor Relations, tel. +44 7775 788 659


Stora Enso is an integrated paper, packaging, and forest products company, producing publication and fine paper, packaging board, and wood products – all areas in which the Group is a global market leader. Stora Enso’s sales totalled EUR 13.2 billion in 2005. The Group has some 46 000 employees in more than 40 countries on five continents. Stora Enso has an annual production capacity of 16.9 million tonnes of paper and board and 7.7 million cubic metres of sawn wood products, including 3.3 million cubic metres of value-added products. Stora Enso’s shares are listed in Helsinki, Stockholm, and New York. Stora Enso Oyj Kanavaranta 1 FI-00160 HELSINKI, Finland Tel. +358 2046 131 www.storaenso.com Business ID 1039050-8
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