Posts Tagged ‘Fortress update’

Fortress Paper Provides Update on Dissolving Pulp Conversion Project

Posted: Friday, September 2nd, 2011

c. (“Fortress” or the “Company”) (TSX:FTP) wishes to report that the construction relating to the conversion of the Fortress Specialty Cellulose Mill from a NBHK pulp to a dissolving pulp operation is proceeding substantially on schedule. However, due to rescheduling of the delivery and installation of specialized equipment, the enhancement of certain processes, and other ancillary matters, the Company has decided to marginally delay the necessary shut down of the mill required to make tie-ins and upgrades on existing equipment. Accordingly, the production of dissolving pulp is now scheduled to commence in early November 2011. The Company believes that the enhancements to certain processes will provide for a smoother start up and ramp up to full production capacity.

The deferment in the production of dissolving pulp is partially mitigated by the mill’s existing production of specialty pulp which yields a higher margin as compared to NBHK pulp. This specialty pulp is manufactured in strict accordance with certain technical specifications requested by the Company’s customers. The Company believes that, as a result of the extensive development and training experience derived from achieving the tolerances required for this unique specialty pulp, the mill will be positioned for a more efficient transition to dissolving pulp production later this year.

SOURCE: Marketwire