Progress regarding Botnia's Uruguay pulp mill project

Construction work on Botnia's pulp mill project in Uruguay is currently
progressing as normal. Botnia is expecting an official statement from the
Uruguay government concerning a request that the work be suspended. “We are
waiting for the government's proposal before we take a stand on the issue”,
explains Botnia's President and CEO Erkki Varis. “There are no legal grounds
for suspending construction work. We shall assess the situation once we know
the contents of the government's proposal. We will then be in a position to
make an announcement.” 

All the foundations for the pulp mill buildings have been laid, and work above
ground is continuing with erection of the steel building frames. Approximately
1,500 Uruguayan building workers are currently employed on the site. 

The pulp mill project is extremely important to Uruguay. During the
construction phase in the second half of 2006 it will create jobs for up to
4,500 people. Once in operation, the mill will have a direct employment effect
of some 5,000 and indirectly for around 8,000 people. The pulp mill will boost
Uruguay's gross national product by 1.6 per cent. 

About Us

Metsä Metsä Fibre is a leading producer of bioproducts and bioenergy. The company’s pulp brand is Botnia and the sawn timber brand is Metsä Nordic Timber. The company’s bleached softwood and birch pulp grades have been developed for the production of high-quality board, tissue and printing paper and speciality products. The main applications for spruce and pine sawn timber are products for construction and interior decoration as well as window and door joinery and raw material for packaging industry. Currently employing approximately 1 200 people, the company’s sales totalled EUR 1.9 billion in 2017. Metsä Fibre is part of Metsä Group.