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UPM to Build Renewable Energy Power Plant at its Caledonian Mill in Scotland
Helsinki, Finland, 05 December 2006 – UPM will build a new power plant at its Caledonian mill in Irvine, Scotland. The new boiler will use a 350,000 metric ton combination of biomass and site-derived residues as its primary fuel. The total investment cost is GBP 59 million (approximately EUR 88 million).

The new power plant, once started-up in the first quarter of 2009, will continue to reduce UPM's carbon emissions by 75,000 metric ton annually. The company has reduced its production-related fossil CO2 emissions by 25% during the last 10 years by investing in biofuel-based energy generation and in energy efficiency. The latest investments have been in a new boiler plant at Shotton mill in the UK and power plants at Rauma mill in Finland and Chapelle Darblay mill in France.

The new power plant at Caledonian mill will also significantly assist the Scottish Executive in achieving its 2010 national renewables generation target of 18%.

The investment further reinforces UPM's Caledonian mill site as being one of the largest ever inward investments in Scotland. The mill's annual production capacity is 280,000 metric tons of lightweight coated magazine paper. Altogether 360 persons work at the site.

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