Lenzing ramps up pulp cooperation with Sappi (Austria)

Austria-based man-made cellulose fiber producer Lenzing AG and South Africa-based global pulp producer Sappi Ltd. have signed a multi-year pulp delivery contract that intensifies a long-time cooperation between the two companies. The contract is tied to Sappi's expansion of dissolving pulp capacity to enable it to supply additional chemical cellulose for fiber production.

According to Lenzing, the pulp under contract is derived primarily from eucalyptus trees grown on certified plantations and will be sourced from Sappi's Southern Africa division mainly to produce Tencel? fiber. Lenzing also sources pulp from Sappi to use in viscose production. Sappi is one of a number of dissolving pulp producers worldwide that supply product to Lenzing for its non-integrated fiber production plants in Asia, Europe and the United States.

As the largest dissolving pulp producer worldwide, Sappi currently produces more than 800,000 metric tons annually of the pulp at one facility in South Africa. It is in the process of converting two additional paper pulp facilities to dissolving pulp production — a second facility in South Africa and a U.S. facility in Cloquet, Minn. (See " Sappi To Convert Minnesota Pulp Mill For Chemical Cellulose Production," TextileWorld.com, April 10, 2012). Upon completion of those two conversions, the company will have an annual dissolving pulp production capacity in excess of 1.3 million metric tons.

Lenzing has been expanding Tencel production capacity in facilities in Austria and the United Kingdom as well as in its U.S. facility in Mobile, Ala., with the intention of increasing production to some 275,000 metric tons in 2015. The Mobile facility, which produces fiber for nonwoven wipes and baby care products, will see annual capacity expanded from 40,000 metric tons to 50,000 metric tons.