Borregaard ASA: Temporary disruption in production of speciality cellulose



Borregaard ASA: Temporary disruption in production of speciality cellulose | Borregaard, closure,

Borregaard has experienced an unforeseen outage at a facility at the Sarpsborg site, which supplies a key chemical used in the production of speciality cellulose. During the period of the outage, cellulose production was restricted to grades outside standard specifications, resulting in delays of shipments of certain speciality cellulose grades.

Production of other products at the biorefinery - including lignin-based biopolymers, bio-vanillin, bioethanol, and cellulose fibrils - remained unaffected.

Borregaard has worked with internal and external experts to resolve the issue and minimise the impact on customers.

Deliveries of speciality cellulose in the 3rd quarter are now expected to total approximately 30,000 tonnes, compared with the previously forecasted range of 35,000 to 38,000 tonnes as communicated in the 2nd quarter report. The estimated negative impact on the Group's EBITDA for the 3rd quarter is in the range of NOK 40-50 million.

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