World-class pulp centre to be constributed at Mussalo
Port of HaminaKotka, Steveco and UPM have agreed on the construction of a world-class pulp terminal in the new D-area in the western part of the Mussalo Harbour in Kotka. The investments of the Port of HaminaKotka in the infrastructure of the area are approx. 30 million euros. A new field of about 20 hectares, 220 metres of quays as well as warehouses will be built in the new area.
Steveco will build a terminal with a size of 20,000 square metres and dimensions of 400 metres by 50 metres. The value of the terminal investment is 8.5 million euros. The terminal is expected to be in operation by the end of the year. The quay will be completed in the spring of 2019.
“For the Port of HaminaKotka, this is a significant leap into the future together with our long-term partners UPM and Steveco. We are seeing the launching of new kind of activity at the Port of HaminaKotka”, says Kimmo Naski, CEO of Port of HaminaKotka Ltd.
“The site is excellent, and it offers significant operational synergy benefits through integration with our other operations”, says Henri Kuitunen, CEO of Steveco Oy.
The project stems from UPM’s decision to concentrate the sea transport of the products made at the Kaukas and Kymi pulp mills in Finland to Kotka. In the past few years, UPM has made investments to increase the annual production capacity of the Kymi and Kaukas pulp mills by a total of 370,000 tonnes.
“The concentration of transport enhances UPM’s pulp logistics and increases flexibility. The new centre will offer facilities that fulfil the product safety requirements, and it is served by rail transport, which reduces the carbon footprint of our transport operations”, says Jukka Hölsä, Director of Maritime Logistics at UPM.
“From Mussalo, pulp can be delivered out to the world on both conventional ships and in containers. In addition to export purposes, the terminal will also be used as an intermediate storage for domestic transport”, Jukka Hölsä continues.
The long-term agreement now concluded concerns the first phase of the pulp logistics centre. The goal is that the centre will expand later. In the future, there are facilities to build more warehouses and approx. 500 metres of additional quays in the area.
“Port facilities have become congested in both Kotka and Hamina. Since the volumes of goods carried have developed favourably and the positive trend in Finnish exports seems to persist, we have decided to carry out this major expansion investment”, says Kimmo Naski.
Kimmo Naski, CEO, Port of HaminaKotka Ltd, tel. +358 40 570 2036
Henri Kuitunen, CEO, Steveco Oy, tel. +358 400 501 398
Jukka Hölsä, Director, UPM Logistics, tel. +358 20 415 5920