Governor of São Paulo participates of the start of the works for Bracell’s Tissue operation

The company is investing R$ 5 billion in new operations in Lençóis Paulista, with R$ 2.5 billion for the new tissue mill

Bracell leaders received the Governor of the State of São Paulo, Tarcísio de Freitas, and other authorities in his entourage for the opening ceremony of the civil works of the largest tissue mill in Latin America. The unit is being built next to Bracell's pulp mill, in Lençóis Paulista (SP).

In all, the company is investing R$ 5 billion in the city, R$ 2.5 billion of which in the construction of the tissue mill, which is expected to start operating in 2024, and the other half of the amount for investment in a plant production of sodium chlorate and hydrogen peroxide, chemical components used in the pulp production process.

Praveen Singhavi, President of Bracell, accompanied by Eduardo M. Aron, Tissue Business Unit Director, celebrated, together with the Governor and guests, the beginning of the works of the new operation.

"Our new Tissue mill will be the most productive unit in Brazil. This project reinforces our commitment to invest in the country, contributing to productivity and sustainability across the business. It is a milestone that makes us very optimistic about the prospects for development, as we want to add value and further expand the Tissue downstream operations," says Singhavi.

For Eduardo M. Aron, Tissue Business Unit Director, the expectation is that the industrial symbiosis integrates not only economic activity, but also Bracell's efforts for the environment and community well-being. "Through the exchange of raw materials, energy and water, we will reduce the impacts resulting from our industrial activity, in addition to operating costs", he says.

The new mill will have four tissue production machines, which will be converted into two products: toilet paper and paper towels. With a production capacity of 240 thousand tons per year, the mill will be one of the most modern and sustainable in the world, 100% automated and the only one in Brazil to operate completely free of fossil fuels.

In the construction phase of the project, more than 2,000 jobs are expected to be created and, for the operation, there will be 550 permanent jobs. The focus of the contract is in the interior of São Paulo, the region where it operates, with a view to expanding Bracell's commitment to fostering local development.

On the occasion, Bracell's pulp operation was also presented to the Governor, which, in the last four years, represented an investment of more than R$ 15 billion in the country. Considered the largest and most sustainable in the world, the mill has two flexible lines that produce both kraft pulp and dissolving pulp. In addition, its operation is free of fossil fuels.

The Governor of São Paulo, Tarcísio de Freitas, highlighted the importance of investments such as Bracell's for the development of the State of São Paulo. "Our mission is to create a favorable ecosystem for large investments like Bracell's to boost the development of our State. We are proud to have one of the largest and most sustainable pulp mills on the planet, bringing this industry leadership to São Paulo", he said.

In January of this year, Bracell signed an agreement for the acquisition of OL Papéis Ltda. to reinforce its entry into the tissue market and expand its operations in Brazil. The presence of OL's brands is concentrated in the Northeast region, with mills in Bahia, in Feira de Santana and São Gonçalo dos Campos, and in Pernambuco, in the municipality of Pombos. The acquisition has already been approved by CADE.