Court puts Angara Paper into bankruptcy

Angara Paper planned to build a 1.2 million tpy softwood and hardwood pulp mill for export to Asia.

The Arbitrage Court of the Region of Krasnoyarsk in Russia has opened bankruptcy proceedings against Russia’s Angara Paper. According to court information, Angara Paper has accumulated debt of RUB470m (€6.2m).

Angara Paper aimed to build a new giant pulp mill in Lesosibirsk in the Krasnoyarsk region with a total capacity of 1.2 million tpy. The Angara pulp mill should have produced 900,000 tpy of bleached softwood kraft pulp and 300,000 tpy of unbleached birch pulp. Construction of the Angara hardwood pulp mill was initially scheduled to begin in early 2013, with production start up slated for 2017.

In 2012, Angara Paper had signed an equipment, procurement and construction agreement with the Japanese company Marubeni Corporation under which Marubeni agreed to be the turnkey contractor for the pulp mill.