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Historical Analysis of U.S. Pulp and Paper Mill Spending Shows Alabama as Leader in New Project Development

Released September 12, 2012 | SUGAR LAND

Researched by Industrial Info Resources (Sugar Land, Texas)–A historical analysis of the Industrial Info Project Database, dating back to January 2000, indicates that Alabama has been the leader in new project development at pulp and paper mills across the U.S. Industrial Info has reported on more than 235 capital and maintenance projects at mills in Alabama, with investment values totaling more than $2.6 billion.

Click to view PulpPaperSep2011 Click on the image at the right to view a breakdown of the top 10 U.S. states for project counts and expenditures at mills over the past 12 years.

Project activity in Alabama accounted for nearly 11% of the 2,169 projects reported by Industrial Info at pulp and paper mills across the country for the same period. The aggregate of expenditures for the past 12 years was more than $27.2 billion invested. Georgia and Louisiana round out the top three states, with 209 projects valued at $1.8 billion and 150 projects that combine for $1.7 billion, respectively.

This year, Industrial Info reported on 59 projects in Alabama, second only to Georgia with 60 projects. Of the 59 projects, 38 are still active and are in the planning, engineering, or construction phase, and combine for more than $341 million in spending. Many of the current projects touch on the utilities side of the mill and range from re-tubing boilers and new installations to adding new steam turbine generators. On the production side, there are several projects geared toward paper machine upgrades and rebuilds.

Alabama is home to 17 large pulp and paper mills that manufacture everything from bleached and unbleached pulp, linerboard, corrugated medium, gypsum board liner, and a number of paper grades, including printing and tissue papers. The state includes mill owners such as International Paper (NYSE:IP), MeadWestvaco (NYSE:MWV), Rock-Tenn (NYSE:RKT) and privately held Georgia Pacific.

Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, and eight offices outside of North America, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info’s quality-assurance philosophy, the Living Forward Reporting Principle™, provides up-to-the-minute intelligence on what’s happening now, while constantly keeping track of future opportunities.

 

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