Imprensa
Fernanda Burjato
GWA Comunicação Integrada
[email protected]
55 11 3816 3922
Equipe de RI
EPC contracts for the Mucuri Pulp
Expansion Project
Tel.: 55 11 3037+
Gustavo Poppe – 9062
Fernando Mearim – 9359
Rosely D’ Alessandro – 9355
Raquel Eri Kim – 9061
São Paulo, November 10, 2005: Suzano Papel e Celulose (Bovespa: SUZB5), one of Latin America’s largest
integrated producers of pulp and paper, announces it has finalized engineering procurement and construction
(EPC) contracts for the major elements of its second pulp line at Mucuri, in the Brazilian state of Bahia, Brazil.
The contracts have been awarded as follows:
Contract
Supplier
Woodhandling and Bleaching Plant
Dryer Pulp Machine and Baling line
Andritz Brasil Ltda
Metso Brasil Ind. e Com. Ltda
Steam Turbogenerator
Siemens do Brasil Ltda.
Cooking and Washing, Recovery Boiler,
Evaporation Plant, Causticizing and Lime Kiln,
upgrade of existing Recovery Boiler.
Kvaerner do Brasil Ltda
Ernesto Pousada, Director of the Mucuri Expansion Project, comments: “These EPC contracts have been placed
as authorized by the Board of Directors, for total investment in the project of the order of US$ 1.3 billion.
Disbursements under these contracts will start in the fourth quarter of 2005”.
Construction of the plant is scheduled to take 23 months, with start-up in the fourth quarter of 2007. Other
contracts for specific parts of the project will be negotiated in the coming months.
Suzano Papel e Celulose is one of the largest vertically integrated producers of eucalyptus pulp and
paper in Latin America, with pulp production capacity of 1.1 million tons/year and paper production
capacity of 820 thousand tons/year. It offers a broad range of pulp and paper products for the domestic
and international markets, with leadership positions in key Brazilian markets. It has four product lines: (i)
eucalyptus pulp; (ii) uncoated woodfree printing and writing paper; (iii) coated woodfree printing and
writing paper; and (iv) paperboard. Suzano Papel e Celulose indirectly owns 50% of the controlling
interest in Ripasa S.A Celulose e Papel, which produces pulp, printing and writing paper, specialty
papers, paperboard and cardboards. Ripasa’s 2004 net sales were R$ 1.4 billion, from sales of 612,000
tons of products. It has four industrial units in São Paulo State, and forest areas totaling 86,400 hectares.
Statements on future expectations
Some statements contained in this release may be projections or affirmations in relation to future expectations. Such
affirmations are subject to known and unknown risks and uncertainties which could cause such expectations not to be realized,
or to be substantially different from what was expected. These risks include, among others, the risk involved in the contracting
of the EPCs for the initial construction of the Mucuri Project, the issue of convertible debentures, the structure of financing of
the project, the social and environmental aspects of the project, changes in future demand for the company’s products,
changes in the factors that affect domestic and international prices of the products, changes in the costs structure, changes in
the seasonality of markets, changes in the prices charged by competitors, foreign exchange variations, changes in the Brazilian
political-economic scenario, and changes in the emerging markets and in the international market.
1 >>>