Chempolis and Yinge to partner
Technology provider Chempolis and producer of non-wood papers Henan Yinge Industrial Investment Co. are looking to partner for the construction of a biorefinery in China.
The two companies signed a frame agreement on 21 January to build the facility in Luohe, Henan province.
The biorefinery is to be based on Chempolis' formicofib technology, using wheat straw as a raw material. It will produce 160,000 tonnes of non-wood papermaking fibres and biochemicals a year.
The project is expected to cost in the region of €30 million, of which Yinge will invest €22.5 million and Chempolis invests €7.5 million.
Pasi Rousu, president of Chempolis Asia Pacific, says: 'For Chempolis, cooperation with a top non-wood papermaking company in China is a desired foundation for the biorefining joint venture.'