Shandong Chenming tests fine paper unit at Chinese plant

SINGAPORE, Jun. 23, 2008 - Shandong Chenming Paper Holdings has started mechanical tests on a 120,000 tonne/yr coated woodfree paper machine at its No 5 mill in Shouguang city, Shandong province, in China.

The second-hand unit, PM 5, was previously operated by Domtar at its Vancouver plant, now closed, in New Westminster, British Columbia, in Canada. Metso Paper was called in to revamp the machine after Shandong Chenming bought and shipped it back to China.

A spokesperson for Shandong Chenming said the firm aims to put stock on the wire and produce the first sheet of paper on PM 5 in the next few weeks. The cost of the scheme totals RMB 380 million ($55 million).