Arauco’s Board of Directors recently approved the MAPA project (Spanish acronym for Modernization and Extension of Arauco Mill), a pulp production initiative that involves a USD 2,350 million investment in Chile, the largest investment in the company’s history.
Even though MAPA started in 2015 with the construction of the new wastewater treatment system, the extension stage will begin in December this year and is estimated to start operating in late March 2021.
At the production level, the project includes the termination of line 1, the modernization of current production line 2 and the construction of a new production line (line 3), with an annual capacity of 1,560,000 tons, increasing annual pulp production at the complex by an estimated 2,100,000 tons.
Also part of MAPA is the construction of a new cogeneration boiler for forest biomass. In addition to supplying clean energy to the mill, the new boiler will generate an energy surplus of 166 MW that will be delivered to the National Electrical Grid (SEN in Spanish), through a power line whose construction is part of the project.
Also included in the project is the implementation of a training and education program to support the creation of about 4,000 to 5,000 jobs during construction work, with a maximum of 8,000. Once construction is over, an estimated 1,000 jobs will be created, mainly in services and forestry activities.
Charles Kimber, Arauco’s Senior Vice-President of Commercial & Corporate Affairs said, “we’re very proud of this project’s materialization, because it accounts for the extensive and positive work that we’ve developed with the community and authorities”. “This is an enormously relevant project for the country and the Biobío Region, which will modernize and increase the production efficiency of our facilities. It will also strengthen the competitiveness and leadership of Arauco and Chile in global markets”. He added, “this project involves the largest investment program in the history of Arauco and we’ll develop it precisely in a commune where we maintain a very strong and long-lasting relationship, because this is where this company started”.
