Billerud Gains Funding Approval from Michigan Legislators in Support of Escanaba Mill Conversion

Billerud is planning to convert its paper mill in Escanaba, Michigan, from the production of graphic papers to paperboard.

Jan. 30, 2023 - Billerud announced that the Michigan House of Representatives and Senate has passed legislation approving an appropriation of up to USD 200 million in funding to support the company's plans to convert its paper mill in Escanaba, Michigan, to the production of paperboard.

The legislation must be approved by Michigan's Governor, which is expected to occur within two weeks.

UPDATE: On Jan. 31, Michigan Governor Gretchen Whitmer signed the legislation, approving the Michigan Economic Development Corporation’s (MEDC) appropriation of the funds.

Currently, the Escanaba Mill has the capacity to produce approximately 730,000 tons per year of graphic papers, which are used in commercial printing, media and marketing applications, including magazines, catalogs, books, direct mail, corporate collateral and specialty papers used in label and converting applications. The mill employs about 830 people.

A pre-feasibility study about Billerud's planned conversion of the Escanaba mill to paperboard production is ongoing and planned to be completed during the first half of 2023, after which the company's Board of Directors can make an investment decision.

Billerud's North American operation (formerly Verso Corporation) is headquartered in Miamisburg, Ohio, and operates paper mills in Escanaba and Quinnesec, Michigan, and a roll to sheet converting facility in Wisconsin Rapids, Wisconsin.

SOURCE: Billerud