Mondi to Permanently Close Stambolijski Paper Mill in Bulgaria Following Damaging Fire

Mondi's Stambolijski paper mill had the capacity to produce 100,000 tonnes per year of brown kraft paper on one paper machine, which was heavily damaged in the fire.

Oct. 29, 2024 - Following a fire at Mondi's Stambolijski mill in Bulgaria on September 24, the Group has announced that it will permanently close the mill.

The fire caused extensive damage to the mill's paper machine, which has the capacity to produce 100,000 tonnes per year of brown kraft paper, and stopped production at the site.

Mondi said that thanks to the swift and professional response on the day, everyone on site remained safe.

"After evaluating the options for repairing the mill and the ongoing investment required for the mill to remain competitive into the future, Mondi has concluded that closing the mill and serving customers out of its network of other kraft paper mills is the best course of action overall. This decision will affect around 300 Mondi Stambolijski employees," the company said in a written statement.

Mondi noted that it expects approximately EUR 100 million of net closure costs, primarily related to a non-cash asset impairment which we will book as a special item.

Mondi is a global leader in packaging and paper, contributing to a better world by producing products that are sustainable by design.

SOURCE: Mondi