KRUGER PACKAGING ANNOUNCES IMPORTANT TRANSFORMATION PROJECT THAT WILL MAKE ITS PLACE TURCOT MILL THE FIRST IN NORTH AMERICA TO MANUFACTURE 100% RECYCLED SATURATING KRAFT

Upgrades at the Montreal facility target improved productivity, energy efficiency and integration of artificial intelligence

MONTRÉAL, Feb. 10, 2023 /CNW Telbec/ - Kruger Packaging today announced investments of over $30 million to modernize its Place Turcot Containerboard Mill in Montréal. With this important transformation to be completed in 2025, the Place Turcot facility will be the first in North America to manufacture 100% recycled saturating kraft board, a product that is used to make high-pressure laminates for furniture, countertops and decorative paneling.

The project was announced during a press conference held at the Place Turcot facility in the presence of the Honourable David Lametti, Minister of Justice and Attorney General of Canada, who was standing in for the Honourable Jonathan Wilkinson, Minister of Natural Resources; Maïté Blanchette Vézina, Québec Minister of Natural Resources and Forests; Maxime Cossette, Corporate Vice President, Fibre, Biomaterials and Sustainability at Kruger; and Stéphane Deshaies, General Manager of the Place Turcot Containerboard Mill.

In support of this innovative project, the government of Canada is contributing $10 million through the Investments in Forest Industry Transformation (IFIT) program, while the Québec government is providing a combined sum of more than $3 million through the Innovation Bois Program, as well as the ÉcoPerformance program, which stems from the 2030 Plan for a Green Economy.

In addition to eco-friendly saturating kraft board, Place Turcot will make other specialty products from 100% recycled fibres, including gypsum board paper, customized board for residential construction, folding box board for FDA-compliant food packaging, and white top linerboard. The transformation project will help to secure the Mill's 153 jobs and contribute to reducing its overall environmental footprint, while also reinforcing Kruger's leadership as the largest recycler of paper and paperboard in Canada.

Quotes:

"The Government of Canada is partnering with industry and workers to reduce emissions and create better products to meet global demand. Today we announced a $10-million investment in Kruger Place Turcot Mill in Montreal. This investment will result in a state-of-the art recycled product while reducing emissions and supporting good jobs." – The Honourable Jonathan Wilkinson, Minister of Natural Resources of Canada

"It was a pleasure to announce our government is investing in Ville-Émard, by providing $10 million to support an industrial retooling project. The transformation of Kruger Place Turcot Mill will result in more sustainable recycled products that will save trees, supply global markets and support good jobs for our community of LaSalle-Émard-Verdun, and all of Montreal." – The Honourable David Lametti, Minister of Justice and Attorney General of Canada

"It is always gratifying to see a company like Kruger Packaging striving to improve its competitiveness by making strategic choices that are based on market analysis and the determination to offer wood-derived products that are always more ecofriendly. This innovative project promoting the decarbonisation of our economy will certainly raise Kruger Packaging's profile in the forest products industry."
– Maïté Blanchette Vézina, Québec Minister of Natural Resources and Forests, and Minister Responsible for the Bas-Saint-Laurent and Gaspésie-Îles-de-la-Madeleine Regions

"Companies play an essential role in the energy transition and our government is proud to support them in their modernization. Kruger Packaging's process improvement project will have a positive effect on the reduction of our greenhouse gas emissions. This announcement is in line with our 2030 Plan for a Green Economy and with our Energy Transition, Innovation and Efficiency Master Plan." – Benoît Charette, Québec Minister of the Environment, the Fight Against Climate Change, Wildlife and Parks, and Minister Responsible for the Laurentides Region

"With this transformation project, our aim is to secure the future of our Place Turcot Mill and to consolidate its position as a key player in the circular economy. We're especially proud to take part in the efforts of the governments of Canada and Québec to strengthen our industry by investing in technology, energy efficiency and cutting-edge AI capabilities. This project will give us more flexibility to meet the ever-changing needs of the market and enable us to keep making better products with a smaller environmental footprint." – Maxime Cossette, Corporate Vice President, Fibre, Biomaterials and Sustainability at Kruger

State-of-the-art technology and smaller footprint

A key aspect of the Place Turcot Mill's transformation is the implementation of state-of-the-art machine learning and artificial intelligence technology. Together with upgrades to manufacturing equipment, these new capabilities will enable the plant to increase its productivity, reduce waste, and diversify its product lines to meet growing market demand for saturating kraft and other specialty paper grades.

The modernization will allow Place Turcot, which is the only consumer of old corrugated containers (OCC) in the Greater Montréal area, to consolidate its role as a crucial player in the circular economy. The Mill consumes the equivalent of all OCC generated in the region. The Mill is also expected to reduce its GHG emissions by more than 2,200 tonnes per year once the modernization is completed.

Strategically located next to Kruger Recycling's Sorting and Recovery Centre, near downtown Montréal, Kruger Packaging's Place Turcot Mill has been making 100% recycled linerboard for over sixty years.

About Kruger Packaging

A North American pioneer in the manufacture of 100% recycled containerboard since 1961, Kruger Packaging specializes in ecofriendly linerboard and corrugated packaging products that combine exceptional performance with a small environmental footprint. A business unit of Kruger Inc., the Company also provides a wide range of specialty paperboard products and services related to packaging design, printing and production. Kruger Packaging has 1 050 employees across five manufacturing facilities, including the Place Turcot Mill and LaSalle Packaging Plant, in Montréal, the Trois-Rivières Linerboard Mill, the Brampton Packaging Plant, in Ontario, and the recently commissioned Elizabethtown Packaging Plant, in Kentucky.

About Kruger

Founded in Montréal in 1904, Kruger Inc. is a major provider of tissue products, 100% recycled containerboard, corrugated packaging, publication papers, specialty papers, pulp, renewable energy and cellulosic biomaterials. The Company is also a leader in paper and paperboard recycling in North America. A privately held family company, Kruger Inc. has 5,500 employees and its facilities are located in Québec, Ontario, British Columbia and Newfoundland and Labrador, as well as in the States of Tennessee, Maine, New York, Virginia, Kentucky and Rhode Island. www.kruger.com 

SOURCE Kruger Inc.

Marie-Claude Tremblay, Manager, Corporate Communications, 514 297-1364, [email protected]