“Sustainability for us at UPM is a fundamental thing.”
Petri Hakanen, UPM Senior Vice President of Technology (CTO)
UPM Paso de los Toros Pulp Mill. One of the most modern and biggest Pulp Mills worldwide.
© UPM
What do you do when a long-term business partner turns to you for help in building one of the world’s biggest pulp mills, with the largest investment ever in the history of a major South American nation? That’s the challenge that we accepted when Helsinki-based UPM – a global top-five forestry company – appointed ANDRITZ in early 2020 to supply a complete pulp mill for its Paso de los Toros mega-project in Uruguay.
At almost 3.5 billion US dollars, UPM Paso de los Toros is the biggest capex project by one of the biggest forestry companies in the world and when announced was also the largest foreign direct investment ever in Uruguay. For UPM, it is transformational, boosting pulp production by more than 50% and enabling increased shipments to global markets.
According to Petri Hakanen, Senior Vice President of Technology (CTO) at UPM, who led the project from the customer’s side, ANDRITZ was a natural choice due to the companies’ previous experience of working together. As he notes, ANDRITZ supplies “proven technology solutions – kind of state-of-the-art today” and has a “solid track record and the capability to run projects like this in the region”.
LONG-STANDING BUSINESS RELATIONSHIP
Both companies also have a long history in Uruguay. UPM planted its first eucalyptus seedlings there in 1990, while ANDRITZ supplied the country’s first complete pulp mill in Fray Bentos (now owned by UPM). The mill went into operation in 2007 and is still hailed as one of the most modern pulp mills in the world. This shared history paved the way for Paso de los Toros, which once again confirms the excellent long-term business relationship between UPM and ANDRITZ.
The UPM Paso de los Toros pulp mill is a cost-efficient plant that provides 2.1 million tons of annual capacity for our partner and is a global pioneer in sustainable pulp production. It boasts the latest and best available technology, and features best-in-class energy efficiency with minimal environmental impact and optimized maintenance.
Innovation and sustainability were two key areas of focus from day one of the project. As Petri Hakanen says, “Given the size of the mill, it’s one of the biggest in the world – so that’s the first innovation, how do you make it happen on this scale? It is a state-of-the-art mill with the best technology available, a high level of automation and standards that enable that performance. Plus, of course, we need to ensure excellent safety standards. Those were the main drivers when we were designing the mill.”
The ANDRITZ scope of supply included a complete wood processing plant, the world’s largest single-line fiberline in operation, an innovative pulp drying system with two energy-efficient pulp drying lines, a low-energy black liquor evaporation plant with a tailor- made process solution, a HERB recovery boiler featuring efficient flue gas cooling and feed water preheating technologies, a biomass power boiler based on high-quality ANDRITZ EcoFluid bubbling fluidized bed technology, a mill-wide NCG collection and handling system with two dedicated NCG boilers, a complete white liquor plant as well as advanced automation and control systems.
© UPM
© UPM
ANDRITZ TECHNOLOGIES ARE DEDICATED TO SUSTAINABILITY
Environmental considerations were a core commitment for the project team. “Sustainability for us at UPM is a fundamental thing,” says Petri Hakanen. “Whatever we do, this is the starting point – that it is sustainable and responsible. Paso de los Toros is one of the most monitored pulp mills in the world. Permit regulations are very strict. This is a good thing – it serves many purposes.”
The technologies deployed by ANDRITZ delivered on this dedication to sustainability, with a focus on energy efficiency and decarbonization – for example, the recovery boiler is designed to achieve a high power-to-heat ratio, enabling the mill to provide high renewable electricity output. Some by-products of manufacturing – including methanol and various non-condensable gases (NCGs) – are also captured and processed as fuel for the recovery boiler, dedicated NCG boilers and the power boiler.
To increase efficiency of waste management, ANDRITZ supplied a drying system comprising three paddle dryers, enabling the mill to process the sludge from the effluent treatment plant, also as fuel for the power boiler. With these closed-loop systems in place, the mill can recycle and reuse waste products, thereby reducing the landfill and overall environmental impact.
As if the scale of the project was not enough of a challenge, ANDRITZ’s appointment was announced on February 11, 2020, just two weeks before Europe recorded first Covid-19 cases. The pandemic curveball put the teams into a totally new situation. The key to success was good cooperation among all stakeholders working towards a common goal.
“We knew that we all have to deal with this – we decided together that we are going to go ahead despite having this challenge on our hands. Where there’s a will, there’s a way,” Petri Hakanen says.
© UPM
UPM PASO DE LOS TOROS OPENED ON TIME
The ANDRITZ team has been on-site since December 2020. During the peak of mill construction and commissioning, our team exceeded 200 employees, including site supervising, commissioning as well as the maintenance team. In the context of Covid, a major innovation key to the project’s success was our swift and seamless transition to a digital working environment, utilizing a virtual collaboration platform. The pandemic also created huge logistical challenges: the majority of plant components arrived by sea, at a time when global supply chains were experiencing unprecedented disruption.
Despite everything, the UPM Paso de los Toros mill was formally inaugurated on schedule in summer 2023. Today more than 1,000 people enter the mill gate daily, working in various tasks ranging from logistics to production operations, which occupies about 450 employees.
“I think we managed quite well,” says Petri Hakanen with great understatement. “The collaboration was very good. It’s important when you work for several years towards a common goal that your collaboration runs smoothly on all levels. We had a huge bunch of challenges on the way to the finish line, but we did it with a good spirit together.”
ANDRITZ continues to be involved in the fully operational plant, having secured a contract in 2021 to provide maintenance services to all mill process areas and industrial assets. This reinforces ANDRITZ’s leading position as a provider of long-term maintenance services for pulp mills in South America.
