The latest findings of a pre-feasibility study into the development of a 418m pulp mill in Scotland show that the project is viable and could go ahead if funding can be found (PrintWeek, 12 January).
"The mill would underpin Scotlands paper and timber industries as well as creating 600 direct jobs and a similar number in the forestry sector," said Ed Gillespie, chief executive of Scottish Enterprise Gram-pian, which is conducting the feasibility study.
A number of potential, but as yet undisclosed, sites have been identified in north-east and south-west Scotland. The feasibility study is expected to be completed within the next three months.
Gillespie said that the money for the project could come from banks, private equity, local organisations and industry and also possible grant aid.
"Having another pulp mill in Scotland would be quite advantageous," said Inveresk finance director Gerard Cassels.
He said that although paper and pulp mills had gone a long way to improve their environmental responsibilities, they were still perceived by the general public to be an environmental blot on the landscape.
"It comes down to that old adage of not in my back garden," said Cassels.
Scottish Enterprise, in conjunction with representatives from the timber growing and paper industry sectors in Scotland, is undertaking the pre-feasibility study.
About 90% of the pulp used to make paper in the UK is imported, with forest products representing the third largest import bill for the UK.
Scotland has more than 10 paper mills, but only one pulp mill, near Irvine in Ayrshire, owned by Caledonian Paper.
Story by Andy Scott
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