After the acquisition of the Segezha Group of new chip truck wagons to Segezha PPM will deliver more than 190 thousand dense cubic meters of chips per year

As reported by the press service of Segezha Group, the company has already acquired 32 new open-top cars-wood chips of Russian production for the delivery of technological chips from the largest woodworking enterprise of the company in the Arkhangelsk region – Onega LDK to the basic enterprise of the holding in the Republic of Karelia – Segezha PPM JSC. Thus, the first stage of the investment project for the acquisition of the company’s own rolling stock has been completed.

“The main reasons that prompted the company to purchase its own rolling stock for the transportation of chips are the shortage of proposals for renting special gondola cars and the importance of timely delivery of raw materials to the pulp and paper production,” explained Alexander Varakin, Executive Director of the Onega LDK, ” If you do not send the chips to the Segezha PPM, where it will turn into pulp and paper, it will lose quality, and it will simply have to be disposed of as fuel.”

The implementation of the project in 2019 it is planned to continue. It is planned to purchase about 50 more railcars, which will ensure the optimal vertical integration of assets of different functional profiles. Sawmill residues LDK in the form of industrial chips is a sought – after raw material for pulp production in pulp and paper mill. The use of finished chips reduces the need for pulpwood and reduces the cost of raw materials for Segezha pulp and paper mill.

“Chips occupy a significant share in the supply of raw materials to the SCBK, which can significantly reduce the cost of finished products. The shortage of wood chips for pulp and paper production is fraught with the fact that it would be necessary to replace it with expensive supplies of balances by rail from long ranges,” commented Evgeny Batalov, Vice – President of the Segezha Group, head of The forest resources and woodworking division.

According to him, to fully ensure the transportation of the annual volume of chips produced by the Onega LDK, more than 230 car flights per month are needed.

The implementation of the investment project for the acquisition of new railcars in full will ensure the guaranteed supply of wood chips to the Segezha PPM from Onega in the amount of more than 190 thousand dense cubic meters of wood chips per year.

“Raw material safety of processing enterprises and first of all, the flagship of the company, Segezha PPM – the main competitive advantage of Segezha Group”, – stated the Vice-President of Segezha Group Evgeny Batalov.