15 Jul 2019 13:10

Segezha to build plywood mill in Kostroma Region for 10 bln rubles by 2022

ST. PETERSBURG. July 15 (Interfax) - Segezha Group, the forestry division of Russian conglomerate Sistema PJSFC , plans to start construction of a plywood mill in the Kostroma Region town of Galich in the fourth quarter of 2019, the company said.

Industry and Trade Minister Denis Manturov has issued an order to include this project in the list of priority investment projects in the forestry sector.

The company plans to invest about 10 billion rubles in the mill, which will be able to produce 130,000 cubic meters of large plywood sheets per year. The project is expected to create more than 600 highly skilled jobs.

A 31.19-hectare site in Galich has been offered to the investor for the new mill, the first phase of which is scheduled to open in the fourth quarter of 2021.

"We are now at the design stage, doing basic engineering of equipment, approving working documentation. We plan to already start the initial stage of construction in 2019. We also intend to invest in the creation of a specialized nursery to cultivate seedlings, the materials of which will be used for reforestation," Segezha Group CEO Mikhail Shamolin was quoted as saying in the company press release.