Florida mill selected for Georgia-Pacific US$400M investment
Jul. 5, 2017 - Georgia-Pacific has selected its Palatka, Fla., mill for the company’s previously announced investment of more than US$400 million in its GP Consumer (retail) tissue and towel business.
Investments to the Palatka mill include building a new paper machine using through-air-dried (TAD) technology, as well as adding associated converting equipment and infrastructure. Engineering and related work is beginning immediately, and startup of the upgraded operation is scheduled for 2019.
Approximately 80 jobs will be created to operate the new papermaking complex, in addition to the mill’s 850 current employees. An average of 160 construction and contract-related workers are expected to be onsite at the mill every day during the project, with a potential peak of 700 contract workers per day at the height of construction.
The Palatka mill currently operates two kraft paper machines, three paper machines manufacturing paper for bath tissue and paper towels, and a number of converting operations producing finished paper products.
The improvements will allow Georgia-Pacific’s current and potential customers to grow their premium private label towel brands, as well as expand the company’s Brawny premium paper towel brand.
“This upgrade to our operations in Florida underscores our long history of investment in the state by Georgia-Pacific and Koch companies,” said Christian Fischer, Georgia-Pacific president and CEO. “We appreciate the ongoing support of the local community, Putnam County and state officials in our efforts to continue making our Palatka mill more competitive for the long-term.”
In the last 10 years, capital investment and acquisitions in the Palatka mill have totalled $306 million and statewide investments have totalled $1.5 billion.
“This significant investment demonstrates our commitment to GP’s consumer business, our hard-working teams and our current and potential customers,” said Kathy Walters, group president – Georgia-Pacific Consumer Products Group. “It also allows us to further leverage the many advantages we have, including our breadth of offerings, excellence in manufacturing operations and research and development to create products that consumers value.”
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