Packaging Corporation of America Awards AMEC with $93 Million Efficiency-Upgrade Contract

---

Researched by Industrial Info Resources (Sugar Land, Texas)--International consulting, engineering, and project management company AMEC plc (LSE:AMEC) (London, England) has been awarded a $93 million contract by Packaging Corporation of America (NYSE:PKG) (PCA) (Lake Forest, Illinois), a containerboard and corrugated products producing company. The contract involves the enhancement of energy efficiency at PCA's linerboard mill in Valdosta, Georgia. The aim of the project is to reduce energy consumption and electricity costs at the mill. According to Tim Gelbar, president of AMEC's Power and Process Americas business, the project will help PCA reduce fossil-fuel use and begin consuming self-sustained, green energy rather than purchased power.

AMEC's scope of work involves the provision of engineering, procurement and construction (EPC) services for the power modernization project, which includes a new recovery boiler, evaporator upgrades and turbine generator. The new equipment controls pollution, and a major part of the equipment produces clean, sustainable energy. The project will also have a positive social impact on the community, creating more than 400 job opportunities.

The project is already under way and is scheduled to be completed by the end of 2011. When completed, the mill's boilers will burn only black liquor and wood waste that has been generated internally. Almost 100% of the mill's electricity will be self-generated. Black liquor is a byproduct of recycling in the papermaking industry. Formed during the pulping of wood, black liquor is the combination of lignin residue, water and the chemicals that are used to separate cellulose and lignin. Black liquor is a huge source of energy, containing more than 50% of the energy content of the wood used. The liquor is burned in recovery boilers, resulting in the production of steam and electricity. The inorganic chemicals are recovered at every stage of the process and recycled. The efficient use of black liquor enhances the energy-efficiency of paper mills and makes them largely self-sufficient in terms of their energy needs.

The Valdosta Mill is one of PCA's four containerboard mills. The facility has one kraft linerboard machine that can produce 475,000 tons per year of high-quality, 100% virgin linerboard. The mill can produce a wide range of basis weights, from 35-pound to 90-pound, which include several grades that are ideal for special coating and printing applications. It has been acknowledged to have the industry's best printing quality 35-pound high-performance linerboard.

AMEC is reputed to have set up some of the largest and most technologically advanced integrated mills in the world. The company has the reputation of introducing emerging technologies that reduce the environmental impacts of clients, while increasing competitiveness.

View Plant Profile - 1026579
View Project Report - 17002880 200003481

Industrial Info Resources (IIR) is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy related markets. For more than 26 years, Industrial Info has provided plant and project opportunity databases, market forecasts, high resolution maps, and daily industry news.