Cascades to invest $26.4 million in corrugated board facility

MONTREAL (Scrap Monster): Cascades Inc. has announced fresh investment of $26.4 million to install a new corrugator at its Quebec facility. The installation of the equipment at the Norampac corrugated board conversion plant in Drummondville is expected to sizably increase the production capacity at the facility. The expansion will be carried out with the assistance of a loan guarantee from Investissement Quebec.

According to the company, the investment is part of the company’s efforts to focus on packaging and tissue paper sectors. The modernization of the plant will result in higher efficiency and throughput. Furthermore, it will also help reduce operating costs considerably. The company will expand its current facility by nearly 45,000 square feet in order to accommodate the new equipment. The building expansion is expected to complete by mid-November. The new corrugator is expected to become operational by January next year.

Charles Malo, COO, Norampac plant stated that the expansion project will help the company to reinforce its market leadership in the region by gaining more clientele. It also provides an opportunity to offer better services to existing and new customers through innovative and high-quality products. Incidentally, Norampac is the second largest producer of containerboard in Canada and the sixth largest in North America.

Founded in 1964, Cascades produces, converts and markets packaging and tissue products that are composed mainly of recycled fibres. The Company employs close to 11,000 employees, who work in over 90 production units located in North America and Europe. From a manufacturer of primarily paper and cartonboard, the Corporation has emerged as the largest collector of recyclable materials in Canada, as well as one of the major converters of corrugated packaging products, tissue papers and specialty products in North America.