EU SUSTAINABLE ENERGY WEEK

Geert Hees - Group Energy Director

Brussels, 21 June 2012

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Smurfit Kappa Group at a glanceToday we are in 31 countries with 332 facilities

Employees 38,000

Turnover €7 billion

Output (tonnes million) 12

Paper & Board mills 38

Packaging plants 225

Other operations 69

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Challenges we and our industry face

Availability of wood and recovered paper Increase energy efficiency

Preserve fresh waterDecrease use of fossil fuels

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Boundaries

Energy

Water

Air emissions

Water discharge

Evaporation

Paper Mill

Sustainable Mill Project

How does an ideal (realistic) mill from a sustainable point of view would look like?

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Sustainable Mill Project

1. Description of the most sustainable, realistic situation per mill

based on proven technology

2. Overview of the ‘gap’ between the current and the

‘most-sustainable’ situation

Including per item an estimate of:

- investment costs

- sustainable benefits

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Key Performing Indicators on Energy at Smurfit Kappa

1. Lowest specific usage of energy at the mill

Specific electricity usage

Specific heat usage

Efficiency on energy conversion (boiler house)

2. Highest possible level of high efficient heat and power generation

Use as much as possible CHP

KPI is percentage of cogeneration

3. Lowest possible specific level of fossil CO2 emissions

specific direct fossil CO2 emission

specific indirect fossil CO2 emission

KPI is ratio biogenic to fossil CO2 emission

Sustainable Mill Project

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Sustainable Mill Project

Smurfit Kappa Paper Production Technology (PPT) Group is the linking

pin between the operations to:

Determine proven technology

Re-engineering of existing process steps

Calculations based on several basis weight papers and quality of paper

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Sustainable Mill Project

Some examples of energy reductions steps

Steam Usage

Reduction options

Extended Nip Press

Alternative sizing in the size press

Increased dew point in dryer hood

Heat recovery in the hood exhaust air for increasing stock temperature in the head box

Heat recovery from hood exhaust for building heating

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Sustainable Mill Project

Electricity Usage

Reduction options

Internal benchmarking stock preparations

Internal benchmarking on vacuum systems

Re think the use of vacuum systems

Efficient boilers house

To convert the existing biogas from waste water treatment plant into heat

Increase the level of cogeneration

Waste heat recovery

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Sustainable Mill Project

25 2721

2824

28

2024

28

16

34

813

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% s

usta

inab

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Mill

Sustanable level recycled EU mills

Current situation Sustianable mill

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Energy Efficiency

is a journey not a destination