Growth through

resource-wise

bioeconomy

Tytti Peltonen

18.5.2018

3

Pulp and Sawn Timber

Sales:

EUR 1.9 billionPersonnel:

1,200

METSÄ BOARD

Paperboard

Sales:

EUR 1.8 billionPersonnel:

2,350Metsä Board is listed on

the Nasdaq Helsinki

METSÄ FOREST

Wood supply and forest services

Sales:

EUR 1.6 billionPersonnel:

850

METSÄ TISSUE

Tissue and cooking papers

Sales:

EUR 1.0 billionPersonnel:

2,800

METSÄ WOOD

Wood products

Sales:

EUR 0.5 billionPersonnel:

1,400

Renewable energy 24 TWh

METSÄ GROUP | Sales EUR 5.0 billion | Personnel 9,100

METSÄLIITTO COOPERATIVE | Group’s parent company | Owned by 104,000 Finnish forest owners

METSÄ FIBRE

Global challenges increase the demand for fibre-based products

Source: The UN (2014)

POPULATION GROWTH RESOURCE SCARCITY CLIMATE CHANGE URBANISATION

4

Promoting circular bioeconomy

WE BRINGTHE FOREST TO YOU

• Sustainable forest management, biodiversity, multiple use of forests

• Traceability of raw materials

• Sustainable supply chain

WE CREATEWELL-BEING

STAKEHOLDERS AND SOCIAL IMPACTS

• Ethical business practices

• Responsible employer

• Safety at work

• Partnerships and industrial ecosystems

• Value creation in society

WE WORK FOR A BETTER CLIMATE AND ENVIRONMENT

RESOURCE EFFICIENCY AND ENVIRONMENTAL IMPACTS

• Efficient use of raw materials, energy and water

• Valuable side streams

• Renewable energy

• Emissions to water and air

WE OFFERSUSTAINABLE CHOICES

PRODUCTS AND SERVICES

• Sustainable, safe and recyclable products from renewable wood

• Customer-focused services and solutions

• Innovations and renewal

RAW MATERIALS AND SUPPLY CHAIN

The bioproduct mill has wide-reaching effects

6 18/05/2018

• Raw materials and side streams will be

utilised 100 %

• Wood is refined into biomaterials,

bioenergy, biochemicals and energy

sustainably and with great resource

efficiency

• The mill is not using fossil fuels

• Planning criteria

– High energy efficiency

– Generating maximal amount of

bioelectricity

– Low emissions

– Minimal specific water consumption

– Future bioproducts included in planning

18/05/20187

The most modern

pulp mill as a core

Bioproduct concept: all side streams 100% utilised

18/05/20188

* Traditional bioproducts

AccomplishedNew biofuels from bark, wood dust

and energy wood

Product gas from bark and sludge

for the mill’s own use

Sulphuric acid and methanol from

odorous gases for the mill’s own use

New bioproducts from lignin

Biogas from sludge for traffic fuel

or the mill’s own use

Fertiliser and earth work material

from dregs and ashes

New textile fibres from pulp

Biocomposites from pulp

*

*

*

• Competitive forest industry means upgrading

each part of the wood to its highest value

• Our products succeed in the international

market and have great growth potential

without regulatory subsidies

• A healthy established business enables

innovation and investments

• Public co-funding of industrial R&D&I and

first-of-its kind flagship investments

accelerate the development of low-carbon

economy

9

Successful market-based

and resource-wise

bioeconomy