Oji Paper has started building a pulp and paper project in Nantong, in China’s Jiangsu Province, reports China Knowledge. Oji Paper has set up a joint venture with Nantong Economic & Technological Development Zone Corp. Oji Paper hold 90% in the joint venture company which is called Jiangsu Oji Paper Co. Ltd.
The US$1.95 billion project consists of an 800,000 tons a year paper mill and a 700,000 tons a year pulp mill. Completion is anticipated in 2014. The first stage, a 400,000 tons a year paper mill will be completed in 2010 and will run on imported pulp.
Oji Paper planned to start operations at the 400,000 tons a year paper mill in 2007. The Finanical Times reported in January 2008 that “In 2003, provincial regulators granted permission for the factory but when Oji wanted to add a pulp processing plant to the site it was told it needed approval from Beijing. This was eventually granted but only on condition that Oji turn over a 10 per cent stake in the project to a Chinese joint venture partner.”
Oji Paper set up an office in Shanghai in 1995. In July 2001, it set up a fully-owned subsidiary, Oji Specialty Paper (Shanghai) Co. Ltd, to produce thermal paper. In 2002, Oji bought a paper mill in Jiangsu Province from Procter & Gamble, according to China Knowledge.