Zurich, Switzerland -- ABB announced this week that it will supply a 34.5kV power distribution system, based on gas-insulated switchgear (GIS) technology, for Klabin's major new pulp mill being constructed in Ortigueira (Paraná State), Brazil. The contract, booked in the second quarter of 2014, is valued at $20 million and includes design, supply, commissioning and startup services.

Klabin is the biggest producer and exporter of packaging paper in Brazil and is considered to be the largest integrated pulp and paper company in the country, exporting to over 60 countries. The Puma project will demand total investments of $2.4 billion, not including forest assets, improvements to infrastructure and taxes. The start up of the new plant is expected for the end of the first quarter of 2016.

The new mill will have an annual production capacity of 1.5 million tons of pulp, of which 1.1 million tons is short fiber (eucalyptus) and 400 thousand tons is long fiber (pine), part of which will be converted into fluff pulp.

ABB's solution features leading edge technology such as the Is-limiter, the world's fastest power switching device, and cabinet modularity. The new plant's power system will allow the mill to generate excess electricity for sale back into the grid. Engineering for the system is now underway. Implementation and commissioning will take place in the second quarter of 2015.

ABB and Klabin have been working together since the early 80s, across many disciplines and projects, such as medium and high voltage, process electrification, motors, quality control and automation systems, in several of Klabin's sites in the pulp or paper processes.

The mill in Ortigueira will be self-sufficient in electrical power, generating 270MWh of energy. Of this total, 120MWh will be used for its own consumption and a surplus of around 150MWh - enough energy to supply a city of half a million inhabitants - will be delivered to the market. All the energy produced by Klabin will be clean, coming from renewable sources, without burning fossil fuels.