03.04.2014 Views

WaterLink 3/2011 - Kemira

WaterLink 3/2011 - Kemira

WaterLink 3/2011 - Kemira

SHOW MORE
SHOW LESS

Create successful ePaper yourself

Turn your PDF publications into a flip-book with our unique Google optimized e-Paper software.

Creating the future<br />

Büchele believes in curiosity p. 6<br />

Bioethanol from Brazil<br />

Energy from sugar cane p. 8<br />

STAKEHOLDER MAGAZINE 3·<strong>2011</strong><br />

No paper without water<br />

Water is vital for the forest industry p. 12<br />

“Energy has<br />

become trendy”<br />

Elina Engman<br />

High-quality chemicals<br />

make strong board<br />

PAGE 20<br />

Why is Tekes<br />

interested in water?<br />

PAGE 26<br />

Cleantech Finland<br />

opens doors for<br />

clean technology<br />

PAGE 42


MY VIEW<br />

WATER makes life possible and offers<br />

immense business opportunities. Sweet water<br />

constitutes only 2.5 percent of the world’s<br />

water resources, and more than half of this<br />

sweet water is snow or ice. Only 1 percent of<br />

the world’s water resources is water that can<br />

be used untreated. A small water footprint<br />

will become an increasingly important competitive<br />

asset, and consumers are already<br />

paying more attention. To some extent, political<br />

decisions also support the consumption of<br />

energy-efficient and water-efficient products.<br />

nergy and water are closely interconnected.<br />

Energy is needed for making use<br />

of water, and water is used to produce<br />

and transfer energy. Some of the consumption<br />

is difficult for the end user to<br />

see or realize, because it is integrated<br />

into various processes. In practice, however,<br />

all industries need water in their<br />

production processes—for cooling or<br />

cleaning, for example.<br />

Technological development, restrictions on energy use and<br />

increasing interest in the water footprint have steered industry<br />

toward more ecological production. Prime examples of this are the<br />

manufacture of paper and cardboard and the production of pulp<br />

in Finland. Over the past five decades, the latter has more than tripled<br />

and the former has increased more than fivefold. Over the<br />

same period, wastewater loading from the pulp and paper industry<br />

has decreased to a fraction of what it used to be. Solid-particle<br />

loading, for example, has declined by 97 percent.<br />

“The accelerating pace<br />

of industrialization in<br />

developing markets<br />

is increasing water<br />

consumption, and water<br />

prices are reaching<br />

new heights.”<br />

In the 1970s, manufacturing a ton of pulp required 250 cubic<br />

meters of water. Today, a tenth of the water is enough. The amount<br />

of water required to produce a ton of newsprint has also decreased<br />

by nine-tenths, from 150 cubic meters. National water programs<br />

in the forest industry and other similar endeavors have enhanced<br />

this development (Read more: No paper without water on page 12.).<br />

Responsible use of scarce resources is a global necessity. Seven<br />

billion people need clean water. Moreover, the accelerating pace<br />

of industrialization in developing markets is increasing water consumption,<br />

and water prices are reaching new heights.<br />

<strong>Kemira</strong>’s expertise improves the availability of water. We know<br />

how to treat water and how to control chemical phenomena in<br />

industrial processes. This understanding and application of chemistry<br />

makes factories more cost-efficient. There is more water<br />

for everyone when water is used wisely and treated and recycled<br />

appropriately.<br />

Mikael Svedman<br />

Vice President, R&D and Technology, Paper<br />

MAREK SABOGAL<br />

2 • W A T E R L I N K 3 • 2 0 1 1<br />

K E M I R A S T A K E H O L D E R M A G A Z I N E • 3


content<br />

KEMIRA sponsored the <strong>2011</strong> PPI (Pulp & Paper International)<br />

Awards for pulp and paper industry companies.<br />

The winners of the ‘the chemical forest<br />

industry Oscar’ were announced in Brussels, Belgium,<br />

in November. This year’s winner of the Water<br />

Efficiency Award was Pio PAPPEL International’s unit<br />

in Prewitt, the United States. “The Water Efficiency<br />

Award is awarded in recognition of development<br />

work done in improving efficiency in water quality<br />

and quantity management at pulp and paper mills.<br />

We greatly appreciate having the honor of hosting<br />

this award because products and applications<br />

related to the management of water quality and<br />

volume are at the core of our strategy”, said Kenneth<br />

Nystén, SVP, head of Paper’s Printing & Writing<br />

customer segment, at the awards ceremony.<br />

1<br />

6<br />

4<br />

3<br />

SANNA MANDER<br />

5<br />

2<br />

GREEN, BLUE, GRAY. Producing each copy of <strong>WaterLink</strong> or a similar magazine consumes approximately one liter<br />

of water. This is its blue water footprint — the amount of water that evaporates during paper manufacture. The<br />

Water Footprint Network’s model also includes those for green and gray water. PAGES 12–19<br />

An attractive<br />

approach<br />

The clear strategy focus on the water<br />

business offers solid growth potential for<br />

decades and has made <strong>Kemira</strong> a better<br />

investment prospect. Q&A: Rauli Juva.<br />

page 34<br />

JOANNA MOORHOUSE<br />

”For all participants,<br />

water is a valuable<br />

resource that requires<br />

good management.<br />

Our goal is to reduce<br />

the make-up water<br />

requirement in the<br />

thermal bitumen<br />

recovery processes by<br />

30 percent.”<br />

Subir Bhattacharjee,<br />

PAGE 10<br />

CURTIS COMEAU<br />

The future is here<br />

The baton of <strong>Kemira</strong>’s strategic future is<br />

being passed from Harri Kerminen to Dr.<br />

Wolfgang Büchele in April. “I believe in curiosity;<br />

a curious attitude to people and things accelerates<br />

personal development,” says the new CEO.<br />

page 6<br />

Bioethanol boom<br />

Sugar cane can also be used for producing<br />

bioethanol, an important form of renewable<br />

energy. <strong>Kemira</strong>’s KemTalo Floc S technology<br />

enhances the safety and efficiency of the production<br />

process.<br />

page 8<br />

Nanjing calling<br />

China is topical. Next summer, <strong>Kemira</strong> will<br />

open a new production plant in the Nanjing<br />

Industrial Park. This local focus allows for<br />

customized solutions and short transport times.<br />

page 9<br />

1 3 5<br />

<strong>WaterLink</strong> is a magazine<br />

for <strong>Kemira</strong>’s stakeholders,<br />

published in Finnish and English three times a year.<br />

PUBLISHER: <strong>Kemira</strong> Oyj, www.kemira.com. Editor in<br />

Chief: Marie Lundgren, tel. +46 42 17 11 19.<br />

Crucial paper chemistry<br />

High-quality chemicals are essential for<br />

the German company Weig-Karton, one of<br />

the leading European manufacturers of recycled<br />

carton board. Its strong and durable products have<br />

excellent weight properties.<br />

page 20<br />

2 4 6<br />

PRODUCTION: Markkinointiviestintä Dialogi Ltd.<br />

www.dialogi.fi. Editors: Pia Sievinen and Arja Kulmala.<br />

Producer: Tarja Sinervo. ART DIRECTION: Jesper Vuori.<br />

Creative Director: Anneli Myller. SALES DIRECTOR:<br />

Maarit Pojanluoma. PRINTED BY: Forssa Print. ISSN 1797-<br />

Collaboration adds value<br />

When Unimin began collaborating with<br />

<strong>Kemira</strong>, it wanted to increase its market<br />

share in South America. The minerals company has<br />

now reached its goal while also improving its profitability<br />

and product quality.<br />

page 22<br />

Tekes chose SWEET<br />

Tekes is one of the main financiers of<br />

SWEET, the Center of Water Efficiency Excellence.<br />

Director General Veli-Pekka Saarnivaara tells<br />

us why now is the time to invest in water.<br />

page 26<br />

PS. Waterlink was awarded a silver medal in the international “Pearl Awards” show of the Custom Content Council in October in the category of “Best redesigns”.<br />

7738. PAPER: UPM Fine 120 g/m 2 and Edixion 250 g/m 2 .<br />

COVER PHOTO: Marek Sabogal. TRANSLATIONS: AAC<br />

Global. Please send your feedback to marie.lundgren@<br />

kemira.com. Subscriptions and changes of address can<br />

be made at: www.kemira.com/media.<br />

4 • W A T E R L I N K 3 • 2 0 1 1<br />

K E M I R A S T A K E H O L D E R M A G A Z I N E • 5


BRIEFING: IN HOUSE<br />

Dr. Büchele (PhD, Chemistry) has worked over 25<br />

years in chemical industries around the world.<br />

He has also been a member of <strong>Kemira</strong>’s Board<br />

of Directors since 2009. Goal? To foster <strong>Kemira</strong>’s<br />

strategy in service of clean water and solving customer<br />

problems. Enable <strong>Kemira</strong> and its people<br />

to grow into a leading water chemistry company<br />

worldwide. Motto? “Learn from the past”.<br />

*For each response to the survey, <strong>Kemira</strong> donated<br />

3 euros to Plan International to support children’s<br />

right to clean water, health and development<br />

through practical projects in different countries.<br />

Learn from the past,<br />

create the future<br />

The baton of <strong>Kemira</strong>’s strategic future is being<br />

passed to Dr. wolfgang büchele starting April<br />

2012. harri kerminen has guided <strong>Kemira</strong><br />

through some significant strategic changes. What<br />

are Büchele’s views on water chemistry going forward?<br />

What kinds of themes occupy his thoughts<br />

as he prepares for his new role?<br />

Regional specifics “Having lived in different<br />

European countries and China, I don’t believe in<br />

‘one glove fits all’ solutions. Clean water is needed<br />

everywhere but there are significant regional differences<br />

in the nuances. For example, in waterrich<br />

Europe, the focus is mainly on sustainability<br />

issues, whereas many emerging markets struggle<br />

with environmental challenges created in the past<br />

as well as with the task of making clean-enough<br />

drinking water available to all.”<br />

Learning and developing “The past is a valuable<br />

resource that can teach us many lessons, even<br />

though our eyes are firmly fixed on the future. I also<br />

believe in curiosity; a curious attitude to people and<br />

things accelerates personal evolution. It is important<br />

never to fall into the arrogance trap and think<br />

we have it all covered. Continuous learning and<br />

improvement, in close cooperation with our customers,<br />

is what leads to discoveries and solutions.”<br />

Inspiring people “Businesses and processes can<br />

be reproduced anywhere, people are unique.<br />

Empowering individuals and teams to shine in<br />

their full potential is an absolute must if you wish<br />

to succeed. Key strategic changes have been made<br />

at <strong>Kemira</strong> in the past years. I have been participating<br />

in this process through my membership in<br />

the Board. My role now is to foster this new strategy<br />

and help <strong>Kemira</strong> grow with and for its customers.<br />

Our solutions are a combination of people and<br />

chemistry. It’s my task to ensure that it is the winning<br />

combination for our customers.”<br />

marikka nevamäki<br />

Susanna Kekkonen<br />

A few words of praise<br />

Reliable, punctual and easy to do business<br />

with... These were some of the<br />

words customers used to describe<br />

<strong>Kemira</strong> in a survey* carried out during<br />

May and June. A total of 789 customers<br />

responded to the worldwide survey, at a<br />

response rate of 27 percent.<br />

“We are delighted at the high response<br />

rate,” says päivi jokinen, <strong>Kemira</strong>’s<br />

Executive Vice President of Marketing<br />

and Communications.<br />

“We received positive feedback about<br />

ease of cooperation, quality and functionality<br />

of our products and punctual<br />

deliveries. Our customer relationships<br />

rest on a firm foundation, and we will<br />

continue to develop our activities based<br />

on the customer feedback. One of the<br />

next steps is regional action planning<br />

with sales management.”<br />

According to remko goudappel,<br />

Vice President Municipal, EMEA, the<br />

CAJSA HOLGERSSON<br />

feedback was also very positive in the<br />

European Municipal customer segment.<br />

“Customers perceive us as a reliable<br />

supplier with high quality people and<br />

application know-how. In addition, we<br />

discovered clear development needs.”<br />

One of the areas, where customers<br />

would like us to improve our operations<br />

is the processing of complaints. Actions<br />

are already under way to set clear guidelines<br />

for complaint handling across the<br />

organization.<br />

Innovation was another development<br />

need. Customers feel that <strong>Kemira</strong><br />

has the capabilities to be an innovative<br />

company in water chemistry, but is not<br />

bringing enough innovations to the market<br />

today.<br />

“We are building a strong foundation<br />

for innovation by creating cross-functional<br />

team work between sales, application<br />

management and R&D, and by having<br />

a good, continuous dialogue about<br />

customer needs. Our sales organization<br />

will systematically produce more information<br />

on customers’ views and market<br />

needs as input for new product development,”<br />

says Goudappel.<br />

In an optimal situation, the innovation<br />

process rapidly converts customers’<br />

needs into new applications and<br />

products that solve existing challenges.<br />

Customers’ specific needs and future<br />

requirements must also be examined<br />

more closely.<br />

“In 2012, we will focus on 10 new<br />

application areas for which we are currently<br />

developing strong value propositions.<br />

I believe that, combined with wellprepared<br />

and clear communication, this<br />

gives us firm ground to call ourselves an<br />

innovative company,” Goudappel summarizes.<br />

johanna paasikangas-tella<br />

6 • W A T E R L I N K 3 • 2 0 1 1<br />

K E M I R A S T A K E H O L D E R M A G A Z I N E • 7


BRIEFING: our world<br />

Brazil is the largest producer of sugar cane bioethanol.<br />

One of the major advances achieved in the production<br />

already in Brazil and many other countries is<br />

the utilization of the secondary streams from sugar<br />

and bioethanol production. For example, the leftover<br />

fibrous material, called bagasse, is used as fuel<br />

in the production process, and some mills also generate<br />

surplus electricity.<br />

Bioethanol from Brazil<br />

Bioethanol has become an important form of renewable in sugar cane fields but the soil may eventually become saturated<br />

with salts, and the costs associated with the trans-<br />

energy. Bioethanol can be produced from a variety of different<br />

raw materials, but corn and sugar cane are used the portation of the liquid waste are unsustainable.<br />

most.<br />

Research is ongoing under the SWEET initiative to find<br />

Using raw materials that are suitable to be used as food, a way to eliminate impurities from this waste and reuse the<br />

such as corn, has been a major point of contention, as many water. “In addition we are looking at ways of taking advantage<br />

of the minerals and other residual by-products as see the production for bioethanol negatively impacting<br />

a<br />

food supply.<br />

“With sugar cane, there is no real competition,”<br />

says jose pena, Sales Manager,<br />

Sugar & Bioethanol Central & South<br />

America at <strong>Kemira</strong>. “Even when sugar<br />

is the end product, we can still produce<br />

bioethanol from its by-product, molasses.”<br />

“We are starting to see much more production<br />

of sugar cane bioethanol all<br />

over the world as the demand fossil fuel<br />

replacements increases,” adds isaac<br />

moussan, Director Sugar & Bioethanol at <strong>Kemira</strong>. “You<br />

can produce four times as much bioethanol from a ton of<br />

sugar cane as you can from a ton of corn.”<br />

With the limitations on corn bioethanol and natural variations<br />

in weather causing fluctuations in crops, the sugar<br />

cane industry is looking at all ways to increase efficiency<br />

and get more out sugar cane.<br />

One of the major secondary streams is still in need of<br />

development, and that is waste water. Sugar cane consists<br />

of 75% water, which is removed from the process as waste.<br />

The liquid waste from bioethanol production is almost<br />

all water, 97% in fact. Some mills are using it for irrigation<br />

“You can produce<br />

four times as much<br />

bioethanol from a ton<br />

of sugar cane as you<br />

can from a ton of corn.<br />

Production of sugar<br />

cane bioethanol grows<br />

all over the world.”<br />

source of raw materials,” notes Moussan.<br />

Sugar and bioethanol share the same initial<br />

process: the sugar cane is crushed, and the<br />

juice is extracted. The juice goes through<br />

several purification and clarification steps<br />

after which it can either go towards crystallization<br />

(sugar) or fermentation (bioethanol).<br />

KemTalo Floc S is a new, patented technology<br />

that can replace sulfur burning, a<br />

complicated and risky process. The burning<br />

of sulfur is used to produce sulfur dioxide, which is mixed<br />

with the sugarcane juice to reduce the color of the juice. By<br />

using KemTalo Floc S, mills can reduce sulfur dioxide emissions,<br />

helping limit corrosion and environmental impact.<br />

KemTalo Floc S also allows mills to use less lime in the process,<br />

causes less scaling problems and produces a lower<br />

color sugar. For sugar production, KemTalo Floc S has the<br />

added benefit of producing a lower color sugar.<br />

“Variations in the quality and consistency of sugar cane<br />

cause unwanted fluctuations in color. Better color, sign of<br />

higher quality, allows our customers to sell their sugar at<br />

higher prices,” notes Pena.<br />

randel wells<br />

123rf<br />

The groundbreaking<br />

ceremory at the Nanjing<br />

plant took place in<br />

September.<br />

The hows and whys of China<br />

Why is <strong>Kemira</strong> interested by China?<br />

Currently, Asia equals growth. For example,<br />

half of the global increase in paper<br />

demand comes from Asia, and China<br />

represents the major part of the growth<br />

in Asia. We have to be near our customers,<br />

also in terms of production, to be<br />

able to offer them competitive prices and<br />

the best possible service. Local production<br />

near <strong>Kemira</strong>’s R&D center in China<br />

enables us to customize our offering to<br />

the needs of local customers.<br />

<strong>Kemira</strong>’s plant in Nanjing will be open<br />

next summer. What will it produce?<br />

We will manufacture chemicals for special<br />

processes, and the plant will serve<br />

all our customer segments. It will also<br />

allow for an extensive product range and<br />

short transportation times.<br />

In addition to the Nanjing plant, what<br />

does your portfolio include in China?<br />

We manufacture AKD wax, used for<br />

hydrophobation of paper in Yanzhou. The<br />

plant is cutting-edge and, I understand,<br />

the largest AKD plant in the world.<br />

The new plant has been described<br />

as trailblazing. What does this mean<br />

in practice?<br />

The plant has been designed by a team<br />

of experts who represent <strong>Kemira</strong>’s best<br />

process knowledge globally. The technology<br />

will be top-notch in the industry,<br />

and we will make extensive use of automation.<br />

“We have to be near our<br />

customers, to be able to offer<br />

them the best service.”<br />

You will hire approximately 100<br />

employees. What role will occupational<br />

safety play in their orientation?<br />

It is of primary importance in all of our<br />

production locations. Each employee’s<br />

personal training program will cover<br />

process and personal safety.<br />

What can Asia teach other markets?<br />

Our employees in Asia have excellent<br />

team spirit, a strong desire for professional<br />

development and an impressive<br />

work ethic. This type of positivity could<br />

be exported. It is an honor and a pleasure<br />

to work with such a team.<br />

johanna paasikangas-tella<br />

The questions were answered by<br />

Kenneth Nystén, Senior Vice President,<br />

Printing&Writing, Paper.<br />

KEMIRA<br />

8 • W A T E R L I N K 3 • 2 0 1 1<br />

K E M I R A S T A K E H O L D E R M A G A Z I N E • 9


BRIEFING: green ideas<br />

Oil sands is largely a mixture of sand, clay, water and a certain<br />

type of petroleum called bitumen. It is found all over the<br />

world, but Canada and Venezuela have the largest amounts of<br />

this substance.<br />

With waste becoming an increasingly important<br />

source of energy, <strong>Kemira</strong> is focusing its efforts, pooling<br />

its application know-how and broad product<br />

portfolio to help customers optimize biogas processes.<br />

The micro-organisms responsible for the<br />

final methane-producing step are slow-growing and<br />

sensitive. They need a specific set of conditions and<br />

micronutrients to be able to perform their job optimally.<br />

<strong>Kemira</strong>’s Biogas Digestion Product (BDP) technology<br />

creates a more stable process which allows<br />

customers to increase the load on their digester as<br />

well as increase biogas yield.<br />

Professor Subir<br />

Bhattacharjee at the<br />

University of Alberta<br />

finds ways to reduce<br />

the water needed to<br />

extract oil from oil<br />

sands.<br />

Squeezing oil from sand<br />

<strong>Kemira</strong>, Outotec and Suncor are partnering<br />

with the University of Alberta to<br />

find ways to reduce the water needed to<br />

extract oil from oil sands. This partnership<br />

has led to the establishment of an<br />

Industrial Research Chair at the university<br />

that is looking at water quality management<br />

for oil sands extraction.<br />

“The partnership involves using<br />

<strong>Kemira</strong>’s global experience in water<br />

chemistry and water management,<br />

Suncor’s operational knowledge in oil<br />

sands processing, and Outotec’s global<br />

experience in process equipment manufacturing.<br />

We are combining these with<br />

the university’s world-class expertise<br />

in addressing the fundamental problems<br />

related to water treatment,” says<br />

subir bhattacharjee, professor of<br />

mechanical engineering at the University<br />

of Alberta, and the program’s chairholder.<br />

Bhattacharjee and his team are investigating<br />

how the water chemistry obtained<br />

during thermal recovery of bitumen<br />

influences treatment operations. The<br />

team is also looking at how they can<br />

improve water recycling in Alberta’s<br />

steam-based bitumen recovery. A final<br />

area of research is finding ways to reduce<br />

energy consumption and wastewater disposal<br />

through judicious adjustment of<br />

water chemistry and process conditions.<br />

“Our goal is to reduce the make-up<br />

water requirement in the thermal bitumen<br />

recovery processes by 30 percent,”<br />

says Bhattacharjee.<br />

Steam-based bitumen recovery provides<br />

one of the most challenging water treatment<br />

scenarios for this industry.<br />

“The chair program will work closely<br />

with the major producers of this unconventional<br />

petroleum that have operations<br />

in Alberta,” notes Bhattacharjee.<br />

“For all participants in this region,<br />

water is a valuable resource that requires<br />

good management. To do our research, it<br />

is important that we partner with companies<br />

who understand all aspects of<br />

water chemistry.”<br />

As part of its ongoing work in Alberta,<br />

<strong>Kemira</strong> will open an R&D Projects laboratory<br />

at the university in the first half<br />

of 2012. “Our employees will work in<br />

the lab to get the most from the expertise<br />

this environment offers,” explains<br />

mohan nair, Senior Manager, R&D,<br />

Oil & Mining, <strong>Kemira</strong>.<br />

“Our partnership with the University<br />

of Alberta is of strategic importance to<br />

<strong>Kemira</strong>. We feel that Subir Bhattacharjee<br />

and the entire team have the competence<br />

needed to move our chemistries<br />

forward,” Nair summarizes.<br />

satu jussila<br />

CURTIS COMEAU<br />

123 rf<br />

From waste to energy<br />

Biogas is gaining ground as a<br />

promising form of renewable<br />

energy that is used to generate<br />

electricity, heat and make biofuels.<br />

A mixture of methane and carbon<br />

dioxide, biogas is produced by the<br />

anaerobic digestion of organic<br />

material.<br />

“Today waste from the food<br />

industry, households and agriculture<br />

is commonly used to create<br />

biogas,” notes gunnel hagstam<br />

from <strong>Kemira</strong>’s Municipal & Industrial<br />

segment.<br />

A digester is a rather simple<br />

piece of equipment, but the<br />

digestion process inside anything<br />

but simple, a complex interplay<br />

between biology and chemistry.<br />

Digester optimization is achieved<br />

by improving the efficiency of the<br />

microbes that break down the biomass.<br />

Essentially <strong>Kemira</strong> BDP is a nutritional<br />

supplement for the bacteria,<br />

tailor-made for different<br />

substrates. The BDP treatment<br />

increases the amount of methaneforming<br />

bacteria. This creates a<br />

more stable process which allows<br />

customers to increase the load on<br />

their digester as well as increase<br />

biogas yield.<br />

The second focus area is on<br />

digestate separation. The digestate<br />

consists of water with a considerable<br />

amount of fibers, salts<br />

and nutrients. It can serve as an<br />

excellent fertilizer, but if direct use<br />

on fields is not allowed, the nutrients<br />

need to be separated.<br />

Several initiatives under the<br />

SWEET umbrella are addressing<br />

the need to get more biogas<br />

out of biomass. “Driving <strong>Kemira</strong>’s<br />

innovations in biogas is a<br />

great opportunity to add value to<br />

our customers’ processes to turn<br />

waste into renewable energy,” says<br />

jan reinier gosker, Business<br />

Development Manager at <strong>Kemira</strong>’s<br />

Municipal & Industrial segment.<br />

Controlling coagulation and<br />

improving the process of separating<br />

solid matter from water<br />

are the main applications under<br />

development to help reduce the<br />

environmental impact, scaling,<br />

foaming and other problems that<br />

arise when processing digestate.<br />

randel wells<br />

Renewable and promising:<br />

• Biogas is a clean-burning energy<br />

source that can be utilized in<br />

many ways.<br />

• Measured in million tons of oil<br />

equivalent (Mtoe), the National<br />

Renewable Action plans<br />

(NREAP) estimate biogas production<br />

in the EU will triple by<br />

2020.<br />

• Biogas boosting can be done by<br />

improving the efficiency of the<br />

methane forming bacteria using<br />

<strong>Kemira</strong> Biogas Digestion Product<br />

(BDP) technology.<br />

• Several initiatives under the<br />

SWEET umbrella are addressing<br />

the need to get more biogas out of<br />

biomass.<br />

• This work is closely related to<br />

<strong>Kemira</strong>’s commitment to the Baltic<br />

Sea Action Group to combat<br />

eutrophication in the Baltic Sea<br />

through nutrient recycling.<br />

1 0 • W A T E R L I N K 3 • 2 0 1 1<br />

K E M I R A S T A K E H O L D E R M A G A Z I N E • 1 1


CLOSE UP<br />

water<br />

No paper without<br />

Water footprints and water use are hot topics.<br />

Water is an important raw material and water<br />

issues are vital for the forest industry.<br />

Text pirkko koivu · illustration Sanna mander<br />

If you are reading the print version<br />

of this issue, the magazine you are<br />

holding weighs approximately 180<br />

grams. Its production consumed<br />

approximately one liter of water.<br />

Without water, we have no<br />

paper. Paper industry plants need<br />

water for the production process<br />

and fiber transportation. In addition,<br />

water is used to wet the timber,<br />

transfer heat, wash machines<br />

and equipment and cool various<br />

processes. Because of their large<br />

water needs, pulp and paper factories<br />

are located near natural<br />

water systems.<br />

Paper is made from wood that<br />

is converted into pulp either<br />

mechanically or by cooking with<br />

chemicals. In the latter case, the<br />

chemicals separate the fibers of<br />

the wood from one another, producing<br />

chemical pulp. After cooking,<br />

the pulp is washed with<br />

water.<br />

When manufacturing paper,<br />

water is added to the pulp. The<br />

result is a slurry with a water content<br />

of more than 90 percent.<br />

The high amount of clean water<br />

ensures consistent paper quality.<br />

The paper machine spreads the<br />

fiber slurry evenly and removes<br />

the water through filtering and by<br />

pressing and drying.<br />

Depending on the desired end<br />

result, various fillers, coating<br />

materials and chemicals may be<br />

added to the paper. Finally, the<br />

paper is dried, and the end product<br />

has a dry content of approximately<br />

95 percent.<br />

But is one liter of water per<br />

magazine a lot? This is the<br />

amount of water that is consumed<br />

during paper manufacture. It is<br />

a lot, considering how many brochures,<br />

packages, newspapers,<br />

magazines and other paper products<br />

are consumed in the world<br />

each day.<br />

Then again, most of the water<br />

needed in paper manufacture is<br />

recycled in the processes, treated<br />

and returned to nature. Only<br />

some three percent of the water<br />

evaporates into the air and will<br />

eventually fall back down as rain.<br />

Over the past few decades, the<br />

paper industry has considerably<br />

reduced its water consumption<br />

and enhanced its water efficiency.<br />

In Finland, producing a ton of<br />

pulp used to require 250 cubic<br />

meters of water in the 1970s.<br />

Today, 10 to 40 cubic meters is<br />

enough, depending on the process.<br />

The same liter of water may<br />

be recycled 15 times.<br />

1 2 • W A T E R L I N K 3 • 2 0 1 1<br />

K E M I R A S T A K E H O L D E R M A G A Z I N E • 1 3


CLOSE UP<br />

Water footprint refers to the<br />

amount of water required to manufacture<br />

a product, including all<br />

stages of production. The definition<br />

is clear, but the concept is a<br />

little more complex. It differs from<br />

a carbon footprint, for example,<br />

in that water is always local and<br />

related to the water resources of<br />

each area. The carbon footprint<br />

has global climate effects.<br />

“The amount of water used,<br />

such as a cubic meter, does not<br />

give an idea of the environmental<br />

impact it has locally,” says<br />

sylvain lhôte from Borealis,<br />

who co-chairs the water program<br />

of the World Business Council<br />

for Sustainable Development<br />

(WBCSD).<br />

“A company’s operations affect<br />

the water system near the company’s<br />

location. The same amount<br />

of water has a different effect in<br />

water-rich and dry areas. The<br />

impact may also vary by season.”<br />

Water footprints can be measured<br />

and calculated in many ways.<br />

The most widely known method<br />

is the one developed by the Water<br />

Footprint Network. This method<br />

is used for food products, for<br />

example. It divides the water footprint<br />

into three parts: green, blue<br />

and gray.<br />

The green water footprint<br />

reflects the natural water cycle.<br />

In paper production, this means<br />

the water absorbed by the roots<br />

of trees. During photosynthesis,<br />

trees evaporate water and bind<br />

carbon dioxide from the atmosphere.<br />

The blue water footprint refers<br />

to water that is taken from a<br />

river, for example, and will not<br />

be returned to its source. The<br />

gray footprint refers to polluted<br />

water that is returned to the natural<br />

water system. If wastewater is<br />

treated appropriately, it leaves no<br />

gray footprint.<br />

The water footprint of this magazine<br />

varies depending on the calculation<br />

method. If we focus on<br />

the amount of water lost during<br />

paper production, we are dealing<br />

with the blue water footprint.<br />

If we include what is known as<br />

green water, the water footprint<br />

grows considerably: it can be as<br />

much as 10 to 30 liters for a single<br />

page.<br />

The forest industry sees problems<br />

in including green water<br />

because this would constitute<br />

most of the water footprint. Natural<br />

forests will use this water in<br />

any case, whether or not the trees<br />

are used for paper. Forests clean<br />

water and are important in many<br />

other respects than the paper<br />

industry.<br />

Another problem is that differences<br />

in local water resources are<br />

not considered. The green water<br />

footprint is calculated in proportion<br />

to the growth rate of trees,<br />

which means that the footprint is<br />

smaller in warm climates.<br />

“The differences in calculating<br />

water footprints are related<br />

to the degree to which the methods<br />

consider the different parts<br />

of the value chain,” says Lhôte. In<br />

paper production, the value chain<br />

includes forests, natural water<br />

systems, pulp plants and paper<br />

plants.<br />

According to Lhôte, the blue<br />

water footprint should be used as<br />

the basic unit in all value chains<br />

4<br />

FACTS<br />

In the<br />

1970s, producing<br />

a ton of<br />

pulp required<br />

250 cubic<br />

meters of<br />

water.<br />

Today, 10<br />

to 40 cubic<br />

meters is<br />

enough,<br />

depending on<br />

the process.<br />

The same<br />

liter of water<br />

may be recycled<br />

15 times<br />

in the process.<br />

Water efficiency<br />

reduces<br />

the operating<br />

cost of paper<br />

plants.<br />

because it is widely understood<br />

and relatively easy to measure.<br />

The gray and green footprints are<br />

more complex.<br />

The green water footprint is the<br />

most difficult to measure. Lhôte<br />

finds it to be best suited for agriculture<br />

and the food industry.<br />

However, the water footprint<br />

can be a useful tool.<br />

“The measuring method must<br />

be relevant and transparent in<br />

terms of both the value chain and<br />

location,” he adds.<br />

“Everyone must know how the<br />

water footprint has been calculated<br />

and whether it includes<br />

other elements than just blue<br />

water. Otherwise, we will be comparing<br />

apples and pears.”<br />

WBCSD is collecting good practices<br />

in water management. It has compiled<br />

a list of 19 water management<br />

tools, which approach the<br />

issue from different perspectives.<br />

Many of the tools measure<br />

water footprints, water use and<br />

water impact. Some of them also<br />

identify water-related risks and<br />

suggest improvements to practices.<br />

Some are limited to certain<br />

industries or geographical areas.<br />

The Alliance for Water Stewardship<br />

(AWS) is one of the organizations<br />

that have developed water<br />

management tools. The International<br />

Organization for Standardization<br />

(ISO) is in the process of<br />

creating an international standard<br />

for calculating water footprints.<br />

“The WBCSD’s goal is to make<br />

the different methods available<br />

to all. Instead of competing,<br />

these methods complement<br />

one another. We want to create<br />

a toolkit of various calcula-<br />

1 4 • W A T E R L I N K 3 • 2 0 1 1<br />

K E M I R A S T A K E H O L D E R M A G A Z I N E • 1 5


CLOSE UP<br />

”Water prices have risen<br />

steadily since the 1980’s.”<br />

tion assessment methods and<br />

risk management models,” Lhôte<br />

explains.<br />

The WBCSD has also created<br />

a water management tool of its<br />

own, the Global Water Tool, which<br />

is now being developed for industry<br />

sectors.<br />

“The purpose is to create a tool<br />

that considers different industries<br />

as well as geographical variation.<br />

We have already developed a specific<br />

tool for the oil industry, for<br />

example.”<br />

Lhôte says that sustainable<br />

water use is taken very seriously<br />

in all water-intensive industries,<br />

including the paper industry.<br />

“Yet we should always keep in<br />

mind that water is just one part<br />

of the of the bigger sustainability<br />

picture. It should be introduced in<br />

other contexts as well because it is<br />

related to energy and food.”<br />

Environmental legislation is one<br />

reason to improve water efficiency<br />

in the paper industry. Money is<br />

another one, and its importance is<br />

increasing.<br />

“Water prices have risen steadily<br />

since the 1980s, and water will<br />

soon become a strategic raw material.<br />

Efficient water use should<br />

not be seen merely as a means to<br />

meeting permit requirements. It<br />

is also an opportunity to reduce<br />

a plant’s operating costs,” says<br />

kaj jansson, Vice President of<br />

Research & Development, Common<br />

Chemistry at <strong>Kemira</strong>.<br />

Research and development<br />

will not run out of challenges. “As<br />

water cycles become more closed,<br />

new substances will be discovered<br />

that cause scaling, corrosion<br />

and other process problems,” says<br />

Jansson.<br />

“Currently, the challenge in<br />

closing water cycles is to find the<br />

right reconnection points for the<br />

divided streams and reduce their<br />

organic and inorganic loads. The<br />

rule of thumb is that wastewater<br />

should be treated where it<br />

is created. This makes its treatment<br />

easier and requires a smaller<br />

investment than running the<br />

wastewater through a treatment<br />

plant.”<br />

For example, anaerobic treatment<br />

of wastewater can reduce<br />

the production cost of pulp by<br />

almost 4 euros per ton and that of<br />

paper by 1 euro per ton.<br />

“Harnessing the energy in<br />

wastewater offers even more substantial<br />

opportunities. The related<br />

cost reductions can be considerable<br />

on an annual level,” says<br />

Jansson.<br />

In anaerobic water treatment,<br />

bacteria consume organic matter<br />

in oxygen-free conditions. The<br />

by-product of this process, methane,<br />

can either be sold or used to<br />

fuel the factory. The Finnish forest<br />

industry tried this method in<br />

the 1980s. At the time, however,<br />

it presented problems related to<br />

odor and the plants’ sensitivity to<br />

disturbances.<br />

“These problems have been<br />

solved during the past three decades.<br />

Odor is no longer a problem,<br />

and operational disturbances<br />

can be predicted and fixed. Disturbances<br />

at the wastewater treatment<br />

plant are a major consideration<br />

because they can lead to<br />

limited production or even shutdowns.”<br />

Jansson has long experience in<br />

the paper industry. He has witnessed<br />

much of the development<br />

over the past few decades. Emissions<br />

of solids and nutrients have<br />

decreased while the production<br />

of paper, cardboard and pulp has<br />

increased. In the beginning, process<br />

water was released into natural<br />

water systems. Water cycles<br />

have since been closed, and process<br />

water is recycled many times<br />

over.<br />

“The more process water cycles<br />

are closed, the more and the<br />

rarer detrimental substances will<br />

begin to accumulate and disturb<br />

the process. The conditions will<br />

become favorable for organic and<br />

inorganic scaling, including various<br />

extractives and calcium. Bacteria<br />

growth and biofilm formation<br />

will become more common<br />

as well. In addition, corrosion will<br />

increase,” Jansson explains.<br />

Closed processes are often<br />

faster, which means that disturbances<br />

are more likely to<br />

recur and problems need to be<br />

addressed more rapidly than<br />

before.<br />

<strong>Kemira</strong>’s solutions to these<br />

issues are automatic chemical<br />

controls and remote monitoring,<br />

which are already used around<br />

the world to enhance process reliability.<br />

“Chemistry alone is not enough.<br />

It has to match the circumstances,<br />

along with physical and biological<br />

factors.”<br />

Jansson points out that all<br />

water processes in paper plants<br />

are unique. Each case is different<br />

in terms of the general process,<br />

raw materials, age and location.<br />

1 6 • W A T E R L I N K 3 • 2 0 1 1<br />

K E M I R A S T A K E H O L D E R M A G A Z I N E • 1 7


CLOSE UP<br />

A front-runner in forestry<br />

1. How is water efficiency<br />

related to your business<br />

operations?<br />

The answer is clear: without<br />

water, UPM could not<br />

manufacture its products.<br />

Because the total amount<br />

of water in the world cannot<br />

be increased, we will probably<br />

have shortages as the population<br />

keeps growing. For this<br />

reason, we want to make sure<br />

that this vital raw material will<br />

still be available in the future.<br />

As a way of thinking, sustainable<br />

development is directly<br />

related to our business. We want<br />

to be the leading company in our industry<br />

in wastewater quality and minimal<br />

water use. In pulp and paper production,<br />

our goal is to reduce the amount of<br />

wastewater as well as chemical oxygen<br />

consumption by 15 percent by the year<br />

2020, compared with 2008 levels.<br />

2. How have you reduced your<br />

water footprint?<br />

We have worked for the better use of<br />

natural water systems since the 1960s,<br />

and this work still continues. Good<br />

housekeeping is important: a systematic<br />

approach to water use. No water is used<br />

in vain. The water in the production<br />

process is recycled many times before it<br />

is removed as wastewater. Moreover, we<br />

have had biological water treatment in<br />

place for several decades.<br />

Over the past ten years, the amount<br />

of wastewater per ton of paper has<br />

decreased by 40 percent and that per<br />

ton of pulp by 10 percent. We monitor<br />

Q&A<br />

Sami Lundgren,<br />

Director,<br />

Environmental<br />

Services, UPM.<br />

The company<br />

is <strong>Kemira</strong>’s<br />

customer.<br />

our wastewater emissions<br />

regularly and carry out<br />

research to evaluate their<br />

possible impact on fish, for<br />

example.<br />

3. Where do you get the<br />

water you need?<br />

Old-time industrialists thought<br />

ahead and established factories<br />

in locations where raw<br />

materials—that is, wood and<br />

water—were easily available.<br />

The world has changed since<br />

then, and factories have been<br />

established in other types of<br />

locations, but the proximity of<br />

water continues to be essential. Water is<br />

taken from rivers, lakes or groundwater<br />

reserves. There are no factories in areas<br />

where water is in short supply.<br />

4. What future challenges do you<br />

see in improving water efficiency?<br />

All of the easy methods have already<br />

been used. The goal is to continue<br />

decreasing water use, but each step forward<br />

will be increasingly difficult. The<br />

manufacture of paper for food packaging,<br />

for example, is a balancing act<br />

between reducing water use, ensuring<br />

clean processes and applying suitable<br />

chemicals.<br />

Water efficiency must be enhanced<br />

through multiple channels. We need<br />

new technology and investments and<br />

also carefully executed processes. We<br />

have to examine the work process and<br />

fine-tune the equipment. We will also<br />

have to consider investments in terms of<br />

water use.<br />

Not a drop wasted<br />

1. Caraustar Carotell Paperboard<br />

made the finals of the<br />

PPI Awards in water efficiency.<br />

Why did you decide<br />

to participate?<br />

We are proud of our<br />

100-percent closed water<br />

system, and we want to<br />

show what we are doing to save<br />

water and protect the environment.<br />

Our employees understand<br />

the importance of having<br />

a closed system and have managed<br />

the system successfully.<br />

In water efficiency, we can<br />

compete with world-class companies.<br />

We are still able to considerably<br />

reduce the environmental impact of<br />

our plant.<br />

2. How is water efficiency related<br />

to your business operations?<br />

As a paper company, we are dependent<br />

on water. Water efficiency is directly<br />

reflected in our bottom-line results<br />

because we have no wastewater treatment<br />

costs and our overall water use<br />

is decreasing. In addition, our customers<br />

and community know that we are a<br />

socially and environmentally responsible<br />

company.<br />

3. Where do you get the water you need?<br />

We buy it from the city of Greenville’s<br />

water supply network.<br />

4. How have you reduced your<br />

water footprint?<br />

We began the work to improve our<br />

water efficiency in the mid-1990s. We<br />

produce no wastewater because of our<br />

Q&A<br />

Vince Fields,<br />

Technical<br />

Manager,<br />

Caraustar. The<br />

company is<br />

<strong>Kemira</strong>’s<br />

customer.<br />

closed system, which is a<br />

key element.<br />

We currently have two<br />

projects in progress to<br />

enhance water use efficiency.<br />

We are in the process<br />

of installing a steam<br />

collection system in our<br />

boilers, which enables steam<br />

to be condensed back into feed<br />

water again. In addition, we are<br />

investing in a clarification system,<br />

which enables us to use<br />

process water instead of pure<br />

water.<br />

5. What future challenges do you<br />

see in improving water efficiency?<br />

A closed system will inevitably experience<br />

bacteria growth and scaling as well<br />

as negative electric charges, which will<br />

reduce the power of paper production<br />

chemicals and increase chemical costs<br />

by 20 to 30 percent. A good level of<br />

daily system maintenance will keep the<br />

costs in check.<br />

Because we have a limited amount of<br />

water in store, maintaining a good water<br />

balance will be difficult at times. Some<br />

special paperboard grades require more<br />

water than other grades. The process<br />

must be monitored carefully to prevent<br />

the water system from losing its balance.<br />

Caraustar’s Carotell Paperboard plant is<br />

located in South Carolina. The plant is<br />

among the largest producers of recycled<br />

paperboard in the United States. Using<br />

only recycled materials, it manufactures<br />

a variety of paperboard products for<br />

industrial use and consumer packaging.<br />

123 RF<br />

1 8 • W A T E R L I N K 3 • 2 0 1 1<br />

K E M I R A S T A K E H O L D E R M A G A Z I N E • 1 9


AT YOUR SERVICE<br />

Board<br />

improved<br />

further<br />

Weig-Karton produces over<br />

600,000 tons of board per year<br />

from its Mayen headquarters,<br />

located in the beautiful Eifel<br />

mountains of Germany. The company,<br />

founded already in 1931,<br />

has doubled its production capacity<br />

over the last 15 years, and now<br />

supplies board products all over<br />

the world.<br />

One of Weig-Karton’s production<br />

machines, the BM 6 machine, is<br />

used to produce linerboard, which<br />

is needed to make plasterboard.<br />

With an effective width of around<br />

530 cm, the BM 6 is actually the<br />

largest machine for plasterboard<br />

liner anywhere in the world.<br />

“It runs 24 hours a day and can<br />

produce 50 tons per hour. This<br />

places demanding requirements<br />

on the machinery, and also on the<br />

production process and the quality<br />

of the materials that we use,”<br />

says henning dippel, operating<br />

engineer at Weig-Karton.<br />

4<br />

Facts<br />

The production<br />

of<br />

board starts<br />

when recycled<br />

paper is processed<br />

into a<br />

fiber mixture.<br />

Impurities are<br />

removed and<br />

the fibers prepared<br />

for processing.<br />

At the<br />

wet end of<br />

the boardmachine,<br />

three wires<br />

ensure that<br />

the fibers are<br />

ideally distributed.<br />

Optimal chemicals improve paper-making<br />

processes, speed them up and – what is<br />

the most important – enhance the quality<br />

of the end product. Henning Dippel,<br />

operating engineer for the BM 6 at Weig-<br />

Karton (left) and Georg Lennert, Area Sales<br />

Manager for <strong>Kemira</strong>, work together for<br />

high-quality carton products.<br />

High-quality chemicals are an important part<br />

of the production process for Weig-Karton,<br />

one of the largest manufacturers of recycled<br />

board in Europe.<br />

Text Hubert Kogel<br />

Photos Jan Michael Hosan<br />

<strong>Kemira</strong> supplies Weig-Karton with<br />

the chemicals needed to produce<br />

the board and so underpins the<br />

high quality of the end product.<br />

<strong>Kemira</strong> products are used both for<br />

retention and hydrophobation of<br />

the board.<br />

Retention polymers are used<br />

during dewatering in the wet end<br />

to bind the materials and fibres<br />

contained in the elements of the<br />

paper. By adding suitable retention<br />

agents, this process is not only<br />

improved but also speeded up.<br />

“We are also working on a new<br />

and patented system (Kemform)<br />

to optimise the retention system<br />

In the<br />

pressing section,<br />

most of<br />

the water is<br />

pressed out.<br />

With the aid<br />

of a size press,<br />

the surface of<br />

the board can<br />

be adapted to<br />

the specific<br />

requirements.<br />

The rolls of<br />

carton board<br />

are re-rolled<br />

and cut into<br />

the widths<br />

required by<br />

customers.<br />

further,” says georg lennert,<br />

Area Sales Manager for <strong>Kemira</strong>.<br />

The aim is to improve strength<br />

still more by removing more water<br />

and binding the paper components<br />

more strongly together.<br />

Because the damper the paper, the<br />

more easily it will tear; and the<br />

drier and denser the board, the<br />

stronger it will be.<br />

Hydrophobation is used to<br />

make the board waterproof and<br />

is performed at Weig-Karton by<br />

adding starch and alkenyl succinic<br />

anhydride (ASA).<br />

The sizing agents are used to<br />

adjust the water absorbency and<br />

to improve the printability of<br />

paper and board. For this, <strong>Kemira</strong><br />

provides various sizing techniques<br />

including AKD, ASA, rosin size<br />

and polymer sizing agents.<br />

Only last year, Weig-Karton<br />

acquired new processing equipment<br />

for ASA. This equipment<br />

also runs 24 hours a day and is<br />

used to apply the optimum dose<br />

of sizing agent. <strong>Kemira</strong> made the<br />

engineering work for the new<br />

installation.<br />

2 0 • W A T E R L I N K 3 • 2 0 1 1<br />

K E M I R A S T A K E H O L D E R M A G A Z I N E • 2 1


AT YOUR SERVICE<br />

Adding<br />

real value<br />

Unimin Corporation is a producer of<br />

non-metallic industrial minerals and<br />

global supplier to a number of businesses.<br />

<strong>Kemira</strong> supplies KemEcal 2332<br />

and 2335 tailored products for Unimin<br />

operations in South America. Productivity<br />

at Unimin in Brazil has increased<br />

by 22 percent. Unimin Brazil’s market<br />

Unimin, a leading<br />

producer of nonmetallic<br />

industrial<br />

minerals, has<br />

grown in the<br />

South American<br />

paint market with<br />

support of <strong>Kemira</strong>.<br />

share increased from 60 percent to 75<br />

percent in <strong>2011</strong>. Unimin and <strong>Kemira</strong><br />

now cooperate also in Colombia, Argentina<br />

and Chile.<br />

A leading producer of industrial minerals,<br />

Unimin, can tell what is required for gaining<br />

market share in South America: superior<br />

quality products that are produced with<br />

complete support by an expert supplier.<br />

Text satu jussila · Photos unimin and kemira<br />

Unimin is a leading producer of non-metallic industrial minerals.<br />

It is a worldwide supplier to the glass, ceramic and lighting<br />

industries, and to paint, plastic, rubber and composite<br />

manufacturers.<br />

The company has a strong presence in North America and<br />

Europe and, with <strong>Kemira</strong>’s applications, it is gaining market<br />

share in South America. <strong>Kemira</strong> started working with Unimin<br />

in 2007 for its expanding plastics and painting product operations<br />

in Brazil.<br />

“When we first started working with Unimin in Brazil, they<br />

established strategic targets to increase market share in the<br />

South American ground calcium carbonate (GCC) market by<br />

introducing high-quality products at competitive costs to the<br />

paint market,” explains sergio cabo, Vice President Oil &<br />

Mining, <strong>Kemira</strong> South America.<br />

The first step was to evaluate the critical factors in the<br />

production lines that had a strong impact on those targets.<br />

This work led to the creation of <strong>Kemira</strong> tailor-made Kem-<br />

Ecal 2332 and KemEcal 2335 products (earlier known by the<br />

product name Colloid), which aim to reduce production costs<br />

and increase plant productivity, as well as provide superior<br />

quality products to paint producers.<br />

The KemEcal products have been in use now for four years. In<br />

that time, Unimin in Brazil has seen a 22 percent increase in<br />

productivity. “Two new Unimin products have been launched<br />

and different mineral pigments are now being used. Moreover,<br />

Unimin Brazil’s market share has increased from 60<br />

percent to 75 percent in <strong>2011</strong>,” says Cabo.<br />

“KemEcal 2332 reduces our dispersant consumption and<br />

provides an excellent improvement in the quality of our product<br />

line,” confirms emerson delegá, Application Engineering<br />

Manager SAM, Unimin South America.<br />

“<strong>Kemira</strong> is adding value to our business with operational<br />

support, providing training to our technicians and operators,<br />

bringing specific products to our market, and providing highquality<br />

technical support,” adds Delegá.<br />

The partnership between <strong>Kemira</strong> and Unimin has worked<br />

so well that this year the client asked <strong>Kemira</strong> to help them in<br />

the application of suitable dispersants for production of GCC<br />

slurries used in paint for Unimin’s operations in Colombia,<br />

Argentina and Chile.<br />

“The local Uninim people in Colombia had been working<br />

for several weeks without success. They were having trouble<br />

meeting the market requirements for both solids and stability.<br />

After a few days of working on process review, mainly<br />

in the grinding system, the plant successfully started producing<br />

high-solid slurries to the market,” explains regis<br />

barbosa, Account Manager, <strong>Kemira</strong> Minerals & Metals,<br />

South America.<br />

By driving the client relationship from its application knowhow<br />

rather than from its product offering, Unimin feels that<br />

<strong>Kemira</strong> is adding value to its business.<br />

“We have to grow our business, and for that we need to<br />

increase sales, enhance our portfolio and improve production<br />

efficiency to reduce costs. <strong>Kemira</strong> is supporting us in reaching<br />

our strategic goals,” says Delegá.<br />

2 2 • W A T E R L I N K 3 • 2 0 1 1<br />

K E M I R A S T A K E H O L D E R M A G A Z I N E • 2 3


AGENDA<br />

THE most common applications of chemistry<br />

were exhibited at the Industry Park of Sweden<br />

in early September. The exhibition attracted<br />

approximately 1,000 visitors, who were educated<br />

on the production of sulphuric acid,<br />

energy, hydrochloric acid and hydrogen peroxide<br />

as well. Children had the opportunity to<br />

make small experiments.<br />

*HARMFUL substances in wastewater can<br />

already be identified and removed with a variety<br />

of methods. In St. Petersburg, crayfish are<br />

used as bioindicators in outgoing water, in<br />

addition to more standard methods of wastewater<br />

analysis. “Bioindicators could be developed<br />

to detect harmful substances and their<br />

combined effect,” says Aija Jantunen.<br />

365<br />

days of chemistry<br />

Cajsa Holgersson<br />

“The year has facilitated<br />

information sharing with<br />

politicians and authorities in<br />

the field of chemistry.”<br />

What would we do without chemistry? It may<br />

seem abstract and even a little mystical, but<br />

chemistry is part of our everyday life. Without<br />

chemistry, we would not be able to make coffee,<br />

burn candles or combine food ingredients, to<br />

name just a few examples.<br />

The many applications of chemistry have been<br />

celebrated during the International Year of Chemistry<br />

(IYC) <strong>2011</strong>. Events and campaigns have been<br />

organized worldwide around the special<br />

themes of the year, one of which is water.<br />

“We have sought to provide people<br />

more information and make<br />

chemistry more attractive, particularly<br />

to children and young<br />

people. In addition to water,<br />

the themes have included<br />

clean air, healthy food, safe<br />

medicines, advanced materials,<br />

ecological products<br />

and sustainable energy,” says<br />

päivi pelttari, Communications<br />

Manager for EMEA at<br />

<strong>Kemira</strong>.<br />

Children have been encouraged<br />

to examine natural water<br />

in a global program. In the Netherlands,<br />

the program was launched<br />

through a sponsorship, and <strong>Kemira</strong>’s<br />

employees helped with experiments in local<br />

schools. Four tests were run on each water sample,<br />

providing information on acid and salt content<br />

as well as filtering and treatment results. This<br />

information will be collected in a global database.<br />

During the year, chemistry organizations have<br />

also actively informed people on how chemistry<br />

improves our quality of life.<br />

“Our greatest achievement has been to discover<br />

that people on all continents are<br />

enthusiastic about chemistry. Celebrating<br />

women as scientists has also<br />

been an important aspect,” says<br />

john m. malin, Chair of the<br />

IYC Management Committee.<br />

The year has been beneficial<br />

for business as well.<br />

According to Malin, it has<br />

facilitated information sharing<br />

with politicians and<br />

authorities.<br />

“It is important for them to<br />

know that chemistry not only<br />

helps us understand the challenges<br />

resulting from population<br />

growth. It also helps create<br />

good practices to solve the issues.”<br />

johanna paasikangas-tella<br />

chemistry<strong>2011</strong>.org<br />

Wastewater<br />

and crayfish<br />

– what do they have in common?<br />

The CleantechExpo event in Lahti in October featured<br />

an environmental seminar that attracted<br />

experts, ambassadors, diplomats and businesspeople<br />

from 34 countries.<br />

At the seminar, harri kerminen, CEO<br />

of <strong>Kemira</strong>, discussed the close relationship<br />

between water and energy in industry<br />

in general and specifically in sectors<br />

such as mining and paper manufacturing.<br />

With water shortages becoming a problem<br />

around the world, it is important<br />

to invest in new solutions for ensuring<br />

the availability of clean water, including<br />

desalination, water recycling and<br />

even wastewater recycling.<br />

Surprisingly, perhaps, <strong>Kemira</strong>’s<br />

new growth areas in different<br />

parts of the world have a need for<br />

chemical restoration of eutrophicated<br />

lakes. Although this<br />

business is not significant, the<br />

projects attract a great deal<br />

of local attention.<br />

Along with increased<br />

awareness, new challenges<br />

in municipal wastewater<br />

treatment raise questions<br />

and require hard work. At<br />

the same time, however, these<br />

Cajsa Holgersson<br />

“The Northwest Russia<br />

Center of Expertise in the<br />

Water Industry has trained<br />

hundreds of people on how to<br />

improve water management.”<br />

challenges result in new water management solutions*.<br />

The educational cooperation between St.<br />

Petersburg’s waterworks, also known as Vodokanal,<br />

and the Lahti Science and Business Park<br />

is an excellent example of this, as are Vodokanal’s<br />

long-term partnerships with Finnish<br />

companies. A Finnish-Russian project,<br />

the Northwest Russia Center of Expertise<br />

in the Water Industry has already trained<br />

hundreds of people from different parts<br />

of the country on how to improve water<br />

management. The center has also provided<br />

information for children and<br />

young people.<br />

“Vodokanal has already adopted<br />

diverse technologies that are new<br />

to Finland. Exchange of information<br />

is growing stronger around<br />

the center of expertise established<br />

by Vodokanal and the<br />

Lahti Science and Business<br />

Park,” says aija jantunen,<br />

head of <strong>Kemira</strong>’s Municipal<br />

& Industrial operations<br />

in Finland and the Baltic<br />

countries.<br />

johanna<br />

paasikangas-tella<br />

2 4 • W A T E R L I N K 3 • 2 0 1 1<br />

K E M I R A S T A K E H O L D E R M A G A Z I N E • 2 5


EUREKA!<br />

<strong>Kemira</strong> and VTT Technical Research Center<br />

of Finland jointly manage the Center of<br />

Water Efficiency Excellence, also known<br />

as SWEET, which was established in 2010.<br />

The goal is to create new technologies for<br />

water-intensive industries. The total funding<br />

for the project is EUR 120 million for<br />

2010–2014.<br />

It’s<br />

water<br />

time to focus on<br />

International, focused on the future, with<br />

customers’ needs in mind. The Finnish<br />

Funding Agency for Technology and<br />

Innovation, Tekes, is one of the financiers<br />

of SWEET. We asked Veli-Pekka<br />

Saarnivaara, Director General, why it is<br />

high time to focus on water.<br />

Text pirkko koivu · photos joanna moorhouse<br />

Why does Tekes provide<br />

funding for SWEET?<br />

SWEET has many qualities that<br />

are in line with our strategy. Much<br />

in the same manner as <strong>Kemira</strong>, we<br />

are trying to see where the world<br />

is headed and what business<br />

opportunities the future brings.<br />

Tekes wants to help Finnish<br />

companies succeed internationally.<br />

The possibilities of success<br />

increase with added value in products,<br />

and SWEET adds value by<br />

creating new types of solutions.<br />

SWEET reflects our international<br />

focus in funding. Regional<br />

clusters are disintegrating as horizons<br />

broaden beyond national<br />

borders. Problems are global, so<br />

solutions have to be global as well.<br />

We found the project to be<br />

so promising that the decision<br />

to provide funding was easy to<br />

make. Typically, we do not invest<br />

in extensive projects run by large<br />

companies. Most of our customer<br />

companies have fewer than 500<br />

employees.<br />

2 6 • W A T E R L I N K 3 • 2 0 1 1<br />

K E M I R A S T A K E H O L D E R M A G A Z I N E • 2 7


EUREKA!<br />

5<br />

FACTS<br />

SWEET has three common goals for innovation. The<br />

first one is to enhance the efficiency of water use<br />

and reuse. The second goal is to develop new sustainable<br />

water chemistry solutions and products.<br />

The third one is related to dewatering sludge to be<br />

reused for energy or as nutrients.<br />

What kind of opportunities<br />

does SWEET create?<br />

SWEET elevates the profile of<br />

the water business and offers an<br />

opportunity to create an extensive<br />

network of partners in the field.<br />

This is exactly what we need in<br />

Finland. Its strengths also include<br />

a customer-oriented approach.<br />

We are happy to contribute to<br />

projects involving a large company<br />

that rethinks its strategy and<br />

shifts its focus from manufacturing<br />

products to developing services<br />

and solutions for customers.<br />

This is what customers expect<br />

nowadays.<br />

SWEET is internationally<br />

focused, which means that it<br />

offers new avenues for small companies<br />

as well. We have from the<br />

beginning hoped that small and<br />

medium-sized businesses would<br />

join the project.<br />

How do you see <strong>Kemira</strong>’s role in<br />

developing the water business?<br />

<strong>Kemira</strong> has a huge role. Tekes<br />

has made a considerable investment<br />

in the project, which is in<br />

line with our strategy. As a public<br />

funding provider, we find it<br />

more effective to provide significant<br />

support to a few promising<br />

projects than to divide the funding<br />

into small amounts among a<br />

multitude.<br />

In the future, we will increasingly<br />

support trailblazers, such<br />

as <strong>Kemira</strong>, in various fields. A<br />

large company has the resources<br />

to focus on development, and<br />

<strong>Kemira</strong> has genuinely integrated<br />

development into its business<br />

strategy.<br />

Tekes has its own water program<br />

for 2008–2012.<br />

Why was it launched?<br />

Everybody needs clean water,<br />

but it is a scarce resource. Expectations<br />

of high water quality<br />

increase with environmental<br />

awareness. In industry, for<br />

example, closed water cycles are<br />

becoming more common.<br />

Historically, the sewer system<br />

is the invention that has affected<br />

human health the most. Our strategic<br />

focuses include natural<br />

resources and sustainable economy,<br />

and water is an important<br />

natural resource which offers also<br />

new business opportunities.<br />

What kind of projects and research<br />

does your water program enhance?<br />

We want to bring together people<br />

and companies working with<br />

water. In addition, we want to<br />

support projects that make use<br />

of cutting-edge technology. This<br />

also promotes innovation. Our<br />

water program involves product<br />

development projects in small<br />

and medium-sized businesses<br />

as well as projects in research<br />

institutes.<br />

Our goal is to reform the water<br />

sector in Finland. Finnish expertise<br />

should be broadened, so that<br />

companies would be braver to<br />

enter international markets. Finland<br />

has a good competence base<br />

for municipal water management<br />

as well as industrial water treatment.<br />

The state of our waters is<br />

good, as is our reputation in environmental<br />

care.<br />

What challenges are related to<br />

developing the water business?<br />

Developing markets suffer from<br />

the most critical shortages of<br />

clean water. In these markets,<br />

municipal water issues are usually<br />

political, and market entry may<br />

prove to be difficult.<br />

Challenges in Finland include<br />

increasing cooperation among<br />

small and medium-sized businesses<br />

in water issues. We need a<br />

company like <strong>Kemira</strong> to lead the<br />

development and create an international<br />

network.<br />

Tekes promotes<br />

business<br />

development<br />

and provides<br />

funding<br />

for challenging<br />

research<br />

and development<br />

projects.<br />

Tekes provides<br />

approximately<br />

EUR<br />

600 million in<br />

annual project<br />

funding,<br />

which helps<br />

launch more<br />

than 2,000<br />

research and<br />

development<br />

projects.<br />

The goal is<br />

to turn viable<br />

ideas into<br />

business operations.<br />

Through<br />

its water program,<br />

Tekes<br />

has provided<br />

funding for 65<br />

research and<br />

product development<br />

projects<br />

in companies<br />

and for<br />

34 projects in<br />

research institutes.<br />

The total<br />

investment in<br />

its water program<br />

is EUR<br />

90 million, of<br />

which Tekes<br />

provides EUR<br />

40 million.<br />

The companies<br />

cover the<br />

rest.<br />

At the core of our strategy<br />

External funding is important for<br />

SWEET, as it enables the center to bring<br />

together experts from different companies<br />

and fields.<br />

“Chemistry is just one of these fields.<br />

Water-related innovations also require<br />

other technologies, such as measurement<br />

technologies, analysis operations<br />

and biological water treatment,” says<br />

harri kerminen, CEO of <strong>Kemira</strong>.<br />

VTT Technical Research Center<br />

of Finland and <strong>Kemira</strong> complement<br />

one another in SWEET: VTT offers<br />

resources and expertise related to various<br />

technologies, and <strong>Kemira</strong> provides<br />

water experts. The network of partners<br />

also includes other companies, such as<br />

Outotec and Metso.<br />

“We still have room for new partners,<br />

especially small and medium-sized businesses.<br />

This may be their chance to grow<br />

and go international,” says Kerminen.<br />

The total investment in SWEET is<br />

EUR 120 million over a period of four<br />

years.<br />

“Tekes plays an essential role. We are<br />

honored that Tekes has seen the significance<br />

of this project.”<br />

SWEET represents the core of <strong>Kemira</strong>’s<br />

strategy for many reasons. To begin<br />

with, <strong>Kemira</strong> seeks new solutions for<br />

water-intensive industries.<br />

“We used to focus on products, but<br />

our approach has changed. We are now<br />

focusing on the customer and developing<br />

solutions to problems in the customer’s<br />

process. Wherever we are creating<br />

something new, we are always close to<br />

the customer,” Kerminen explains.<br />

Another reason is global and obvious.<br />

“It is the big picture related to water<br />

use. The reuse is a megatrend: there is a<br />

serious shortage of usable water.”<br />

Harri<br />

Kerminen<br />

Clean water is part of Finland’s country<br />

brand. The benefits of a small country<br />

include relatively small circles:<br />

experts from different fields know one<br />

another. This enables different players,<br />

such as research institutes and companies,<br />

to collaborate with an open mind.<br />

Some of SWEET’s projects are long-term,<br />

seeking new markets as well as new<br />

solutions. Other research projects aim at<br />

faster commercialization.<br />

Altogether, SWEET has approximately<br />

30 projects in progress. The center<br />

employs more than 200 water chemistry<br />

experts from around the world. The<br />

project has already resulted in new business<br />

for <strong>Kemira</strong>, through water chemistry<br />

products used in desalination processes,<br />

for example.<br />

“The exact number varies as provjects<br />

are completed and new ones are<br />

launched,” says heidi fagerholm,<br />

Head of Research & Development and<br />

Technology for <strong>Kemira</strong>.<br />

The most progress has been made in the<br />

further development of existing products.<br />

Examples of this include new types<br />

of antiscalants and new-generation biocides<br />

as well as desalination.<br />

“The goal in desalination is to reduce<br />

costs and energy consumption. At the<br />

same time, we are extending the life<br />

cycle of microporous filters known as<br />

membranes,” Fagerholm explains.<br />

In shale gas production, the goal is to<br />

develop more sustainable methods for<br />

separating the gas from the clay shale.<br />

New chemicals improve the efficiency of<br />

the process and reduce its environmental<br />

impact. This benefits gas production<br />

in the United States and elsewhere.<br />

pirkko koivu<br />

2 8 • W A T E R L I N K 3 • 2 0 1 1<br />

K E M I R A S T A K E H O L D E R M A G A Z I N E • 2 9


WE PROUDLY PRESENT<br />

Formic acid, the simplest organic acid, is<br />

chemically the same biodegradable substance<br />

that ants have produced in nature for<br />

millions of years. Friendly to the environment,<br />

formic acid is a safer alternative to<br />

many other acids for a variety of uses. It is<br />

used in the feed, textile, leather and chemical<br />

industries, to name just a few examples.<br />

With the introduction of <strong>Kemira</strong> DesinFix, a<br />

chlorine-free solution based on formic acid<br />

and hydrogen peroxide, formic acid can even<br />

be used for water disinfection.<br />

Innovations in<br />

sustainability<br />

Miraculous<br />

formic acid<br />

The common red ant has it. The bothersome<br />

nettles have it. Their sting is<br />

caused by a simplest organic acid, formic<br />

acid. Though its existence has been<br />

known for centuries, only recently has<br />

its implications been understood.<br />

Formic acid has become a significant<br />

champion of modern industries. It is<br />

used in the feed, textile, leather and<br />

chemical industries, to name just a few<br />

examples. In September <strong>2011</strong>, <strong>Kemira</strong><br />

celebrated its 30th year of formic acid<br />

at its production site in Oulu, Finland.<br />

Three decades ago, the need for yearround<br />

livestock fodder was the key business<br />

driver as Finnish farmers struggled<br />

to feed their animals.<br />

Still today, silage preservation at farms<br />

is an important application area of formic<br />

acid where <strong>Kemira</strong> remains the biggest<br />

supplier world-wide. Yet three decades<br />

of development have introduced a<br />

variety of advanced applications, helping<br />

30 years of <strong>Kemira</strong> formic acid<br />

1920s<br />

Finnish state decides to<br />

invest in domestic production<br />

of fertilizers for<br />

agriculture.<br />

1950<br />

Decision made to build<br />

a fertilizer plant in<br />

Oulu. Several expansions<br />

projects in the<br />

1950s–1960s.<br />

a wide range of industries improve their<br />

process to become safer, more sustainable<br />

and smarter with water usage.<br />

“The main target of our development<br />

work is either to replace more hazardous<br />

products with formic acid products or to<br />

improve customers’ processes,”<br />

1980s<br />

Fertilizer production<br />

decreases with drops<br />

in demand and profitability.<br />

1981<br />

<strong>Kemira</strong> and Valio Oy<br />

join forces and began<br />

production of formic<br />

acid.<br />

“Minimal<br />

impact on<br />

the environment<br />

is based<br />

on formic<br />

acid.”<br />

says marjo luoma, director<br />

of <strong>Kemira</strong>’s Formate product<br />

line.<br />

“The core benefit and the<br />

real foundation for all of the<br />

applications we have developed<br />

is the fact that formic<br />

acid is the simplest organic<br />

acid. It consists of three simple<br />

elements – carbon, oxygen and<br />

hydrogen – that are found everywhere in<br />

nature.”<br />

<strong>Kemira</strong> produces potassium formate<br />

from formic acid, for example, which is<br />

the basis of <strong>Kemira</strong>’s de-icing product<br />

Clearway F1, the leading runway de-icer.<br />

“One of the main advantages of Clearway<br />

F1 is its minimal impact on the<br />

environment compared to other de-icer<br />

products because it is based on formic<br />

acid,” says Luoma.<br />

With its roots in the agriculture and<br />

farming industry, formic acid based<br />

products are still the standard<br />

for feed acidification to preserve<br />

feed and its raw materials<br />

in the European feed industry.<br />

<strong>Kemira</strong> has been continuously<br />

improving its formic acid<br />

products. Their user-friendliness<br />

has been enhanced by<br />

reducing corrosiveness and<br />

odor. AIV Nova and AIV Ässä,<br />

the newest products for silage<br />

preservation, are good examples of successful<br />

non-corrosive products well<br />

accepted by farmers. Other additives,<br />

such as nutrients, can also be included<br />

in the formula to further improve feed<br />

quality.<br />

randel wells<br />

1987<br />

<strong>Kemira</strong> builds second<br />

production line for formic<br />

acid.<br />

1990s–2000s<br />

<strong>Kemira</strong> expands its<br />

offering and distribution<br />

network worldwide.<br />

Formic acid can be used in<br />

1. Silage preservation and feed acids for preserving<br />

feed and its raw materials.<br />

2. In the dying processes of textiles or leather as a<br />

safe pH control agent.<br />

3. In many different production processes in the<br />

chemical industry. For example, in the production<br />

of the artificial sweetener aspartame and<br />

different kinds of pesticides.<br />

1995<br />

Third production line<br />

for formic acid is added.<br />

2002<br />

Fourth production line<br />

for formic acid is added.<br />

4. In the pharmaceutical industry in the production<br />

of a number of key ingredients, such as insulin,<br />

antibiotics, vitamins, and enzymes.<br />

5. In the production of formates such as potassium<br />

formate, the basis of <strong>Kemira</strong>’s Clearway F1, the<br />

leading runway de-icer.<br />

2008<br />

Fifth production line for<br />

formic acid is added.<br />

<strong>2011</strong><br />

<strong>Kemira</strong> boosts production<br />

to more than<br />

100,000 tons per year.<br />

<strong>Kemira</strong>’s real competitive advantage<br />

in formic acid stems from its very<br />

wide and deep application knowledge<br />

base. The goal is to have a new<br />

formic acid product coming to market<br />

almost every year.<br />

“We have been focusing on applications<br />

and customer needs for three<br />

decades,” says Marjo Luoma.<br />

Currently the newest products are<br />

Tanfor A which improves the efficiency<br />

of soy bean oil epoxidation<br />

and Tanfor A-15 for the leather and<br />

textile industries.<br />

Tanfor A-15 is a rapidly biodegradable<br />

formula that can be used<br />

for pickling and<br />

dye fixing. The<br />

Tanfor products<br />

deliver<br />

such high performance<br />

that<br />

they can be used<br />

effectively with<br />

reduced dosage<br />

levels, generating<br />

greater cost<br />

efficiency for<br />

customers. This<br />

”SWEET<br />

examines<br />

how to use<br />

biomass to<br />

produce<br />

formic<br />

acid.”<br />

also reduces the customer’s wastewater<br />

loading.<br />

Formic acid is also being addressed<br />

by <strong>Kemira</strong>’s SWEET activities where<br />

the focus is on how to use biomass<br />

to produce formic acid. “There are<br />

many different processes under<br />

development that use biomass as<br />

a sustainable raw material,” notes<br />

Luoma. “We are working on developing<br />

processes to separate formic and<br />

other acids from these large-volume<br />

side streams coming from biomass<br />

processes.”<br />

3 0 • W A T E R L I N K 3 • 2 0 1 1<br />

K E M I R A S T A K E H O L D E R M A G A Z I N E • 3 1


NUMEROLOGY<br />

Stable result in turbulent times<br />

PRESS RELEASES<br />

KEMIRA GROUP REVENUE EUR MILLION<br />

KEY FIGURES<br />

ALEKSI NIEMELÄ<br />

<strong>Kemira</strong> held a well-attended<br />

Capital Markets Day* in September.<br />

The main theme, together<br />

with <strong>Kemira</strong>’s water chemistry<br />

strategy, was how well <strong>Kemira</strong> is<br />

prepared for the possible slower<br />

growth period. The main implications<br />

for <strong>Kemira</strong>’s business in<br />

such a scenario would be, in the<br />

Paper segment business, lower<br />

visibility and declining demand.<br />

In the Municipal & Industrial<br />

segment, demand would remain<br />

stable and prices for key raw<br />

materials would decline. Slower<br />

growth would have a minor<br />

impact on the current business<br />

of the Oil & Mining segment but<br />

delay some of the future growth<br />

projects.<br />

<strong>Kemira</strong>’s performance after<br />

the first nine month of <strong>2011</strong><br />

have been stable. Organic<br />

revenue growth was 6% and operative<br />

EBIT was slightly higher<br />

than in 2010. The performance<br />

of <strong>Kemira</strong>’s minority-owned JV<br />

Sachtleben, a producer of titanium<br />

dioxide, has continued to<br />

be very strong. Profits from the<br />

business have more than tripled<br />

compared to 2010.<br />

This time in the analyst<br />

interview Rauli Juva, an analyst<br />

from Nordea, will give his comments<br />

on <strong>Kemira</strong>’s performance<br />

in the first nine months of <strong>2011</strong>,<br />

expectations for the coming<br />

quarters and what he considers<br />

to be <strong>Kemira</strong>’s most important<br />

valuation drivers.<br />

At the moment there are 46%<br />

(46%) buy, 23% (23%) hold and<br />

31% (31%) sell recommendations<br />

on <strong>Kemira</strong> shares among<br />

research analysts (the figures<br />

for the are in parentheses). See<br />

the history graph of <strong>Kemira</strong>’s<br />

ratings below.<br />

<strong>Kemira</strong> started to webcast<br />

its result releases in the third<br />

quarter <strong>2011</strong> results. View the<br />

webcast of the press and analyst<br />

conference at www.kemira.com/<br />

investors, under the headline Q3<br />

Interim Report.<br />

Tero Huovinen is <strong>Kemira</strong>’s Director,<br />

Investor Relations,<br />

t. +358 (0)50 4099 373<br />

*Presentations available in<br />

kemira.com/investors.<br />

JANUARY <strong>2011</strong><br />

Jan 13 <strong>Kemira</strong><br />

announces 5–15% price<br />

increases for its paper<br />

chemicals.<br />

FEBRUARY <strong>2011</strong><br />

Feb 3 <strong>Kemira</strong> announces<br />

price increases for<br />

its acetates.<br />

Feb 18 <strong>Kemira</strong> to build<br />

two new coagulant<br />

plants at Bayer sites in<br />

Europe.<br />

MARCH <strong>2011</strong><br />

Mar 11 <strong>Kemira</strong> Chem-<br />

Solutions announces<br />

price increases.<br />

Mar 22 <strong>Kemira</strong> Oyj:<br />

The Annual General<br />

Meeting approved EUR<br />

0.48 dividend.<br />

Mar 31 <strong>Kemira</strong> Oyj has<br />

sold all its shares in<br />

Tikkurila Oyj.<br />

Mar 31 São Paulo<br />

receives center for<br />

R&D focusing on water<br />

chemistry.<br />

APRIL <strong>2011</strong><br />

Apr 8 <strong>Kemira</strong>’s Environmental<br />

Report 2010<br />

published.<br />

Apr 13 <strong>Kemira</strong> announces<br />

price increase<br />

for Formic acid.<br />

Apr 28 <strong>Kemira</strong> Oyj has<br />

received a damage<br />

claim for violations of<br />

competition law.<br />

MAY <strong>2011</strong><br />

May 3 <strong>Kemira</strong> Oyj’s<br />

interim report January-<br />

March <strong>2011</strong>: Operative<br />

EBIT improved notably.<br />

May 9 Harri Kerminen<br />

opens The NASDAQ<br />

Stock Market in New<br />

York.<br />

May 19 <strong>Kemira</strong><br />

announces 5–20% price<br />

increases for its paper<br />

chemicals.<br />

JUNE <strong>2011</strong><br />

June 1 New R&D<br />

center opens in São<br />

Paulo.<br />

June 9 <strong>Kemira</strong> Oyj:<br />

Damage claim for<br />

<strong>Kemira</strong> Chemicals<br />

Oy for violations of<br />

competition law.<br />

June 13 Change in<br />

<strong>Kemira</strong>’s Municipal &<br />

Industrial segment’s<br />

management.<br />

June 30 <strong>Kemira</strong><br />

Oyj signed EUR 300<br />

million revolving credit<br />

facility.<br />

JULY <strong>2011</strong><br />

July 8 <strong>Kemira</strong> Oyj:<br />

Financial reporting<br />

schedule for the year<br />

2012.<br />

July 14 <strong>Kemira</strong> announces<br />

price increase<br />

for Acetate based<br />

De-icers.<br />

July 28 <strong>Kemira</strong> Oyj’s<br />

interim report January-<br />

June <strong>2011</strong>: Profit<br />

before tax improved,<br />

guidance unchanged.<br />

SEPTEMBER <strong>2011</strong><br />

Sept 7 <strong>Kemira</strong><br />

announces price<br />

increases for hydrogen<br />

peroxide in EMEA.<br />

Sept 15 <strong>Kemira</strong><br />

Oyj: Riikka Timonen<br />

appointed Director,<br />

Sustainability.<br />

Sept 30 Oil & Gas now<br />

present in Dubai.<br />

OCTOBER <strong>2011</strong><br />

Oct 13 <strong>Kemira</strong> sold<br />

Galvatek to Folmer<br />

Equity Fund I Ky.<br />

Oct 17 <strong>Kemira</strong> Oyj:<br />

Production of polyaluminium<br />

chloride<br />

restarted in Krems,<br />

Austria.<br />

Oct 26 <strong>Kemira</strong> has<br />

moved to a new water<br />

treatment chemicals<br />

plant in Tallinn,<br />

Estonia.<br />

Oct 27 <strong>Kemira</strong> sells<br />

Canadian hydrogen<br />

peroxide plant to<br />

Evonik.<br />

Oct 27 <strong>Kemira</strong> Oyj:<br />

Wolfgang Büchele has<br />

been appointed <strong>Kemira</strong><br />

Oyj’s President and<br />

CEO following Harri<br />

Kerminen’s retirement.<br />

Oct 27 <strong>Kemira</strong> Oyj’s<br />

interim report January-<br />

September <strong>2011</strong>:<br />

Stable performance.<br />

Oct 27 Hannu<br />

Virolainen appointed<br />

President, Municipal &<br />

Industrial.<br />

Oct 31 <strong>Kemira</strong>’s<br />

desalination solutions<br />

reduce costs in China.<br />

560<br />

540<br />

520<br />

500<br />

480<br />

460<br />

440<br />

Q109 Q209 Q309 Q409 Q110 Q210 Q310 Q410 Q111 Q211 Q311<br />

OPERATIVE EBIT EUR MILLION<br />

45<br />

40<br />

35<br />

30<br />

25<br />

20<br />

15<br />

Q109 Q209 Q309 Q409 Q110 Q210 Q310 Q410 Q111 Q211 Q311<br />

MID TERM FINANCIAL TARGETS<br />

• Growth in revenues<br />

Mature markets > 3%<br />

Emerging markets > 7%<br />

• Earnings before interest<br />

and taxes (EBIT),<br />

% of revenue > 10%<br />

OMX HELSINKI<br />

10000*<br />

8000*<br />

6000*<br />

• Cash flow after CAPEX<br />

and dividend > € 0M<br />

• Gearing < 60%<br />

KEMIRA<br />

MEUR Q3/<strong>2011</strong> Q3/2010 2010<br />

Revenue 558.3 554.4 2160.9<br />

Operative,<br />

EBIT<br />

Operative.<br />

EBIT. %<br />

OWNERSHIP<br />

40.8 42.5 162.3<br />

7.3 7.7 7.5<br />

EPS (EUR) 0.21 0.23 0.73<br />

CapEx excl.<br />

Acquisitions<br />

Cash flow<br />

after<br />

investments<br />

Gearing,<br />

%, end of<br />

period<br />

Equity ratio,<br />

%, end of<br />

period<br />

Personnel,<br />

end of period<br />

Oras Invest Oy 18.2%<br />

Solidium Oy 16.7%<br />

Varma 7.5%<br />

Ilmarinen 5.2%<br />

Other Finnish inst.20.4%<br />

37.3 46.6 107.8<br />

56.7 6.6 168.6**<br />

35 43** 39**<br />

52 52** 54**<br />

5033 4985 4935<br />

** Includes Tikkurila until March 25, 2010<br />

Non-Finnish owners,<br />

incl. nominee-registered<br />

institutions 13.7%<br />

Households 16.2%<br />

<strong>Kemira</strong> 2.1%<br />

January <strong>2011</strong> November <strong>2011</strong> January <strong>2011</strong> November <strong>2011</strong><br />

15<br />

12<br />

9<br />

6<br />

3 2 • W A T E R L I N K 3 • 2 0 1 1<br />

K E M I R A S T A K E H O L D E R M A G A Z I N E • 3 3


NUMEROLOGY<br />

Bubbling under<br />

<strong>Kemira</strong> presents its know-how, products, experiences<br />

and ideas in different events, shows and<br />

exhibitions all around the world. Here is a pick of<br />

a few interesting events, either past or becoming.<br />

Each issue of <strong>WaterLink</strong> contains an interview with an analyst themed on <strong>Kemira</strong>.<br />

Q&A: Rauli Juva, Nordea<br />

See you around!<br />

Could you comment on <strong>Kemira</strong>’s<br />

performance so far <strong>2011</strong>?<br />

<strong>Kemira</strong> has managed the increasing raw material<br />

prices relatively well with Q3 showing an expected<br />

margin recovery after Q2. However the sudden<br />

demand weakness in Q4 was disappointing and in<br />

addition to the more temporary factors indicates<br />

that <strong>Kemira</strong> currently suffers more than expected<br />

from the lower volumes in pulp and paper industry.<br />

Do you think the water chemistry strategy has made<br />

<strong>Kemira</strong> less cyclical and exposed to market volatility?<br />

Definitely yes. Although the Paper segment is still<br />

somewhat cyclical, even there the mix has changed<br />

and is changing towards less cyclical end-markets<br />

and the demand in other segments is more steady.<br />

<strong>Kemira</strong>’s own efforts in improving the pricing vs.<br />

raw material costs changes have also helped reduce<br />

earnings volatility.<br />

What do you consider as <strong>Kemira</strong>’s most<br />

important valuation drivers?<br />

From an equity investor’s point of view I see<br />

the EBIT margin improvement towards the targeted<br />

10% and the ability to tap into the growth<br />

in emerging markets as the key drivers in the near<br />

term.<br />

ANALYST ESTIMATES Q1 2010 – Q3 <strong>2011</strong><br />

2400<br />

2350<br />

2300<br />

2250<br />

2200<br />

2150<br />

2100<br />

2050<br />

2000<br />

4/10 5/10 7/10 8/10 11/10 12/10 2/11 4/11 5/11 7/11 8/11 9/11 10/11 11/11<br />

Sales FY <strong>2011</strong> Sales FY 2012<br />

When talking with your clients (i.e., investors)<br />

about <strong>Kemira</strong>, is the <strong>Kemira</strong> story<br />

today easier to “sell” than say two to three<br />

years ago?<br />

Yes. The clear strategy focus on the water<br />

business, which offers solid growth potential<br />

for decades, along with the shift to a<br />

less cyclical company with better<br />

pricing power as discussed<br />

above, has made <strong>Kemira</strong> a better<br />

investment story. Of course,<br />

this is supported also by the<br />

improved financial performance,<br />

all of which shows<br />

that the current strategy is<br />

working.<br />

What are your expectations for<br />

<strong>Kemira</strong>’s performance going<br />

into, 2012?<br />

I expect to see earnings<br />

growth, driven especially by<br />

the Municipal & Industrial<br />

unit’s improving pricing. The<br />

Paper division is clearly the<br />

risk factor as it is exposed to a<br />

potential further slowdown in<br />

the economy.<br />

Disclaimer: The data in the graphs has been issued by Vara Research GmbH for information purposes only and is not intended to constitute investment advice. It is based on estimates and<br />

forecasts of various analysts regarding revenues, earnings and business developments of the relevant company. The company did not participate in the compilation of the estimates and<br />

it does not endorse them. Such estimates and forecasts cannot be independently verified by reason of the subjective character. Vara Research GmbH gives no guarantee, representation or<br />

warranty and is not responsible or liable as to its accuracy and completeness.<br />

8,60%<br />

8,10%<br />

7,60%<br />

7,10%<br />

6,60%<br />

4/10 5/10 7/10 8/10 11/10 12/10 2/11 4/11 5/11 7/11 8/11 9/11 10/11 11/11<br />

Operative EBIT=%, FY <strong>2011</strong> Operative EBIT=%, FY 2012<br />

JOANNA MOORHOUSE<br />

U.S.<br />

Association of Water Technologies Exposition<br />

(AWT <strong>2011</strong>)<br />

Atlanta, Sept 14–17<br />

<strong>Kemira</strong>’s theme for this key show for the North<br />

American chemicals industry was built around<br />

Solutions that grow with your industrial water<br />

needs, and the <strong>Kemira</strong> team highlighted its Kem-<br />

Guard Antiscalants, line of food Grade defoamers,<br />

as well as development efforts to create more<br />

sustainable biocide chemistries.<br />

Water Quality Technology Conference (WQTC)<br />

Phoenix, Nov 13–16<br />

The AWWA Water Quality Technology Conference<br />

and Exposition (WQTC) helps thousands of water<br />

quality professionals from across the globe keep<br />

up to date with the latest research, regulations,<br />

and technological advances for keeping drinking<br />

water safe.<br />

Informex USA 2012<br />

New Orleans, Feb 14–16, 2012<br />

Informex is the leading event in the global fine,<br />

custom and specialty chemical industries. <strong>Kemira</strong><br />

is attending the show together with Alcan International<br />

Network U.S.A. LLC.<br />

France<br />

Food Ingredients Europe <strong>2011</strong><br />

Paris, Nov 29–Dec1<br />

Fi Europe brings together the world’s leading<br />

food and beverage suppliers, R&D, production<br />

and marketing specialists. <strong>Kemira</strong>’s ChemSolutions<br />

Food team participated in the show for the<br />

third time and showcased Provian products, used<br />

for meat shelf-life extension and food safety;<br />

Probake products used for bakery shelf life<br />

extension as well as Progusta products which are<br />

used for acidification and flavoring.<br />

6 th World Water Forum<br />

Marseille, March 12–17, 2012<br />

The world’s largest meeting around water, World<br />

Water Forum, has since 1997 mobilized creativity,<br />

innovation, competence and know-how in favor<br />

of water. <strong>Kemira</strong> will be present in Marseille<br />

this year together with a network of top Finnish<br />

cleantech companies, Cleantech Finland, and a<br />

number of other Finnish companies.<br />

China<br />

<strong>2011</strong>(7 th ) China International Exhibition on<br />

Water Treatment Chemicals, Technologies and<br />

Applications<br />

Shanghai, Nov 7–9<br />

As one of the most specialized exhibitions, the<br />

annual China International Water Treatment Chemicals<br />

exhibition is becoming a key event for<br />

leading chemicals companies, including <strong>Kemira</strong>.<br />

<strong>Kemira</strong> showcased solutions for both for municipal<br />

and industrial water treatment, including<br />

products such as flocculants, organic and inorganic<br />

coagulants, defoamers, biocides, antiscalants<br />

and products for sludge treatment and color<br />

removal.<br />

India<br />

10 th International Exhibition and Conference on<br />

Pulp and Paper Industries, PAPEREX <strong>2011</strong><br />

New Delhi, Dec 10–13<br />

Paperex <strong>2011</strong> showcases the best products and<br />

services in the paper industry. The event brings<br />

together industry professionals and experts to<br />

discuss strategies, available opportunities and<br />

challenges in the paper and pulp industry. It also<br />

opens up avenues for international trade and<br />

business opportunities for the exhibitors.<br />

Brazil<br />

Brazilian Pulp and Paper Technical Association<br />

(ABTCP) in São Paulo, Brazil<br />

São Paulo, October 3–5<br />

Some 2,000 people visited <strong>Kemira</strong> stand at the<br />

44rd ABTCP congress in São Paulo. ABTCP is the<br />

meeting point for industry professionals and it<br />

provides an excellent opportunity for <strong>Kemira</strong> to<br />

communicate about our products and services.<br />

3 4 • W A T E R L I N K 3 • 2 0 1 1<br />

K E M I R A S T A K E H O L D E R M A G A Z I N E • 3 5


AVEC<br />

The compelling green<br />

challenge<br />

Wise energy use is among the<br />

greatest challenges of our time. How<br />

can we ensure energy for everyone?<br />

When Elina Engman began her<br />

studies in the early 1990s, energy<br />

was anything but topical.<br />

Text PIRKKO KOIVU · Photos MAREK SABOGAL<br />

3 6 • W A T E R L I N K 3 • 2 0 1 1<br />

K E M I R A S T A K E H O L D E R M A G A Z I N E • 3 7


AVEC<br />

“Industrial customers<br />

are already<br />

asking the same<br />

questions as<br />

consumers.”<br />

The more interested consumers are in sustainable<br />

development, the more they need to know what<br />

kind of ecological footprint products have in terms of<br />

manufacture and energy.<br />

“Companies are already being asked these questions,”<br />

says elina engman, Vice President of<br />

Energy at <strong>Kemira</strong>.<br />

“Let’s take these leather shoes,” she says, pointing<br />

at her and my shoes.<br />

“The leather has been tanned with formic acid. The<br />

formic acid has probably been manufactured in our<br />

Oulu plant. If consumers are aware of this, they want<br />

to know what type of energy was used to manufacture<br />

the formic acid.”<br />

Engman believes that companies will not be able to<br />

avoid sustainability issues, such as energy efficiency.<br />

Quite the contrary, these issues will become even<br />

more important. <strong>Kemira</strong>’s products are not directly<br />

intended for private consumers, but industrial customers<br />

are asking the same questions.<br />

“Our customers in the paper industry, for example,<br />

want to know what kind of energy was used to manufacture<br />

a paper production chemical.”<br />

<strong>Kemira</strong>’s answer is carbon-free electricity generated<br />

by wind, nuclear, process or water power. And<br />

the formic acid for our shoes? <strong>Kemira</strong>’s plant in Oulu<br />

will soon be powered by steam from a biopower<br />

plant. The formic acid is biodegradable and contains<br />

no sulphur compounds.<br />

With her team, Engman is responsible for ensuring<br />

sufficient energy supply for <strong>Kemira</strong>’s production<br />

plants. Purchasing decisions are made in collaboration<br />

with production and sales: production lets her<br />

team know for what purposes energy is needed, and<br />

sales lets them know how much.<br />

Engman’s work is wide-ranging, as <strong>Kemira</strong> operates<br />

in around 40 countries and has over 100 production<br />

plants. Each country has its own energy market,<br />

and each plant needs different amounts and different<br />

types of energy. In addition to electricity, <strong>Kemira</strong> purchases<br />

oil and gas.<br />

“Energy is always local. It is produced and consumed<br />

locally. From our headquarters in Helsinki,<br />

it is difficult to handle energy purchasing in North<br />

America, for example. Because of this, we have local<br />

teams that work in agreed-upon ways.”<br />

5<br />

FACTS<br />

Your favorite<br />

drink?<br />

Tap water.<br />

I also enjoy<br />

a glass of good<br />

red wine.<br />

What book<br />

did you read<br />

last?<br />

Antti Tuuri’s<br />

centennial<br />

history of<br />

the Finnish<br />

construction<br />

company Lemminkäinen.<br />

Whom<br />

would you<br />

bring with you<br />

to a deserted<br />

island?<br />

My family.<br />

Also, I have<br />

wanted a dog<br />

for a long<br />

time, so I<br />

would get one<br />

before leaving<br />

for the island.<br />

Your favorite<br />

means of<br />

transportation?<br />

Bicycle and my<br />

own two feet.<br />

What makes<br />

you happy?<br />

Success<br />

achieved with<br />

others, and<br />

the important<br />

people in my<br />

life.<br />

It is obvious that Engman is enthusiastic about<br />

her job. When asked, she lists several reasons for her<br />

work being particularly rewarding: wonderful colleagues<br />

and the opportunity to always learn something<br />

new, to begin with. She also has the opportunity<br />

to see, on a concrete level, how energy is linked<br />

to <strong>Kemira</strong>’s finances, funding, environmental work<br />

and communications, for example.<br />

“Energy is related to everything and concerns everyone,<br />

companies and ordinary people alike,” she<br />

says.<br />

Engman’s work includes traveling to different parts<br />

of the world. She accumulates 50–100 travel days per<br />

year and has visited more than 30 of <strong>Kemira</strong>’s production<br />

plants.<br />

The more a plant consumes energy, the more likely<br />

Engman is to pay a visit.<br />

“I always want to see the production side of things!<br />

In addition to new perspectives, it gives me drive. It<br />

is great to see how proud people around the world<br />

are of their plants and how interested they are in<br />

energy efficiency. Many of the ideas I have heard on<br />

these travels have already been implemented,” she<br />

says.<br />

In addition, Engman keeps in touch with stakeholders<br />

and meets colleagues from other companies.<br />

It is always useful to hear how issues have been<br />

solved in other industries. She also participates in<br />

the activities Cefic, the European Chemical Industry<br />

Council, among other associations and organizations.<br />

Engman was hired in 2005. At the time, electricity<br />

and energy were not major topics. Energy concerns<br />

were even less trendy in the early 1990s, when<br />

Engman began her studies at Helsinki University of<br />

Technology, specializing in power plant engineering.<br />

“I have always been interested in energy technology,<br />

particularly in the links between energy, society<br />

and the environment.”<br />

Over the past couple of years, energy and the environment<br />

have become major issues. Engman sees<br />

this change especially in young people, including her<br />

school-age children: they want to know the origin<br />

of products, and they recycle. Adults are becoming<br />

more aware as well. They discuss carbon footprints<br />

during coffee breaks and compare different heating<br />

methods.<br />

3 8 • W A T E R L I N K 3 • 2 0 1 1<br />

K E M I R A S T A K E H O L D E R M A G A Z I N E • 3 9


AVEC<br />

“I have always been interested in energy<br />

technology, particularly in the links between<br />

energy, society and the environment.”<br />

The leather of the boots has been tanned with formic acid that has probably been manufactured in our Oulu plant. Dress IvanaHelsinki, boots Seychelles/IvanaHelsinki.<br />

Engman’s friends and acquaintances often consult<br />

her—not only because of her work and expertise.<br />

They know her to be a “true believer” in energy efficiency,<br />

as she puts it. Engman commutes by bus and<br />

subway. She makes sure that no one leaves the lights<br />

on at the office when not needed, and she also monitors<br />

energy consumption at home, pulling the plug<br />

on her children’s cell-phone chargers if left plugged<br />

in too long.<br />

“Little choices and changes go a long way in energy<br />

efficiency at home—in the shower, for example. A considerable<br />

part of our daily energy consumption consists<br />

of warm water that goes down the drain, literally.”<br />

In one area of life, however, Engman does not save<br />

energy: exercising. She consumes her physical energy<br />

in fitness classes and by running and playing golf. As<br />

a result of all this hard work, she looks fit and fresh.<br />

“In terms of exercising, anything goes. I also like<br />

hiking, and I hunt moose and birds in the fall.”<br />

Engman and her husband have three school-age<br />

children. The family shares a love for the outdoors.<br />

The children are scouts, and the family loves to visit<br />

their summer cottage and go boating in the Finnish<br />

Archipelago. That’s why all family members are<br />

interested in the state of the Baltic Sea.<br />

“There have been little, delightful improvements.<br />

You can fish for flatfish again, and bladderwrack is<br />

back,” she points out.<br />

Engman feels that she can promote sustainability in<br />

her work. <strong>Kemira</strong>’s energy strategy is in line with the<br />

company’s way of thinking.<br />

“I think it’s wonderful that water, its efficient use<br />

and recycling are at the core of our strategy. Energy<br />

saving and energy efficiency go hand in hand with<br />

<strong>Kemira</strong>’s strategy.”<br />

Energy efficiency is not new at <strong>Kemira</strong>. For years<br />

now, the company has made every effort to save energy<br />

and use it more efficiently. The latest investment in<br />

this area is the E3 program, which was launched last<br />

year. The program is headed by jukka aarinen, supported<br />

by steve mcpherson in North America.<br />

The goal is to save approximately EUR 10 million<br />

by the end of 2012. About 20 of <strong>Kemira</strong>’s plants have<br />

been or will be reviewed during the 18-month period.<br />

According to Engman, <strong>Kemira</strong> will focus on capitalizing<br />

on the opportunities discovered during the<br />

reviews.<br />

The reviews have uncovered big and small ways<br />

to save energy. The big ones include the opportunity<br />

discovered at the Helsingborg plant in Sweden,<br />

where efficiency was improved by increasing<br />

the strength of peroxide in the production of coated<br />

sodium percarbonate, also known as ECOX. The<br />

small ways include the opportunity at the Fray Bentos<br />

plant in Uruguay, where the reactions in chlorate<br />

production were accelerated by raising the temperature<br />

of the feed liquid in the cells.<br />

In improving energy efficiency, the initial observation<br />

and the ensuing change in thinking are often<br />

enough. Changes that require little or no investment<br />

are the fastest to implement. Sometimes it is<br />

necessary to change an operating method or part<br />

of a process. Energy efficiency can also mean making<br />

use of waste heat or be related to the use of<br />

materials.<br />

If one unit discovers an opportunity to save energy,<br />

the solution is copied, whenever possible, to be used<br />

by other production plants.<br />

Energy efficiency is also considered in purchases.<br />

When acquiring new equipment, the cheapest<br />

option is not always the most inexpensive one. The<br />

entire life cycle of the equipment must be taken into<br />

account, as well as the energy it will consume during<br />

its life.<br />

Can <strong>Kemira</strong> still enhance the efficiency of its<br />

energy use?<br />

“Certainly,” says Engman.<br />

It also depends on energy prices. If they keep rising,<br />

the company can reconsider solutions that are<br />

not currently profitable.<br />

“There may be new directives, national or international<br />

ones. We may also develop new products and<br />

solutions that save energy.”<br />

4 0 • W A T E R L I N K 3 • 2 0 1 1<br />

K E M I R A S T A K E H O L D E R M A G A Z I N E • 4 1


Companions<br />

Cleantech Finland is an association of top<br />

companies and experts. It promotes the<br />

visibility of Finnish cleantech companies<br />

abroad. Finpro is responsible for marketing<br />

and communications related to Cleantech<br />

Finland. Launched in 2008, the Cleantech<br />

Finland program is intended to continue to<br />

at least 2015.<br />

Opening doors for clean technology<br />

Cleantech Finland, a network of top Finnish environmental companies,<br />

helps businesses reach the right target groups around the world.<br />

Text johanna paasikangas-tella ∧ Photo joanna moorhouse<br />

HULKKONEN: “Cleantech Finland facilitates the growth<br />

of environmental business in Finland by bringing<br />

together leading cleantech companies as well<br />

as organizations supporting the cleantech business.<br />

Cleantech Finland is among the most important projects<br />

in Finpro’s history, and it has immense national<br />

significance. The network consists of 80 member companies<br />

and 20 other partners.<br />

The project aims to establish Finland as the world<br />

leader in cleantech. We organize events that increase<br />

our member companies’ visibility. We also invest in<br />

electronic networking and serve as a marketing communications<br />

partner for Finnish companies abroad.<br />

At the beginning of 2012, Cleantech will launch<br />

SOLVED, which integrates cleantech companies, customers<br />

and media as well as problems and solutions<br />

into a dynamic online expert service. The service will<br />

be used to channel experience, and it will also provide<br />

information for buyers, suppliers and investors.<br />

This one-stop shop can be used to promote Finnish<br />

water expertise internationally.<br />

Finland has a great deal of top expertise in environmental<br />

issues, and makes considerable investments<br />

in competence development. Collaboration<br />

enhances networking, enabling partnerships with top<br />

players in developing markets. This will keep Finland<br />

in the forefront of development.<br />

The brand of Cleantech Finland already has incredible<br />

value. It attracts international attention weekly,<br />

even daily. Finland is among the five leading cleantech<br />

countries in the world and has received considerable<br />

visibility through Cleantech Finland.<br />

<strong>Kemira</strong> has actively contributed to Cleantech Finland’s<br />

operations and strategy. This cooperation<br />

strongly supports <strong>Kemira</strong>’s water-focused strategy.”<br />

Santtu Hulkkonen<br />

manages the<br />

Cleantech Finland<br />

program at Finpro<br />

and heads a team<br />

of eight. According<br />

to Hulkkonen, the<br />

cleantech sector<br />

has great growth<br />

potential and offers<br />

an opportunity to<br />

strengthen collaboration<br />

among<br />

various players.<br />

Arja Vanhanen,<br />

<strong>Kemira</strong>’s Director of<br />

Product Marketing,<br />

is looking for new<br />

ways for <strong>Kemira</strong> to<br />

contribute to cleantech<br />

collaboration.<br />

She is preparing<br />

for the 6th World<br />

Water Forum, which<br />

will be held in Marseilles,<br />

France in<br />

March 2012. <strong>Kemira</strong><br />

will share Finland’s<br />

pavilion with Cleantech<br />

Finland at the<br />

event.<br />

VANHANEN: “For <strong>Kemira</strong>, Cleantech Finland offers an<br />

excellent opportunity to contribute to the development<br />

of Finnish expertise in the field. Collaboration<br />

also makes us more effective in making environmentally<br />

friendly options available to the rest of the<br />

world.<br />

We seek to participate in water-related events and<br />

programs, especially in our key markets. Cleantech<br />

collaboration also brings delegations from developing<br />

markets to Finland.<br />

Cleantech Finland maintains regular contact with its<br />

member companies, helping them find new ways to<br />

improve visibility and create contacts. There are surprisingly<br />

many ways to participate, and we try to<br />

choose the options that work best for us.<br />

Collaboration brings us visibility in forums and<br />

media that are important to us. In some cases, we<br />

would not have the resources to take part on our own,<br />

but the network makes participation possible.<br />

We appreciate the way in which Cleantech Finland<br />

has strengthened its organization in growth markets.<br />

Cooperation with ministries, government officials<br />

and organizations enables companies to make a difference,<br />

even on a high level. Cleantech Finland creates<br />

national and international networks as well as<br />

opportunities for networking among member companies.<br />

Finpro’s role as the administrator of Cleantech Finland<br />

comes naturally. Finpro opens doors for Finnish<br />

companies abroad and puts them in contact with<br />

local decision-makers. Finpro’s extensive expert<br />

organization helps <strong>Kemira</strong> see the future from the<br />

perspectives of different markets. In Finpro, we have<br />

a reliable partner that regularly offers us opportunities<br />

to export our expertise.”<br />

4 2 • W A T E R L I N K 3 • 2 0 1 1<br />

K E M I R A S T A K E H O L D E R M A G A Z I N E • 4 3


When Elina Engman became Vice President of Energy at<br />

<strong>Kemira</strong> in 2005, energy saving was not a topical issue.<br />

Now it has become one. Industrial customers are as interested<br />

as consumers are in the quality and origin of energy.<br />

Our interview with Engman begins on page 36.<br />

In this issue ...<br />

Creating the future<br />

Büchele believes in curiosity p. 6<br />

Bioethanol from Brazil<br />

Energy from sugar cane p. 8<br />

No paper without water<br />

Water is vital for the forest industy p. 12<br />

4 4 • W A T E R L I N K 3 • 2 0 1 1

Hooray! Your file is uploaded and ready to be published.

Saved successfully!

Ooh no, something went wrong!