SKOWHEGAN, Maine, April 23, 2013 /PRNewswire/ -- Summit
Natural Gas of Maine and Sappi
Fine Paper North America announced today an agreement in principle
to establish natural gas service to the Somerset Mill in
Skowhegan, Maine, in one of the
largest natural gas distribution projects of its kind in the recent
history of Maine. Summit's
investment of $350 million in
pipeline infrastructure will provide the mill access to efficient
natural gas, supporting Sappi's low-cost position and commitment to
sustainability well into the future.
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"The opportunity to utilize natural gas is essential to maintain
the competitive cost position of our Somerset Mill and is another
example of our investment in the State of
Maine," said Mark Gardner,
President and Chief Executive Officer, Sappi Fine Paper North
America. "We look forward to working with Summit to establish
access to clean, economical natural gas, which we foresee will
ultimately reduce fuel costs, be better for the environment, and
ensure the long-term profitability of our operations."
The project, which is subject to regulatory and other approvals,
consists of Summit constructing 88 miles of steel pipeline
originating in Richmond, Maine and
traveling up through the Kennebec Valley to Madison and Skowhegan. In addition to this proposed
project with Sappi, Summit plans to serve 17 communities in the
region upon total system build-out with the installation of
approximately 1600 miles of polyethylene distribution pipeline.
Sappi's firm participation in the project is subject to certain
corporate capital approvals.
"Sappi is one of the largest employers in Maine," said Tim
Johnston, Executive Vice President and Chief Strategy
Officer, Summit Natural Gas of Maine. "This service agreement would provide
us with an important commitment to advance our effort to deliver
natural gas to Central Maine,
creating the opportunity for a significant reduction in energy
costs to Sappi and the surrounding communities."
About Summit Natural Gas of Maine
Summit Natural Gas of
Maine, Inc. is a subsidiary of
Summit Utilities, Inc. Summit Utilities, Inc. acts as a holding
company that owns and operates Summit Natural Gas of Maine, Inc.; Colorado Natural Gas, Inc.;
Summit Natural Gas of Missouri,
Inc.; and Wolf Creek Energy LLC. The company's natural gas
subsidiaries construct, install and operate natural gas
distribution systems in order to provide natural gas to
residential, commercial and industrial customers.
About Sappi Fine Paper North America
Sappi Fine Paper
North America, known for innovation and quality, is a preeminent
North American producer of coated fine and release papers and
market pulp headquartered in Boston,
Massachusetts. Its coated fine papers, with highly
recognized brand names such as McCoy, Opus, Somerset and Flo, are used in premium
magazines, catalogs, books and high-end print advertising. The
company is also the world's leading supplier of release papers for
the automotive, fashion and engineered films industries, including
the globally recognized Ultracast brand. Sappi's release papers
provide the surface aesthetics for synthetic fabrics used in
footwear, clothing, upholstery and accessories, as well as the
textures for decorative laminates found in kitchens, baths,
flooring and other decorative surfaces. An integrated pulp and
paper producer, with state-of-the-art pulp mills, Sappi is the
third largest seller of hardwood pulp in North America.
Sappi Fine Paper North America is a subsidiary of Sappi Limited
(NYSE, JSE), a global company headquartered in Johannesburg, South Africa, with over 14,000
employees and manufacturing operations on three continents in seven
countries and customers in over 100 countries around the world.
Learn more about Sappi at: www.sappi.com/na
For further information:
Michael A. Duguay
Director of Business Development
207-447-0657
mduguay@summitnaturalgas.com
Summit Natural Gas of Maine
Joanna Rieke
Manager, Corporate Communications
Sappi Fine Paper North America
Office: 617-423-5409
joanna.rieke@sappi.com
SOURCE Sappi Fine Paper North America