Mercer Ramp-Up Continues on Pace

Mercer International, Inc. ramp-up of production at its recently-converted Rosenthal kraft pulp facility is progressing ahead of schedule and within the company's expected cost parameters. After being converted from a 160,000-metric tons of sulphite pulp production facility to a 280,000-ton kraft pulp mill, Rosenthal was successfully re-started on December 18, 1999.

The company noted that the mill is producing both Elementally Chlorine Free and Totally Chlorine Free grades of northern bleached softwood kraft pulp. It is currently averaging over 750 metric tons per day of production, or 95% of rated daily capacity, with peak production of 800 metric tons of pulp per day on some production runs.

Commenting on these developments, Jimmy S.H. Lee, chairman and president of Mercer International, stated, "We could not be more pleased with the progress we have made at Rosenthal to date. As we have progressed through the facility's break-in phase, we have consistently improved the quality of the pulp being produced, and are currently selling product at market prices. At this time, the mill is running at production levels well above those necessary to cover operating and overhead expenses given today's pulp prices."