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Louisiana-Pacific puts Panguipulli II into operation

16.11.2018 − 

On 30 September, Louisiana-Pacific Corp. produced the first OSB on the production line installed at the Panguipulli facility in Chile. According to a release published on 1 October, a total of 54m US$, and thus less than the last budgeted 60-65m US$, was spent on extending the works. Mostly used for this purpose were Louisiana-Pacific’s own used machinery from closed-down OSB facilities. The facility’s second production line, equipped with a 12-tier press, is geared to an annual capacity of 300m sqft (3/8” basis), and is to be taken up to full capacity utilisation over a period of 2-3 years. The Panguipulli I works, put into service in 2000, can produce 130m sqft of OSB and sidings per year.

Delays had occurred on several occasions whilst the expansion projection was being implemented. Louisiana-Pacific had already filed for the required permits at the beginning of 2014. At that time, the company had been assuming that building work would begin in the third quarter of 2014 and reach completion in 2016. The environmental approval then took considerably longer than expected. The board of directors of Louisiana-Pacific therefore did not give the go-ahead for the project until the middle of 2016. The investment budget was simultaneously increased from the initially estimated 50-60m US$ to 60-65m US$. Building work subsequently began as planned at the beginning of 2017. This also took longer than originally planned, to the extent that the turn of the year 2017/2018 was unable to be kept as the date set for the start-up when the project was approved.

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