The UK and Welsh Governments have confirmed a major investment of over £1 billion to redevelop Shotton Mill in Deeside, North Wales, into the “UK’s largest recycled paper manufacturer”.
Both governments said the investment would safeguard 147 jobs and create 220 new green jobs when the site is fully commissioned.
Cabinet ministers from both the UK and Welsh Governments will visit the site to meet with members of Turkish containerboard and corrugated cardboard manufacturer Eren Holdings, which acquired Shotton Mill in 2021.
The Welsh Government has provided almost £13 million in funding alongside £136 million in support from UK Export Finance (UKEF), the UK government’s export credit agency.
The UKEF offered support on the understanding that Shotton Mill will export 10% of its turnover within 5 years.
Reacting to the investment, Business and Trade Secretary Jonathan Reynolds said: “This is a massive vote of confidence in the Welsh economy and this government’s plans to make Britain the destination of choice for investments in the industries of tomorrow.
“This transformative investment will not only support local skilled jobs but raise living standards in the community.
“The deal being announced today is a testament to what can be achieved when the Welsh and UK governments work hand in hand.”
The Welsh Government said the plant will produce nearly 100% recycled paper, and purify its wastewater, and recycle and reuse it in the system.
Shotton Steelworks once operated on-site, with industrial activity at the Mill dating back over 100 years.
Welsh Government Economy, Energy and Planning Cabinet Secretary Rebecca Evans commented: “Once fully operational, instead of transporting paper waste many hundreds or thousands of miles overseas to be processed it will be turned into recycled packaging here in Wales.
“This, alongside the nature of the technology, means a net reduction in carbon emissions equivalent to emissions from 190,000 homes a year.
“Our £13 million support will help ensure this is delivered whilst safeguarding and creating local jobs and ensuring that the community is at the heart of the business’ success for many years to come.”
