The Georgetown Paper Mill is scheduled to close permanently on December 31, 2024. The news comes as Sylvamo announced it will terminate their supply agreement with the Georgetown Paper Mill that same date.
Sylvamo (NYSE: SLVM) and International Paper (NYSE: IP) have agreed to mutually terminate their supply agreement for uncoated freesheet, bristols, and specialty papers at the Georgetown, South Carolina, mill. The termination is effective on December 31, 2024.
A release provided by Sylvamo states: ” We have been preparing for this possibility since our 2021 spinoff from International Paper. We will support our customers through this transition and will retain the most profitable products from Georgetown, reducing economic downtime in our mill system and improving our mix”
The International Paper Company (IP) built the Georgetown paper mill in 1936 and it began operating in 1942.
The Georgetown Paper mill is set to gradually shut down as International Paper evaluates internal factors and explores sales alternatives. Nonetheless, the complete closure of the Georgetown Paper mill is expected by December 31, 2024.
Georgetown Paper Mill
The Georgetown mill, as stated by the company, manufactures roughly 300,000 tons of fluff pulp intended for various consumer uses, including baby diapers and incontinence products.
The new strategy for global cellulose fibers outlines their objective to maintain the mill’s entire fluff pulp capacity by relocating production to other mills and decreasing the Company’s reliance on commodity pulp grades.
“This decision is especially difficult because of the impact on hard-working employees, their families and the surrounding communities,” said Bernie Chascin, Georgetown mill manager, International Paper in a prepared statement.