Cabinet ministers from both governments will visit Deeside, seen to be the industrial centre of Wales, to meet with members of Turkish company Eren Holdings, who acquired Shotton Mill in 2021. They will hear more about the site’s transformation, which will see the area made into the UK’s largest paper manufacturing site.
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.
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 testament to what can be achieved when the Welsh and UK governments work hand in hand.”
‘Long and proud history’
Secretary of state for Wales, Jo Stevens, said: “Deeside has a long and proud history as one of Wales’ key industrial centres and this significant investment from our two governments will secure jobs and help bring a prosperous future for the area.
“We have reset the relationship between the UK and Welsh Government. Working together in close partnership we are delivering growth and good jobs to people across Wales.
Welsh government economy, energy and planning cabinet secretary, Rebecca Evans, said: “This is excellent news for Deeside and the wider Welsh economy and is a prime example of how, through our commitment to a prosperous, green economy we are able to attract investment, and create good, sustainable jobs whilst reducing waste.
“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.”
The plant plans to produce nearly 100% recycled paper and will purify its own wastewater, recycling and reusing it in the system.
UKEF supported by issuing a guarantee which allows HSBC and Credit Suisse to arrange debt financing for the project.
Hamdullah Eren, senior board member of the Eren Holding group, said: “This is the first major Eren Holding cap ex project outside Türkiye and we are delighted to have chosen Deeside as an ideal location to meet our ambitions for growth. We are putting down deep roots on a site of historic industrial significance.”
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