Cellulosic fibre producer Lenzing Group has committed EUR40m (US$44m) to the construction of a new air purification and sulfur recovery plant at the Lenzing site in Austria, as well as further improvement of the exhaust emission values at the site.

The investment will help it achieve climate neutrality, the group says.

The company announced its climate targets in August, and by 2030 aims to reduce its specific CO2 emissions per ton of manufactured pulp and fibres by 50%. By the year 2050, it intends to no longer generate any net CO2 emissions.

"The new plant represents an important contribution towards implementing the sustainability strategy of the Lenzing Group, and also helps to ensure an even higher level of environmental compatibility of all production operations at the Lenzing site," the company says.

"The application of state-of-the-art technologies will further improve exhaust emission values. Furthermore, the new facility will help further reduce the use of fossil fuels by generating steam which will, in turn, be converted into electricity. In this way, it will also support the energy self-sufficiency of the company's operations in Lenzing."

The production plant in Lenzing will reduce its annual CO2 emissions by 15,000 tons. 

"On the basis of these investments, Lenzing is taking the next step in achieving its climate targets. At the same time, it will also reach a significantly higher level of autonomy with respect to a vital raw material," says Lenzing CEO Stefan Doboczky.