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Mitsubishi Paper Mills, MHI Plan 86MW Biomass Plant in Japan

Mitsubishi Paper Mills Ltd. and Mitsubishi Heavy Industries Ltd. plan an 86-megawatt biomass plant in northern Japan.

The two companies plan to set up a venture in August, Yoshio Noda, a spokesman for Tokyo-based Mitsubishi Paper said by phone today. The project is estimated to cost as much as 38 billion yen ($370 million).

The plant will be built at a Mitsubishi Paper factory site in Aomori prefecture and will use black liquor generated in the making of pulp as a fuel, according to Noda.

The plant is scheduled to start running in 2017, he said.

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