A Mercopress report out of Montevideo, Uruguay, on October 14, says that Portugal's Portucel Soporcel group plans to build a $4-billion+ pulp mill together with a deep-sea port in the east of the country near the border with Brazil.

No dates were announced. The announcement was made by Uruguay's president Tabare Vazquez who said that the country is "concerned but not alarmed" by the current global financial crisis, saying it could tap into its $US9-billion boost lending. There is a further $1 billion available through organizations such as the World Bank.

Portucel is currently building a EUR550-million paper mill in Setubal. It will have the world's largest machine for uncoated wood-free paper. The 11.1-m-wide, 500,000 tonnes/year Metso machine is scheduled for an August 2009 start. www.portucelsoporcel.com PI