The family-owned Junnikkala Oy is building a top-class productivity sawmill in Oulu.
– About 70 new jobs will be created in the Oulu region directly, and about 200 jobs indirectly. After the investment the total number of employees in the company will be about 700, taking the effect of the indirect employment into account. We are heavily investing in the future with the new sawmill, states CEO Kalle Junnikkala.
When completed, the annual log demand for the Oulu sawmill will be about 800,000 cubic meters of pine (80 %) and spruce (20 %). The total demand for wood for Junnikkala increases to 1,5 million cubic meters annually. Log acquisition is significantly increasing in Northern Ostrobothnia, Southern Lapland and north of Oulujärvi in Kainuu.
– We welcome Junnikkala Oy’s sawmill investment to Oulu. It is truly great that Junnikkala Oy has decided to invest in our city. The sawmill investment is also a significant matter for the whole of Northern Finland. The company’s investment also tells about the appeal of our city. The new sawmill will provide much-needed industrial jobs throughout the region, and a lot of work for forest machinery- and transportation contractors, both in timber harvesting and transportation. Traffic at the Port of Oulu will also increase with the investment, says the mayor of Oulu Päivi Laajala.
After the investment, Junnikkala’s total production will increase to almost 800,000 cubic meters of finished sawn timber on an annual level. The company’s production consists of sawn timber and it’s downstream products. On an estimate about 80 percent of the products are for export. The sawmill industry is known worldwide for it’s climate-friendly products. Approximately 700 000 tons of carbon (Co2 eq.) per year are bound to the products of the Junnikkala sawmill. The company mainly uses PEFC-certified wood.
One of the main goals of the investment is to minimize the environmental impact of the project, and to secure bioenergy for the industry and the city of Oulu.
– The renewable bioenergy production of the sawmill surpasses its own needs and contributes to the replacement of peat with the sawmill’s renewable by-products in Oulun Energia’s electricity and heat production. This is a big leap towards carbon-neutral energy production, says Business Director Pertti Vanhala from Oulun Energia.
The investment utilizes world-class sawmill technology and know-how. In this large-scale project Junnikkala’s partners include Veisto, Jartek, Valutec, Nordautomation, Jack-Steel and Valon Kone. New technologies ensure the resource efficiency and peak productivity of the new sawmill.
Northern Ostrobothnia ELY Center has been one of the enablers of the new sawmill investment, and have awarded the project a significant development grant from the European Regional Development Fund.
More information about the project:
Junnikkala Oy is a family-owned, over 60 year old mechanical wood processing company operating in Kalajoki and Oulainen. The company is building a sustainable future respecting biodiversity and natural values. The company’s sawmills use hard Ostrobothnian spruce and pine as raw materials. The products are sold to almost 40 countries. In 2021 the company’s turnover will be approximately 140 million EUR. Junnikkala seeks to be the most desirable employer of the industry in the region.