Euca Energy

Euca Energy's USD 2bn Brazilian pulp mill plan returns with 2027 construction target

A USD 2.0bn (BRL 10.35bn) pulp and energy complex in Alto Araguaia, Mato Grosso, first granted a preliminary licence in 2019, has resurfaced with a new timetable published on LinkedIn by Leonardo Garcia Degrazia. The plan covers a 2 million tonne per year bleached eucalyptus pulp mill, a 372 MW biomass plant, a rail spur and a freight terminal, with investment approval set for June 2027 and construction from December 2027. No equipment contracts have been publicly confirmed.

Why this mattersA new 2 million tonne pulp mill would add meaningful capacity to the fibre supply chain that underpins paper-based packaging, once financing and permits clear.

• Project valued at USD 2.0bn (BRL 10.35bn) for a 2 million tonne per year bleached eucalyptus pulp mill in Alto Araguaia, Mato Grosso
• The mill alone is estimated at USD 1.84bn; the site's preliminary environmental licence dates from 2019
• Plan includes a 372 MW biomass power plant, a dedicated rail spur and a freight terminal
• Schedule foresees environmental and financing approvals by January 2027, investment approval in June 2027 and equipment quotations from August 2027
• Bidding documents are expected in October 2027, construction from December 2027 and completion in December 2028
• Valmet and Andritz Brasil are named as technology suppliers under evaluation, with no definitive contracts publicly confirmed; AFRY Brasil is engineering consultant

Relevant to you? Yes No