Sonae Industria (UK) Ltd has announced it will reconstruct its fire-damaged plant in Knowsley but full production is not expected to resume until the first quarter of 2012.

Production is expected to resume in two stages, the first will enable 80% of full capacity to be available from October and the second and final stage, which may be subject to planning approval, will return the operation to full production from the first quarter of 2012.

During the rebuilding, Sonae will provide board for the UK from other European mills, with supply commitments secured to ensure business continuity during the nine-month reconstruction period.

Sonae said the cost of reconstructing areas damaged by the June 9 fire was still unknown due to the ongoing controlled demolition process to remove debris and asessments focusing on the feasibility of using some of the remaining plant equipment.

Nigel Graham, managing director of Sonae Industria (UK) Ltd, said Sonae Industria remained “totally committed” to the UK market and its business partners, while the company was confident reconstruction work would improve operational performance and address reliability issues experienced in the past.

Value-added production lines are operating, with product supplied from sister companies.

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