
Innovating the world’s largest pulp mill in Brazil
Arauco’s new greenfield pulp mill will be the world’s largest pulp mill project in Inocência, in the state of Mato Grosso do Sul, Brazil.
AFRY is supporting Arauco, a global forest industry company, in their EPCM (Engineering, Procurement, Construction Management) assignment for the Balance of Plant (BOP). The production capacity will be 3.5 million tonne pulp per year.
Chilean forestry group Celulosa Arauco y Constitución S.A. (Arauco) invested $4.6 billion in building a bleached eucalyptus market pulp mill in Brazil. Bleached eucalyptus kraft pulp is used in various products, including traditional paper products and hygiene products. The new pulp mill will be the world’s largest pulp mill project with a production capacity of 3.5 million tonne of pulp per year. The new mill is estimated to start up in the second half of 2027. The mill will feature advanced technologies and sustainable practices aimed at maximising energy efficiency, reducing operating costs, and minimising environmental impact.
We are proud to contribute to this significant milestone for Arauco, enhancing its production capabilities and reinforcing its commitment to sustainable and innovative practices. Latin America is one of our key pulp and paper competence regions and this assignment further strengthens our position as an international engineering and design company with focus on life-cycle solutions for any industrial plants.
Fábio Bellotti da Fonseca, Head of AFRY Process Industries Latin and North America
AFRY is responsible for detailed engineering, procurement, and construction management for the balance of plant (BOP). The BOP assignment includes interconnections between main production process units and auxiliary facilities and units like turbine generator, pipe rack, water intake and effluent disposal, cooling tower, and central control room. AFRY’s order value is not disclosed.
AFRY has been involved in the project since conceptual and environmental licensing studies, basic engineering, and detailed engineering for site infrastructure and site infrastructure management.

Project facts
Project: Greenfield pulp mill
Client name: Arauco
Project location: Inocência, state of Mato Grosso do Sul, Brazil
Project duration: 2025-2027
AFRY Scope of Services delivered: EPCM (Engineering, Procurement, Construction Management) for BOP
