Green newsprint mill planned for Teesside

Plans to build a 275m recycled newsprint mill near Middlesbrough could create up to 170 jobs in the region, and a further 1,000 in spin-off operations.

The mill will manufacture newsprint from recycled newspapers and magazines, and is being proposed by Ecco Newsprint.

Ecco is a funding vehicle backed by investment from a mixture of banking institutions and private investors.

Further backing may come from Waste Resources Action Programme (WRAP), which provided funding for the recycled newsprint project at UPM's Shotton mill in 2002.

WRAP chief executive Jennie Price said although encouraged by the Ecco project, WRAP would only become involved where there was "clear market failure" of sourcing funding.

She confirmed the recycling fund was in negotiations over the possible provision of additional development funding for Ecco.

Tees Valley Regeneration is behind the 1.5bn investment programme in the region, which aims to bring new businesses to the area and develop a manufacturing base.

A planning application has been submitted to Redcar and Cleveland Council for the newsprint mill site at Wilton International, near Redcar.

This will include a paper recycling plant, pumping and electricity sub-station.

If the planning application is granted, the mill could be up and running in as little as two years.