CMPC Secures Preliminary Environmental Licence for 3 Million-Tonne Pulp Mill in Brazil

Chilean pulp producer CMPC has received a preliminary environmental licence from the government of Rio Grande do Sul for its proposed Natureza pulp complex in Barra do Ribeiro, southern Brazil. The planned R$27 billion investment includes a new eucalyptus pulp mill with an annual capacity of 3 million tonnes and associated logistics infrastructure.

The licence was delivered at Palácio Piratini on 23 October following a review of the project’s environmental studies by the state environmental agency, Fepam. CMPC’s existing pulp facility in Guaíba will continue operating alongside the proposed development.

The preliminary licence, known as a Licença Prévia (LP), establishes the project’s environmental viability at the planning stage and sets conditions for subsequent approvals. It does not authorise construction or operation. CMPC must obtain an installation licence after submitting further engineering plans and environmental control documentation for regulatory review.

Fepam said the assessment included an environmental impact study, a public hearing held on 29 January 2026 and an opportunity for public submissions.

The proposed complex is designed to produce 3 million tonnes of bleached eucalyptus kraft pulp annually. The investment also encompasses logistics infrastructure, including an export terminal at the port of Rio Grande, estimated to cost R$1.5 billion within the wider project budget.

Plans include road transport of wood and chemicals to the mill and waterway connections to the proposed export terminal. The facility is also expected to incorporate kraft chemical recovery and electricity generation using black liquor, with projected power sufficient to supply the industrial site and potentially provide surplus electricity to the national grid.

Project estimates envisage up to 12,000 workers during peak construction, approximately 800 direct permanent jobs and around 1,500 permanent contractor positions after start-up.

These figures remain projections, as the project has not received the installation licence required for authorised construction. Fepam will assess the company’s subsequent submissions against the conditions established in the preliminary approval.

The latest decision advances CMPC’s proposed investment through Brazil’s environmental licensing process but does not establish a construction start date or commissioning schedule.