Fibre Excellence Restarts Saint-Gaudens Mill as Sale Process Emerges

PAPER INDUSTRY NEWS

Jino John

4/4/20261 min read

Saint-Gaudens, France – The pulp mill operated by Fibre Excellence in Saint-Gaudens has resumed operations following a two-week shutdown caused by insufficient wood supplies, but uncertainty remains as the company is reportedly being put up for sale.

Production at the “Cellulose” plant restarted earlier this week after wood inventories were replenished to approximately 55,000 tonnes. This level allows the mill to operate at around 80% of its total capacity and maintain activity until June, when the site is scheduled for its annual maintenance shutdown.

Despite the restart, the group’s financial situation remains strained. Fibre Excellence has warned it could file for insolvency with the commercial court or proceed with the closure of its Saint-Gaudens facility in Haute-Garonne and another site in Tarascon, Bouches-du-Rhône.

Employees recently learned through a meeting of the Interministerial Committee for Industrial Restructuring (CIRI) that the company is being put up for sale by its Indonesian shareholder, Jackson Widjaja. According to union representatives, this information was not directly communicated to staff, with confirmation only partially obtained during a subsequent meeting with management.

Efforts to address the situation also involve the French government. Fibre Excellence has filed a preliminary administrative appeal seeking written responses from the Ministry of the Economy and the Prime Minister, particularly regarding revisions to the plant’s electricity resale contract—an issue the company considers critical. The group has set an ultimatum of April 14.

A new CIRI meeting is scheduled for April 10 in Paris, bringing together government officials, company management, and employee representatives. Ahead of this, workers at the Saint-Gaudens site plan to hold a demonstration on April 9.

The facility employs around 350 people and plays a significant role in the broader timber industry across southern France.