EANS-News: Lenzing AG / Lenzing pushes forward group-wide climate neutrality by investing EUR 200 mn in Asia CNE

5/4, 8:00 AM (Source: euro adhoc)


Chart for: LENZING AG


Chart for: ATX
  Corporate news transmitted by euro adhoc with the aim of a Europe-wide
  distribution. The issuer is responsible for the content of this announcement.

Strategic Management Decisions

Highlights -

* CO2 emissions will be reduced by 320,000 tons per year
* First supplier of wood-based cellulosic fibers in China to completely
  eliminate coal
* Share in eco-responsible specialty fibers will be significantly increased
* Lenzing is strategically well on track with these investments

Lenzing - The Lenzing Group, the leading global supplier of wood-based specialty
fibers, will invest more than EUR 200 mn in its production sites in Purwakarta
(Indonesia) and Nanjing (China) to convert existing standard viscose capacity
into environmentally responsible specialty fibers.

In Nanjing (China) Lenzing will establish the first wood-based fiber complex in
China that is independent from coal as an energy source. By using natural gas
based cogeneration, Lenzing will reduce CO2 emissions at the site by more than
200,000 tons. At the same time a line of standard viscose will be converted to a
35.000 tons TENCEL(TM) branded modal fibers line making Lenzing (Nanjing) Fibers
Co., Ltd a 100 percent wood-based specialty fiber site by the end of 2022.

In Purwakarta (Indonesia), Lenzing will reduce its CO2 emissions by increasingly
using biogenic fuels. Additional investments to reduce emissions to air and
water will make this facility fully compliant with the EU Ecolabel by the end of
2022. That will allow converting standard viscose capacity into LENZING(TM)
ECOVERO(TM) branded fibers for textile applications as well as LENZING(TM)
Viscose Eco fibers for personal care and hygiene applications. As a result, the
site in Indonesia will also become a pure specialty viscose supplier as of 2023.

Both investments are fully in line with Lenzing's target to reduce its
greenhouse gas emissions per ton of product by 50 percent by 2030. By avoiding
or reducing the use of fossil fuels at the two sites, the Lenzing Group will be
able to reduce CO2 emissions by more than 320,000 tons in total, or 18 percent,
compared to 2017. In addition, this investment allows Lenzing also to reduce its
total sulfur emissions by more than 50 percent, compared to 2019.

"With our ambitious climate targets towards a zero-carbon future, we are
pioneers in the entire manufacturing industry and especially in the fiber
sector. Our investments in China and Indonesia underpin that investments in
improving our eco-footprint are at the same time value enhancing for
shareholders. These investments are a substantial step towards our strategic
targets for 2024", says Stefan Doboczky, CEO of the Lenzing Group.

Together with its major lyocell fiber project in Thailand, Lenzing will also
boost its share in specialty fibers as a percentage of fiber revenues to well
above the targeted 75 percent already by 2023, which in turn is an important
step towards achieving the company's EBITDA target of EUR 800 mn by 2024. "We
are and will remain a reliable partner for both the textiles and the nonwovens
value chain on the long term", says Stephan Sielaff, Member of the Managing
Board of Lenzing. "The strategic focus on specialty fibers is fully in line with
the growing market demand for sustainable viscose."

Photo download [https://mediadb.lenzing.com/pinaccess/
PIN: IzOT4dExai68

Further inquiry note:
Daniel Winkelmeier
Communications Manager
Lenzing AG
Phone: +43 676 7579843
E-mail: d.winkelmeier@lenzing.com

end of announcement                         euro adhoc

issuer:       Lenzing AG

A-4860 Lenzing
phone:        +43 7672-701-0
FAX:          +43 7672-96301
mail:         office@lenzing.com
WWW:          http://www.lenzing.com
ISIN:         AT0000644505
indexes:      ATX, WBI
stockmarkets: Wien
language:     English

EAX0006    2021-05-04/08:00

Ad-hoc-Mitteilung übermittelt durch euro adhoc.
Für den Inhalt ist der Emittent verantwortlich.