O-I ₤9m furnace to up production, cut costs at Scottish plant

By Rory Harrington

- Last updated on GMT

Related tags: Carbon dioxide

O-I said its new ₤9m (€10.2m) glass furnace for its operations in Scotland would boost productivity, while cutting energy consumption and carbon dioxide emissions.

The global glass packaging giant yesterday unveiled its plans to invest in the green glass furnace at its plant in Alloa, Clackmannanshire. The new furnace is due to be operational in spring 2011.

The company said it had received a ₤1.3m grant from the Scottish Government to support the investment. The cash was awarded as part of a programme run by Scottish Enterprise and Scottish Development International (SDI) to attract investment in the country from overseas firms such as O-I. The company’s facility in the central Scottish town employs over 450 people and is the leading supplier of glass packaging to the Scotch whisky industry.

“We have worked closely with the management team at O-I to attract and secure this investment in new facilities at O-I’s Alloa plant and the company’s ongoing commitment to Scotland shows that the country continues to be an attractive location for international investors,”​ said SDI interim chief executive Anne MacColl.

Jorge Hernandez, Manufacturing Vice-President, O-I Europe, said: “Modern furnace technology gives us lower energy use, lower CO2 emissions and higher productivity. This grant enables us to enhance our service to the Scotch whisky industry and develop products which meet fresh market demands, like the manufacture of lightweight bottles for the wine industry and non-alcoholic drinks.”

Glass investment

Last month, the Scottish Government awarded an even larger grant of £1.95m to Ireland-based glass packaging company Ardagh Glass. The cash formed part of a £16m investment programme for the firm’s container glass manufacturing plant at Irvine, Scotland.

The investment, to be made over the next three years, is designed to improve operating efficiencies and to reduce the plant’s environmental impact.

A spokesman for the company told FoodProductionDaily.com: “We are trying to improve systems focusing on sustainability and environmental impact through introducing more effective CO2 emission capturing systems. This award will allow the company not only to do more but to do it more quickly.”

Related topics: Processing & Packaging

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