EIB and Navigator sign €115M loan to speed up decarbonisation investment in Portugal

The Navigator Company is an integrated producer of forestry, pulp, paper, tissue, sustainable packaging solutions and bioenergy.

The European Investment Bank (EIB) has signed a long-term financing agreement with The Navigator Company totalling €115 million. The loan is designed to support the construction and operation of a high-efficiency recovery boiler at the Setúbal industrial complex, which is a key step in Navigator’s decarbonisation roadmap.

The Navigator Company is an integrated producer of forestry, pulp, paper, tissue, sustainable packaging solutions and bioenergy. The new boiler, which comes at a total investment cost of €154.7 million, will enable Navigator to reduce direct fossil carbon dioxide emissions at the Setúbal industrial complex by around 136 000 tonnes a year, equivalent to 24.6% of the group’s emissions in 2022.

This loan is part of the REPowerEU plan, which seeks to boost the financing of green energy and support the autonomy and competitiveness of the European Union. The signing ceremony took place today in Lisbon and was attended by EIB Vice-President Ricardo Mourinho Félix and Navigator’s Chief Financial Officer Fernando Araújo.

“Europe’s industry is in transition towards a circular and climate-neutral economy. This project is a brilliant example of this, as it improves the energy efficiency of the plant, contributing to the European Green Deal and aligning with the EIB’s objectives,” said Mourinho Félix. “The EU climate bank is leading the path to economic growth while putting an end to dependence on fossil fuel imports by increasing energy efficiency and stepping up production from renewable energies.”

The EIB is contributing €45 billion in additional financing to support REPowerEU, which is expected to mobilise more than €150 billion of investment by 2027 in support of green technologies and Europe’s energy independence, helping to reduce fossil fuel imports by increasing efficiency and stepping up production from renewables.