1. FuBio 2 "Production of hydroxy acids and products thereof" Kick-off workshop 10.12.2010 Päivi Varvemaa Program Coordinator, Forestcluster Ltd.

2. A national research strategy of the Finnish forest cluster was published in 2006 (a revised version in Oct 2010). Forestcluster Ltd. (Metsäklusteri Oy) was established in 2007 to implement the research strategy It is one of the six SHOKs active in Finland Forestcluster Ltd. comprises three R&D topics: – Improve the current P&P processes (EffTech) – Develop new processes for new products (FuBio) – Develop new business models (FoCuS) Background 1(2) 2 Metsä- klusteri Oy Tampere University of Technology University of Eastern Finland University of Helsinki University of Oulu

3. FuBio was started as a 2-year program in March 2009 Volume app. 10 M€/a  The financing will end in spring of 2011  The near future of FuBio will comprise four separate programs: – Products from dissolved cellulose (coordinator Kari Kovasin, Metsä-Botnia) – Production of hydroxy acids and products thereof (coordinator Päivi Varvemaa, UPM) – Wood extractives and lignin-derived constituents in wood products (coordinator N.N.) – Joint research (coordinator Niklas von Weymarn, VTT) External partners are needed, esp. in the three first programs Various cooperation modes are possible External partners are wanted already in the planning phase The planning of the new programs started in September 2010 Background 2(2) 3

4. The main objective of FuBio is to establish, in Finland, a world-leading competence platform in the field of wood biorefinery R&D  Focus of FuBio: Novel value chains, in which wood is refined into new materials & chemicals  A competence platform comprises many attributes, like people, business concepts, processing technologies, R&D and testing facilities, networking, etc. Main objective of FuBio (FC Board, Sept 1, 2010) 4

5. Aim at major existing markets 5 Theme 1 Theme 2 Theme 3 Theme 5 Theme 0 Program 2 Program 3 Program 4 Program 1 Products from dissolved cellulose Production of hydroxy acids and products thereof Joint research Wood extractives and lignin-derived constituents in wood products PLASTICS TEXTILES & FABRICS WOOD PRODUCTS PAPER & BOARD HEALTH

6. 6 FuBio and a Finnish bio-economy 2009201020112012201320142015 Joint research 1 Joint research 2 Products from dissolved cellulose Production of hydroxy acids and products thereof “Wood products” (with FWR Oy) “Wood energy” (with Cleen Oy) “Wood health” (with Salwe Oy) Building blocks of the Finnish bio-economy FuBio 2

7. FuBio 2 Production of hydroxy acids and products thereof 7 Separation from kraft pulp mill process liquours Biotechnical production of hydroxy acids Pine Spruce Birch Bioplastics Adhesives Chemicals Feed and Food Cosmetics Polymerisation Other methods Hydroxy acids lactic acid glycolic acid 2- hydroxy butyric acid isosaccharinic acids Side products formic acid acetic acids lignin others

8. Idea generation workshop Dec 10th  first draft of the program: main objectives, work package (WP) structure & objectives for open commenting round Set the main objectives, WP structure and WP objectives by Jan 2011 Decision to participate mid Jan 2011 (companies) Detailed planning of work packages Finalised proposal to the Forest Cluster Research Committee in February, 2011 (  FC Board  Tekes) Target of the workshop & way forward 8

9. Production of organic acids by biotechnical means – Merja Penttilä, VTT Production of aliphatic carboxylic acids - Recovery from kraft mill process liquors – Raimo Alén, Jyväskylä University Products by polymerisation – Mika Härkönen, VTT Hydroxyacids its downstream products and economics, Aromatic lignin based products – Kjell Ankner Lunch 12-13 Program of the workshop Dec 10th, 2010 9

10. 13.00-14.30 Workshops – Production of hydroxy acids – Recovery from kraft mill process liquours (Room 1207) – Biotechnical means to produce hydroxy acids (Room 1215) – Polymerisation of hydroxy acids (Room 1225) – Products from hydroxy acids (Room 1223) 14.30-14.45 Coffee Workshops continue: visit the other workshops and comment 15.40 Return to the orginal workshop & prioritize the ideas to be presented 16.00-17.00 Group presentations (Auditorium) 17.00 Closing Program of the workshop Dec 10th, 2010 10

11. Workshops Dec 10th, 2010 11 Production of hydroxy acids – Recovery from kraft mill process liquours Room 1207 Raimo Alén Jukka Hietala Päivi Julku Ilkka Kruus Pirkko Liias Marjatta Louhi- Kultanen Mika Mänttäri Kati Pöllänen Kari Tuominen Biotechnical means to produce hydroxy acids Room 1215 Niklas von Weymarn Tero Eerikäinen Tom Granström Heikki Ojamo Kaisu Leppänen Mervi Reiman Peter Richard Juha Rouvinen Polymerisation of hydroxy acids Room 1225 Mika Härkönen Katja Bergroth Johanna Lahti Juhani Lehtonen Jarmo Ropponen Sari Rautiainen Päivi Varvemaa Products from hydroxy acids Room 1223 Reijo Aksela Pauliina Piri Kjell Ankner Lars Gädda Kaisa Herranen Paterson McKeough Raija Polvinen Pirita Mikkanen Hanna Rantala Timo Repo Risto Vapola Petri Vasara