Rhodri Morgan has been a fantastic supporter of the Shotton paper mill

Martin Gale, Shotton Paper

The investment will convert the factory to use 100% recycled fibre.

It is unlikely that jobs will be created but the scheme will increase security for Shotton's 500 workers.

The Recycled Fibre Pulp facility will increase production at the site, raising capacity by an additional 320,000 tonnes of recovered newspapers and magazines every year.

It is due to be commissioned in September 2003 and is expected to be in full production by April 2004.

Rhodri Morgan: Key supporter

Prior to his visit on Friday, Mr Morgan said the investment was a major boost to the Flintshire economy.

Plant managing director Martin Gale said Friday's visit was important.

"Rhodri Morgan has been a fantastic supporter of the Shotton paper mill.

"He has come here for us to say thank you for all his support."

Increase efficiency

Mr Gale said building work will begin soon: "We're going through planning permission at the moment, we've ordered some of the large equipment we need and then we can start."

The plant's Finland-based parent company, UPM Kymmene, say the investment will increase efficiency at the plant.

An extra four million households are expected to become involved in the recycling schemes.

The project will turn waste into paper and is part of a government drive to increase recycling in the UK.