Medium Density Fibreboard

November, 2007

Process Summary
CHIP
Debark Chip

LOGS
Refine

FOREST PLANTATIONS
FIBRE MAT MDF
Mat Form Hot Press

FIBRE

RESIN

FURNITURE & OTHER WOOD PRODUCTS

Waste wood from forest plantations is transformed into a high quality wood panel.
November, 2007

MDF Industry
Historical Growth of MDF Consumption
World
Million m3
45
Africa
20 Other 18 Japan Taiwan South Korea China

Asia Pacific
Million m3

40 35 30 25

Central Asia / Middle East Asia-Pacific Oceania Latin America North America

16 14 12 10 8

Malaysia Indonesia Thailand

20 15 10 5 0

Eastern Europe Western Europe

6 4 2 0

2005e

1990

1991

1992

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

Source: Poyry Consulting

November, 2007

2005e

1990

1991

1992

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

Manufacturing Process
Logs Sawmill Residues
Steam to Defibrator

ENERGY PLANT

Hot gas to dryer

Chips

Hot oil to press

November, 2007

Energy Plant

November, 2007

Raw Materials
. Wood Materials

. Resin

. Other Chemicals
Wax Scavenger, dye, etc. for special products
November, 2007

. Wood Materials

Rubber wood
Logs - Golden Hope Plantations - Spot purchases Slabs, off-cut - From sawmills

Other species
Acacia Mangium - Logs & slabs Mixed tropical hardwoods - Logs & slabs Oil Palm residues

November, 2007

Wood Resource
Mainly from Rubber Plantations

Malaysia has 1 million hectares of rubber plantations.

November, 2007

November, 2007 Rubber trees are felled and replanted after 25 years due to declining yield of latex.

Small chiplogs

Large sawlogs

Trees are cut to 1.8m lengths and sorted by diameter.

November, 2007

. Resin

Resin Types

UF
Urea Formaldehyde

MUF
Melamine Urea Formaldehyde

Local Suppliers

DCM Dynea MAC Norsechem

Dongwha
70% supplied by DCM

November, 2007

November, 2007