Economy
More dates than Casanova
The Gunns Pulp Mill ASX Notification Merry Go Round.
Gunns ASX Notifications On A Pulp Mill Joint Venture Partner and Finance.
The company has substantially progressed commercial aspects of the project. These matters will now be completed in the near term and the project will be presented for final sign off by the Gunns Limited Board.
4 October 2007
Contingent upon achieving the final approval for the project from the Federal Government, the Company is well positioned to proceed quickly with commencement of the project. Supplier and construction contracts are in the final stages of completion.
22 October 2007
The program for completion of outstanding commercial negotiations is consistent with the Board’s objective of commencing on site construction activity by June 2008 with mill production commencing in July 2010.
28 February 2008
Final terms are currently being negotiated on the project financing structure for the pulp mill.
Analyst Briefing Notes March 2008
The company is proceeding to finalise the arrangement of finance facilities for the project.
29 May 2008
The company continues to receive strong international interest in relation to the financing of the Bell Bay Mill and all approvals required for the project remain on track, Mr Gay said. We are in active discussions with a number of banks in relation to financing of the project.
3 July 2008
Discussions continuing with a number of potential equity partners
― Includes a number of industry participants who have expressed an interest in making a direct equity investment
― It is Gunns’ current intention that a joint venture equity partner will be invited to take up to a 50% interest in the Mill Project
29 August 2008
The company is continuing to progress discussions with potential joint venture partners for the mill. The discussions to date have been positive.
Gunns AGM 30 October 2008
In the past weeks we have continued to progress discussions with potential joint venture partners for the mill. Our discussions have been positive and are continuing on a basis which is consistent with our objective of reaching agreement on key terms early in the 2009 year.
19 November 2008
We can reconfirm our advice to the market that the Bell Bay Mill project remains on track, with Gunns continuing to negotiate with a banking syndicate to reach financial close, as well as continuing talks with potential joint venture partners.
1 December 2008
We will now be continuing with the project as quickly as possible and looking to move forward with the overall financing structure.
29 January 2009
The Company will continue with the project as quickly as possible in progressing the financing structure to achieve financial close.
9 February 2009
On target to select a Joint Venture partner by April 2009.
26 February 2009
We are expecting to reach agreement on key terms with a partner by the end of April 2009, he (John Gay) said.
26 February 2009
The company will provide a further market update when the terms of the agreement are finalised, which is expected to be in June 2009.
21 April 2009
Gunns has now made a decision to proceed with one Company to develop a Joint Venture Agreement for the project, and is moving forward positively with the preferred partner on that basis.
29 June 2009
The Company is in dialogue with a number of parties regarding equity investment in the Bell Bay pulp mill project. The Swedish forest products co-operative Södra is one of these parties. The parties are continuing to work through detailed discussions in relation to the investment. Gunns expects the external equity investment in the project to be approximately 40% of the mill equity requirement.
11 November 2009
Discussions with project equity partners and the banking syndicate were continuing positively.
6 January 2010
Negotiations with Sodra, the Swedish forest products cooperative are continuing in relation to them becoming an industry based equity partner. Investment interest in the project has also been received from a number of purely financial investors.
22 February 2010
Negotiations with debt financiers have progressed, now awaiting finalisation of equity. Equity discussions and detailed information exchanges with potential investors continue positively.
Half Year Results February 2010
Engagement with potential equity and debt investors has progressed positively.
23 April 2010
Three potential equity participants in Southern Star Corporation (the company established to build and operate the Bell Bay Pulp Mill) have progressed to detailed due diligence having lodged indications of the level of equity they may be prepared to subscribe.
11 June 2010
Engagement with two of these parties is continuing with the objective of finalising an investment structure by the end of the 2010 calendar year. The Company’s assessment is that the project is probable of proceeding based on the expectation of obtaining finance. The Company expects processes to finalise the investment and commence construction of the project to be completed in the 2011 financial year.
2010 Financial Statements 30 September 2010.
ABC Online:
Gunns closing Scottsdale, buying Forest Enterprises sawmill
Tasmania’s north east is again bracing for job losses in the timber industry with Gunns planning to shut its Scottsdale sawmill.
Gunns has announced it will close its Ling Siding softwood mill at Scottsdale in four months, cutting 120 jobs.
It has approval from the receivers of troubled Forest Enterprises Australia (FEA) to buy the FEA sawmill at Bell Bay, subject to approval by the Australian Competition and Consumer Commissioner (ACCC).
The chief executive of Gunns, Greg L’Estrange, has told the Country Hour he was expecting an announcement from the ACCC within weeks.
“We think that Tasmania has the available resource for one competitive facility and the product is competing more and more with product being imported into Australia,” he said.
“We are seeing vast amounts of product from Europe and increasing amounts from South America.”
About 130 workers lost their jobs when Gunns closed down one of Auspine’s two Scottsdale sawmills in July 2008.
In the ASX statement, Mr L’Estrange says some of the Scottsdale workers may be given jobs at Bell Bay.
“While the decommissioning of the Scottsdale sawmill is inevitable, with or without the acquisition of the Bell Bay mill, we are pleased that an efficient, competitive and sustainable Tasmanian industry will emerge, with an opportunity for retention of some of our Scottsdale employees at the Bell Bay facility,” he said.
The Dorset Mayor Barry Jarvis says he is meeting Gunns representatives this morning to find out more details.
Pulp plans
Earlier this month, the company told the ASX it expects to move forward with the construction of its planned northern Tasmanian pulp mill.