Development of WA blue gum plantation industry reaches another milestone

4/4/03
The construction of a new $12million plantation chip mill will result in 100 new jobs and increased export earnings for the Bunbury and Collie regions.
Forestry Minister Kim Chance today took part in a ground-breaking ceremony at the Bunbury Port to mark the start of construction by the Hansol PI joint venture and another milestone in the development of the State's blue gum plantation industry.

"This is a major boost for the region and the Western Australian economy," Mr Chance said.
"In the next few months, with construction of the mill and harvesting of the blue gum plantations, we will see an additional 30 jobs and this will increase to 100 positions when fully operational.
"The company expects the first shipment of plantation wood chips to Korea for high-quality paper for printing and publishing will occur by the end of the year.
"This entire operation will generate an estimated $32million in export earnings a year."
Hansol Australia is a subsidiary of Hansol Forem Co Ltd, which is a member of the Hansol group of companies, the largest paper and timber group in Korea.
Hansol Australia started operations in WA in 1993, with the objective of establishing 10,000ha of blue gum plantations in the Bunbury region of the South-West.
By 1996 this target had doubled and to date 14,500ha of blue gums have been planted with the Forest Products Commission acting as its agent.
Bunbury MLA Tony Dean, who also attended today's ceremony, welcomed the investment by Hansol in the region.
"This project is another example of the rapid rate of development we are seeing at the Port of Bunbury with the support of the State Government," Mr Dean said.
Mr Chance said the development of blue gum plantation resources had enabled the State to move from the production of native forest woodchips to plantation timber.
"The success of blue gum plantations has also provided the State Government with the confidence to pursue and invest in other new wood based industries with a focus on the lower rainfall parts of the State," he said.
"In particular, the Forest Products Commission has tree farming planting programs for maritime pine, sandalwood and wide spaced tree farms for hardwood sawlogs."
Minister's office: 9213 6700