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LATEST NEWS AND DEVELOPMENTS

GUNNS' SHARE PRICE

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16/3/2010: GAY'S DAYS NUMBERED?
A group of institutional investors have visited Launceston to demand John Gay's resignation. Gay refused. However, if the the investors have the numbers then Gay will eventually be forced out. The question is 'Have they got the numbers?'. Gay has been given until 9th April to resign or an extraordinary general meeting will be called. If Gay is forced out, the mill project may well be over as Gay is the chief advocate. This may well be the reason for the 'administration' rumour as these interstate investors may have been mistaken for bank administrators. Who can tell? Interesting times.

Gunns'shareholder revolt

11/3/2010: GUNNS IN ADMINISTRATION??
An article published in today's Tasmanian Times claimed that an 'impeccable' source reported that Gunns has been placed in administration by its main bankers the ANZ Bank. An announcement would not be made until after the State election on March 20th to avoid damage to the Liberal or Labor party. The article was removed after a few hours so we will have to wait and see.

7/3/2010: FSC MAJOR PROBLEM FOR GUNNS
Gunns decision to ignore the growing power of the FSC label on wood products is starting to cost them dearly. Their latest ASX statement states that they will now apply for FSC (Forest Stewardship Certification). The problem is that, in spite of statements to the contrary by Forestry Tasmania, the State is light years away from the standards expected from FSC. Gunns have not yet applied for FSC and probably will not do so until their financial restructure has occurred. It could be that Gunns are hoping that part of their business could get FSC leaving the rest to carry on as before. This, according to a source close to FSC, is very unlikely. Meanwhile Gunns have lost their woodchip contracts because they do not have FSC and might well be operating at a loss. Gunns say they hope to announce a joint venture partner for the pulp mill by the end of June. They said the same thing last year. Potential JVP Sodra have said that unless Gunns get FSC there will be no deal. Another potential problem for Gunns is that, if they are going to import timber from Victoria to make the mill plantation only, the port of Portland will have to upgraded as at present it is too small for the volume required.

22/2/2010: AUSTRALIAN STORY IMPLICATES PLANTATION TREES
The ABC program 'Australian Story' tonight suggested that poisons from plantation trees, genetically modified E.Nitens, have reached the ground water in the area around St Helens in Tasmania. The implications for forestry are explosive and surely the Government will be forced to investigate this properly and ban these plantations if it is true.

22/2/2010: GUNNS' PROFIT DROPS 98%
Gunns' half yearly statement says that profits have dropped from $33m. to $0.4m. The company is having to be totally restructured because of the pulp mill proposal. Overseas investors will be encouraged to invest in Gunns' forestry assetts - that will not be popular with the public. No dividend is being paid and the shares have dropped 22% with eight times the normal trading volume. In other words investors are reading between the lines and do not like what they see.

11/2/2010: 800,000 TONNE WOODCHIP FIRESALE
A deal (without any details as usual) has been announced to sell woodchips which will keep the industry going another 3 months - after that who knows. The rumour is that Gunns owe Forestry Tasmania $20m. and that negotiations with bankers are in progress regarding Gunns financial position. A full audit of their assets might be on the cards - a sign that banks are starting to worry about their loans to the company.

10/2/2010: LIES, MORE LIES AND DECEPTION ON PIPELINE CORRIDOR
A freedom of information request has found out that the Goverment have been doing what they said they would not do - ie compulsorily purchase land for the Gunns' water pipeline. The letters show that the DIER have been secretely negotiating with Gunns to but extra land for the pipeline alongside the new Dilston bypass. This is almost certainly against the law and a legal challenge might eventuate. Both Mr. Bartlett and opposition leader Mr. Hodgeman have refused to rule out allowing Gunns to use the corridor. There are still sections of the pipeline route that Gunns have not acquired.

Mercury

29/1/2010: GUNNS DROPS COURT CASE
Gunns have decided to drop their court case against the remainder of the Gunns20. The bad press generated would be very damaging to their pulp mill proposal.

26/1/2010: MINISTER BACK FROM JAPAN WITH SOME UNPALATABLE TRUTHS
Resources Minister David Llewellyn has returned from Japan blaming opponents of the Tamar pulp mill for lost business and with a message for Gunns and Forestry Tasmania: switch to FSC. It's ten years too late Mr Llewellyn. The lost busines is entirely due to your, and FT and Gunns, total lack of foresight. There were no meetings with potential financiers.

22/1/2010: GAY RUSHES OFF TO JAPAN
Gunns' MD John Gay, together with Forestry boss Bob Gordon and Minister David Llewellyn, has gone to Japan. The forestry industry say it is to try and get back lost woodchip contracts but there is a suspicion that pulp mill finance might be on the agenda. Meanwhile it has been revealed in a 'freedom of information' request that the State Government have paid for a pipeline culvert to be built on the East Tamar Highway. Gunns, profits about $64m. last year, claimed they could not afford the $239,000 it cost to build. If the mill does not go ahead, it is unlikely the taxpayer will get back the cash. There is also a rumour that Gunns owes Forestry Tasmania $20m. Does any other company in Tasmania get this favoured treatment? Gunns' share price has gone down sharply in the last few days.

SO:

Gunns asks the DIER to pay a bill for them - by email.  The department agrees by email without further investigation. Gunns  
makes a $64m. yearly profit and can afford to blow $2m. suing environmentalists. They hope to raise $2.5bn to build the mill but they cannot
afford $239,000!!

The Government dispenses taxpayers' money by return email but keeps it secret. Meanwhile it resists spending more on safety measures for the
Dilston Bypass which could save lives, and, when asked by a local landowner if the culvert is for the pipeline, they reply no. A blatant lie!!


Mercury

7/1/2010: NORDEA POSSIBLE BACKER
Swedish bank Nordea have been touted as a possible loan source for the project but, in a statement today, they have distanced themselves from Gunns.

6/1/2010: GUNNS SAY THAT MILL WILL BE PLANTATION ONLY
Gunns have announced that with the aquisition of assets from Gt. Southern, they have enough plantations to supply the mill from day one. However, these assets are on the mainland and will need shipping so will it be economic? Premier Bartlett has urged the Green to now back the mill but the Greens say it is in the wrong place.

Premier urges mill support

19/12/09: NO PULP MILL IN SIGHT
Gunn's share price (above) has been floundering and this would indicate that there is no good news in the pipeline at present. The Forestry union is urging the Government to 'fast-track' the mill. Haven't they already done that? They say that paper making jobs will be lost to Tasmania if the mill doesn't proceed soon. They ignore the simple fact that Gunns' proposed mill will produce pulp - not paper - and that even if the go-ahead was given today, it would be well over 3 years (see below) before it was operating. It's a sign of desperation and an indication that talks with potential joint venture partner, Sodra, are not going well (there is a rumour they are going to pull out). And Japanese companies are now insisting that woodchips are FSC certified (Gunns are NOT and FSC chairman Michael Spencer has indicated that Gunns may not qualify for FSC certification because they log native forests).

30/11/2009: LABOUR A PROBLEM FOR MILL CONSTRUCTION
An ABC report says that Gunns will not be able to find labour to build its pulp mill for at least two years as all construction firms are booked up with Government infrastructure projects.

29/11/2009: WOODCHIP SALES SLACK
A source said that Gunns have only one more load of woodchips to load from Longreach this year.

25/11/2009: GUNNS TAKEOVER OPPOSED ON MONOPOLY GROUNDS
Gunns' takeover of Elders forestry assetts has torpedoed by the monopolies commission. Gunns have redrawn their contract with Elders and re-submitted their proposal.

19/11/2009: PETER CUNDALL GETS ARRESTED
Gardening guru Peter Cundall and 50 others were arrested outside Parliament today protesting against the pulp mill approval process. The bail conditions excluded visiting the Hobart waterfront over the holiday period - though by critics to be a political decision. (This was subsequently revoked after it attracted publicity)

11/11/2009: GUNNS CONFIRMS MILL MAY BE YEARS AWAY
At the Gunns' AGM today, it was confirmed that Gunns have no partners or finance and that it could be years before construction is started.

11/11/2009: GUNNS' AGM CONFIRMS SODRA AS POSSIBLE PARTNER
A statement issued to the Stock Exchange today confirms Swedish group Sodra as the possible joint venture partner. The companies are continuing to talk. Sodra CEO Leif Broden said any agreement with Gunns was a long way off.

10/11/2009: MARINE MODELLING HAS STARTED
The Federal EPBC department has confirmed that hydro-dynamic modelling has been commenced and must be completed and on the Ministers' desk by 3rd March 2011. Gunns has refused to name the companies doing the work.

9/11/2009: JOHN GAY TALKS TO BOB BROWN
It was confirmed that the project was discussed by Gunns' chairman John Gay and Greens' leader Bob Brown over a coffee. Apparently, Mr. Brown told Mr. Gay that the Tamar valley was not a suitable place for a pulp mill!

6/11/2009: PERMITS EXTENDED BY TWO YEARS
The State Government have passed a bill to extend the permits that might have expired in September by two years. The debate was guillotined again, just like the original bill.

25/10/2009: DEMONSTRATION AT GEORGE TOWN
About 100 protesters greeted the State Cabinet at George Town today. There were about half a dozen pro-mill demonstrators - rather a pathetic turn-out for the place which is supposed to want the project the most.

21/10/2009: STATE CABINET MEETS FEDERAL TREASURER
Ominous rumours suggest the Tasmanian State Government are trying to extract guarantees from the Federal Government for loans for the pulp mill project. For the Federal Government to give such guarantees before they issue operating permits (awaiting marine studies) would be highly questionable or even illegal.

18/10/2009: ARGENTINA TAKES BOTNIA TO WORLD COURT
Argentina has taken its case against the Botnia Pulp Mill in Uruguay to court claiming unacceptable smells and pollution.

Damage to ecosystem

12/10/2009: GUNNS SACK 22 LONGREACH WORKERS
Gunns gave notice to 20 workers at their Longreach site - a sign that times are bad indeed.

16/10/2009: MONOPOLIES BOARD INVESTIGATES TAKEOVER
The Monopolies Board is investigating Gunns' takeover of Elders' forestry assetts in response to farmers who think it will give them a monopoly.

12/10/2009: ATTACK WAS DRUNKEN PRANK
The Police arrested a youth for vandalising Gay's house at the weekend. The arrest makes Paul Lennon, who said in an article in the Examiner that anyone who thought it wasn't anti-pulp mill protestors was kidding themselves, look completely riduculous as well as the paper for printing this rubbish.

12/10/2009: GUNNS' CHAIRMAN SUFFERS ATTACKS
Gunns' Chairman, John Gay, has suffered attacks on his home and is threatening to go and live in Victoria. Or could it be because he know his pulp mill will smell?

07/10/2009: GUNNS APPLIES FOR FSC
After insisting for years that its own self-administered forest certification was the best, Gunns have now had to back down and apply for FSC (Forest Stewardship Certification). This is without doubt a move to impress a potential partner but, as things stand, any plantations established after 1998 will not qualify.

4/10/2009: ROWDY DEMONSTRATION AT COMMUNITY FORUM
Hundreds of West Tamar residents turned up to tell the State cabinet that they were unhappy about the pulp mill. The Police appeared to lose control of the crowd for a while as demonstrators surged into the grounds. However, TAP chairman Rod Hutchins was able to persuade the crowd to retreat.

2/10/2009: GUNNS BIDS FOR GT SOUTHERN
Having missed out on Timbercorp, Gunns have bid for assetts of another failed timber company. Gunns is desperate to build up its plantation inventory to impress a joint venture partner. However, Gt Southern's assetts are widely dispersed which is a disadvantage.

25/9/2009: GUNNS MISSES OUT ON TIMBERCORP ASSETTS
Gunns has not been selected as the preferred bidder for Timbercorp's assetts. The company therefore misses out on an opportunity to acquire more plantation wood.

Gunns misses out

23/9/2009: VIDEO OF EFFLUENT POLLUTION AT BOTNIA MILL IN URUGUAY

Botnia mill pollution

23/9/2009: GUNNS LAYS OFF WORKERS
Gunns needs to lay off 35 workers because of low demand and because plantations are not growing as quickly as predicted.

ABC

22/9/2009: GUNNS INTERESTED IN TIMBERCORP
Gunns Ltd have made a bid for failed MIS company Timbercorp. Gunns are trying to build up their plantations so they can say that the mill will be plantation fed. What they will do could be another matter unless they have someone breathing down their necks as they have a supply agreement with Forestry Tasmania at $15 a tonne and plantation wood is $35 a tonne.

Timbercorp offer

16/9/2009: SODRA LAY DOWN CONDITIONS
Sodra say that it is 'possible' that Gunns' mill will satisfy two environmentalists' conditions according to project opponent Geoffrey Cousins. The mill may be able to be fully plantation-fed and it could be made totally chlrorine-free. However, moving the mill away from the wine and fruit growing area of the Tamar would be more difficult.

Sodra conditions

15/9/2009: ANOTHER PROMISE BROKEN
Treasurer Michael Aird will be promoting the project to European bankers this week in direct contravention to a State Government promise that it would do no more to help the pulp mill project. As well as this, Mr. Aird trotted out the old lies about jobs (2000 created - it's actually 1250 during construction and 290 in operation). This is an indication that Gunns are still having problems getting finance in spite of their announcements.

13/9/2009: TAP REPLANT PIPELINE CORRIDOR
Tasmanians against the pulp mill replanted the area trashed by Gunns in the Trevallyn Reserve in preparation for their pipeline!

8/9/2009: SODRA IN TASMANIA
A Sodra representative is checking out the situation in Tasmania this week according to sources.

8/9/2009: ARGENTINES CONTINUE TO PROTEST
Protests will continue against the Botnia pulp mill in Uruguay whatever the outcome of a case in the International Court.

Argentine Protests

7/9/2009: PROTEST PICNIC
Nearly 700 people attended a protest picnic on the Trevallyn Reserve near where Gunns have trashed a pipeline corridor. TAP spokesman Bob McMahon promised TAP would fight the pipeline from the Trevallyn Dam to the sea - whatever it took.

ABC news

5/9/2009: LAWYERS FOR FOREST LOSE APPEAL
Anti-forest group Lawyers For Forests last their case against the Federal approval of the mill. They might appeal to the High Court.

ABC

5/9/2009: MILLIONARE BUSINESS WOMAN BACKS ENVIRONMENT
Tasmania's clean, green image was in danger of being tarnished or lost due to excessive logging and appalling animal welfare practices according to Jan Cameron.

The Australian

1/9/2009: GUNNS' PROFIT DOWN
Gunns have announced a reduced profit due to low sales of woodchips and MIS. A takeover of ITC Timber, a division of Elders, is going ahead provided Gunns can get the the required capital from additional share issues. The idea is to increase plantation stocks for the proposed pulp mill. Gunns' possible equity partner Sodra are still considering their options but, according to sources, have not yet even decided whether to fully investigate the current proposal.

28/8/2009: GUNNS' SHARES IN TRADING HALT
At the companies' request, Gunns' shares are in a trading halt pending news of an acquisition.

ABC news

27/8/2009: PROTESTERS ARRESTED IN HOBART
Protesters calling for a Royal Commission on the approval of Gunns' proposed pulp mill were arrested by Police. It is unlikely either Labor or the Liberals would agree to a Royal Commission as it might turn out that quite a few of them were involved in shady dealings up to their necks!

Tasmanian Times

24/8/2009: FORESTRY TASMANIA SPRUIKS MILL
A report from Forestry Tasmania, released two months early, has said that profits would have been greater with a pulp mill up and running - perhaps another $9m. more. Rather underwhelming! Could this be an attempt to make sure that the Bartlett Government renews the building permits which expire after two years (at the beginning of September). This is thought by some commentators to be the reason why Gunns have done some work on their site at Longreach and next to the East Tamar Highway at Mt Direction. Legal opinions differ on whether Gunns need to make a substantial start to avoid losing their permits or not.

ABC

4/8/2009: SUPPORT FOR THE MILL PLUMMETS
An opinion poll conducted on behalf of the Greens has support for the pulp mill down to only 14% with 12% undecided. Nearly three quarters of respondents Australia-wide said no to the pulp mill.

4/8/2009: GUNNS START CLEARING
Gunns have announced that some preparatory work is being undertaken at their pulp mill site at Longreach. Some pipeline easement work may already have started. However CEO Greg L'Estrange admitted Gunns do not have a joint venture partner or finance so the work may just be an attempt to prop up the venture in the eyes of potential partners or it may be an attempt to flush out the tactics of the environmental groups. Another possible explanation is that the work at Longreach is for a natural gas liquifying plant that Gunns intend to build to supply their log trucks - a project which is nothing to do with the pulp mill. No statement has been made as yet to the ASX which probably means it is all a stunt.

Hobart Mercury

1/8/2009: PULP MILL PROTEST AT ALP CONFERENCE
Anti-pulp mill protestors made their presence known at the ALP conference in Sydney:

Tasmanian Times

28/7/2009: GUNNS HAVE NOT STARTED MARINE SURVEY
According to a reliable source, Gunns have yet to start their marine surveys that are necessary to get operational permits. Apparently, there are no Australian companies that are qualified so Gunns will have to get in a foreign entity - that will make it very expensive as it runs for 12 months.

28/7/2009: CHILE PULP MILL GUILTY OF POLLUTION
Celco, who run the Valdivia pulp mill responsible for the deaths of thousands of swans, has had its appeal turned down and is now faced with large fines from the Chilean Government. TAP's Bob McMahon tells us why the outcome would be very different here:

Tasmanian Times

27/7/2009: JOURNO' TELLS HOW HE WAS MUZZLED
Ex-Examiner journalist, Tom Ellison, says that his reporting on the pulp mill was censored by the Examiner.

Tasmanian Times

24/7/2009: L'ESTRANGE THREATENS SPONSORSHIPS
New Gunns' CEO, Greg L'Estrange, in an article in the Examiner, said that Gunns was reviewing its financial support for local clubs and events. The implication was that this was because of lack of support in the community for Gunns and its pulp mill!

17/7/2009: GUNNS ON THE MOVE?
A Gunns' representative has been informing locals that Gunns will be starting work on their pipeline in the Trevallyn Reserve and clearing bush from their Longreach pulp mill site soon. As far as this website knows, no permission has been received from the West Tamar Council for this work to proceed. Perhaps Gunns thinks it doesn't need permission.

17/7/2009: JUDGE KNOCKS BACK PERMIT QUERIES
Justice Peter Evans in a judgement this afternoon confirmed mill opponents worst fears - that section 11 of the pulp mill approval act effectively kills all democratic rights to query the project or its effects.

ABC

29/6/2009: GUNNS LIES TO THE AUSTRALIAN
Gunns were asked by the Australian on Monday if they had FSC certification. They replied that they had. This was printed in Tuesday's edition and, of course, complaints followed and a retraction had to be printed. Have they told Sodra the same lie?

Australian - Gunns' story at the bottom

29/6/2009: COMMENT
Gunns has promised the ASX a statement on progress on the project would be forthcoming by the end of June. Reading between the lines, it appears that Gunns are down to one possible suitor and that there are vital sticking points one of which could very well be control of the project. An experienced Pulp and Paper company would not be happy allowing novices to control the project. The company may also be wary of lobbying by opponents. What has changed is that Gunns have not set themselves any more deadlines - although building must start before the end of August or construction permits will lapse unless the State Government (which has promised not the help the project any more) extends them.

Mercury

29/6/2009: NEW POLL SHOWS MILL OPPOSITION:
A new statewide opinion poll conducted by ERMS on behalf of TAP shows opposition to the mill is as strong as ever and that support is still at only 25% - a figure that hasn't changed much in 4 years. Meanwhile Gunns have announced that they have a 'potential' joint venture partner and are negotiating finance. In other words nothing has changed.

Mercury

26/6/2009: FORESTRY MINISTER SUPPORTS PULP MILL
Federal Forestry minister Tony Burke issued a statement that he supported the pulp mill. This is likely to be as a result of Union pressure on the Government with Gunns coming up to a yet another self-imposed deadline.

23/6/2009: FROM THE FSC NEWSLETTER:
One of the world's largest market pulp manufacturers, Swedish company Södra, has made clear its expectations should it decide to become involved in the proposed Tasmanian pulp mill. Following press reports last week that it was a potential partner for Gunns in that company's pulp mill project, Södra issued a news release saying: "If Södra is to engage in any pulp mill project our high environmental standards have to be met. These standards include among other things FSC certification and environmentally friendly bleaching technology (TCF preferred). TCF means totally chlorine free. Involvement in any project in the southern hemisphere would require 100 percent plantation forests to be used." Should Gunns seek FSC certification for its plantations this could be expected to involve significant change. An analysis of 16 forest management certificates issued under the FSC system in Australia and New Zealand up to 2007 showed that some 500 changes were required prior to certification with the largest area of change required being protection of biodiversity. Other areas requiring change included community relationships and chemical use.

22/6/2009:GUNNS DUMPS MORE JOBS
Another indication that all is not well with the company. Notice how sympathetic the Unions are to Gunns as opposed to other companies with redundancies. Why?

Mercury

12/6/2009: SODRA EFFECTIVELY SAY NO
Giant pulp and paper company Sodra have put a section in their website that says that Sodra would only invest if:

* The wood used is FSC certified (it isn't)
* The wood is 100% plantation (it isn't)
* The plant is the latest technology ie Totally Chlorine Free (it isn't).
So it looks as though Gunns will have to find their partner elsewhere.

ABC

12/6/2009: GUNNS PLANS GO IN TO EPA FOR APPROVAL
Gunns have sent their plans for checking with the State Government. A decision is expected fairly soon.

The Mercury

11/6/2009: GUNNS MAY BE PINNING HOPES ON SODRA
According to the Australian newspaper, Gunns are hoping to sign a joint venture deal with Swedish pulp and paper company Sodra. Sodra would put in $3/400m with Gunns putting in more than that to make them the majority partner. The rest of the money would come from a banking consortium led by the Maquarie Bank. It does not explain where Gunns will find the $500m. or so that they will require. Gunns recently sold assetts to reduce debt to the ANZ Bank.

Gunns about to get JVP?

4/6/2009:FUTURE OF TAS. PAPER MILL IN THE BALANCE
From FSC News:
Announcing completion of the sale of Australian Paper to Nippon Paper, Paperlinx said the sale would exclude two mills in Tasmania at Burnie and Wesley Vale. A statement said a detailed review of the mills was underway and was expected to be completed by the end of June 2009. It said potential outcomes of the review include retention of the existing business, partial closure, closure or sale. The mills were unable to obtain FSC Chain of Custody Certification several years ago because their Tasmanian wood suppliers did not hold FSC Forest Management certification and did not meet requirements for FSC controlled wood. As a result the mills that produce, amongst other products, book paper were not able to pursue opportunities in the rapidly growing market for FSC certified book paper. It was a disappointing result. If State and Federal political leaders had been as committed to saving 600 jobs at these mills as they have been to building a new mill with half the workforce at Bell Bay the mills may have had a better chance to survive.

2/6/2009: COMMENT - IS IT NEARLY OVER?
June is the month that John Gay said that a joint venture partner (JVP) and/or finance would be announced. It seems unlikely that Gunns have either. Would the Unions be badgering the banks if Gunns had the money? Would they be asking the Federal Government for a loan (that story came from several sources)? It seems that JVPs are cagey too about the political situation in Tasmania with an election next year. Gunns' director Robin Gray suggested a Labor/Liberal coalition to 'fight the recession'. The real reason is likely to be to provide political certainty for the pulp mill. The parties rejected the idea.

On the other side of the coin, there is no indication that Gunns is gearing up to build the mill. No marine studies have been announced and apart from ship-load of equipment that Gunns ordered 2 years ago arriving, no other activity is apparent. Gunns have also stopped negotiating with landowners for the pipeline.

Another analysis says that Gunns will have to pay $50m. tax on plantation sales unless the project is abandonned by 30th June and the expenses set against profits. There must be pressure to do this as any pulp mill looks a long, long way off - if it happens at all.

1/6/2009: GUNNS HAS NEW CEO
As expected, John Gay has handed over the day to day running of Gunns from 1st July to a new CEO, Greg L'Estrange, who joined the board last year. Gay will retain responsibility for the pulp mill development.

11/5/2009:SWECO-PIC APPROVAL COULD BE INVALID
Law lecturer Michael Stokes has found that the Sweco-Pic assessment fails to comply with Paul Lennon's fast-track bill.

Approval could be invalid

9/5/2009: GUNNS ASK FEDS FOR MONEY
There is a unconfirmed report that Gunns asked the Federal Government for finance but were knocked back. Meanwhile, the Forestry Union is going to lobby banks the 'help' get the money. Could be counter-productive chaps!

2/5/2009: LAWYERS FOR FORESTS APPEAL AGAINST MILL APPROVAL DECISION
The appeal will lead to more uncertainty for the proponent and may affect their ability to find a joint venture partner and/or finance.

1/5/2009: COMMENT
April has passed and still no announcement on the marine survey. You would think that a company that is confident on the project proceeding would want to clear this hurdle as fast as possible. The joint venture partner announcement has been put off until June. Gunns' CEO John Gay said he would retire by the end of June (although he would still be Chairman and it is suspected the main power behind Gunns). No negotiations have taken place on the pipeline for a couple of months. The pulp mill engineers seem to have gone home. One court case was decided in favour of the project (but LFF will appeal) but there is still one to go. Gunns are installing a cafe in their main hardware store in order to attract customers - their competitors already have one and their stores are busier than Gunns. It is doubtful it will help much as there is likely to be a consumer boycott of Gunns with their determination to push through this unpopular project against public opinion having sidestepped the usual planning procedures.

29/4/2009: GETUP PLACES ANTI-MILL ADVERT
The on-line action group GetUp have, in conjunction with the Wilderness Society, placed ads in financial papers around the World to discourage investment in Gunns' pulp mill. This obviously rattled Gunns' cage as a counter press statement was issued by Gunns' CEO John Gay.

27/4/2009: SHIP ARRIVES WITH 'PULP MILL EQUIPMENT'
A ship arrived today at Bell Bay with what was described as equipment for the pulp mill. In fact it was bits and pieces left over from other projects that Gunns must have ordered two years ago - before they knew that they had the permits or the finance. It will now have to be put in storage. What shareholders will think of this is anyone's guess.

21/4/2009: COMMENT
Gunns obviously do not have a joint venture partner (JVP) yet. The JVP is likely to demand at least partial control of the project, control of the resource and a get-out if things go pear-shaped. A failed project could bankrupt Gunns. No marine survey has been announced yet nor is there any recent progress on access for the water pipeline. Premier David Bartlett has said that proposed new planning laws will definitely not be used to get the pipeline through. Crucial State permits expire in August. And yet the Gunns' share price (see above) has gone up.

Coy on partner

21/4/2009: GUNNS TELLS ASX THAT PARTNER WILL BE ANNOUNCED IN JUNE
A very short pulpmill project update to the ASX said that the joint venture announcement has been postponed until June.

19/4/2009: PROTEST ON MILL SITE
A group of anti-pulpmill protesters landed on the shore of the pulpmill site and displayed a large banner which was photographed from the air. The resulting photo made the local front pages and was sent to prospective joint venture partners.

16/4/2009: GUNNS CLAIMS IT IS CLOSE TO DEAL
Gunns, in an interview in the Australian, has said that the deal with a joint venture partner will now be announced by the end of June (In January it was the end of April). So the date has been moved back again by another 2 months - a recurring theme. Gunns will still have to find finance for their share of the project. The pipeline was not mentioned.

Close to deal

9/4/2009: LFF LOSES COURT CASE
Lawyers for Forests are considering whether to appeal after losing their case today in the Federal Court. The judgement took over 9 months to be delivered.

7/4/2009: INFORMATION SENT TO ASIC ABOUT MILL APPROVAL
An MLC parliamentary investigation into public appointments at the time of the pulp mill approval process has information suggesting that Premier Paul Lennon knew Gunns were going to withdraw from the RPDC process. The evidence gathered by the committee has been sent to ASIC, the Federal body that keeps an eye on shonky business practices and takes action if it thinks fraud has been committed. The sanctions can include fines and disbarring offenders from running companies. If Lennon knew in advance about the withdrawal then the implication might be that there was a conspiracy to bypass the lawful planning process and that, at the time, the public, shareholders and the ASX were misled.

Lennon lied

4/4/2009: CRITICAL PERIOD FOR MILL
After a quiet month, the pulpmill project is heading in to a critical period. There was a high court challenge last week in Hobart questioning the State Government's right to withhold information regarding the granting of permits to run the mill. The case draws attention to Section 11 of the Pulpmill Approval Act (PMAA) which many think removes the right of any citizen to object to or challenge any aspect of the approval, building, or operation of the pulpmill. Such a law is unprecedented in western countries and many think it unconstitutional. The people bringing the case were even threatened with jail for contempt of the Tasmanian Parliament! This section 11 was not even debated just guillotined through Parliament by former discredited Premier Paul (Mr.17%) Lennon. It is to the eternal shame to any MP who voted for this Stalinist-type law and they deserve contempt.

Also approaching is the decision in the Lawyers for Forests court case. If LFF lose they will appeal but if they win the pulpmill will have no approval status at all and this will severely impact on investors (if there are any).

Also reaching a critical point is the marine studies which will take 18 months to carry out and assess. Peter Garratt gave Gunns 26 months to do this 3 months ago. They will have to announce the arrangements soon or risk not having the studies done in time. Gunns are struggling financially at present and they may not be able to afford the few millions that it will cost and they may be waiting to see if finance is forthcoming. Peter Garratt will not be able to grant them an extension.

Finally, Gunns have gone on record (see ASX release below) as saying they will announce a joint venture partner soon (by the end of April). If they don't, they will lose credibility and it is even more unlikely they will attract financial support.

There have been rumours (perhaps from Gunns themselves) that Gunns have obtained a joint venture partner and even some finance (but they still do not have an agreed pipeline route) but if progress is not made by the end of April, the project could be doomed.

4/3/2009: MILL FUNDS IN DOUBT
Even Gunns' auditor, KPMG, have expressed doubts that they will be able to raise funding in the current financial environment:

Mill funds in doubt

20/2/2009: GUNNS HAVE NOW SPENT $125m. ON PULP MILL
Gunns half-yearly results show an increased profit due to its take-over of Auspine but a poor cash-flow situation. $125m. has now been spent on the pulp mill (why has it suddenly increased $27m. - could it be the cost of the equipment in storage at Bell Bay that Gunns ordered before they secured finance?) and John Gay says that an agreement with a venture partner will be signed off in a couple of months. We've heard that before and the market was not impressed with Gunns' shares (see above) hitting a new low. The interim dividend at 2 cents is only a third of last years'.

ASX statement

20/2/2009: LEAKAGE OF CHLORINE DIOXIDE AT CANADIAN PLANT
Evacuations became necessary as a leak of Chlorine Dioxide dissolved in water was detected at a moth-balled pulpmill in Canada.

Chlorine Dioxide

20/2/2009: TOUGH TIME FOR GUNNS
Gunns' CEO John Gay is quoted in today's Launceston Examiner as saying that Gunns is experiencing difficult times. Their forestry operations have been suspended. Mr. Gay says that the slowdown has occured faster than ever before. If Gunns are in trouble financially, how will they be able to afford the expensive hydrodynamic marine studies demanded by Environment Minister Peter Garrett?

9/2/2009: GUNNS INVITES TENDERS FOR STUDIES
Gunns has invited tenders to do the marine studies necessary to get the operating licence. The firm will have to be approved by the federal government. The studies will take 18 months (and will probably show what all the other studies have shown - that the mill will pollute Bass Strait).

4/2/2009: WOODCHIP MARKET COLLAPSES
This has now been confirmed by a statement from Gunns. The share price has lost 20% over the last few days (see above).

Mercury

3/2/2009: GUNNS TRYING TO RAISE MONEY
Gunns are apparently so short of cash that they are trying to raise capital through the unsecured securities market.

ASX announcement

1/2/2009: WOODCHIP MARKET COLLAPSES?
There are rumours that the woodchip market has collapsed and that workers may soon be laid off.

31/1/2009: GUNNS' STATEMENT TO THE ASX LABELLED MISLEADING
The report to the ASX which Gunns sent after their Board meeting last week has been labelled misleading by the Greens and Environment Minister Peter Garrett has challenged what it says. The ASX is investigating. The whole affair looks like an effort at damage-control by Gunns knowing that the Herzfeld report would be released soon and the effect it would have on potential investors. In fact their damage control has caused even more damage with the Minister repudiating their claims over the media!

29/1/2009: HERZFELD REPORT RELEASED
Gunns have finally released the Herzfeld report on effluent dispersion which indicates that permit conditions would be broken almost every day and plumes of effluent would spread in to Bass Strait and along the Tasmanian coastline. The release of this data by Gunns after months of trying to supress it comes as the department reviews the decision not to release it. Were Gunns told it was going to be released? But Gunns claim that their latest work shows that it is out of date. What this report does indicate is that Gunns' previous work was totally inadequate. TAP's website gives a quick summary of the report:

Herzfeld report

23/1/2009: RUDD WAITS FOR FINAL APPROVAL
According to the Examiner, PM Kevin Rudd refused to rule out the Federal Government helping out with the costs of tertiary treatment of effluent but indicated any further decisions would have to wait until the results of the marine survey were received and evaluated. This would indicate that Gunns can expect no more help from the Federal Government until that time.

19/1/2009: NEW STUDY OF PULP MILL EFFECTS
There is a new study looking at why pulp mill effluent has a disastrous effect on fish populations.

New pulp fact

17/1/2009: SHAREHOLDERS EXPRESS DOUBT ABOUT GUNNS' MANAGEMENT
The linked articles indicate that some shareholders are not happy with the way Gunns is being run and think that John Gay and Robin Gray have too much influence.

Envirowire

11/1/2009: GARRETT'S DECISION COULD SINK MILL - AUSTRALIAN
Matthew Denholm explains in the 'Weekend Australian' why Peter Garrett's decision is likely to do more than just delay the project.

Australian

9/1/2009: LEGAL THREATS STYMIE MILL
Financiers are unlikely to finance the mill whilst the currect legal threats are valid:

* The Greens have legal advice that work cannot proceed until all studies are completed. This means that should Gunns attempt
  to build the mill, work could be stopped by a legal injunction whilst the case is decided in court. The financial losses
  could run into tens of millions.
* Lawyers for Forests still have their case outstanding. If they win then the whole process will be null and void and again,
  Gunns will be forced to stop losing them millions. If LFF lose they will appeal so prolonging the process.
* Another angle is that the extra time that Garrett has given Gunns is not legal as only one extension is allowed.
* The changing of the pipeline route could mean that the State Government has to pass an amendment to the Pulp Mill
  Approval Act. Premier Bartlett has promised not to help the project any more.

9/1/2009: PULP SURPLUS - PRICE CRASHES
There is a surplus of paper pulp in the World and the price has crashed to very low levels. Workers are being laid off. Hardly the news to get financiers excited about investing in a new pulp mill.

Pulp over-supply

8/1/2009: REBECCA COMES OUT SWINGING (AGAIN)
Prominent actress Rebecca Gibney, who lives in the Tamar Valley, has an interview in this weeks' 'Woman's Day' on how she and her family have been opposing the mill and how this has lead to her being abused and her car being vandalised. However, she says that most residents support her and encourage her. The article mentions this site.

Woman's Day

8/1/2009: BOB MCMAHON WRITES IN 'THE AGE'
TAP (Tasmanians against the pulpmill) spokesman Bob McMahon lashes the Government in an article in 'The Age'.

Get off the Gunns merry go round

5/1/2009: GARRETT REFUSES TO PASS MARINE MODULES
Peter Garratt today announced that the marine modules must be completed before final approval to operate the mill is given. Although Gunns in theory can construct the project, the final approvals are still perhaps two years away. In fact, Gunns will find it impossible to get finance until final approvals have been given and then they might have to add another stage of effluent treatment costing $300m. or more. Gunns will have lost credibility with possible partners because of their assurance that all environmental permits would be gained this January. Instead it will be two years or more. Gunns are putting a brave face on the situation but they must be despairing. Marine surveys are expensive and it is likely they will show exactly the same as the CSIRO and Flinders surveys (see Effluent section), that is that Bass Strait only flushes 1% a day and is unsuitable for large amounts of effluent. Every month adds another $20m. to the cost. They are now looking at $3bn.

2/1/09: GARRETT CONFIRMS ALL MODULES IN
Federal Environment Minister Peter Garrett has confirmed that all the modules have now been submitted by Gunns and a decision will be made by close of business on January 5th. Even if Garrett says yes it is unlikely the project will go ahead before the next State election in May 2010 as Gunns will not be able to gain water easements (and hence finance) and the present State Government have said they will not help with compulsory purchase. Several landowners are refusing to let Gunns through and the West Tamar Council have voted not to consider the matter again unless a change of circumstances arise.

30/12/2008: COMMENT
As the year ends the pulp mill is no nearer construction than a year ago and even two years ago. The share price has recovered from its catastrophic lows of a few weeks ago. The next hurdle is the decision that has to be made by Peter Garratt by January 5th. It is believed that Gunns have got all their permits in for a decision but there has been no official confirmation. The Minister Peter Garratt has several options:

* He can stop the project by announcing that the permits will not be granted because of deficiencies and further extensions will not be granted.
* He can announce all permits are granted and Gunns can go ahead.
* He can announce an extension of another 3 months for Gunns to get their submissions right.
* He could announce that Gunns have to do further work to prove their case.
By January 5th Midnight we should know whether the fight will continue or if it is all over. 

24/11/2008: COMMENT
The pulp mill is in hibernation. It looks increasingly unlikely that the permits from the Federal Government will be granted before the deadline in a month. The other deadline for State Government support has passed. Gunns issued a statement lambasting State Government ministers for talking down the project - an indication of just how touchy Gunns are. Things are not going their way. Forestry Tasmania extended their wood supply agreement (without any tenders for higher offers which in itself is outrageous) another 2 years but it's all meaningless without a pulp mill. The current situation is:

* Permits will almost certainly not be forthcoming by the 5th January deadline. Gunns will need yet another extension.
* A marine report from the CSIRO which shows possible pollution problems will eventually be released next year.
* Landowners have not accepted pipeline easement offers and are not likely to.
* The legal position of public land belonging to the West Tamar Council is far from clear.
* There is virtually no chance of Gunns financing the whole project alone.
* An equity partner would demand a majority share AND control of the wood supply.
* The price of wood pulp is falling.

Meanwhile the project is getting more and more unpopular with the public and Gunns are suffering a consumer boycott as a result. Is it all worth it?

24/11/2008: GUNNS UP THE CREEK WITHOUT A PADDLE
Nothing is going right for Gunns. Deputy Premier Lara Giddings has said that the mill looks increasingly unlikely to proceed and Gunns' share price has collapsed again to 65 cents. This values the company far below asset value and so makes it vulnerable to a hostile takeover. Such a takeover might result in the company being broken up and sold. And land owners on the East Tamar are rejecting Gunns' offer for pipeline easements meaning that they are going to find it impossible to get finance. Add to that the rumour that Gunns have $30m. worth of plant sitting in storage at Bell Bay that cannot be utilised at present yet has to be paid for.

21/11/2008: GUNNS WITHDRAW FROM AGREEMENT
Gunns Ltd have told the ASX they will not seek to extend the sovereign risk agreement with the State Government. This is probably to limit the damage when it expires anyway on 30th November. Although the $15m. compensation is small beer compared with pulp mill expenses it would be quite a deterrent for a future Government to have to come up with that sum. The share price has fallen to 75 cents (see above link) which values the company at $500m. The mill will cost $2.2bn. (at least - probably a lot more).

21/11/2008: PIPELINE PROBLEM FOR GUNNS
Legal advice received by the Government indicates that Gunns WILL need permission from the West Tamar Council to access their land for the water pipeline. WTC Mayor Barry Easther says the Council will not be re-visiting the earlier decision. Gunns made a great effort to get the Council to sign an easement agreement last month but effectively lost the vote 8-0.

Nick Clark

19/11/2008: EVIDENCE THAT IT WAS ALL A CON
Damning evidence has been presented at a Parliamentary committee that appears to indicate that Parliament and public was totally misled about the approval process. We all knew that anyway but the politicians involved seemed to think if they said it enough, it would become true. Now it is all falling apart.

We were all conned

They weren't fooling anyone but themselves

18/11/2008: GUNNS FORCED TO DENY MILL IS DEAD
Gunns has been forced to issue a statement about their plans to build the mill next year after their share price suffered a (another) dramatic collapse. The reason is not clear. It could be short-selling or else because Paul Lennon, appearing before a Parliamentary committee gave the impression the project was dead.

The mill is dead

Oh no it isn't!

17/11/2008: ERMS POLL SAYS 73% OF TASMANIANS DO NOT WANT ANY MORE GOVERNMENT SUPPORT FOR MILL
An opinion poll commisioned by the Wilderness Society has found that nearly three-quarters of Tasmanians want Premier Bartlett to stand by his promise and provide no more support for the project if it has not been started by the end of November. Only 20% of Tasmanians actually support the mill.

9/11/2008: LENNON ADMITS MISTAKES BUT DENIES PLOT
Former Premier Paul Lennon, in an interview with the Examiner, admits that mistakes were made including the choice of Longreach (which this site has always said was a huge mistake) and also the way the pulp mill task force was run. He however denied that there was a plot to sideline the RPDC. Well, he would say that as it would otherwise be admitting to an illegal act.

9/11/2008: WE HAVE GOT THE MESSAGE - RUDD
PM Kevin Rudd told a community forum in Launceston on Wednesday that the Federal Government had 'got the message' about the pulp mill. Whether this transalates in to action we will have to wait and see.

8/11/2008: GARRETT EXPECTING DECISION IN JANUARY
Federal Environment Minister Peter Garrett said that he expected a decision would be taken regarding the mill by January but that he also expected further studies would have to be taken in Bass Strait before a final approval is given.

7/11/2008: ARE GUNNS SERIOUS ABOUT THE MILL?
Gunns are not spending any money on the mill according to their own figures. The amount spent announced at the AGM was $90m. - this does not seem to have changed for some time. Yet work on a large project costs money. Locals say that surveys have been cancelled so how are Gunns going to get their permits? Another offer has been made to landowners for pipeline easement rights (the landowners say that there will be no decision until finance is obtained) but this costs nothing unless the mill goes ahead. What's going on? Could it be that Gunns don't want to admit that the $90m. will be added to their already substantial debts just as the World economy looks set for a recession?

30/10/2008: MILL SHELVED FOR TIME BEING
At Gunns' AGM today, John Gay admitted that funds were not available and that the project would be put on the back-burner for the present.

Mercury

27/10/2008: ANOTHER SMOKING GUN
Steve Kons' previous driver told a Parliamentary committee that Mr Kons told him the pulp mill would be fast-tracked a month before Gunns withdrew from the RPDC process. It is illegal to interfere with an approval process so everyone who knew about this, if it is true, was theoretically breaking the law.

Mercury

23/10/2008: MILL IS A GONER
An Access Economics report says the mill is a 'goner'. Meanwhile Gunns, in the finest traditions of freedom of information, plan to try and stop the CSIRO report on the effects of the effluent on Bass Strait.

22/10/2008: PIPELINE CANNOT BE BUILT ON COUNCIL LAND - STOKES
Senior lecturer at law at the University of Tasmania, Michael Stokes, says the pipeline cannot be built across Council land now the West Tamar Council has refused to sign an easement agreement.

Legal opinion

21/10/2008: WEST TAMAR COUNCIL VOTE NO
In a stinging rebuff to Gunns, the West Tamar Council voted unanimously not to sign the agreement presented to them (the day before the vote) to grant a pipeline easement. Gunns put a brave face on it but the fact is they made a great effort to get the agreement but now they will have to prove that the Pulp Mill Assessment Act gives them automatic access. Legal opinion is divided.

18/10/2008: COUNCIL TO VOTE ON PIPELINE ON TUESDAY
After promising that the public would be consulted before any vote on the pipeline, the West Tamar Council have now announced that they intend to vote on it on Tuesday. Remember, last year they voted not to support the project but now it is suspected that they have bowed to Gunns' pressure to resolve the issue before the Gunns' AGM on 30th October.

12/10/2008: PULP MILL NOW ON VERY STICKY WICKET
The last six weeks have seen a deterioration in Gunns' prospects of getting this project up. Gunns' latest statement to the ASX admits that funding has not been found and, as yet, no venture partners have been discovered. There are three problems that still have to be resolved before Gunns can proceed with the project. Even when if these are resolved it may encounter problems with delays in delivery and shortage of skilled labour.

1/. FINANCE
In the current credit crisis it is difficult to see Gunns getting the money. They may have to wait until it resolves.
Even then it may take years before finance houses are willing to lend to a project that is at all risky. By then the
cost may have escalated to a point where Gunns' Board are not prepared to take the risk. If there is a depression
and the price of wood pulp slumps, the mill may become uneconomic.

2/. PERMITS
Gunns already have an extension of time until January 5th - which is Christmas as noone works between then and New
Year. Gunns only have four permits approved and have another twelve to go. It seems unlikely that these will go
through in the next 11 weeks. The ones that cover effluent discharge could be a problem as a CSIRO report is
thought to state that the effluent will not be properly dispersed and a tertiary treatment plant may be necessary.
This could also cause problems in local waters as Aluminium is used in tertiary treatment and local waters already
have aluminium content above recommended guidelines.

3/. PIPELINE
Gunns have not yet negotiated with local landowners to allow the water pipeline to cross their property. Some are
against the mill and Gunns may have to offer big money to change their minds. Also, there is a legal opinion that
says the West Tamar Council can not give permission for a private project to cross public land. However, many West
Tamar councillors support the mill and may ignore public opinion.  

27/8/2008: PARLIAMENT SUSPENDED
Parliament was suspended and the public gallery cleared before parliament voted on repealing the PMAA. The motion was lost and the Act remains in force. Premier Bartlett said that he would not support the mill if he thought that peoples' health in the Tamar valley would be adversly affected. He obviously considers himself more of a medical expert than the AMA which predicted that the pulp mill would result in extra deaths in the valley. How fortunate we are to have such a talented Premier!

27/8/2008: GUNNS' SHARES REMAIN IN VOLUNTARY SUSPENSION
A statement by the ASX this morning said that Gunns shares, which were due to be re-listed this morning, are to remain suspended for another week. This surely is an indication that they have major financial problems with a loan repayment due in September.

24/8/2008: 10,000 MARCH AGAINST MILL
Another huge demonstration against the pulp mill in Launceston shows that this issue is not going away. The event was organised by TAP (Tasmanians Against the Pulp mill), an organisation that appears to going from strength to strength.

10,000 march

22/8/2008: GUNNS MAY HAVE TO ALTER PLANS
Gunns may have to add a tertiary effluent treatment plant to their pulp mill plans adding hundreds of millions of dollars to the cost and resulting in further long delays. They are almost certainly going to miss the October 4th deadline for permit approval. Alterations to their existing plans could add months on to the process. As well as that, if Gunns bring in a European partner, they could find that using native forest would be unacceptable and that the mill would be plantation only. Gunns do not have enough plantations in Tasmania to feed the mill and, anyway, Gunns prefers to sell plantation wood to the Japanese as this commands a higher price. No financial deal can be sown up until Gunns have all the building and operating permits in place. It is extremely unlikely that Gunns will be able to start construction before 30th November and so will lose their sovereign risk deal with the State Government. Altogether, this mill is looking less and less likely to be profitable by the day and you wonder when they are going to have the sense the abandon the project.

Matthew Denholm

22/8/2008: RUMOUR MILL ON FULL THROTTLE
There is speculation on what Gunns will announce next week. It will be about fund raising - probably under pressure from ANZ wanting some of their money back. A rights-issue is unlikely to be underwritten (ie it would be up to existing shareholders to stump up) according to the Australian as the prospect for the shares would not be that great so it could flop or result in the share price collapsing. Perhaps Gunns will announce that they have a partner for the project from Europe or China. Another rumour says that CEO John Gay will stand down but remain chairman.

Australian - second item down

ANZ started decline

Fund-raising

22/8/2008: PERMITS UNLIKELY TO BE APPROVED BY DEADLINE
Peter Garrett said today he thought it was unlikely the permits would be approved by the October 4th deadline. Also, tomorrow is the deadline for landowners to accept Gunns' offer for pipeline easements. Several landowners have said they will not sell.

21/8/2008: GARRETT SUPPRESSES CSIRO OCEAN REPORT
Federal Environment Minister Peter Garrett has refused a Green request to see a CSIRO report on the effect of the mill dumping 64,000 tonnes of effluent a day in to Bass Strait. That can only mean one thing - it must be damning. Once again the transparency we were promised has been trashed. Come on Mr Garrett, what's going on?

Mercury

21/8/2008: STOP PRESS - GUNNS' SHARES SUSPENDED
Gunns' shares were suspended this morning until at least next week. There will be an announcement about a capital raising of about $3/400m. to reduce debt. This capital will be used to pay off debt to the ANZ Bank and it is thought it is because many Auspine shareholders took cash instead of Gunns' shares in the recent takeover. As a result, Gunns is crippled with huge debt. Could it be that ANZ, as well as refusing to finance the mill, has insisted on debt reduction? Gunns are also looking to sell $170m. worth of plantations. The company also announced CEO John Gay would be standing down in the next year (but he would still remain chairman).

21/8/2008: BARTLETT EXPRESSES DOUBTS
Tasmanian Premier David Bartlett told a group from TAP (Tasmanians Against the Pulpmill) that he didn't think the project would get finance anytime soon. He also said that compulsory land acquisition was not going to happen. Many of the landowners have said that they are not going to let the pipeline through.

Mercury

19/8/2008: MORE LANDOWNERS JOIN LEGAL BID
Three landowners have joined Environment Tasmania in challenging the State Government's refusal to justify permit conditions.

Legal attack

Stateline

18/8/2008:GUNNS SUBMITS PERMIT MODULES THIS WEEK
Gunns has announced that it will be submitting its final permit modules this week. That leaves the Government about six weeks to approve them - that's assuming that they will not have to be sent back to Gunns for alterations. Meanwhile Gunns' share price has collapsed to $1.93 (see above).

ABC

16/8/2008: PULP MILL FACES MORE LEGAL ACTION
Environment Tasmania has challenged the validity of Section 11 of the Pulp Mill Approval Act. If successful, it could lead to a mountain of legal challenges and claims for compensation. Section 11 effectively removes all rights to challenge or claim compensation with anything to do with the pulp mill. Opponents claim this is unconstitutional. EV had asked for information on the State permits for the mill but were refused because of Section 11. So much for transparency!

Federal Court challenge

15/8/2008: GUNNS SELLING FOREST TO REDUCE DEBT
Gunns have announced they are going to sell forests worth $170m. to reduce debt. Their profit for the year is likely to be $67m. down from $74m last year. The share price crashed 10% today probably because of Wal King's statement yesterday.

14/8/2008: PULP MILL WILL NEVER HAPPEN - WAL KING
Leighton Holdings' CEO Wal King said at the company results meeting today that the pulp mill was unlikely to be built this year, next year or ever. Gunns replied that he is misinformed.

Pulp mill dead

14/8/2008:GUNNS PRESSURED BY FEDS
According to today's Examiner, the Federal Government have asked Gunns to provide a timeline for presenting their permit modules. The company has just over six weeks to present their modules and get them passed by the department, the independent experts group and the Minister. The deadline is October 4th and it is looking increasingly unlikely it will be met yet Gunns have said they will not seek an extension. What's going on? It's looking very much like last year when Gunns failed to produce material for the RPDC when asked. When Malcolm Turnbull approved the mill in October 2007 subject to permits he said that all Gunns had to do, if they had done their homework, was to shove it all in an envelope and post it to him!

10/8/2008: JOHN GAY IN LONDON?
There was an unconfirmed sighting of Gunns' CEO John Gay in London last week so he may still be searching for funds. British banks have been badly affected by the credit crunch so will be reluctant to lend for any project that has any sort of risk. Meanwhile, there is still no sign of the judgement in the 'Lawyers for Forests' court case challenging the Federal approval.

7/8/2008: GUNNS LOSES FEDERAL FUNDING
The Federal Government have cancelled the funding provided ($5m.) to keep jobs in Scotsdale. Gunns sacked over 100 workers in spite of the agreement. This sends a strong signal to Gunns that it will have to keep agreements with the Federal Government or it will be penalised.

3/8/2008: PROJECT MODULES SENT BACK TO GUNNS
Ten of the project modules that need to be passed by the Federal Government have been returned to Gunns for modification according to the Examiner newspaper. It does not seem very likely that the October 4th deadline will be complied with but Gunns say they are confident that an extension will not be required. Minister Garrett has indicated that he would consider an extension. Meanwhile Gunns have extended their deadline for landowners accepting the offers for pipeline easements to August 23rd.

25/7/2008: GUNNS NEGOTIATE EXTRA WATER RIGHTS
In spite of the fact that the availability of water from Trevallyn Dam has not been properly assessed, Hydro Tasmania have agreed to supply Gunns with an extra 50% water so that gunns can sell water to farmers on the pipeline route. Some landowners have said that it will not make any difference - they will still say NO. In the West Tamar area pressure is building on the Council to just say no to the pipeline passing through council-owned land. The Council voted to oppose the mill last year at a special meeting and residents are now insisting that Council uphold that decision.

24/7/2008: COMMENT
The report below is the same publication that announced that ANZ would help finance the mill to the tune of $150m. just weeks before ANZ pulled out so can this report be trusted? It looks as though the main source of the story is Gunns Ltd itself (many of the claims sound as though they came straight from John Gay) so it could be just another attempt to bolster the share price. If so, it hasn't worked (see above)- in other words the Stock Market is not impressed. Or it could be an desperate attempt to persuade an Australian lender to put their hand up.

23/7/2008: NEW FINANCE DEAL FOR MILL?
According to the 'Business Spectator' today, Gunns are about to stitch up a finance deal with some European banks to finance the mill. The article says that the banks are enthusiastic about the deal because the mill CAN be totally supplied by plantations in Tasmania and South Australia. But Gunns have always said that they will be using 80% native forest, and in fact have a deal with Forestry Tasmania and a sovereign risk agreement with the State Government (just re-negotiated) with that aim. Please explain.

23/7/2008: MORE CONDITIONS FOR MILL APPROVAL?
Federal Environment Minister Peter Garrett has indicated that there might be additional conditions that need to be met before approval can be given. The process may well need extending beyond 4th October when the original approval process expires. The Greens are urging Mr Garrett not to extend the approval period.

ABC

21/7/2008: MILL LESS LIKELY EVERY DAY
A report from Access Economics says that the mill is less likely to be built with every passing day. Tasmanian Treasurer Michael Aird, who a few months ago said the mill was an absolute necessity for the economy, now says that it will not be a problem if the mill is not built.

The Mercury

20/7/2008: FINNS GO BACK TO FINLAND
According to locals, some, maybe all of the Jaako Powry workers' families from Finland who moved to Tasmania to help build the mill have left. So it appears that Gunns are not going to start building the mill any time soon.

16/7/2008: GUNNS HAVE PIPELINE PROBLEM
Landowners along the pipeline route are not going to let Gunns' pipeline pass through their land according to gardening guru Peter Cundall. There can be no mill without the pipeline. The State Government will be reluctant to help out because it will result in unpopularity. Meanwhile Gunns' share price (see above) has gone down again in spite of a speculative buy recommendation in Today's Australian.

Peter Cundall

THE PIPELINE
The cost of the pipeline has been greatly underestimated. Comparison with other projects would indicate a total cost of $200m. for the water and effluent pipelines including the costs for all the associated infrastructure. Suggestions that it might pay the State to build the pipeline are nonsense as the water in it will be untreated and could only be used for irrigation and there are areas of Tasmania that are in far greater need. An effluent pipe in the trench would not solve Launceston's problem as that is caused by the city having a joint sewage and groundwater system. At times of heavy rainfall the system cannot cope and untreated sewage ends up in the Tamar. A pipe to the sea would not help that problem. Because Gunns withdrew from the RPDC assessment, the project ceased to be 'of State Significance' and so the automatic right to put the pipeline through private land disappeared. Gunns now have to persuade the landowners along the route to let it through. Quite a few are against the pulpmill!

10/7/2008: GUNNS TRIES TO WOO FARMERS
Gunns have realised that there is opposition from farmers to their pipeline passing through their land and so has written to them saying they would provide water to them from the pipeline 'if possible'. (There's a pretty good chance that, in times of drought, it will not be possible even if the capacity of the pipe would allow it.) Gunns CEO John Gay said that, without the pipeline, there would be no mill.

Mercury

3/7/2008: GUNNS SEEKING FINANCE PARTNER
Gunns have submitted a statement to the Stock Exchange which says that the company is still actively pursuing finance options (ie. they don't have finance yet) and may take a partner (if they can find one that doesn't mind the stigma of the pulp mill). This statement is almost certainly a attempt to shore up Gunns' share price which has been falling recently (as one can see above, it didn't work) and does not say anything we don't already know. It may also be an attempt to counter adverse publicity arising from the 25th anniversary of the Franklin river battle. The statement to the ASX says that Gunns have complied with all the environmental requirements - This is not true, a fact that Peter Garrett confirmed. Meanwhile, Gunns have sacked over a hundred workers in Scottsdale, after saying their jobs were safe, with virtually no warning. This action may lose them a Federal grant and will not exactly make them popular with the State and Federal Governments. It is difficult to see why Gunns chose to announce the decision now whilst the mill project is still up in the air.

2/7/2008: GUNNS' CEO GAY MAY RETIRE SOON
In an interview, John Gay has said he might retire soon. He is 65. Could it be that if the mill fails to get up, Gay will retire rather than face the next AGM? In the interview he also admitted that some finance would have to come from shareholders. The share price has tumbled further.

Mercury

1/7/2008: BARTLETT SAYS GUNNS MUST MAKE SUBSTANTIAL START BY NOV 30th
Premier Bartlett says that a hole in the ground will not qualify! Meanwhile Gunns' share price (see link above) plunged to a yearly low before recovering.

ABC

1/7/2008: BOB HAWKE COMES OUT AGAINST MILL
Former Prime Minister Bob Hawke, who stopped the Franklin dam, has come out against the mill proposal.

Dambuster

30/6/2008: CABINET EXTENDS DEADLINE TO NOVEMBER 30th
The State Government has extended the sovereign risk agreement to November 30th. Gunns wanted it extended until 31st May next year and Gunns' CEO John Gay has given no assurance that Gunns can raise the money. This is in stark contrast to previous statements.

Mercury

30/6/2008: 75% OF TASMANIANS OPPOSE ANY FURTHER HELP FOR MILL
The latest opinion poll by GetUp shows that the project is getting more and more unpopular as time goes by. Only 19% think that the State Government should give more support to the mill.

Tasmanian Times

29/6/2008: COURT CASE AWAITING DECISION
Lawyers for Forests say that the decision in the court case against the Federal approval of the project is pending but the actual date is unknown.

Lawyers for Forests

25/6/2008: PIPELINE BENEFITS LIMITED
A report commissioned by the State Government is rumoured to say that benefit to the State for building and owning the pipeline to the mill is limited. There is however a rumour that Gunns may have got finance for their mill in Europe but the banks involved have to investigate the project and so will not announce their decision for several weeks. This would be a risky strategy as fluctuations in the Euro/Dollar exchange rate could result is huge cost overuns for Gunns.

22/6/2008: NEARLY TWO THIRDS OPPOSE MILL
Nearly two thirds of Australians oppose the pulp mill according to a poll organised by Get-up.

The Age

19/6/2008: GUNNS GIVES UP HOPE OF GOVERNMENT PIPELINE
Gunns has apparently given up hope of the State Government helping to build the water pipeline. This means they will have to negotiate with landowners to allow the pipeline to be built across their land several of whom have said they would not allow it at any price.

Australian

18/6/2008: COMMENT
Gunns is trying to get finance from abroad. This is a very risky strategy. Supposing a finance company lends the money but is then horrified at the inevitable protests that will take place and the ensuing bad publicity and then withdraws. Gunns' potential losses could be huge. Most projects this size are done by huge multi-national companies such as Visy which has the resources and flexibilty to withstand a massive set-back. Gunns is only a small company and if their shares fall and the value of the company sinks below its debts then it could cause a collapse.

18/6/2008:GUNNS NOW ASKS THE GOVERNMENT TO SLOW DOWN!
Surprise, surprise, Gunns have asked the State Government for an extension to the 30th November to start constructing the project. At stake is the $15m. sovereign risk agreement which expires if the mill is not started by 30th June. Premier Bartlett says he will ask Gunns about the likelyhood of the project going ahead. Why bother Mr. Bartlett? We know what the answer will be but opponents might question the truthfulness of the answer. The Cabinet will discuss it on June 30th. Last year, the Government fast-tracked the process at Gunns' request.

18/6/2008: COURT CASE STARTS TODAY
'Lawyers for Forests' court case starts today challenging the original federal approval of the project by Malcolm Turnbull. If successful, it would force Environment Minister Peter Garrett to consider the whole project again.

13/6/2008: TASMANIAN BUDGET SCRAPS MILL INTERSECTION
$12m. designated for the junction to the proposed pulp mill at Bell Bay has been dropped from the Tasmanian budget announced yesterday - another indication that the pulpmill looks a long long way off - if it happens at all. And State Treasurer Michael Aird said that if the pulp mill does not go ahead, it would make hardly any difference to Tasmania's economy. Previous Premier Paul Lennon claimed that Tasmania would virtually collapse without it!

Australian

10/6/2008: GUNNS' SHARE PRICE COLLAPSES
Gunns' share price today collapsed to $2.69, a 10% drop this week. This indicates the market does not think the project will go ahead anytime soon. It also makes it more difficult for Gunns to raise finance. These are the rumours doing the rounds: Equipment supplier Andritz have left, designers Poyry have returned to Finland and Smorgan told to stop work on the perimeter fence. Whether or not these rumours are true, unless Gunns commences construction by 1st July, the forest supply contract will expire.

8/6/2008: ANTI-PULPMILL FIGHT GOES GLOBAL
Internet action group GetUp have received so many donations to fight the pulpmill that they are now going global with their campaign. Adverts are being placed in London's Financial Times - one of the most highly read and influential financial newspapers in the World. The level of donations shows just how much this project is on the nose in Australia, not just in Tasmania.

Mercury

3/6/2008: COMMENT
So much has gone wrong for Gunns'pulp mill project over the last couple of weeks that it is difficult to see how the project can succeed. Gunns' main political backer Paul Lennon has resigned and it is difficult to see him going if there was any hope of the project proceeding as it was his main policy. Also gone is Parliamentary Private Secretary, the top civil service job, Evan Rolley who was head of Forestry Tasmania. New Premier David Bartlett says that the pulp mill project will receive no further help from the State Government and that it would not be paying for Gunns' infrastructure or acting as guarantor on a loan. ANZ have pulled out and no other Australian Banks have jumped in. If Gunns get overseas finance it could cost them nearly double and will come with huge risks. Fuel prices have rocketed as have other costs and every month's delay adds millions more to the cost. Some parts of the World may be heading for a depression. Gunns' CEO John Gay is still sounding upbeat but he must be looking for a face-saving get-out. Perhaps a finance deal will be announced but rejected by the Gunns' Board as too expensive. We shall see.....

3/6/2008: DESIGN FIRM TOLD TO STOP WORK
Design firm Pitt and Sherry have not denied rumours that work on the pulp mill has been halted for the present. There is no comment from Gunns.

ABC report

29/5/08: ANZ PULLS OUT OF MILL FINANCE
The ANZ Bank announced this afternoon that they would not be financing the pulp mill. Gunns' CEO John Gay announced that the company would be seeking finance abroad. This involves far greater expense and also currency risks.

28/5/08: NO MORE PUBLIC MONEY FOR MILL
New Tasmanian Premier David Bartlett has made it clear that there will be no more public money for the pulp mill.

Mercury

26/5/2008: PAUL LENNON RESIGNS
Gunns' main political supporter, Tasmanian Premier Paul Lennon, has resigned. An opinion poll last week gave him an approval rating of just 17%. Mr. Lennon has paid the price for supporting the mill.

25/5/2008: GUNNS WILL NEED TO GO ABROAD FOR FINANCE
It is now virtually certain that ANZ will announce that they are not prepared to back the pulp mill in the next few days. And according to the Australian Business News Macquarie Bank will not be standing in. That means Gunns will have to try and borrow abroad meaning higher interest rates and a huge currency risk. A shift in the value of currencies could mean that Gunns find themselves with a debt of $3bn. Hedging to reduce this possibility is expensive too. In the current state of World financial markets it is doubtful Gunns will get the money.

23/5/2008: GUNNS' SHARE PRICE DROPS 6%
Gunns' share price has dropped 6% on the rumours that the ANZ will not provide funding for the mill even though both Gunns and ANZ have denied that a decision has been made. The Bank Workers Federation has congratulated the Bank on making a good decision and conservation groups have also assumed that funding will not be available. If it is true then Gunns will be trying to find alternative funds in a market where the long-term loan market is virtually dead. Money from abroad will be prohibitively expensive.

22/5/2008: ANZ TO DECLINE PULP MILL FUNDING
According to the Business Spectator, the ANZ has declined funding the pulpmill. Gunns may be looking for a joint venture with a company such as Carter Holt or may just sell their approvals.

Business Spectator

18/5/2008: MACQUARIE BANK MAY BACK PULP MILL
There is speculation that Macquarie Bank may be prepared to be the lead financier to back the pulp mill:

Australian

14/5/2008: ANZ ANNOUNCE NEW FORESTRY POLICY
The ANZ Bank have announced a new forestry policy indicating that they will not fund projects that include illegal logging or logging of forests of high conservation value. This would seem to exclude the Gunns' pulp mill which will be fed a large percentage of Tasmanian native forest - one of the World's last remaining temperate forests.

Australian

Mercury

6/5/2008: ANOTHER MATES DEAL ANNOUNCED
The Government have announced a sovereign risk deal that will pay Gunns $15m. if a future government interferes with wood supply to the pulp mill. The claim is that finance institutions asked for this. But did they? The ANZ have refused to confirm that they asked and it is a pathetically small amount compared with the cost of the mill at $2bn. $15m. would be just over a month's interest. It seems far more likely that the deal was made to discourage a future government from curtailing wood supply and that the announcement was made now because it would have to be disclosed in the budget coming up anyway. It's just another example of the Government bending over backwards to help Gunns. The mill has yet to be financed and is not likely to be this year (in spite of what Mr.Gay keeps saying) with the banks unlikely to give approval before all permits are granted (and then they might say no) - and the permit process seems to be taking three times as long as predicted.

4/5/2008: PRO-MILL CANDIDATE SUFFERS CRUSHING DEFEAT
In an upper house election in the electorate likely to be most affected by the pulp mill, Rosevears, the sitting member Kerry Finch, who is against a pulp mill in the Tamar valley, was re-elected with nearly 75% of the vote. The candidate against him supported the project so giving pro-millers a chance to have a say. The result shows that support for the mill is still only about 25% - that hasn't changed at all over the last three years.

2/5/2008: STATE GOVERNMENT REFUSE TO GIVE PIPELINE INFORMATION
Paul Lennon's transparency promise has taken another battering with the State Government refusing to release information on a possible secret pipeline financing deal between the State and Gunns. The pipeline is likely to cost well over $100m.

Matt Denholm

1/5/2008: COURT GIVES GO-AHEAD FOR CASE
Gunns' lawyers have failed in their attempt to stop 'Lawyers for Forests' challenging the Federal approval decision on environmental grounds. The case will be heard in June or July.

ABC

Australian

30/4/2008: PRO-DEMOCRACY MEETING ATTRACTS 700
A pro-democracy meeting held at Riverside last night attracted a large attendance. One of the main topics was the fast-track pulp mill approval process. Speakers included Warwick Raverty, Lindsay Tuffin, Bob McMahon, Terry Martin and Jeremy Rockliffe. The large very vocal audience made it quite clear that they are not happy with the present Government and the way it was supporting and promoting the pulp mill - and that this issue is not going to go away.

12/4/2008: TAP POLL NO COMFORT FOR GUNNS
An opinion poll commissioned by 'Tasmanians against the pulpmill' shows that the public are still very much opposed to the project. 61% said ANZ should not finance the mill (after eliminating don't knows) and only 1% thought spending money on infrastructure for the mill should come before health and education.

Mercury

6/4/2008: WHERE TO FROM HERE?
Gunns' CEO John Gay said this week that the banks will need to see all the permits in place before a decision on finance can be reached. At the present rate of progress that could be many months or even over a year away. And then the ANZ Bank could say NO. Meanwhile Gunns, which has only a modest operating profit, is bleeding from the costs of all the design work and permit preparations. If managed investment schemes are stopped and carbon credits introduced it may be that Gunns will be forced to have a re-think about the whole project.

4/4/2008: LAWYERS FOR FORESTS UPDATE
The first hearing in the case was on 4 February 2008. Gunns made an application for security for costs, which is an order that would require LFF to give a bank guarantee that would go to contribute to Gunns' legal costs if LFF lost the case. The Judge delayed deciding that application until a later stage in the proceeding. He said that at that stage he was of the view that LFF should not pay security for costs. Also on 4 February 2008, the Judge set a timetable - LFF is to file its evidence on 25 Febrruarry 2008, the Minister is to file his evidence on 17 March 2008 and all the parties will be back in Court on 18 March 2008 at which time it is possible that the Judge will set a date for the ultimate hearing of the case. The hearing scheduled for 18 March 2008 was changed to 30 April 2008.

Lawyers for Forests

2/4/2008: GARRETT GIVES GREEN LIGHT TO EARTHWORKS
Federal Environment Minister Peter Garrett has given the go-ahead for earthworks to begin at the Longreach site. There has been no indication if Gunns will proceed - one problem might be that much of the rubble created will be used to build the wharf so that module may need to be passed first. Gunns have not confirmed finance yet and the ANZ have not given any indication at what point they will give a decision. If all permits need to be issued it could be a long long time.

Green light

28/03/2008: DESIGN WORK TO BE RELOCATED TO MELBOURNE
Gunns announced today that the design work for the mill, 100 jobs, is being relocated to Melbourne - the excuse being that more expertise was available there. So much for jobs for Tasmanians. Or could it be that Gunns do not want their design engineers exposed to public antagonism to the project?

25/03/2008: WORK ON THE SITE
Gunns have started installing their perimeter fence around the mill site. Rowella was treated to the sound of chainsaws as the fenceline was cleared.

25/03/2008: WHAT'S WRONG WITH TASSIE?
The Gunns' pulp mill has featured in a poll as the strongest negative about Tasmania in a visitor's poll.

Poll

21/03/2008: GAY DENIES MISLEADING PUBLIC
In an interview in the Hobart Mercury, Gunns' CEO John Gay says that more work will be done on the mill before it arrives which is why less workers are needed now. So the 3000 jobs and boost to the economy that would have resulted has been more than halved and the extra work is completed overseas. That wasn't in the promotional blurb. He is also said it would be built by the middle of 2010 (in spite of it taking longer to build) because the time started in January - in spite of no work on the site having started by Easter!

Gay interview

20/3/2008: LACK OF TRAINING MEANS FEW LOCAL PULP MILL JOBS
Industry analyst Robert Eastment says that little or no training has been done to prepare the Tasmanian workforce for work at the mill.

ABC

19/3/2008: YET ANOTHER LIE EXPOSED
It has now been announced that the number of jobs at the pulp mill site during construction will be less than 1300. The original documentation said 3000. How could they get this figure so completely wrong? Is it deception or ineptitude - or is there another explanation? The mill will take longer to build - another six months.

15/3/2008: LENNON FAILS TO ANSWER COLLUSION QUESTION
In an interview with Matthew Denholm, Premier Lennon refused to directly answer the question whether Gunns knew if they withdrew from the RPDC it would be replaced by a new easier approval process. The whole of Tasmania knows the answer to that question Mr Lennon, so why hide the truth?

Matthew Denholm

15/3/2008: LENNON ATTACKS 'NIMBY' ATTITUDE
Premier Paul Lennon admits that the people of Launceston don't want the pulp mill but says it is a 'Not in my backyard' response. Cobblers Mr Lennon. The people of Hobart voted 75% against the pulp mill in a council poll and the only poll where the mill had a (slight) majority was in George Town where it will be built. Think again Mr Lennon.

Australian

15/3/2008: HYDRO CANNOT GUARANTEE WATER FOR MILL
Hydro Tasmania admits it cannot guarantee water for the mill in drought conditions.

Mercury

14/3/2008: DEMO MARKS ANNIVERSARY OF RPDC DUMPING
A very vocal demonstration outside Gunns' offices in Launceston today indicated that opposition to the project is as strong as ever. The main speaker was former RPDC panellist Dr. Warwick Raverty.

Mercury

Dr. Warwick Raverty's speech

12/3/2008: FINANCE SET TO BE FINALISED - GAY
The front page of the Examiner quotes Gunns' CEO John Gay as saying that finance for the mill will be finalised soon. Could Mr. Gay be trying to prop up Gunns' falling share price? If there are no problems with the finance why say anything at all?

6/3/2008: PULP MILL WATER USAGE QUERIED
The pulp mill could use up to 45% of daily average flows at certain times according to the Mercury. There is also disquiet at how little Gunns are paying for their water - in fact, they are only paying for lost electricity generation.

Mercury

4/3/2008: GUNNS BEHIND SCHEDULE ON SUBMISSIONS
The Federal team assessing the mill are only working on one Gunns' submission - the earthworks. The others due by now are Wharf construction (14th Feb), Accommodation facility (1st Feb), and Pipeline (26th Feb). These dates were on Gunns' website.

4/3/2008: NEW APPROVAL MAY BE REQUIRED FOR PIPELINE
A legal opinion is that the pipeline would have to be sent back to Peter Garrett for further approval if sewage is added to the pulp mill effluent. The Tasmanian Liberals have come out against State funding for the pipeline.

Mercury

3/3/2008: PULP MILL UNREST BIGGER THAN FRANKLIN
Groups opposed to the proposed pulp mill promise a huge and bitter fight if the project proceeds.

Australian

3/3/2008: TASMANIAN GOVERNMENT MAY PAY FOR GUNNS' PIPELINE
In a move that makes it look as though Gunns is looking for financial help from the Tasmanian Government, Premier Paul Lennon has announced that the Government will look at declaring the pipeline essential infrastruture and pay the cost. This is likely to be far more than has been stated so they could get a shock. The reasons for doing so do not bear close scrutiny as there would be far cheaper options for irrigation and sewage disposal. In fact, the reason is that it would enable them to compulsory purchase a corridor for the pipeline as some landowners have said they will not let it through their land.

The Mercury

2/3/20008: GAY STILL GUNG-HO ON MILL
Gunns' CEO says that there will not be any problems with the mill going ahead and expects it to be operating by 2010. He admits that final approval for finance has not come through from the ANZ but says it is a formality.

The Mercury

1/3/2008: GAY SAYS PULP MILL PROJECT HAS MADE HIS LIFE A MISERY
In an interview with the Mercury newspaper, Gunns' CEO John Gay says that he can longer go out in public.

The Mercury

28/2/2008: GUNNS' PROFITS LOWER
Gunns announced a reduced half year profit of $14.9 million. Some broker recommendations have been downgraded.

23/02/2008: PULP MILL WILL NOT BE IMMUNE FROM GREENHOUSE SCRUTINY - LENNON
Tasmanian Premier Paul Lennon has asked Professor Ross Garnaut to assess the impact of the Tasmanian forestry industry on the greenhouse effect. He said that the recommendations will be implemented even if it adversly affects the pulp mill.

Australian

22/02/2008: GUNNS ARROGANT UNPROFESSIONAL COWBOYS - RAVERTY
Pulp and paper expert Dr Warwick Raverty says that Gunns have not received any recognisable support from other pulp and paper manufacturers in Australia probably because they could be afraid the Longreach project may give the industry a bad name with unacceptable odour emissions in the Tamar valley.

Tasmania Times

19/2/2008: STOP LOGGING FORESTS MEETING TOLD
An international forestry convention in Hobart has been told to stop logging old forests.

Mercury

16/2/2008: PULP MILL STILL UP IN THE AIR
A meeting of 290 contractors hoping for work on the pulp mill development has been told that the project still has to be voted on by the Gunns' Board and that finance had still not been finalised according to the Hobart Mercury.

12/2/2008: WE CAN FIELD 6,500 - WILDERNESS SOCIETY
Vica Bayley of the Tasmanian Wilderness Society says that they will protest for years if the mill is built.

Mercury

9/2/2008: PROTESTORS SHARPEN THEIR CLAWS
Preparations are being made to disrupt the building of the mill. Tasmanians against the pulpmill (TAP) are running training camps for peaceful protests.

Australian

8/2/2008: FEDERAL GOVERNMENT TO BLAME FOR DELAYS - GAY
Gunns' CEO John Gay said that the timeline was out of date due to Federal Government delays in issuing permits and that no work would be carried out on the site until further permits were issued. He also said that the Gunns' Board would meet soon to approve the project which means they will have to disclose their source of funding to the Stock Exchange. There is also a rumour that Gunns are negotiating to sell their Tamar Ridge wine interests to Lion Nathan.

7/2/2008: GUNNS PROVIDES TIMELINE FOR MILL
Gunns have provided a time table for construction of their pulp mill at Longreach on their website. Gunns hope to start earthworks by the end of February and begin construction in August. It must be noted that Gunns have completely failed to meet any of their self-imposed deadlines in the past. Earthworks cannot begin until the Federal department passes further modules. Gunns have signed a contract with Poyry, the Swedish company that designed the mill, and have leased houses for their engineers so they obviously expect to be going ahead but, so far, there has been no confirmation of funding, a contract with the construction company or the Gunns' Board approving the project.

Gunns site

The timeline for the submissions and construction is on page 8 of the overview section. It is already behind schedule:

Overview - scroll to page 8

6/2/2008: CELCO EXECUTIVES TO BE QUESTIONED ABOUT TOXIC LEAK
The furore about the leak of toxic chemicals from the CELCO pulp mill that killed thousands of fish has involved executives of the company.

Santiago Times

5/2/2008: GEORGE TOWN ELECTOR POLL
In a Council elector poll in George Town, the place nearest where the pulp mill is supposed to built and where support for the proposal was considered to be strongest, nearly 50% of electors who voted opposed the mill. This has got to be a very disappointing result for supporters of the mill to get such a poor result in their heartland.

4/2/2008: LAWYERS FOR FORESTS TAKE GARRETT TO COURT
The group 'Lawyers for Forests' have started a legal battle against the Federal approval of the pulp mill on six counts. The case will be heard on March 18th.

1/2/2008: MINISTER APPROVES SITE CLEARANCE
In a statement released at 5.20pm on a Friday afternoon, Environment Minister Peter Garrett has approved the first two modules of the pulp mill plan. This means that Gunns can go ahead and clear the site. Another 14 modules will require the Minister's approval before further work can be done. The wisdom of allowing Gunns to clear the site before they have obtained the finance for the project has been questioned by environmentalists. The rumour is that ANZ are going to say NO and that the project is going to cost more than Gunns have budgeted for.

The Australian

29/1/2008: PULP MILL COULD COST TASMANIA $300 million
A new study has indicated that Gunns' figures on the financial benefits of the pulp mill are extremely optimistic and, in fact, the overall effect is more likely to be negative than positive.

$300m. cost

28/1/2008: FOREST INDUSTRY FUTURE BLEAK
A report in the Australian today says that, even with a pulp mill, competition from South America and Asia will mean low returns for Tasmanian forestry in the future.

The Australian

23/1/2008: DANNI ECUYER SAYS MILL NOT GOING TO HAPPEN
Former investment banker Danni Ecuyer says nobody is likely put money into the pulp mill in the present financial meltdown:

Danni Ecuyer

22/1/2008: OPPONENTS TAKE HEART FROM MORE MILL DELAYS
Further delays to the approval process and finance arrangements make it more and more likely that the pulp mill will never happen according to opponents:

Australian

18/1/2008: SO MUCH FOR TRANSPARENCY
The State Government has failed the transparency test again. A freedom of information request from the Greens on Gunns' construction permits has been refused. What possible reason can there be other than they're totally inadequate?

FOI refused

16/1/2008: IFT WINDING UP
The small group of businessmen and women called the 'Investors for the Future of Tasmania' (IFT) are calling it a day. The group tried unsuccessfully to stop the pulp mill in court. Mill supporters may think that this is a sign that opposition is abating but they would be wrong. The Greens, The Wilderness Society, Lawyers for Forests,Geoff Cousins and Tasmanians against the pulp mill (TAP) are all determined the mill will not proceed. And they will have plenty of time to campaign now that Gunns have admitted serious construction will not be for at least 6 months. It also looks increasingly improbable that Gunns will get the finance any time soon with the current credit crisis. Gunns' board has yet to approve the mill. If and when they do Gunns will have to disclose their loan arrangements to the stock exchange. If it gets to that point expect there to be a massive campaign against the lenders.

11/1/2008: GARRETT TO MAKE DECISION SOON
Federal Environment Minister Peter Garrett will make a decision on a permit to allow Gunns to clear the pulp mill site at Longreach within a few days.

Decision soon

4/1/2008: GUNNS WAIT ON FEDERAL APPROVAL
Gunns intend to press for initial approval from the Federal Government next week to start work on their site. However, they admit, according to the Examiner, that construction will not start for 6 months. Gunns continues to issue statements that contradict what they have previously said. For example - any delays beyond 1st September would make the project unviable.

ABC report

3/1/2008: PULP MILL ON SHAKY GROUND
News on the pulp mill has been sparse over the Christmas period but opponents such as Geoff Cousins, Danni Ecuyer, TAP (Tasmanians against the pulp mill) and the Wilderness Society have vowed to continue the battle in 2008 with renewed vigour. A court challenge from Lawyers for Forests is due to start in a month. There have been rumours that the ANZ will not approve funding for the mill and/or that the chief scientist will reverse his approval in his next report due later this month. The financial situation is not looking good for Gunns with interest rates rising and credit getting increasingly hard to obtain. Also the price of oil is going through the roof and there is the threat of a recession in the United States and unrest/war in the Middle East. Another factor is the possible increase in construction costs if workplace reforms are abolished. A report has stated this could increase costs by as much as 7%. The Federal Government may take a dim view of Gunns' breach of conditions although it was only a minor breach by a firm checking out the local water table apparently.

21/12/2007: GUNNS BUYS LAND BUT PERMITS STILL TO BE GRANTED
Gunns has completed the purchase of the land at Longreach for the pulp mill from RIO TINTO but has yet to be granted a permit to clear the site nor has it yet signed contracts with the builder.

Mercury

20/12/2007: GEORGE TOWN COUNCIL HOLDS ELECTOR POLL
George Town Council are holding an elector poll on the pulp mill in the new year. It will cost $20,000 to conduct instead of the $5000 it would have cost if conducted at the time of the Council elections. Mill opponents say the Council is to blame as they ignored requests for an elector poll last year.

19/12/2007: HOBART COUNCIL WILL SEND RESULTS OF POLL TO CANBERRA
The Hobart City Council will send the results of their elector poll to Federal Ministers Penny Wong and Peter Garrett. The poll revealed that over 75% of voters were opposed to the mill proposal and the way it was approved.

Mercury

18/12/2007: ANZ AGM BRIEFED ON MILL
The Wilderness Society briefed the ANZ AGM on the mill today at the invitation of the ANZ CEO Mike Smith. The ANZ chairman said that the bank had yet to decide on whether to finance the mill. The Wilderness Society said that they could not approve the mill without breaking the Equator Principles which the bank has signed.

Tasmanian Times

18/12/2007: CANADIAN PULP MILL FAILS TO MAKE PROFIT - CLOSED
The closure of a Canadian pulp mill was announced yesterday. It cannot make a profit because of the high value of the Canadian dollar. The Australian dollar has been gaining on the American dollar in recent months.

Kymmene Pulp and Paper mill

15/12/2007: ANZ MAY SAY NO
There are rumours that the ANZ Bank will not finance the mill according to Crikey.com. This would mean Gunns would have to look elsewhere for finance and it could mean higher interest payments and more risk.

14/12/2007: WILDERNESS SOCIETY DROP COURT CASE
The Wilderness Society have decided not to appeal against the decision that supported the EPBC assessment.

14/12/2007: GUNNS ON SHORT-LIST TO TAKE OVER CARTER HOLT
According to the Australian today, Gunns are on the most favoured list to buy the New Zealand timber company Carter Holt. This company is worth more than Gunns so it is likely that there would have to a substantial capital raising - perhaps in the form of a rights issue.

12/12/2007: GUNNS HAVE NOT HAD QUOTE FROM LEIGHTON YET
Gunns may be in for a shock when they get the quote from Leightons to build the mill:

Michael West

10/12/2007: GUNNS MAY HAVE BREACHED CONDITIONS
A report today says that work on the pulp mill site may have breached the planning Ministers' conditions. Section 20 (a) of the approval document says 'No disturbance must occur until such a time as the relevant pre-construction and construction requirements of the EIMP have been approved by the Minister'.

Mercury

8/12/2007: SHAREHOLDERS QUESTION ECONOMICS OF MILL
A blogspot has questioned whether building the mill is a sensible economic decision and complains that Gunns Ltd AGM was halted before this could be discussed by shareholders.

Investor information service

5/12/2007: LAWYERS FOR FORESTS CHALLENGE MILL APPROVAL
A legal challenge to the pulp mill approval decision will be submitted in Court today based on the premise that Malcolm Turnbull had insufficient information to approve the project because the marine effluent survey and modelling had not been completed. It will be heard on February 4th.

Australian

29/11/2007: PETER GARRETT APPOINTED ENVIRONMENT MINISTER
In a move that will please conservationists, PM elect Kevin Rudd has appointed Peter Garrett as Minister for the Environment.

29/11/2007: RAVERTY TELLS GEORGE TOWN - IT'S GOING TO SMELL
In a submission to the George Town Council for their public meeting, pulp and paper expert Dr. Warwick Raverty warns the residents of George Town to expect the pulp mill to smell.

Raverty

28/11/2007: GEORGE TOWN COUNCIL MEETING REJECTS MILL
At a public meeting in George Town last night, a motion that called on the Council to withdraw its support for the pulp mill was passed as well as one that called on the council to undertake a health and safety risk assessment of the project.

ABC

27/11/2007: GUNNS BIDS FOR AUSPINE AND SUSPENDS SHARES
Gunns Ltd has offered $7 a share to purchase the 39% of Auspine that it does not own. Meanwhile, shares in Gunns Ltd were suspended at the company's request pending an announcement on Thursday. We can only guess at the subject of the pending announcement but it must be pretty major to suspend the shares. Are they about to pull the plug on the mill? - Or perhaps they are going to bid for Carter-Holt, the New Zealand timber company that is for sale and that would fit very nicely on to Gunns' existing business. It could just be to stabilise the shares until the Auspine deal is complete.

27/11/2007: RAVERTY SAYS MILL WAS ELECTION ISSUE
Former RPDC panel member Warwick Raverty says that the swing from the Liberals to the Greens was at least partially caused by the pulp mill issue.

Typingisnotactivism

26/11/2007: ELECTION RESULT HITS GUNNS' SHARES
Gunns' shares fell sharply today as investors realised that the Green party would have the balance of power in the Senate and could us this to impede the pulp mill. Greens' leader Bob Brown has called on the new Government to review the pulp mill decision.

25/11/2007: ELECTION RESULTS REFLECT PULP MILL UNEASE
A huge increase in the Green vote across Tasmania shows that the opposition to the pulp mill had quite an effect. Senator Bob Brown was elected with a full quota and it is possible that the second Greens candidate, Andrew Wilkie, will be elected on preferences. The pulp mill backlash has almost certainly cost both Liberal sitting members in the lower house their seats. The man who insisted that Malcolm Turnbull approved the mill, John Howard, has gone. If he loses his seat by a small margin, it may well be that the pulp mill issue sunk him too. Malcolm Turnbull, who is against the mill according to Geoffrey Cousins, was re-elected and may be a candidate to be leader of the opposition.

Sue Neales

24/11/2007: ISSUE GETS AIRING IN BRITISH PRESS
The pulp mill issue is featured strongly in this article in one of Britain's quality daily newspapers.

The Guardian

Many thanks to the person who sent this cartoon:

23/11/2007: BOTNIA STARTS UP - WHAT A PONG!
The newest pulp mill in the World featuring state of the art technology has opened up in Uruguay. There are reports of revolting smells and people ill with nausea and vomiting. Here is a transalation of the report:

Transalation

23/11/2007: THE MOST EXTRAORDINARY AGM
Crikey.com's Stephen Mayne said that the Gunns' AGM was the most extraordinary he had ever been to.

Stephen Mayne

There were threats and scuffles:

ABC report

22/11/2007: COURT REJECTS WILDERNESS SOCIETY APPEAL
The High Court today rejected the Wilderness Society appeal against Malcolm Turnbull's assessment of the mill.

22/11/2007: GUNNS AGM DISSOLVES INTO CHAOS
In Launceston today, at Gunns' AGM, Gunns' CEO John Gay announced a reduced yearly profit of $75m. He said that he was confident that the proposed pulp mill will be competitive and profitable. The meeting broke up in choas as Anti-pulp mill shareholders asked Gay difficult questions and the CEO stopped the AGM without finishing the agenda.

Mercury report

21/11/2007: FLANNERY SAYS MILL UNLIKELY
Australian of the year, Professor Tim Flannery, says that Gunns will be lucky to find anyone to finance the mill:

Flannery

20/11/2007: FLANAGAN SAYS MILL MUST BE STOPPED
Author Richard Flanagan said in his speech to 15,000 at the Hobart rally that the mill must be stopped for Tasmania's sake:

Flanagan

20/11/2007: ANZ WILL LOSE HUNDREDS OF ACCOUNTS
The Wilderness Society picketted ANZ Banks today and predicted that ANZ would lose hundreds if not thousands of accounts it it financed the mill:

Mercury

19/11/2007: LAUNCESTON COUNCIL WITHDRAWS SUPPORT FROM PROJECT
Launceston City Council withdrew its support for the pulp mill project this afternoon in a vote by 7 votes to 5 reflecting the change in numbers after the Council elections.

ABC

18/11/2007: NOTHING IS GOING RIGHT FOR GUNNS
The Age reports that financial markets are getting worried about Gunns' pulp mill project.

The Age

17/11/2007: PULP THE MILL - WE CAN, WE WILL!
15,000 people demonstrated in the rain against the mill in Hobart today chanting "Pulp the mill - We can, we will". There were speeches by Bob McMahon, Naomi Edwards, Geoffrey Cousins and Richard Flanagan. Traffic had to be halted as thousands marched through the streets after a rally in Franklin Square.

Hobart Rally

The Wilderness Society are targeting financiers involved with the project:

It's not over yet

13/11/2007: ETHICAL CORPORATION QUESTIONS MILL FINANCE
The magazine 'Ethical Corporation' reports that institutional investors are unhappy with Gunns' pulp mill project.

Gunning for Gunns

13/11/2007: TAP ANNOUNCE HUGE CLASS ACTION IF MILL PROCEEDS
Tasmanians against the pulp mill (TAP) say that they will organism the largest legal class action that Australia has ever seen if the mill is built encompassing issues like falling house prices, lost business for tourist ventures and prime producers and health problems.

The Mercury

13/11/2007: NATIONWIDE POLL AGAINST MILL
A nationwide poll says that 52% of Australians think there should be an inquiry in to how the pulp mill was approved. Nearly twice as many are against the mill as for it.

12/11/2007: POLL SHOWS 54% DON'T WANT MILL
A Wilderness Society poll has found that 54% of Tasmanians do not want the pulp mill with 37% saying they do and the rest with no opinion. Pressure is building on the ANZ bank not to finance the mill. The bank already has links with a company in Papua New Guinea that has been accused of illegal logging.

Pressure on ANZ

12/11/2007: ARGENTINA ANGRY ABOUT MILL IN URUGUAY
A blockade continues on a bridge near a huge pulp mill in Uruguay about to start operations.

BBC report

11/11/2007: MILL BIG ISSUE IN WENTWORTH
The pulp mill could make the difference in Malcolm Turnbull's seat of Wentworth as polls show the two main candidates running neck and neck.

Wentworth

11/11/2007: COMMENT - WILL THE MILL SLOWLY SINK?
In spite of Gunns' brave statements that there are no problems and that construction will begin before the end of the year (which is impossible under the terms of Turnbull's permits), it looks as though there are many problems for Gunns to overcome. The mill only has a conditional approval, construction cannot begin without the next stage of approval which requires quite a lot of work to be done, and final approval to operate will only be given when Gunns have completed a complicated survey/modelling of Bass Strait which will take over a year. This work must show that the effluent is dispersed efficiently and yet two definitive surveys, one by the CSIRO and one by Paul Sandery of Flinders University (who produce all the tide tables), both show that the area into which the effluent is going only flushes by 1% a day. Any schoolboy will tell you that the maximum concentration of pollutants will be reached after 100 days yet Gunns' IIS says that it will be 30 days (which would require 3.3% flushing a day). The IIS acknowledges the Sandery survey but says the reason for the difference is that Bass Strait is a very large body of water - not exactly a scientific explanation. So how is a new survey going to prove efficient dispersal? The results of Gunns' survey will be checked by the panel of top scientists. If Gunns build the mill but cannot get approval to operate then a further level of effluent control will have to be built on at vast expense and potentially fatal delays. Who would lend a huge amount of money to a company in these circumstances? If they're wise, they will insist on the survey being completed and passed first.

As well as that, there are reports that the new permit conditions have increased the cost of the project perhaps beyond Gunns' ability to raise funds or beyond the point where it is economic. This could be the reason why Wal King of Leighton Holdings said it would a long, long time before it was built, if ever. The other reason could be shortage of skilled labour. Many of the workers will be working on other projects which will have to be completed before they can join the project.

Political uncertainties also surround the project with the election likely to result in the Greens having the balance of power in the Senate. Could Green demands that the pulp mill be stopped before vital Government legislation is passed derail the project? And, if as seems likely Labor get in, will the MIS schemes that plantations rely on be stopped? Or will Gunns go ahead when they AWAs are abolished? Interest rates are rising, World credit supplies are drying up, the oil price is going through the roof and the Australian dollar is high reducing Gunns' profits on woodchip exports. Another possibility is that a new Labor Government will legislate to force the mill to use plantation wood making it less economic.

Finally, there is international tension in the Middle East. Another conflict could see an oil blockade, huge increases in the oil price and a financial downturn. If the price of wood pulp falls the financial backers of the project might pull out.

8/11/2007: WILL THE MILL EVER BE BUILT?
At the Leighton AGM, boss Wal King says that it will be a long time before the Gunns' pulp mill will be built - if it ever is.

A long time

8/11/2007: STUDENTS DEMONSTRATE IN LAUNCESTON
About 350 students demonstrated peacefully in Launceston today against the pulp mill.

ABC

8/11/2007: TASMANIA'S PLANNING SYSTEM GETS A 'D'
Tasmania's planning system has been awarded a lowly 'D' partially because of the botched pulp mill assessment process. The planning institute of Australia has little confidence in the process.

ABC

8/11/2007: GREEN SUPPORT IN TASMANIA CLIMBS
The latest poll shows Green support in Tasmania has soared and, as most Green preferences go to Labor, the Liberals are likely to lose Bass and Braddon. The poll also shows Bob Brown will win a full quota for the first time in the Senate.

EMRS poll

6/11/2007: The Australian has printed the story:

The Australian

5/11/07: TURNBULL SAID HE HATED THE MILL
According to garden guru Peter Cundall, Malcolm Turnbull said that he hated the mill and the Tamar valley was a stupid place to put it. In reply Mr.Turnbull said that he only said he hated the State Government process but Peter Cundall says that is incorrect and that there are plenty of witnesses. So why did Turnbull approve the mill, albeit with much tougher conditions? The only answer is that it was forced on him by senior Liberals who thought they would lose votes in northern Tasmania (by now they must be thinking again!) if they rejected it. Either that, or because John Howard is friends with John Gay. Either way, it is hardly a good reason to approve a project that has the potential to affect so many lives and businesses.

And he said to me....

In another 'off the record' interview, opposition environment spokesman Peter Garratt said that their policies in power could be different from what they said in opposition and this included the pulp mill.

and I said to him....

2/11/2007: GOVERNMENT THREATENS STUDENTS
As with any action now against the pulp mill, the Police are considering charging organizers of a student anti-pulp mill rally in Hobart yesterday. It seems the State Government are intent on getting their message across that no interference with their beloved pulp mill project will be tolerated. There will be another rally next week in Launceston:

Students march

1/11/2007: TAP CLAIMS VICTORY IN LOCAL POLLS
Tasmanians against the pulp mill (TAP) are claiming a victory for their 'Voters' Block' in the local council elections. In Launceston Pro-pulp mill Mayor Ivan Dean and his deputy were dumped and Jeremy Ball (Green) was easily voted on as well as a TAP member Ian Norton. There is now an anti-mill majority on the Launceston City Council. In the West Tamar, two TAP members were elected and an anti-mill deputy major. Even in George Town 55% voted for the anti-mill mayor candidates although existing mayor Doug Burt just scraped in on preferences. Another Voters' Block endorsed candidate was voted on to the council.

Australian

PERPETUAL'S ETHICAL FUND AVOIDS GUNNS
Gunns' largest shareholder Perpetual has an ethical fund which avoids Gunns' shares. Perpetual have taken the unusual step of discussing their holding in Gunns at a board meeting because of investor disquiet.

Perpetual wary

31/10/2007: PRO-PULP MILL MAYOR, IVAN DEAN, DUMPED BY ELECTORATE
In what must be seen as a win for Tasmanians against the pulp mill's voters' block, the mayor of Launceston, Ivan Dean, was voted out of office. The major of George Town came close to being booted out as well and Green candidates have scored dramatic victories. The full results will be known later today.

30/10/2007: HOBART POLL SHOWS HUGE OPPOSITION TO PULP MILL
The elector poll in the Hobart local elections shows that over 75% are against the process used to approve the pulp mill and over 76% are against it being sited in the Tamar valley!

30/10/2007: DANI ECUYER CUT OFF AT PERPETUAL MEETING
Anti-pulp mill protesters caused quite a stir in Sydney today at the AGM of Perpetual Ltd which holds a large stake in Gunns Ltd. Several protesters were ejected from the hotel for handing out leaflets.

Sydney Morning Herald

ABC

29/10/2007: THE TRUTH COMES OUT - DIOXIN LIMITS WERE DECIDED BY GUNNS!
Chief Scientist Jim Peacock now admits that Dioxin levels allowed in Gunns' effluent will be a lot higher than mills in Sweden and Canada and that the levels allowed were actually suggested by Gunns. Far from being four times more stringent as Turnbull claimed, in fact they were more than three times the level of similar mills in Canada and Sweden. The lies just keep coming:

Dioxin levels

28/10/2007: EFFECT OF MILL ON WILDLIFE NOT CONSIDERED
In a far-reaching article in the Australian, Matthew Denholm says that whilst measures have been taken to prevent loss of species around the construction and effluent sites, absolutely nothing has been done in the assessment process to consider whether the huge amount of logging will impact on protected species:

Chip off the old blockade

26/10/2007: ABETZ ISSUES MILL PROPAGANDA
The Federal Minister for forestry has issued a list of answers for Federal Liberal candidates when they are asked about Gunns' pulp mill. It contains the usual answers including how much of Tasmania is reserved (and so it should be). It does not say that a large percentage of farmland will be bought for plantations so increasing Australia's imports of food and ruining Tasmania's beautiful landscape - a mix of farmland and forests. No tourists will pay to come and see trees planted in neat rows:

Sydney Morning Herald

25/10/2007: RPDC CHIEF SAYS FULL ASSESSMENT OF THE MILL WAS NECESSARY
Responding to statements from Gunns and Paul Lennon that the RPDC assessment of the proposed mill was too long, RPDC chief Simon Cooper described the criticism as ill-informed and said that the public should have been able to have their say at public hearings.

Mercury report

24/10/2007: MILL FAILS GREEN POWER TEST
The Green revealed today that the power produced by the pulp mill will not receive green creditation because it will burn old-growth forest. This could affect the ability to raise funds for the mill. Also revealed today was the profit figures for Forestry Tasmania which showed that taxpayers received zero dividends for all the forestry assets in the state whilst Gunns made $88m. profit.

23/10/2007 :MILL CONSTRUCTION WILL START IN JANUARY - GAY
John Gay said today that he expected the construction of the mill to begin in January. Mr. Gay has made statements like this in the past and been wrong and it looks a little optimistic. In fact, Mr.Gay's comment might be aimed at possible investors rather than the public as it also says that Gunns had no problems with Mr.Turnbull's 48 extra conditions. Road works at the entrance of the Longreach site will be started soon but these are road improvements only.

22/10/2007: NEW STUDY SHOWS DIOXINS PRODUCE MORE GIRLS
A new Canadian study shows that populations exposed to dioxins from heavy industry produce more girls. Effluent has also been known to skew the gender balance in the seas around the outfall (see effluent section).

Dioxin report

20/10/2007: FISHERMEN KNOCK BACK CELCO - 'SEAS NOT FOR SALE'
Fishermen near the Celco pulp mill at Valdivia have refused compensation payments which would allow Celco to dump effluent in to the sea where they fish. The company was told it can no longer dump effluent in the Cruces river because it caused an environmental catastrophe and is now trying to build a pipeline to the ocean. This is an interesting story:

Santiago Times

20/10/2007: BUSH FIRE SHOWS HOW POLLUTION WILL STAY IN VALLEY
This morning Tamar valley residents awoke on a windless, cloudless day to find that a relatively small bushfire along the East Tamar Highway had filled up the valley with smoke demonstrating once again that any pollution released in the valley is trapped by an inversion layer.

20/10/2007: WOOD SUPPLY FIGURES RELEASED - INFLATION FROZEN AT LESS THAN 2% FOR GUNNS
The agreement between Forestry Tasmania and Gunns Ltd has finally been released (after all the political decisions have been made!). The price will depend on World pulp prices with the lowest that Gunns will pay being $12.50 a tonne for native forest and $27 a tonne for plantation. There is no timeline for Gunns to switch from native forest to plantation. Plantation wood produces at least 10% more pulp but, when pulp prices are low, will cost more than twice as much. So guess which source Gunns will be using. Increases for inflation look modest too with no increase at all for 5 years in the lowest price then a 12% increase - that's less than 2% compound per year. The present level of inflation is 3% and, if that continues, Gunns will be paying over 20% less in real terms in 20 years.

19/10/2007: PULP MILL DECISION BITES BACK
The Liberals have halved the ALP opinion poll lead nationally in the last few days but there is a glaring exception, Bass, where the pulp mill is due to be built. In Bass, a survey found that one in four voters was less likely to vote Liberal because of the pulp mill approval:

The Australian

19/10/2007: DANIELLE ECUYER COMES OUT FIGHTING
Women For Change Alliance (WFCA) founder Danielle Ecuyer describes her recent trip to Tasmania in the latest WFCA newsletter. Ms.Ecuyer describes Tasmania as a sophisticated World-class tourist destination:

WFCA newsletter

18/10/2007: COURT CASE TO LAST THREE DAYS
It is thought that the appeal against the original decision of the High Court to dismiss the Wilderness Society's case against Malcolm Turnbull will last three days and finish on Friday. The judgment is not expected for some weeks.

17/10/2007: PROTESTORS EXPOSE GOVERNMENT SHAME
A band of three protestors have exposed just how touchy (ashamed?) the State Government is about the pulp mill. They were on top of the Batman Bridge 90 metres up for two days before anyone noticed. No traffic was held up. The routine maintenance work on the bridge carried on as usual. Now, desperate to avoid too much publicity, the authorities are pulling out all the stops to get them down even though they say they will come down on Friday by themselves.

The Batman Bridge is just south of the pulp mill site on the Tamar estuary

The top is 90 metres high. It can be seen for miles. The pulp mill will be 190m. above the water.

A rather over the top reaction involving 12 vehicles

An embarrasing banner for the State Government

The story has made The Australian

EUROPEAN PERCEPTION OF AUSTRALIA - THE STUPID COUNTRY
This article in The Age says that Australia does not take advantage of its natural resources and includes the pulp mill proposal as an example of stuffing up our future for the sake of a few extra dollars now:

The stupid country

Are we stupid? This picture was taken from the Batman Bridge immediately below today's protest. How do you stuff up a beautiful place like this? Easy, you build a 3km. long, 190m. high pulp mill just round the corner!

15/10/2007: NO SAFE LEVEL OF DIOXIN
Gunns' proposed pulp mill will produce as much dioxin as the whole of the Swedish industry combined and that the level being allowed was surprising as there was no safe level for dioxins according to an article in The Age:

The Age

14/10/2007: ADVISOR SAYS MILL APPROVAL CRAZY
Science advisor Dr. Thomas Moore said today at the Bondi Beach meeting that it was unbelievable that the mill could be approved before the science had been done and that Gunns' very existence could be put at risk:

13/10/2007: DANIELLE ECUYER STANDS IN WENTWORTH
Filled with passion after her visit to the Tamar valley and north-eastern logging coupes, Ms. Ecuyer has decided to stand for parliament:

Ecuyer stands

12/10/2007: TURNBULL APPOINTS EXPERTS
Malcolm Turnbull has appointed a panel of experts to make sure that Gunns complies with the conditions laid down in Jim Peacock's report. These experts will be able to ensure compliance unlike the pathetic permits laid down by the Tasmanian government:

The expert committee

FORESTRY TOUR LEAVES PARTICIPANTS 'GOBSMACKED'
Yesterday, a tour of an area being logged organised by Tasmanians against the pulp mill (TAP), which included anti-pulp mill campaigner Danielle Ecuyer, returned amazed by what they had seen. Some were reduced to tears by the destruction of the pristine forest areas with trees several hundred years old amongst those logged (so much for no old growth logging).

11/10/2007: MILL OPPONENTS TACKLE NEWHOUSE
George Newhouse, Malcolm Turnbull's Labor opponent in Wentworth, is now being targeted by anti-mill activists:

Australian

MILL SAGA MAY RESULT IN FORESTRY RE-THINK
Judith Ajana writes in 'The Age' that Gunns will have to use native forest for its pulp mill to compete with South America and that the furore created by this proposal may force the major political parties into a re-think on forestry policies:

Judith Ajani

10/10/2007: MILL PROPOSAL DOES NOT ADD UP - BUSINESS AUSTRALIAN
John Durie in the Business Backpage of the Australian says that this project is literally a bet-the-company proposition with interest bills outweighing Gunns' earnings, production costs nearly double those in Brazil and investment scheme owners getting very poor returns. These figures were supplied by a consultant who cannot work out how the mill will pay its way.

John Durie

9/10/2007: BOTH PEACOCK AND TURNBULL WARN GUNNS
Federal environment minister and chief scientist have both warned Gunns that it cannot start construction until 3 months of data is collected and if their effluent modelling proves to be inadequate or shows that pollutants will accumulate then the mill will not be allowed to operate and that to start construction of the mill before the effluent studies are completed constitutes a risk.

Turnbull

Peacock

BEN QUIN STANDS
Ben Quin, who resigned as Lyons Liberal candidate, is standing as an independent. The Greens say they will direct preferences his way. Ben was interviewed by Kerry O'Brien on the 7.30 report and came over very well:

Ben Quin on 7.30 report - transcript

Once again, the Business Australian today advises investors to AVOID Gunns' shares.

8/10/2007: FINANCE NOT A PROBLEM SAYS GUNNS
Gunns say that it does not matter if the banks do not approve their funding. Of course it matters as Gunns would be forced to borrow overseas at greater cost and with the dangers of currency movements. In fact, Gunns do not usually comment on campaigns against them so it is likely that they ARE worried about finance and that they are trying to stop ANZ being targeted.

Robin Gray says mill will be built

7/10/2007: APPROVAL DECISION IGNITES COMMUNITY ANGER
If the politicians thought that the 'final' decision on the mill would signal an end to the matter, they've been quickly disappointed. A huge rally was held today at Low Head. Thousands of angry Tamar valley residents gave Bob Brown a standing ovation and heard him say that the decision was open to legal challenge.

Wotif boss Braeme Wood is furious that the assessment did not take into account loss of tourism:

Wotif boss is angry

Environmental websites all over the World have latched on to the story:

Environment news

Local groups such as Tasmanians Against the Pulpmill (TAP) and the Wilderness Society are preparing for battle:

Voters' Block

ANZ Bank may find it hard to approve finance with such vocal opposition:

Finance and the ANZ Bank

6/10/2007: LIBERAL CANDIDATE QUITS
Lyons Liberal candidate Ben Quin has quit the Liberal party in disgust at the pulp mill approval.

Quin quits

LENNON'S HYPOCRISY REACHES NEW HEIGHTS
Tasmanian Premier Paul Lennon now says that he wants to heal the divisions in Tasmanian society caused by the pulp mill dispute. But first he gave a triumphal speech guaranteed to annoy anyone who has witnessed the way that he has lied and cheated to try and get his own way. In any other state in Australia Lennon would be history by now and in disgrace. It speaks volumes about the quality of our parliamentary representatives that he is still there after misleading parliament and the people. The Federal assessment over a small section of the mill's possible environmental footprint found dozens of concerns. How many would have been found if the whole project had been assessed? The State assessment did not even look at possible health effects and fugitive odour emissions - the area of largest concern to residents and businesses.

Sue Neales in the Mercury

CHIEF SCIENTIST'S REPORT
Section 2.1.1.6 states quite clearly that 3 months of roadkill data must be collected and analysed before construction can commence. Presumably this will not begin until Gunns' board give the go-ahead. John Gay is sadly misinformed if he thinks construction can start this year. With the long Summer break, the end of January would seem a more optimistic date to aim for.

5/10/2007: ANZ HAVE NOT DECIDED ABOUT MILL FINANCE YET
Gunns' bankers, the ANZ, have not decided yet if they will finance the mill. They have commissioned reports on the project. Businessman Geoffrey Cousins is trying to persuade them to refuse finance.

ANZ and the mill

COMMENT: Malcolm Turnbull has hidden behind a scientific report and obviously cares more about his own political future more than the residents of the Tamar valley who may have to put up with the dreadful odour of this mill on and off for the next 50 years. One thing is now certain - The Liberals will lose Bass and Braddon in the coming election and Mr. Turnbull will probably be booted out from Wentworth where there is anger at his decision. He had the power to stop it, he knew it was an inadequate state assessment but he did nothing. Reports from around Australia indicate that there is absolute outrage that this project has been given the green light and there will be a backlash.

4/10/2007 MILL APPROVED BUT 24 MORE STRICT CONDITIONS.
Some of the conditions will have to be satisfied before construction can begin, some before the mill can start up. Gunns will have to draw up an environmental impact management plan (EIMP) in co-operation with the scientific committee. Some parts of this will have to be completed and passed by the minister before construction can begin. Unlike the rather pathetic permits drawn up by the state government, there are provisions to shut down the mill if trigger limits are exceeded. Monitoring will be more extensive and strict and will be controlled by the Commonwealth department. There will be Commonwealth site inspectors during construction. The levels of dioxins and furans will be one quarter of current World's best practice with trigger limits one sixth. These are very tough guidelines indeed and Gunns may find it hard to operate within them. But Gunns CEO John Gay says that he will press on with the mill but he thinks the guidelines are unfair. It remains to be seen whether the threat of legal action from Geoffrey Cousins and the Greens will eventuate.

The conditions

The chief scientist's report

Summary of chief scientist's report

3/10/2007: DECISION WILL BE ANNOUNCED TOMORROW
Federal environment minister Turnbull says the pulp mill decision will be announced tomorrow.

3/10/2007: NEW POLL SUGGESTS LIBERALS COULD WIN BASS - IF THEY SAY NO TO THE MILL
An opinion poll released today says that a large percentage of voters could change their vote over the pulp mill issue and it might be the only way that the Liberals can hold Bass:

Opinion poll

HERBICIDE STUFF-UP WORST POSSIBLE TIMING FOR GUNNS
A serious herbicide leak has occurred in Western Creek from one of Gunns' plantations. Local pasture, an irrigation dam and possibly rivers supplying Deloraine, Westbury and the West Tamar could have been affected. The incident took place a couple of months ago and it taken a while for the news to leak out. Environmentalists are asking if Gunns cannot be trusted on a simple matter such as this to take all possible precautions and immediately inform the authorities if an accident occurs then how can it be trusted to run a large chemical factory?

Australian

2/10/2007: CONFUSION AS RUMOURS AND CONFLICTING STATEMENTS ABOUND
The approval situation has become very confused. Gunns Ltd said they had not seen the scientist's report the same day that the Environment department said they had consulted them. Geoffrey Cousins claims that the report should have been made public if Gunns has seen it. Gunns have not yet made any submission in reply to the report. Gunns' CEO John Gay said yesterday that if there were any more conditions and stricter controls then the project would have to be abandoned (had nobody told him?). Today, he said that the manufacturers of the equipment would have to indicate that they could come in under the required new limits or finance for the project would not be available. A legal opinion obtained by the Greens has confirmed that the EPBC Act does not allow for conditional approvals.

Threat to axe project

Gunns handed report

ABC - additional information required

1/10/2007: TURNBULL ADMITS DECISION MAY GO TO COURT
Malcolm Turnbull has said he will make a decision this week and release the report at the time. He admits the decision could be challenged in court but is confident that the decision will be upheld:

The Mercury

Cousins keeps up the pressure

Bloomberg is in on the act

The conservation vessel, 'Sea Shepherd', sailed in the Tamar this afternoon according to an observer at Beauty Point. It is not known if this is connected in any way with the pulp mill proposal but if an organization like Greenpeace became involved in protest action would create a nightmare for Gunns as access to the site from the river could be blocked and protesting activists could invade the area from the river bank.

30/9/2007: TURNBULL WILL FOLLOW SCIENTISTS ADVICE
Federal environment minister Malcolm Turnbull said this morning on Win TV's Sunday programme that he would be following the advice of the chief scientist, Jim Peacock, to the letter. He said there was no point in asking top experts for advice and then ignoring it.

An interesting article in 'Pulp and paper' by Chris Lang:

Pulp and paper

29/9/2007: TURNBULL CANNOT MAKE MILL DECISION CONDITIONAL
According to a legal opinion obtained by Geoffrey Cousins, Malcolm Turnbull cannot make a decision to approve the mill conditionally under the EPBC Act as it states that the minister must know the full effects of the proposal before approval is given. So, presumably this means that any extra modeling must be done and approved before permission can be given. This would mean that Gunns would have to complete more extensive and expensive work on the effluent discharge before getting permission to go ahead (and that's if the work is satisfactory and shows no ill effects). Gunns' share price is still in full retreat in a rising market.

The Australian

GREEN CANDIDATES TOUR TAMAR VALLEY
The Green election candidates from Wentworth and Kingsford-Smith (Turnbull and Garratt's constituencies) are touring the Tamar valley to see for themselves where the proposed pulp mill will be.

The ABC

28/9/2007: CONDITIONS MAY MAKE MILL UNECONOMIC
If Malcolm Turnbull approves the mill but puts strict conditions such as making the effluent pipe go much further out to sea, insisting on further modeling before approval is given and/or requiring an upgraded treatment plant then the project is likely to be unviable says Matthew Denholm in the Australian:

The Australian

Gunns' share price is falling in an otherwise rising market which suggests all is not well with the proposal.

28/9/2007: LENNON CALLS FOR DECISION
Tasmanian Premier yesterday called for the decision (ie approval) to be made straight away to avoid the possibility of an election delaying the decision:

Mercury report

However, Eric Abetz has told Lennon to pipe down and that it was his ham fisted approach that nearly got the mill sunk:

ABC

27/9/2007: FEDERAL CABINET REFUSED TO MAKE DECISION ON MILL
The report from the chief scientist says that the pulp mill proposal is seriously flawed and should only be approved if far more stringent controls are introduced according to the Mercury today. Federal cabinet has been briefed but refused to make a decision with Prime Minister John Howard in favour of an approval:

Mercury report

COMMENT: If the scientist's report said that the pulp mill was ok then there would be no reason to delay the decision and it would have been announced. So, there are obviously problems and the delay can only be because the minister is deciding exactly what Gunns will have to do to get the go-ahead. The report will be mainly concerned with the effluent and one possibility is that Gunns will be forced to prove without any doubt that the effluent will be dispersed efficiently before they can start building. This would result in a significant delay and further substantial costs for Gunns without any guarantee of approval as the work will be checked by independent scientists - not the cosy Scandinavian set-up that was used by the state government.

26/9/2007: SCIENTIST'S REPORT WILL IMPOSE RIGOROUS CONDITIONS
According to 'The Age', the chief scientists report will impose more stringent conditions on Gunns if the pulp mill is to go ahead:

The Age

24/9/2007: TURNBULL SAYS HE WILL FOLLOW SCIENTISTS ADVICE
Federal environment minister Malcolm Turnbull has said that he will follow the advice given in the chief scientists report closely but that it will take about a week to announce his recommendations. He is going to Washington tomorrow for a few days and will not be back until Sunday. Paul Lennon says he should decide (ie approve it) immediately:

ABC report

23/9/2007: HUNDREDS ATTEND HILLWOOD MEETING
A meeting at Hillwood, in the George Town council area and Bass constituency, attracted hundreds of residents nearly all of whom were opposed to the mill and wanted the council to hold a referendum. Hillwood Hall - standing room only:

A song was written by Tasmanian singer, Jim Welsh, for the event:

Beautiful valley 4.8mb (broadband only!)

22/9/2007: REPORT DUE ON MONDAY
The report on the pulp mill from chief scientist Jim Peacock will be handed to Malcolm Turnbull on Monday and Liberals are urging Mr.Turnbull to approve the project straight away if the report is favourable. The Liberals seem to think that approving the mill will improve their chances of winning Bass. In fact, the opposite is almost certainly true with a massive voters' block organised by TAP (Tasmanians against the pulpmill) pledged to vote against the candidates supporting the mill. Meanwhile, an online submission is being organised to persuade the ANZ Bank not to lend the money for the mill.

Mercury

The Australian

22/9/2007: GUNNS LOOKING AT CARTER HOLT
Gunns are looking to expand abroad and have their eyes on Carter Holt, a large timber-based company in New Zealand that would tie in nicely with their purchase of a controlling interest in Auspine.

ABC

21/9/2007: VIABILITY OF PULP MILL QUESTIONED UNLESS NATIVE FOREST IS USED
A report today on the ABC asked whether in fact the pulp mill will be a plus for Tasmania - or a minus. Actuary Naomi Edwards calculates that the likelihood of large quantities of pulp from South America will cause the pulp price to fall making the pulp mill unprofitable. This would mean Gunns would have to use very cheap native forest timber to compete rather than plantation wood. Forestry Tasmania chief Bob Gordon is trying to negotiate a rock bottom price which Gunns will have to pay for pulp wood regardless of the World price (good luck Bob!) and he says that the profit figure of FT, a meagre 1.5% return for Tasmania, does not represent the true situation (difficult to understand that one, Bob).

World Today

20/9/2007: ASSESSMENT MUST INCLUDE EFFECT ON WILDLIFE - THE AGE
Any proper assessment of the pulp mill must include the long term effect on wildlife due to the intensive forest operations that will be needed to keep the pulp mill fed says Brendan Wintle and Sarah Bekessy:

Clear goalposts

19/9/2007: IFT LOBBYING IN CANBERRA
Investors for the Future of Tasmania (IFT) are lobbying in Canberra today meeting Peter Garratt and Bill Heffernan. Wotif.com founder Graeme Wood says that opponents have a lot of science on their side:

ABC report

18/9/2007: GUNNS BETTING THE COMPANY
Rarely does a company invest more in a project than the company is actually worth. Gunns is worth $1.2bn. and the pulp mill will cost at least $2bn. and probably more with cost overuns. The project is therefore a gigantic risk that will place the company in danger says the Business Australian back page today:

John Durie

18/9/2007: LENNON APPOINTS EX-FOREST BOSS
In a move calculated to infuriate anti-mill groups, Premier Paul Lennon has appointed ex-Forestry Tasmania boss Evan Rolley to be the new cabinet secretary, the most powerful civil servant in the State:

Evan Rolley

17/9/2007: JIM PEACOCK IN TASMANIA
The government chief scientist reviewing the pulp mill, Dr. Jim Peacock, is in Tasmania today for talks with some of the scientists who are opposed to the project. He will meet with Gunns tomorrow.

Chief scientist

17/9/2007: SCIENTISTS CALL FOR FURTHER TESTS
A panel of more tham 120 scientists have called for more tests before the pulp mill is approved. They say that the fast-track assessment left out vital areas and these need investigating. Gunns have replied by saying that it is just an attempt to delay the project and that they have not taken in to account advances in technology since Wesley Vale. However, many submissions to the RPDC suggested these studies were done and Gunns have ignored them so, if they end up having to do them, they will only have themselves to blame for the delay:

Scientists not happy

17/9/2007: JOHN GAY ADMITS THAT GUNNS HAS BEEN DAMAGED
In an interview with the Business Australian, Gunns' CEO John Gay admits that the pulp mill has been a public relations disaster for Gunns and that they were being pushed backwards in the financial markets. He admits now that it is far from certain that the mill will proceed and says, if it does not, Gunns will shift their focus to the mainland and Asia:

Business Australian

17/9/2007: HOBART COUNCIL WILL HOLD POLL
Hobart city council will ask its electors whether they approve of the pulp mill process. It is suggested that if there is a large no vote then Paul Lennon should resign.

16/9/2007: GREENPEACE BLOCKS PULP EXPORTS
A headline that will send shivers down the spine of Gunns' directors and shareholders if the mill goes ahead. Greenpeace regard Gunns as one of their top targets and the Tamar would be easy to block as the channel is so narrow:

Blockade

16/9/2007: PULP MILL NOW AN ISSUE IN GARRATT'S SEAT:
The Greens candidate in the Federal seat of Kingsford Smith, where shadow environmental spokesman Peter Garratt is the sitting member, has introduced the mill as an election topic. She will have to check her facts though - it isn't a paper mill!

ABC report

16/9/2007: GRAEME WOOD BLASTS PULP MILL ASSESSMENT
Graeme Wood, founder of wotif.com, appeared on Sky Business Sunday this morning and said that the pulp mill assessment had not been done properly and, unless it was thoroughly assessed and found to be non-polluting and sustainable, it should not be allowed to go ahead. He said that 4000 new jobs in tourism could be created with a bit of effort from the State Government but not if all the trees are cut down.

The Age

15/9/2007: NEW STUDY SHOWS AIR POLLUTION CAUSES STROKES AND HEART ATTACKS
A new British study shows that air particulates, especially diesel fumes, increases the likelyhood of heart attacks and strokes. This has implications with the likely tripling of heavy goods vehicles to Longreach and the particulates being emitted from the mill stack.

Medical study

15/9/2007: MILL STORY IS FRONT PAGE NEWS YET AGAIN
For the second day in succession, the pulp mill saga is on the front page of the 'Australian' newspaper. The national spotlight on the story means that unless a decision is made, it will be an election issue. The scientific committee asked by Malcolm Turnbull to look at the mill will report next week. There is also critisism of Peter Garratt from Bob Brown for shelving his environmental credentials:

Mill story in Australian

Greens lose faith in Garratt

Gunns' 20 court case blunder

15/9/2007: LENNON PUSHES FOR DECISION
Tasmanian Premier Paul Lennon has once again demanded the Federal Government make a decision (ie approve) the pulp mill before an election is called. Mr. Lennon is blaming the delay on Geoffrey Cousins intervention in Wentworth conveniently forgetting that Mr. Turnbull expanded the assessment before Mr. Cousin's intervention. Meanwhile, it has been discovered that, as the Federal Government gave Gunns money to do the IIS, their powers under the EPBC are greatly enhanced and they are legally able to assess the social and economic impacts of the mill.

ABC - new study mooted

15/9/2007: IS THE PULP MILL VIABLE? THERE ARE SERIOUS DOUBTS
Judith Ajani in the 'Canberra Times' suggests that the mill is not driven by economics but by the 'grudge factor'! She questions whether any proper economic assessment has been done to ascertain the mill's viability:

Serious doubts

There are also fears that the new pulp mill will make the existing industries in Burnie and Wesley Vale uneconomic with the loss of 600 jobs.

14/9/2007: TURNBULL SAYS DECISION WILL BE BEFORE ELECTION
Federal Environment minister Malcolm Turnbull yesterday indicated to lobby groups that a decision will be made before an election is called. However, today he said it could take longer depending on the report from Jim Peacock:

Decision soon

Could take longer

14/9/2007: WE WILL GET PERMISSION - JOHN GAY
Gunns' CEO John Gay predicts that the mill will be approved by the Federal Government in the next four weeks. He says that all the information Mr. Turnbull has to make the decision on says there are no issues with this pulp mill in Tasmania (except, perhaps, for the 31,000 submissions, Mr. Gay!).

The Australian

13/9/2007: PULP MILL DEBATE ON ABC TONIGHT
The mill will be debated on 'Difference of Opinion' on ABC at 9.25pm. The online poll on their site was running 74% against the mill at 6.15pm. (The morning after the debate, the poll was over 80% against).

Difference of opinion

13/9/2007: BASS VOTERS WANT MILL IN HAMPSHIRE
In Bass, the electorate where the mill would be built, voters do not want the mill and would prefer it to be built in Hampshire (in Braddon - where they want the mill) according to a poll commissioned by the Wilderness Society. And the Australian newspaper has obtained a submission by former pulp and paper manager, David Campin, that confirms that Hampshire is a far superior site environmentally than Longreach:

Voters want different site

12/9/2007: DON BURKE SUPPORTS MILL
Australian environmental group AEF, chaired by Don Burke, has endorsed the mill (provided it meets environmental guidelines) after a 45 minute presentation by Gunns. Apparently AEF is supported by the timber industry. It begs the question - Did they seek an alternative point of view from other sources - somehow I doubt it?

Don Burke supports mill

12/9/2007: NEW POLL SHOWS OPINION RUNNING TWO TO ONE AGAINST MILL
An opinion poll commissioned by Investors for the future of Tasmania covering all of Australia shows that ony 21% support the mill, 41% do not want it, the rest do not have an opinion. Many of those questioned said the issue would effect the way they voted. Older people were more against the mill than the young.

Pulp mill an election issue

12/9/2007: EXPERT PANEL TO ASSESS MILL
Australia's chief scientist Jim Peacock has assembled a top class panel to assess the pulp mill for Malcolm Turnbull. Click on the link below to check out who's on the panel:

Expert panel

11/9/2007: BEN QUIN RISKS ALL
Lyons Liberal candidate Ben Quin has risked being dumped from the party ticket by pointing out that Tasmania's forests could be worth twice as much as carbon credits than as woodchips:

Story in Australian

11/9/2007: DIFFERENCE OF OPINION ON PULP MILL
The ABC programme 'Difference of Opinion' will be debating the pulp mill this Thursday at 9.25pm, repeated on ABC2 on Saturday 15 Sept 9:30PM & Wednesday 19 Sept 4:30PM.

ABC website

10/9/2007: GOOGLE EXPOSES ANOTHER LIE
Gunns' adverts and various letters to newspapers have made the claim that the site for the proposed pulpmill is in the Bell Bay industrial area. This is something that the RPDC rejected some time ago. A google view of the area shows just how wrong this claim is. The Bell Bay industrial area is in the top left hand corner of the picture. The site of the proposed pulp mill is in the centre about 6 kms away:

9/9/2007: TCCI AND TAP DELEGATIONS GO TO CANBERRA
The Tasmanian Chamber of Commerce and Industry have sent a delegation to Canberra to plead with the federal government to make a decision (they mean approve) the mill before an election is called or else delay the election until a decision is made. This is rather likely to fall on deaf ears. A Tasmanians Against the Pulp mill delegation is also heading to Canberra to lobby politicians and other decision makers.

9/9/2007: BEN QUIN STAYS ON
Ben Quin remains the Liberal candidate for Lyons but has been warned to stick to the party line in future. Mr. Quin's crime was to articulate the views and fears of the electors of Lyons about the pulp mill.

8/9/2007: INVESTORS GETTING NERVOUS
Institutional investors are getting a bit nervous about the proposed pulp mill project. They are starting to question the risks involved and the possible detrimental effects on other businesses in the Tamar valley:

Investors having doubts

7/9/2007: ALP MAY HAVE TO ASSESS MILL GREENHOUSE EMISSIONS
If the mill assessment passes on to a Labor government then it could trigger a threshold that requires it to be looked at in terms of greenhouse emissions. It has been estimated that the mill would increase Australia's carbon dioxide output by 2%. Peter Garratt, however, said that there would no retrospective assessment and the project would be assessed under the present EPBC laws.

The Australian

6/9/2007: COGNITIVE DISSONANCE - SO THAT'S THE ANSWER!
Roger Hanney has come up with the name of the condition affecting most of our politicians. Cognitive dissonance is the inability to absorb any information that does not agree with their viewpoint however significant and reliable that information is:

Roger Hanney

6/9/2007: LENNON FAILS TO ANSWER KEY QUESTIONS
In an answer to Judy Tierney's probing article in the Mercury which asked many of the questions that Tasmanians would like to know the answer to, Premier Paul Lennon has written a reply. But how many of the questions does he answer? You judge:

Judy Tierney

Premier Paul Lennon

5/9/2007: CHEMICALS FROM THE PULP MILL COULD TAINT WINE
The Australian Wine Research Institute has said that the pulp mill should not proceed until further research has been done to make sure that chlorophenols produced by the mill do not taint the wine (or indeed fruit) giving it a taste of antiseptic:

Story in Australian

Chlorophenols - what are they?

5/9/2007: BEN QUIN FACES DISENDORSEMENT
There will be a Liberal party meeting on Saturday to decide if Lyons candidate Ben Quin should face disciplinary action because of his outspoken opposition to the current proposal to build a pulp mill in the Tamar valley. Not to be cowed, Mr. Quin said yesterday that the community had a right to know if Gunns were paying a fair price for the timber for the mill. Details of the deal are secret and it is suspected that the contract does not offer good value to Tasmanians who own the forests. It is difficult to see why the agreement is secret as Gunns have a virtual monopoly. If Ben Quin goes then so will the Liberals chance of winning Lyons.

4/9/2007: NEW MILL IN URUGUAY SPARKS PROTESTS
A new kraft pulp mill has just opened in Uruguay sparking protests from nearby Argentina:

Protests at Uruguayan Pulp Mill

4/9/2007: ASSESSMENT NEEDS MORE THAN SIX WEEKS
Three scientists, Dr. Warwick Raverty, Dr. Andrew Wadsley and Dr. Stuart Godfrey, have sent in a submission to Malcolm Turnbull that says six weeks is inadequate for a proper assessment of the effects of the effluent from the proposed pulp mill on Bass Strait. The submission says that dioxin contamination will affect fish within four years of the mill start-up:

Scientist's submission in text format

Clean Tamar Website

4/9/2007: TOURISM LEADERS IGNORED
Tourism operators in the Tamar valley fear that their concerns have been completely ignored by the State Parliament when it rushed through the pulp mill permits last week:

Pulp queries ignored

3/9/2007: MILL HAS NO CHANCE OF PASSING RIGOROUS SCIENTIFIC INVESTIGATION
The proposed pulp mill has no chance of passing the scientific examination being conducted by the Government's chief scientist Jim Peacock says Senator Bob Brown. And when it fails then the Malcolm Turnbull or Peter Garrett will have no alternative but to say no. And the story according to 'The Australian' is that the Federal Liberals were planning to nod the mill through before the State vote last week and so would then be able to point the finger of blame at Lennon when the mill stuffed up the Tamar valley. That is probably why Gunns' CEO John Gay said he was 95% certain construction would start this week. But Minister Turnbull has done his homework and realized that there are potential problems that haven't been addressed and need to be - hence his referral to Jim Peacock. This was done before the pressure applied to him by Jim Cousins so Malcolm Turnbull, in spite of flack from fellow Liberals, has done the right thing and should be congratulated.

Malcolm in a muddle

3/9/2007: MILL IS A BIG IMAGE PROBLEM
A report for the Department of Economic Development says that the perceptions created by the pulp mill has already damaged Tasmania's clean green image. The report says that the Gunns' pulp mill is the strongest negative about Tasmania:

Hobart Mercury

3/9/2007: PETER GARRATT RULES OUT PRE-ELECTION DECISION
The decision on the pulp mill is likely to be after the Federal election as shadow environment spokesman Peter Garratt says that it is unlikely he will come to a joint decision with Mr. Turnbull. This is probably going to be sometime in November and the new minister will want to review all the information before making a decision. So it is now unlikely to be before December. The RPDC said that their decision would be in November so it is likely that Gunns' decision to walk away from the RPDC process has actually delayed the decision!