Visy Tumut Pulp and Paper Mill

Presentation to SEATS

20 May 2010

Visy mill’s development history

Built to address Visy’s closed-loop recycling strategy

Satisfies market need for plantation-based industrial paper

Site selection criteria – people, wood, water

Stage 1 commissioned in 2001 after 6 years of planning

Fully expanded mill commissioned in late 2009

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Visy Tumut

Key facts

Private capital invested on the site - $1bn

People employed – 285 direct (plus indirect flow-on in region)

Wood inputs – 1.9 m t/yr (67% roundwood, 33% mill residues)

Water input – 2 GL/yr (zero offsite effluent)

Paper output – 680,000 t/yr (unbleached Kraft paper)

Renewable energy generated on site – 210 GWh/yr

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Wood and paper

Local pulpwood and sawmill residues – 1,100,000 t/yr

Distant pulpwood and sawmill residues – 800,000 t/yr

Fuels for renewable energy generation – 200,000 t/yr

Paper to Visy plants – 320,000 t/yr

Paper for export – 360,000 t/yr (containerised)

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Pulpwood

Tumut

Tumbarumba

Bombala

NE Victoria

Macquarrie

ACT

Braidwood

Monaro

Sawmill Chips

Tumut

Tumbarumba

Bombala

Macquarrie & ACT

Sources of Pulpwood and Sawmill Chip

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BRISBANEBRISBANE

SYDNEYSYDNEY

MELBOURNEMELBOURNE

WODONGAWODONGA TUMUTTUMUT

OBERONOBERONADELAIDEADELAIDE

ExportsExports

Exports and NZExports and NZ

To West CoastTo West Coast

Transport routes

Visy is embedded in a Government-planned, regional industry ….

Forests NSW plantation project – commenced 1950s

World-scale sawmills in Tumut and Tumbarumba

Particleboard mill in Tumut

Newsprint mill in Albury

Private plantation establishment and expansion companies

Harvesting, transport, servicing and personnel businesses

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Visy’s key transport elements

Wood transport Standard log trucks configurations for “local” wood 23m B-doubles from Macquarie/Monaro Regions Backloaded sawmill residues from northern NSW

Manufactured paper Curtain-sided trailers for domestic paper reel transport Containerisation of paper reels for export

Site-packed containers Modal shift at Bomen rail

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Continuous improvement & innovation …

Extended B-Doubles needed for container efficiency

Will halve the movements between Tumut and rail head Require special permits under PBS Community perceptions on safety need careful management

Some transport challenges

Lack of national High Mass Limit permit harmonisation

Road-to-rail linkage facilitation must be a priority

Must demonstrate HML performance versus perceptions

Maintaining essential public infrastructure is key

Energy efficiency is an increasing imperative

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Outcomes of efficient freight transport

Lower number of truck for the same freight load task

Productivity improvements across jurisdiction boundaries

Australian mills more internationally competitive

More sustainable jobs, investment and regional development

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