GNS 0.00% 16.0¢ gunns limited

the greens, page-5

  1. 328 Posts.
    Lordo

    Processing points need to be at the centre of gravity for wood supply. A low cost commodity doesn't give you room for largess. The weighted average cart distance must be minimised. That point is in the NE of Tasmania. The Bell Bay industrial area is it.

    Why would GNS relocate it to a point where the wood became unprofitable? Tasmanian greens are the laughing stock of the international pulp industry. They see a kraft mill that exceeds all previous environmental hurdles set for such mills. An international investor will come in and help build it in the Bell Bay industrial area as planned. They will stare down the opposition because once its built and up and running most people will wonder what the fuss was about.

    If not, no mill at Bell Bay equals no mill at all and GNS will wither as MIS wood starts to be the major component. It needs the profitability of the pulp mill to survive. There isn't time to change the plan.
 
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