Ann: GENERAL: SKL: Skellerup facility takes shape

• Release Date: 09/06/15 16:37
• Summary: GENERAL: SKL: Skellerup facility takes shape
• Price Sensitive: No
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					SKL
09/06/2015 16:37
GENERAL
NOT PRICE SENSITIVE
REL: 1637 HRS Skellerup Holdings Limited

GENERAL: SKL: Skellerup facility takes shape

Skellerup's Dairy Rubberware Development and Manufacturing facility at Wigram
Business Park in Christchurch is on track.  Significant progress is evident
with the vast walls that are being gradually put in place highlighting the
size and scale of the facility.

Sir Ron Carter who is overseeing the project on behalf of Skellerup said:
"The critical ground work has been done, a significant proportion of the
concrete walls have been erected with work on the roof now under-way. Anyone
visiting the site can now really begin to appreciate the scale of what we are
building here. We are only five months into the build project but it is
running to our expectations. This is a purpose-built plant and it is very
pleasing that all the detailed design work is producing exactly what we
want."

The 18,900 square meter facility has largely been designed by Skellerup
personnel with the assistance of a team of external professionals. The layout
and plant construction has been tailor-made to optimise Skellerup's very
unique manufacturing operation.

Whilst a specialist team works on the construction process at Wigram, another
part of that team have been making preparations to relocate from the Woolston
facility which, though fully operational, suffered damage from the
earthquakes of 2010 and 2011.

Skellerup's Chief Executive David Mair said the relocation planning has been
going on for the past three years.  "Significant and detailed preparatory
work has taken place to scope and manage the shift that will effectively see
us running two plants for a short period to ensure continuity of supply to
our customers. Cornerstone projects in the shift include our new 100 tonne
three-storey-high automated state-of-the-art rubber mixer and our injection
moulding equipment - planning for the installation of these two key parts of
Skellerup's manufacturing operations is nearly complete."

The above ground construction has two key parts. The first key element is the
Industrial Hall which includes two rubber mixing lines. This is the most
complex part of the project from an engineering point of view, said Mr Mair.
"The design and integration of our plant, equipment and services between the
many engineering disciplines is essentially complete. We have purchased all
key equipment and the underlying construction at Wigram is now well
underway."

Installation of the new rubber mixing line commences in late 2015 and will be
commissioned in early 2016 while the existing mixing lines at Woolston will
continue uninterrupted. Once the equipment at Wigram is fully commissioned,
the rest of the associated machinery will be relocated to Wigram.
The second key part of the construction is the Moulding Hall, which will
house specialist injection moulding equipment used for producing food-grade
dairy rubber products. Additional capacity has been built in recent times
which will help facilitate the move to Wigram.

Skellerup Chairman Sir Selwyn Cushing said: "This is an extremely important
project for Skellerup being a significant investment to build a world-class
facility. It is also important for Christchurch and our people here. This
purpose-built facility will serve our Agri division and ensure that we remain
at the cutting edge of what we do for both our New Zealand and international
customers. Our leading chemists, engineers, technicians and our manufacturing
team, I am sure, will thrive in this new environment by working closely to
develop smart new solutions.

For images of construction progress at the new facility see
http://www.skellerupholdings.co.nz/Gallery.php

For further information contact:
David Mair
Chief Executive Officer
021 708 021

Graham Leaming
Chief Financial Officer
021 271 9206

For media queries please contact:
Geoff Senescall
Senescall Akers Limited
021 481 234
End CA:00265437 For:SKL    Type:GENERAL    Time:2015-06-09 16:37:51