the greens, page-17

zwu, as I have said before on this thread, if you want to predict what will happen with the pulp mill project, stop thinking 'Gunns'. You miss the likely play if you do that.

In the current project financing climate they will have a monority interest. The project as built will be a large international pulp maker (either Asia or Europe). GNS will bring plantation resource and $200m worth of project preliminaries to the equation, including all approvals. It will give them a minority interest.

The wild card is, of course, rapidly improving chip sales and rapidly improving project financing conditions.

Also of interest - the AFR earlier this week quoted a legal opinion (Jacques et al I think) that if the Federal government legislated to stop the project GNS would need compensating. The lawyer said it wouldn't just be the $200m spent to date on the project. They can also claim compensation for other expenditure they made in anticipation of the mill being built.