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Gunns mill site sale next month

Tasmanian businesses are hopeful a new industrial development will go ahead on the former Gunns pulp mill site in the state’s north. ABC News

Several potential buyers had expressed interest in Gunns’ remaining assets including the Tamar Valley pulp mill land and permits by the close of a sale deadline.

Gunns receivers KordaMentha said the best offer could come from a buyer with no interest in building the controversial mill.

Tasmanian Chamber of Commerce and Industry’s Michael Bailey said its location near the Bell Bay port and a large power source made it an attractive development opportunity.

“It’s a big flat site, a lot of that work’s already been done. It’s really ready to go for some sort of development, what that will be time will tell,” he said.

KordaMentha’s Michael Smith would not confirm whether buyers were interested in the pulp mill licence or just the land.

“Our job as the receivers is to get the best result for the creditors,” he said.

Interested buyers have until the end of the month to submit binding offers and KordaMentha hopes to finalise the sale next month.

Environment groups doubt any of the potential buyers for Gunns’ remaining assets would consider building the Tamar Valley pulp mill.

Peg Putt from Markets for Change said it could mean the end of the pulp mill once and for all.

“Certainly if the land was sold for other purposes that effectively nullifies the pulp mill permit because it can only apply to that land,” she said.