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Timberlink chooses SA for new CLT and GLT plant

 

Timberlink’s existing Tarpeena Mill site

Timberlink’s new $59m CLT and GLT plant will be built in Tarpeena, South Australia. The Tarpeena sawmill site will be Australia’s first softwood, state-of-the-art Cross Laminated Timber and GLT manufacturing facility. A site in Victoria was also considered for the project. Source: Timberbiz

The project is backed by a $2 million grant from the South Australian Government’s Regional Growth Fund.

Barker MP and Federal Parliament Friends of Forestry and Forest Products chair Tony Pasin said the decision to build the facility at Tarpeena was a fantastic outcome for the Limestone Coast.

“Now more than ever we know the importance of local processing to secure our domestic supply chains,” he said.

“I look forward to the realisation of this project at Tarpeena which is a win for South Australia against tough interstate competition from the Victorians.”

Construction is due to begin next year with a completion date of 2023.

Danis-based Kallesoe Machinery A/S has been selected as the manufacturing equipment supplier for the plant. Kallesoe will supply and commission a turnkey solution providing plant design, manufacturing equipment and installation, supported by a fully integrated manufacturing software platform.

“CLT and GLT is the building material of the 21st century, the product is being embraced by leading architects, builders and designers and replacing concrete and steel in our cities with timber that stores carbon and is the ultimate renewable,” Timberlink’s Chief Executive Officer, Ian Tyson, said.

“Most of the product will be supplied into large buildings in capital cities so we could have built the plant closer to those cities.’’

Mr Tyson said that with the facility being constructed at Tarpeena there were benefits with being located on the same site as the company’s existing sawmill.

“We’re delighted to be able secure this commitment from the South Australian Government and the District Council of Grant,’’ he said.

Initially the project is expected to create 27 full-time permanent jobs, then rising to 50 jobs once the plant reaches its capacity.

The plant is scheduled to open in 2023 and will be co-located with its recently expanded and upgraded softwood sawmill at Tarpeena.

The facility will create interest from the timber industry from around the world as it will be unique to have a combine state of the art sawmill and GLT, CLT plant on one site.

Timberlink says its business case is not predicated on any export opportunities.

However, as the company and the new plant Timberlink develops its capabilities, exports are a possibility and would be shipped from the Port of Melbourne in containers.

Green Triangle Forest Industries Hub chair Ian McDonnell said the development would further diversify the region’s supply chain, strengthening the role of the Green Triangle as the powerhouse of the Australian softwood industry.

“This is just one of many multi-million-dollar investments earmarked for this region in the short term,” he said.

“Timberlink’s commitment further cements the objectives of the Hub’s strategic plan which has identified the need to futureproof local processing and manufacturing, investing in new innovations to increase productivity and create further downstream investment.

“We want to ensure our sector is playing a valuable contribution in our community, and indeed the nation, for generations to come.”

The mill currently employees more than 200 people and contributes $150m to the local economy. A significant number of additional jobs will be also be created during the construction phase.

“These are quality, long-term manufacturing jobs that will be created in the region. This will showcase the best of the timber industry and will create jobs and industry value for decades,” SA Primary Industries and Regional Development Minister David Basham said.

Timberlink has acknowledged the District Council of Grant for its support and enthusiasm for the facility.

Grant Mayor Richard Sage lobbied hard for the plant to be built in the South East and said Timberlink and the council had an excellent working relationship.

“Timberlink and the District Council of Grant share an excellent working relationship, we welcome Timberlink’s announcement to expand operations in Tarpeena which brings new employment and demonstrates continued confidence in our local economy and timber industry,” Mr Sage said.