Local groups take Gunns fight to Europe

Local groups take Gunns fight to Europe

Posted 3 hours 15 minutes ago

Gunns has described as

Gunns has described as “sad and pathetic” the latest attempt to derail its pulp mill project. (ABC News)

Gunns has described as “sad and pathetic” the latest attempt to derail its pulp mill project in northern Tasmania.

The Wilderness Society and lobby group GetUp! have taken their fight against the mill to Europe, using a leading financial publication to warn overseas banks against financing the project.

The group’s advertisement in Britain’s Financial Times warns European banks they will be “pulping their profits” if they finance the $2.2 billion mill.

Gunns is looking for overseas finance after ANZ withdrew its financial backing for the project.

“It’s littered with lies,” a Gunns spokesman said of the advertisement, adding it was a “pretty sad and pathetic” attempt by the Wilderness Society.

“We’ve already indicated the mill will use plantation timber only, and not from old-growth forests.”

The project also will need to meet the most stringent environmental standards.

Gunns denies claims by the society that a number of banks have shunned the company’s overtures for finance.

“We have told the ASX, we will be making an announcement about financing mid-year and the project’s start date is still the end of the year,” the spokesman said.

The society says a number of banks, including Deutsche Bank, UBS, the Bank of Scotland and the Bank of China, have indicated they will not finance the mill.

The Tasmanian Forest Industries Association has described the society’s action as “tantamount to economic sabotage”.

“The advertisement … is filled with misinformation and untruths,” spokesman Julian Amos said.


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