Timberlink to Invest $100m in Regional Manufacturing Jobs
Tarpeena to benefit from investment
Timberlink to Invest $100m in Regional Manufacturing Jobs and Australian Timber Supply
Timberlink has approved a $100 million upgrade program to its Australian sawmills. This generational investment will see the total processing capacity of the Australasian sawmilling company increase by over 15%. The investment will secure over 1,350 direct and indirect jobs in regional Australia for years to come while supporting the residential housing sector with increased timber supply.
Timberlink’s Chairman and CEO of investment management firm New Forests, David Brand, expressed his support for the mill upgrade program. “This is a substantial re-investment in the Timberlink mill facilities and continues to demonstrate the strong recovery of the Australian forestry sector under institutional investor ownership. Timberlink has become a leading wood products business, and I expect it will continue to innovate and grow, creating new manufacturing jobs in regional areas, while increasing the supply of timber in Australia.”
A total of 290 additional jobs are anticipated during the construction phase of the $100 million program.
In Tarpeena, South Australia, the investment will lead to the installation of a completely new saw line, stacker and edger, all with the latest leading-edge technology, coupled with additional contraflow and batch kilns for drying timber. Major site infrastructure changes including upgrades to roads and storage facilities will also be undertaken.
The Tarpena mill has mill has been operating in the area since 1924. The mill currently employs 201 permanent staff, A further 482 jobs are created by the mill indirectly. A total of 683 direct and indirect jobs are permanently supported by the mill in the region. Since Timberlink took over in 2013 the mill has already increased its capacity by 50% on the back of previous investments.
200 jobs created in the construction phase at Tarpeena.
At Timberlink’s Bell Bay site in Tasmania, new planer mill equipment will be installed along with a state-of-the-art contraflow kiln. Site infrastructure will be improved, including a new internal road system designed to improve safety outcomes and support the increase in site activity.
The $100 million investment program will take place in stages over the next 3 years and will build on previous capex investments that have taken place in both mills over the past 5 years.
Timberlink will continue discussions with the Tasmanian, South Australian, and Federal Governments, seeking their funding support for further enhancements related to these business expansion programs
“This is a great day for Australian manufacturing,” said Timberlink CEO, Ian Tyson.