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MEDIA RELEASE - Friday 25th May 2001

Oil Mallees to Feed Proposed Biomass-Fired Power Station in Esperance

The Oil Mallee Company today welcomed the announcement by Metasource, a new subsidiary company of Woodside Energy Ltd, of its intentions to assess the potential of building a 5MW biomass-fired power station in the town of Esperance.

 If the proposal proceeds it will involve planting some 12 million oil mallee trees around Esperance to provide feedstock for the power station.

The announcement was greeted with enthusiasm by Professor Syd Shea, Chairman of the Oil Mallee Company.

"We are very excited to see a company like Metasource support the development of a biomass-based industry in this state. Mallee eucalypts are ideal species for the production of biomass and have the potential to make a major contribution to reducing salinity."

The Oil Mallee Company aims to establish 2 million hectares on farmland in Western Australia over the next 10 to 20 years.

"The development of a bio-energy business based around oil mallee plantations is a win for the entire community because it will provide a commercial return for farmers who have to plant trees to control salinity"

Professor Shea said. "It is an especially big win for the farmers of Esperance, who can now view oil mallees as another ‘real’ crop (biomass), which will provide them the opportunity to diversify their income".

The benefits of a new biomass-based industry getting off the ground in Esperance will not be solely economic ones, Professor Shea explains, there will also be huge environmental benefits for the region.

"Besides producing biomass fuel for renewable energy, the planting of 12 million mallees around Esperance will also result in immense environmental benefits, such as combating salinity, preventing soil erosion, reducing carbon dioxide in the atmosphere and supporting biodiversity in the south-east of the State".

For further information, Professor Syd Shea can be contacted on 0403 309 003 or via email sshea@q-net.net.au