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MEDIA RELEASE OIL MALLEE INDUSTRY SET FOR MAJOR GROWTH The announcement by the Minister for Resources Development, Colin Barnett, that Western Power will construct a demonstration scale integrated wood processing plant at Narrogin, which will use mallee eucalypts as its prime feedstock, was welcomed by the Oil Mallee Company of Australia. The $5 million demonstration Integrated Wood Processing Plant will produce renewable electricity, activated carbon and eucalyptus oil. "This marks the beginning of a major new growth phase in the development of the oil mallee industry," the Chairman of the Oil Mallee Company, Professor Syd Shea, said. Professor Shea paid tribute to Western Power, Enecon (the Company who held the license for the activated carbon process), the Farm Forestry Unit in CALM led by John Bartle and Professor Allan Barton from Murdoch University for their role in the development of the integrated processing concept, and the funding provided by the Australian Greenhouse Office and AusIndustry. But he also said that had it not been for the persistence and dedication of the farmers who had taken up oil mallee planting, the opportunity would not exist for this exciting project. "The establishment of oil mallee eucalypts on cleared agricultural land to attack salinity and to provide a new commercial crop for farmers was initiated nearly a decade ago by a group of dedicated farmers and the Department of Conservation and Land Management," Professor Shea said. "The Oil Mallee Company will play a key role in the development of the Processing Plant at Narrogin. In addition to supplying mallee feedstock to the Plant, the Company will also be providing the eucalyptus oil distillation equipment and be responsible for marketing the eucalyptus oil which will be one of the products produced from the Plant." |
In the past six years the Oil Mallee Association and the Oil Mallee Company, with the assistance of CALM, has sponsored the development of a unique "row crop" harvesting and handling system. The Oil Mallee Company was confident that it would be successful in gaining a major investment partner in the harvester development program which will ensure that feedstock can be delivered to the Integrated Processing Plant efficiently. Professor Shea said the pilot plant would consume 20 000 tonnes of mallee feedstock per year, but a full-scale commercial plant would require 100 000 tonnes of feedstock a year. This will mean that 15 - 20 million mallee trees, occupying 8 000 hectares of farmland, will have to be planted within 50 - 75km of Narrogin. The mallees will be planted in belts to maximize their productivity and their capacity to lower watertables. The Oil Mallee Company, in anticipation of the approval of the Integrated Processing Plant at Narrogin, and because of the strong interest in the mallee industry shown by a number of major companies, has made major investments in the infrastructure required to lift the planting of mallee trees in Western Australia to more than 50 million a year. This is the scale of planting that is required to address farmland salinity and to create a significant carbon sink to offset greenhouse gas emissions. The Oil Mallee Company and CALM have been establishing high quality seed orchards, as well as employing a number of private nurseries and the CALM nursery at Manjimup to grow seedlings. The Company also has regional managers throughout the agricultural region who provide expert advice to farmers. Contact: Professor Shea 0403 309003 or 94336890 or Ric Collins 9478 0340 Professor Shea will be available for interviews after the formal announcement at Narrogin in the John Higgins Community Centre at 12-30pm. |