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Gunns in negotiation with three potential pulp mill partners

June 29 2010? Australian timber company Gunns has announced that it is in negotiations with three possible partners for its 1.1 million tons per year market pulp mill project in Tasmania, Australia.

Gunns has revealed it has three potential partners for Southern Star Corporation, the company established to build and operate the proposed Tamar Valley pulp mill on the south Australian island Tasmania.Gunns holds the majority share in Southern Star Corporation, but is talking to three potential equity partners, according to media in Australia. Financial Adviser Chris Elliot says the pulp mill partner discussion is positive news for Gunns and Southern Star Corporation."That gives shareholders again a reassurance that the mill is likely to proceed, if they're able to lock away the interest parties," he said.The names of the three potential partner companies have not been disclosed. Södra has earlier been mentioned in Australian media as a possible partner.

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