Opal Australian Paper says it’s continuing to seek alternative wood supplies following a court-ordered suspension of timber harvesting in Victoria, but it’s warned that white paper production at its Maryvale mill is expected to be “impacted’ around 23 December and temporary stand downs of workers could begin in January.
Opal's Maryvale Mill in Latrobe Valley, VIC., produces Reflex copy paper
“The lack of VicForests’ wood supply continues to create challenges for the Maryvale Mill,” Opal Australia said in a statement on Thursday. “This is a complex situation and to be viable the alternative supplies must match a range of strict criteria including species, availability, volume, cost, logistics and long term supply.
“To date, suitable alternatives have not been identified, however we will continue to work through this process as quickly and thoroughly as we can. While we are pursuing substitute wood supply possibilities, this difficult situation is expected to impact white paper production on or around 23 December.
“There are currently no stand downs in place, however it is anticipated there will be temporary stand downs for some workgroups which may commence in January 2023.
“As the availability of viable alternative wood supply remains uncertain, Opal is considering a number of different operational scenarios in the longer term, in the case that viable alternative supply is below the required volume or not able to be supplied.
“This is a complex and ever-changing situation and no longer term decisions on operational changes have been made at this stage. We are continuing to consult with our affected team members on these critical issues.”
Opal added: “We appreciate this is a very difficult and unsettling time and we remain committed to keeping our team members and key stakeholders updated on the situation as it develops.”
The Supreme Court last month found that state-owned VicForests broke the law by failing to protect endangered gliders when logging in Gippsland and Central Victoria.
Opal, which has operations in Australia and New Zealand, is owned by Japan's Nippon Paper Group.