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Bartlett pulp mill stance a sham: Oppn

Posted November 21, 2008 14:18:00
Updated November 21, 2008 14:36:00

Tas Premier David Bartlett

All Government help for the project stops at the end of the month. (ABC News)

The Tasmanian Premier's 'line in the sand' on the $2 billion Gunns pulp mill has been declared a fraud.

Gunns has told the Australian Stock Exchange that it will not be seeking an extension to its Sovereign Risk Agreement with the State Government.

The deal would have provided $15 million compensation for any reduction in its wood supply from the Government.

Gunns was not expected to seek a renewal because David Bartlett has already named November 30th as the date all Government help for the project stops.

The Opposition's Will Hodgman says Mr Bartlett's line in the sand comment is a fraud because Gunns has told the stock exchange the agreement is not significant.

"This pulp mill would live or die on this agreement."

"They're the words he used when he was trying to paint himself as anti-pulp mill," Mr Hodgman said.

The Greens' Nick McKim says if Mr Bartlett was serious about cutting Gunns off he would block their wood supply.

"He must instruct Forestry Tasmania to cancel the wood supply agreement because that is the only thing that is keeping this project alive."

Gunns says construction will start when it gets finance.

Tags: labor-party, liberal-party, greens, states-and-territories, timber, tas

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