


Lignor Limited
Level 6
10 Queen Street
MELBOURNE VIC 3000
Australia
+61 3 9629 1936
+61 3 9629 4991
Lignor offers the first viable alternative to wood chipping Australia's abundant Blue Gum eucalypt plantations by using this sustainable resource to produce high strength structural building products and thereby shifting the building industry away from a dependence on native forests for such products.
Engineered wood products ("EWP") are experiencing exceptionally high growth globally due to their attractive environmental and performance properties and the reduction in availability of mature high quality sawn hardwoods.
The process of stranding is a method commonly used in North America to produce EWP's. In this process, immature and undersize plantation trees are used to produce large, consistent, high strength and durable composite products.
Lignor has spent 7 years developing these products and independent market researchers have confirmed their significant market potential.
The premium characteristics of Engineered Strand Lumber® ("ESL®") and Engineered Strand Board® ("ESB®") will be prized in applications requiring high strength, large dimensions or outdoor suitability such as heavy structural uses, decking, flooring and joinery in residential and commercial construction. ESL® will offer a real sustainable alternative to the diminishing supplies of larger dimension sawn hardwood timber typically derived from mature native forests, and will compete as an environmentally and builder friendly, cost effective alternative in many of the applications where steel is increasingly being used.
ESL® and ESB® have an embodied energy which is 50-70% lower than alternative steel products, and using ESL® and ESB® in house construction could save up to 25 tonnes of carbon dioxide emissions per house.
Lignor has secured a 30 hectare site for the plant in the Mirambeena Timber Processing Precinct situated within the Great Southern Region of Western Australia, one of the largest areas of Blue Gum plantations in Australia. Vendors for the supply of the processing equipment have been selected.
Log inputs in the form of plantation Blue Gum eucalypt logs and thinnings and residues from managed State forests resulting from forest management practices to ensure sustainability of the native forest resource have been contracted for a majority of the plant's capacity.
Off take contracts are in place with a number of domestic and overseas distributors for the greater part of the plant's production.
Lignor's Board of Directors demonstrates an appropriate mix of project, construction, industry and capital markets experience.
The senior management team is led by the company's Acting Executive Officer who has over 22 years in the timber industry both in Australia and overseasĀ and is very well supported by Project, and Engineering Managers with extensive experience in the construction, commissioning and operation of several stranded EWP plants in North America.
Details of job/employment opportunities will be posted in 2008 once Financial Close for the project has been finalised.