The rumour mill is rife, after reports emerged that the Maryvale mill was running at a financial loss of $4.5 million per month and faced potential cessation of operations. Opal has since admitted that it has faced financial issues since VicForests stop supplying wood to the mill. Source: Latrobe Valley Express
“The Maryvale Mill’s operations were severely impacted when the Victorian government-owned VicForests stopped supplying wood to Opal. With no viable alternative wood supply, Opal was forced to close its white pulp and paper production,” an Opal spokesperson said.
“As a result, the Maryvale mill lost almost half of its production volume and hundreds of Opal team members lost their jobs.
“The commercial damage to Opal has been profound and the Maryvale Mill is in an extremely challenging financial position.”
Due to its financial position, Japanese paper manufacturing company, Nippon Paper Industries, has significantly been investing in Opal.
“Despite the challenges, Opal remains focussed on securing the long-term future of the mill,” the Opal spokesperson added.
“The site continues to transform to solely produce brown packaging paper, with the goal of achieving sustainable operations.
“The Maryvale Mill is an important asset for Opal, in pursuing market growth in Australia and New Zealand.”
