Media Release

21 March 2000

Toll Expands business in WA woodchip exports

Toll Group has been selected to provide the portside operations for a major new export woodchip venture at Albany in Western Australia.

Under a letter of intent signed with Oji Paper and Itochu, Toll will invest around $10 million to build and operate a bulk storage and shiploading facility at the Port of Albany. Oji Paper, Japan's largest paper manufacturer, and Itochu, a major Japanese trading house will form a new company Albany Plantation Export Company (APEC).

The facility will handle shipments from APEC's new $25 million woodchip mill being built to process plantation blue gum from the State's south west for export to Japan.

Announcing the agreement today, Toll's Managing Director Paul Little welcomed the expansion of Toll's regional ports network into Western Australia and into a growth industry.

'This is another important step forward for our regional port strategy and has good growth potential.

'We've got the runs on the board in handling woodchips through our GeelongPort operation and can bring highly developed expertise to the project', Mr Little said.

Toll expects to enter into a long-term agreement with the APEC partners with shipments due to commence in the fourth quarter of 2001.

'We are looking forward to further developing our partnership with Oji Paper and Itochu through this project', Mr Little said. APEC production is expected to grow to one million tonnes a year within five years and all of which will be shipped through the Toll facility.

With the agreement of the APEC partners, Toll will also be pursuing other bulk cargoes to move through the facility.

Subject to obtaining necessary approvals, construction of the port facility is due to commence in January 2001 and is expected to take around nine months to complete.

For further information, contact:

Paul Little
Managing Director
Toll Holdings
03 9694 2888
0418 335 053

Steven Ford
General Manager
Toll Logistics - Port Division 
02 4902 5301
0419 977 728