1. Visy Tumut Pulp and Paper Mill Presentation to SEATS 20 May 2010

2. Visy mill’s development history  Built to address Visy’s closed-loop recycling strategy  Satisfies market need for plantation-based industrial paper  Site selection criteria – people, wood, water  Stage 1 commissioned in 2001 after 6 years of planning  Fully expanded mill commissioned in late 2009 2

3. Visy Tumut

4. Key facts  Private capital invested on the site - $1bn  People employed – 285 direct (plus indirect flow-on in region)  Wood inputs – 1.9 m t/yr (67% roundwood, 33% mill residues)  Water input – 2 GL/yr (zero offsite effluent)  Paper output – 680,000 t/yr (unbleached Kraft paper)  Renewable energy generated on site – 210 GWh/yr 4

5. Wood and paper  Local pulpwood and sawmill residues – 1,100,000 t/yr  Distant pulpwood and sawmill residues – 800,000 t/yr  Fuels for renewable energy generation – 200,000 t/yr  Paper to Visy plants – 320,000 t/yr  Paper for export – 360,000 t/yr (containerised) 5

6. Sources of Pulpwood and Sawmill Chip

7. 7BRISBANE SYDNEY MELBOURNE WODONGA TUMUT OBERON ADELAIDE Exports Exports and NZ To West Coast Transport routes

9. Visy is embedded in a Government-planned, regional industry ….  Forests NSW plantation project – commenced 1950s  World-scale sawmills in Tumut and Tumbarumba  Particleboard mill in Tumut  Newsprint mill in Albury  Private plantation establishment and expansion companies  Harvesting, transport, servicing and personnel businesses 9

11. Visy’s key transport elements  Wood transport  Standard log trucks configurations for “local” wood  23m B-doubles from Macquarie/Monaro Regions  Backloaded sawmill residues from northern NSW  Manufactured paper  Curtain-sided trailers for domestic paper reel transport  Containerisation of paper reels for export  Site-packed containers  Modal shift at Bomen rail 11

12. Continuous improvement & innovation …

13. Extended B-Doubles needed for container efficiency  Will halve the movements between Tumut and rail head  Require special permits under PBS  Community perceptions on safety need careful management

14. Some transport challenges  Lack of national High Mass Limit permit harmonisation  Road-to-rail linkage facilitation must be a priority  Must demonstrate HML performance versus perceptions  Maintaining essential public infrastructure is key  Energy efficiency is an increasing imperative 14

15. Outcomes of efficient freight transport  Lower number of truck for the same freight load task  Productivity improvements across jurisdiction boundaries  Australian mills more internationally competitive  More sustainable jobs, investment and regional development 15