Qld Labor confirms support for Bundaberg Knauf Plasterboard plant

Posted on 6 Feb 2015 by Tim Brown

The Queensland Labor party has confirmed that, if it takes power following the tumultuous recent state election, it will honour the LNP's promise to construct a gas pipeline to support the development of a new Knauf Plasterboard facility at the Port of Bundaberg.

Knauf Plasterboard, part of the Knauf Group, is planning to construct a new plasterboard manufacturing facility at the Port of Bundaberg including gypsum handling and processing facilities to support plasterboard production and for the on-sale of gypsum into the agriculture sector.

The project was made possible by a pre-election promise by Queensland government to fund the construction of a new 26km gas pipeline from Australian Gas Network’s Wide Bay gas transmission line at Bundaberg to Burnett Heads.

The proposed infrastructure would provide additional gas supply capacity for Knauf’s plasterboard manufacturing plant facility and other existing and new industrial users in the region.

However, the recent Queensland election had cast doubt on the future of the project but The Manufacturer has learned that the deal has cross party support meaning that no matter which party finally takes power in the state, the development is very likely to proceed.

A spokesperson for the Queensland Labor Party said: “In short, yes we support it and as long as there are no unforseen problems or issues, it should go ahead.”

Knauf’s CEO of Asia Pacific, Murray Read, said that the Bundaberg plant was a great investment for Knauf and would create additional trade through an under-utilised port facility.

Mr Read said: “Knauf is very pleased to be playing its part in working collaboratively with the State Government to help build new industries and boost regional and state economies.”

The Knauf Plasterboard plant is expected to create up to 200 jobs during the construction of the plant and around 55 new positions when operational.

When the planned development was first revealed, former Queensland Premier Campbell Newman said Knauf’s announcement was testament to the LNP Government’s strong plan to attract investment to regional Queensland and create jobs.