BREAKING NEWS: Spirited community lobbying pays off as creditors vote to keep Mossman Mill operating - for now

The Mossman community is rejoicing this afternoon after a ‘D-Day’ creditors’ meeting voted to keep their Sugar Mill operating with the help of an 11^th-hour state government financing offer.

A busload of mill employees, business chamber representatives, the Mayor and councillors, and others from the Mossman community went to Cairns yesterday afternoon to demonstrate outside a community state cabinet meeting in a last-ditch attempt to plead for financial support – to avoid the Mill being wound up by the administrator.

Their effort worked.

After no apparent indication from the Premier Stephen Miles during a private meeting beforehand that they’d get state support, Mr Miles then came outside onto the steps of Centennial Hall at Cairns High School to announce to some of the Mossman delegates that his government would be offering $12-million to help find a buyer for the Mill.

Newsport understands that this afternoon, creditors voted to keep the Mill operating for the foreseeable future at least, with the help of a Newcastle-based company, Clever Power.

Also, we have been told that the administrator has given the company and other stakeholders 15 working days to come up with a new company Deed of Agreement (DOA) which would ensure the continued operation of the Mill.

Previous to today’s creditors meeting the administrator, John Goggin of Worrells, had strongly indicated that he would be recommending creditors vote for the company to be wound up and its assets liquidated.

But that was before the state government financing offer yesterday.

The exact details of the DOA are yet to be worked out between the Canegrowers-Shareholders, Clever Power, and other stakeholders.

Big sigh of relief

Today’s vote will bring a huge collective sigh of relief across a town that was facing a major economic and employment blow, had the previously expected vote to wind down the Mill and liquidate its assets, gone ahead instead.

It’s not known at this stage exactly how the $12-million state financing offer will be broken down or required to be spent, and if it includes paying for major damage suffered by the Mill during the December flooding which wasn’t covered by insurance.

The administrator, Mr Goggin, wrote in his report to creditors last week and which Newsport reported: “In addition to the funding requirement for operations the Mill and the associated cane rail infrastructure was damaged as a result of the floods associated with Cyclone Jasper.

"Current estimates are in the vicinity of $2 Million to repair the damage. I am working with Government to determine if any disaster relief grants area available for the mill.”