Skellerup spends $30m on new plant

DEMM Engineering & Manufacturing - - NEWS -

Skellerup will en­ter into a con­tract with Calder Ste­wart In­dus­tries to build a world-class Dairy Rub­ber­ware de­vel­op­ment and man­u­fac­tur­ing fa­cil­ity at the Wi­gram Busi­ness Park de­vel­oped by Ngai Tahu Prop­erty.

Con­struc­tion of the 18,900sqm fa­cil­ity is sched­uled to be com­pleted by De­cem­ber 2015. Sir Ron Carter, who has ex­ten­sive ma­jor project busi­ness and en­gi­neer­ing ex­per­tise, is over­see­ing the project for Skellerup.

The ap­prox­i­mately 200 staff now em­ployed at the earth­quake dam­aged Wool­ston fa­cil­ity are ex­pected to be­gin the staged tran­si­tion to Wi­gram im­me­di­ately upon com­ple­tion.

Skellerup CEO David Mair says the in­te­grated lay­out of the new fa­cil­ity of­fers con­sid­er­able ef­fi­cien­cies over the multi­build­ing com­plex at Wool­ston.

“This is an­other sig­nif­i­cant step for our dairy busi­ness and great news for Christchurch. In ad­di­tion to pro­vid­ing im­proved work­ing con­di­tions for staff, the new fa­cil­ity will cap­ture process, flow and ef­fi­ciency gains, fur­ther strength­en­ing the op­er­a­tions of our dairy rub­ber­ware man­u­fac­tur­ing busi­ness.”

To­tal project in­vest­ment in­clu­sive of levies and project man­age­ment costs is es­ti­mated at ap­prox­i­mately $30m which is par­tially cov­ered by in­sur­ance pro­ceeds from the set­tle­ment with in­sur­ers in re­spect of the dam­age suf­fered at its Wool­ston site from the Can­ter­bury earth­quakes of 2010 and 2011.

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