The announcement came on 10 March after a revised proposal was given the nod by environment minister Tony Burke.

Under the proposal, the level of chlorine discharge will be set at a level lower than originally planned and all timber will come from plantations.

Gunns managing director Greg L’Estrange said it was a “critical step” in finalising financial plans for the mill’s construction.

“It is confirmation that the mill’s design and operation must meet stringent environmental standards,” he said.

L’Estrange said Gunns had noted voiced community concerns and had attempted to address them in its adoption of a 100% plantation strategy.

“We will continue to work with the community on transparency, operational improvements and a comprehensive monitoring program that can provide greater and continuing confidence to the community on a balanced outcome of environmental, economic and social outcomes,” he added.

Gunns is yet to announce a financial backer for the mill. The news comes less than a month after the company posted a $4.6m loss it its half-yearly report.

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