Tully Sugar Limited. Mud and Ash Removal Contract 2016-2018 Crushing Season. The Mill normally operates between early June and November each year, although the actual crushing season is heavily influenced by crop size and weather conditions. Operations during the season are based on a continuous crushing roster 24/7, with breaks for planned and unplanned maintenance and as a result of unfavourable weather conditions.

The 2015 season was exceptional, but on average we estimate the Mill will produce 140,000 tonnes of mud during the season, at rates varying from 35 tonnes per hour to 55 tonnes per hour in wet conditions. Ash production is estimated at 60,000 tonnes per season.

Expressions of Interest should be based on the removal and spreading of mill mud and ash on growers' properties. Whilst we believe that the mud and ash removal and spreading would best be handled by a single contractor, we will consider separate expressions in respect of each component. Contract management and administration will be performed by Tully Sugar Limited.

We are seeking from interested parties the cost per kilometre of removing and distributing mud and ash for the 2016 season, with a CPI based escalation clause for the 2017 and 2018 seasons. Given the uncertain cost of fuel, we will accept tenders that nominate current fuel prices, with escalations for increases / decreases in fuel prices based on movements in the Brisbane terminal gate price against that listed at tender date.

Tender information packs can be obtained from the Mill office between 7:00am and 4:15pm, or by email from: office@tsl.com.au.

Queries should be directed to the Secretary on 4068-4777 and written expressions of interest closing 11 February 2016 addressed to The Secretary, Tully Sugar Limited, PO Box 441, Tully, Qld 4854.