Failed milk plant not so happy in the valley
The company behind a failed milk plant project in Otorohanga faces de-registration in New Zealand next week.
Construction of Waikato's newest milk processing plant will finally start later this year.
A 6ha site is being prepared at Otorohanga for the $280 million Happy Valley Nutrition Ltd plant that will produce high-value specialty dairy ingredient powders for export markets.
The project has been in the pipeline for several years as Happy Valley sought resource consents and funding. Covid-19 has also delayed the project by a few years.
In February, Happy Valley announced that it had taken out a $13m loan and secured $7.4m through secured private placement of convertible notes. The money was used to buy strategic farmland to irrigate wastewater from the plant.
The ASX-listed company plans to develop a single dryer facility with the site master-planned to allow for the addition of an extra drier as well as a blending and canning plant.
The company says $7 million has been budgeted for earthworks.
The factory is expected to be commissioned in 2023.
Happy Valley chief executive Greg Wood says the start of earthworks is a "very notable milestone" for shareholders and investors.
"Our earthworks contractors are making solid progress, weather conditions have been favourable and critical works are advancing safely," Wood says.
"It is very satisfying to witness this project finally emerging from what was until recently a paddock, and these earthworks are confirmation that Happy Valley is well into the physical development of what will be one of the most advanced nutritional grade processing facilities in the world."
Site works include implementing access roads, drainage works, public road realignments and ground improvements for the spray dryer building.
"Performing earthworks now enables in efficient commencement of the construction phase of the facility," Wood adds.
He says the recent funding Happy Valley has secured gives the company the necessary financial flexibility to ensure it meets immediate project delivery milestones.
Wood claims the company is making "excellent progress" with respect to securing customers.
"Engagement is advancing with groups locally and from Europe, and Asia, which validates the strong demand for the specialty dairy products Happy Valley is targeting."
Phoebe Scherer, a technical manager from the Bay of Plenty, has won the 2025 Young Grower of the Year national title.
The Fencing Contractors Association of New Zealand (FCANZ) celebrated the best of the best at the 2025 Fencing Industry Awards, providing the opportunity to honour both rising talent and industry stalwarts.
Award-winning boutique cheese company, Cranky Goat Ltd has gone into voluntary liquidation.
As an independent review of the National Pest Management Plan for TB finds the goal of complete eradication by 2055 is still valide, feedback is being sought on how to finish the job.
Beef + Lamb New Zealand has launched an AI-powered digital assistant to help farmers using the B+LNZ Knowledge Hub to create tailored answers and resources for their farming businesses.
A tiny organism from the arid mountains of mainland Greece is facilitating a new way of growing healthier animals on farms across New Zealand.
OPINION: Westland Milk may have won the contract to supply butter to Costco NZ but Open Country Dairy is having…
OPINION: The Gene Technology Bill has divided the farming community with strong arguments on both the pros and cons of…