The Queensland government announced today that it has sold its timber business Forestry Plantations Queensland for more than $A600 million to Hancock Queensland Plantations of US. The Government said that it has got more sale price than expected. This was reported the first transaction of the five commercial businesses sales by the Queensland Government.

Queensland Treasurer Andrew Fraser told Parliament today that Hancock Queensland Plantations has won the 99-year license for the timber plantation business for $A603 million. Mr. Fraser has signed the contract on Tuesday morning. The Government was anticipating a sale price of $A500 million earlier for the timber license.

“By reaching agreement on a price of $A603 million, this exceeds original expectations and is great news for Queensland taxpayers,” said Mr. Fraser to the state parliament today.

According to the deal, Hancock will get around 35000 hectares of freehold land to grow and harvest the trees. This land was reported about 10% of the total estate of the Queensland.

Hancock Queensland Plantations is subsidiary of Hancock Timber Resource Group, a US based Timber Company. Hancock Timber Resource Group manages more than 2 million hectares of timberlands across the United States, Brazil, Canada, New Zealand and Australia.