Off and running – Massive new print site for IPMG at Sydney's Warwick Farm

Michael Hannan announces new multi-million greenfield printing site for Australia's second largest print group.

IPMG set tongues wagging in March this year when it purchased the Kimberly-Clark paper-goods factory in Warwick Farm, sparking speculation of a new print venture. This week, Michael Hannan, head of IPMG, went public and confirmed that the site was going to be used for a new magzine and catalogue printing plant. Although he would not offer an exact opening date, he expects it to be complete within 18 months to two years. The Warwick Farm site will be in addition to IPMG's current Hannanprint site in Alexandria.

The announcement ends speculaton on the next move of IPMG, which has largely sat upon the sidelines during the recent bout of industry consolidation. It confirms the company is determined to remain a major player in the market. Although it was at one time the pioneer in heatset web printing it has not had a major upgrade in years.

Brushing off concern that the new site will exacerbate to over capacity in the web industry Hannan told the Australian Financial Review that the company's presses are fully booked until Christmas. He could not be pressed into revealing the cost of the new plant, although the article quoted a price tag of $150 million. In today's terms that is not a huge amount for a new printing plant. The core of the Alexandria operation are two MAN Roland Lithoman 48 machines that in their day were the largest web offset presses in the country.  Now the first 80-page heatset press, a Goss Sunday 4000, is due to go into AIW in Melbourne this year.

Hannan was unable to shed light on ongoing speculation that Australia's laregst magazine publisher, ACP, intends to open its own Sydney printing site. In the interview with the AFR, he commented that: "I have no idea what ACP is up to, but I'm a bit perplexed by the talk it wants to set up its own printing operation."