Cathay Forest Products is to pay US$1.2m to the Forest Bureau of Jiangxi Province for harvesting rights to 1,600ha of standing timber in central eastern China.
Anthony Ng, Cathay Forest’s president and chief executive officer, said: “The biggest single challenge in building a world-class forestry company is acquiring property. As part of our business plan, we are leveraging the relationship we have build with the Jiangxi Province, and this latest agreement brings us another step closer to our goal of becoming a world-class forestry company.”
He said the standing timber would be harvested over the next four years and sold to local wood markets.
Around 140,000m3 of timber will be harvested before Cathay begins a planting programme using poplar and other local species.
