An AUS $6.3 million (USD $3.46 million) innovative integrated wood processing demonstration project is being undertaken by Western Power in collaboration with local farmers through the cooperative Oil Mallee Company. The project is being constructed at Narrogin, WA, and will utilize 4 million mallee trees harvested from the area. The demonstration plant will be operational by 2003 and is scheduled to reach full production in early 2004. The plant will annually produce 200 tonnes of eucalyptus oil, 690 tonnes of activated carbon and generate 1 MW of electricity.