Kawerau Dairy is made up of seven Māori entities, which are aiming to build the first geothermal-powered plant in the country to process milk from goats, sheep and cows.
The plant is expected to be making products to sell by late 2018.
Poutama Trust project leader Richard Jones said it would be the only plant in New Zealand using geothermal energy to turn cow, goat and sheep milk into powder.
That will then be used to make protein powder, vitaminised powder, aged-care formula and baby formula.
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