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<TYPE>EX-99.1
<SEQUENCE>3
<FILENAME>doc2.txt
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                                  EXHIBIT 99.1

FOR  IMMEDIATE  RELEASE
-----------------------


                MERCER ANNOUNCES AGREEMENT TO SELL $82.5 MILLION
                    OF CONVERTIBLE SENIOR SUBORDINATED NOTES

NEW  YORK,  New York, October 6, 2003 - Further to the Company's news release of
September  12,  2003,  Mercer International Inc. (the "Company") (Nasdaq: MERCS,
TSX:MRI.U, Nasdaq-Europe: MERC GR) announces that it has entered into a purchase
agreement  for  the  sale  of  $82.5  million in principal amount of convertible
senior  subordinated  notes due October, 2010 reflecting an increase in the size
of  the  offering from $75 million.  The notes will accrue interest at a rate of
8.5%  per  annum  and  be  convertible  into  the Company's shares of beneficial
interest  at  a  conversion price of $7.75 per share.  The notes will be offered
only  to  qualified institutional buyers in reliance on Rule 144A and to certain
buyers  outside  the  United  States  in  reliance  on  Regulation  S  under the
Securities Act of 1933, as amended (the "Securities Act").  Upon completion, the
net  proceeds  of  the  offering  will  be  used  to repay in full the Company's
indebtedness  under two bridge loan facilities in the aggregate principal amount
of E45  million  and  for  working capital and other general corporate purposes.
The  issue  of the notes is scheduled to close on October 10, 2003.  The Company
received  shareholder  approval  for  the  issuance  of its shares of beneficial
interest  upon  the  conversion  of  the  notes  pursuant  to  NASD rules at its
shareholders'  meeting  held  on  October  3,  2003.

The  notes  and the shares of beneficial interest issued upon conversion thereof
have  not  been  registered  under  the  Securities  Act  or  any State or other
securities  laws  and,  unless  so registered, may not be offered or sold except
pursuant  to  an  exemption  therefrom,  or  in  a  transaction not subject to a
registration  requirement  of  the Securities Act and applicable State and other
securities laws.   The Company will file a registration statement for the resale
of  the  notes and the shares of beneficial interest issuable upon conversion of
the  notes  within  90  days  after  the  closing  of  the  sale  of  the notes.

This  press  release does not constitute an offer to sell or the solicitation of
an  offer to buy any security and shall not constitute an offer, solicitation or
sale  in  any  jurisdiction in which such an offering would be unlawful prior to
registration  or  qualification  under  the  securities  laws  of  any  such
jurisdiction.  This  press release is being issued pursuant to and in accordance
with  Rule  135(c)  of  the  Securities  Act.

-----------------
Contact:

          Jimmy  S.H.  Lee/David  M.  Gandossi
          (41)  43  344-7070
                    or
          Financial  Dynamics
          Investors:  Eric  Boyriven/Paul  Johnson
          (212)  850-5600

                                      # # #


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