EXHIBIT 99.1

FOR  IMMEDIATE  RELEASE
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                MERCER ANNOUNCES CLOSING OF SALE OF $82.5 MILLION
                    OF CONVERTIBLE SENIOR SUBORDINATED NOTES

NEW YORK, New York, October 10, 2003 - Further to its news release of October 6,
2003,  Mercer  International  Inc.  (the  "Company")  (Nasdaq: MERCS, TSX:MRI.U,
Nasdaq-Europe:  MERC  GR)  announces  that  it  has  completed the sale of $82.5
million  aggregate principal amount of convertible senior subordinated notes due
October  15,  2010.  The notes bear interest at a rate of 8.5% per annum and are
convertible  into  the  Company's  shares of beneficial interest at a conversion
price  of  $7.75  per  share.  The  notes  were  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").

The  net  proceeds  of  the  offering  were  used to repay in full the Company's
indebtedness  under two bridge loan facilities in the aggregate principal amount
of  E45 million  and  the  balance  will  be  used for working capital and other
general  corporate  purposes.

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.   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.


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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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