Clive Palmer to reopen controversial Yabulu Nickel Refinery
Written on the 6 June 2018 by Ben Hall
Clive Palmer has announced the Yabulu Nickel Refinery near Townsville will be reopened with $500 million in cash reserves from his associated companies.
The controversial former politician and chairman of QNI Resources, which owns the Yabulu Nickel Refinery, says his company has approved plans to reopen the refinery.
Palmer confirmed that other group companies had nearly $500 million of cash reserves in Queensland banks, some of which could be deployed to reopen the refinery.
"It was time for all governments and the community to work together to assist the refinery in opening in the shortest possible time,'' Palmer says.
Palmer says QNI Resources is not seeking cash from any party or financial assistance to reopen the refinery. He says it can be achieved from his group's own funds.
"What is needed is a positive approach from Government to assist the refinery reopening in the shortest possible time.
"The refinery operations over 40 years provided 3,000 jobs for North Queensland and was North Queensland's largest employer.
"It is time for all sides to forget about politics and to support the Queensland company that owns the refinery and is debt free to open and operate for the benefit of Townsville and the nation.''
In January 2016 Queensland Nickel sacked 237 workers, declaring that a lack of support from the Queensland Government was to blame for the decision and ultimately 800 employees lost their jobs. It was placed into administration in April, owing more than $150 million to creditors.
At the time the nickel price fell following announcements the Chinese Government was injecting 30 billion yuan, or AUD $6.6 billion, into its metals industry and the Canadian Government was waiving electricity charges for its metals industry.
Last month, the former Federal MP had his personal assets frozen by the Supreme Court to recover millions of dollars from the collapse of the north Queensland refinery. The order also affects more than $340 million in company assets related to Mr Palmer's business activities.
In handing down his decision in the Supreme Court, Justice Bond said the federal government-appointed liquidators had a "good arguable case" against Palmer and his companies.
He also said there was a real risk the mining magnate would "attempt to frustrate or inhibit the prospects of enforcement of execution of any significant judgment against him or any of his companies".
Earlier this year Palmer claimed he was worth $4 billion.
More to come
Business News Australia
Author: Ben Hall