Dampier Salt to sell Lake MacLeod for $375m

Dampier Salt has entered a sales agreement for the Lake MacLeod salt and gypsum operation in WA to salt company Leichhardt Industrials Group for $375m.

Dampier Salt is a joint venture between Rio Tinto (68%), Marubeni Corporation (22%) and Sojitz (10%).

Lake MacLeod is one of three solar salt sites owned by Dampier Salt with the other two operations in Dampier and Port Hedland.

It lies within Baiyungu country in the Gascoyne region of WA and consists of a 1.5mtpa salt operation, 1mtpa gypsum operation and a deepwater port.

Dampier Salt is the world’s largest exporter of seaborne salt with capacity to produce around 10.3mtpa.

Rio Tinto managing director port, rail and core services Richard Cohen says the sale will enable Dampier Salt to focus on enhancing its operational efficiencies at its other operations.

“Until the completion of the sale, the Dampier Salt leadership team’s focus will be on safety, delivering on plan, and maintaining respect for all people at Lake MacLeod and in the Carnarvon community,” he said.

“We are pleased Leichhardt has committed to retaining all Lake MacLeod employees, ensuring continuity of operation and providing job stability to the 130-strong workforce.”

Completion of the sale is conditional on certain commercial and regulatory conditions being satisfied, which is expected to occur by the end of the year.