$135m for Nyrstar critical metals

Nyrstar has secured transitionary funding from the Federal, South Australia and Tasmania Governments for its critical metals processing operations in both states.

The funding will enable the company to maintain its ongoing operations while progressing engineering planning to allow assessments of a significant rebuild of its Australian smelters and fast track feasibility studies into critical metals production.

The company’s focus will initially be directed towards accelerating an antimony pilot plant in Port Pirie, South Australia before shifting to critical metals studies to explore what is needed to modify its operation to produce antimony and bismuth at the plant and germanium and indium in Hobart, Tasmania. The support provided will also be put towards asset integrity projects including critical scheduled maintenance activities at Port Pirie and major furnace and wharf investments at Hobart.

As part of the agreement, Nyrstar has committed to continue investment in its existing operations and workforce in Australia while it progresses its consideration of a redevelopment.

Nyrstar will also work with the Federal Government to examine the necessary policies and pathways to safeguard and capitalise on these strategic multi-metals processing assets.

Nyrstar global chief executive Guido Janssen says the Nyrstar group is grateful for the transitionary support.

“In the face of extremely challenging global market conditions, this support demonstrates the strategic importance of the Australian operations for sovereign capability and delivering the products needed globally for modern economies,” he said.

During this first stage of support major investments at both sites will be completed requiring an additional 350 contractors and 90 suppliers at Port Pirie and about 200 contractors and suppliers for works at Hobart.

Nyrstar Australia chief executive Matt Howell says the company’s operations in Australia have the potential to build on its 100 years of continuous operation, becoming a new hub for the supply of critical metals not only to Australia but globally.

“We have an opportunity to build upon this to create a new source of economic growth, producing metals for defence industries, renewable energy and high technology manufacturing,” he said.

“Through this partnership, Australia is demonstrating that it is at the forefront of taking meaningful steps to retain nationally strategic smelters and partner with industry to provide urgent short-term support, as well as work on solutions for their long-term viability.”