A United Kingdom-based green technology company, Natrium Redox Technologies, has put forward a proposal to acquire the Liberty Bell Bay manganese alloy plant in northern Tasmania, which is currently in liquidation. The firm has been in discussions with both the Tasmanian and Australian state governments regarding its project since March, according to ABC News Australia.
The Liberty Bell Bay facility, Australia’s sole manganese alloy plant, was placed under external administration in March due to financial difficulties faced by its former owner, Sanjiv Gupta’s GFG Alliance. Following an unsuccessful attempt to secure a deal with a consortium that included US investment firm White Oak, the plant was shut down, resulting in approximately 200 job losses. Creditors subsequently voted for the smelter’s liquidation, with EY Parthenon appointed as the liquidator.
Natrium Redox Technologies, whose CEO is Bill Higgs, is reportedly considering two distinct options for the site. The first involves restarting the traditional furnaces and establishing a manganese processing plant, which could process between 35,000 and 70,000 metric tons annually, potentially increasing the site’s manganese production by 20 to 40 per cent. This option could create more than 220 jobs. The second proposal focuses on processing an estimated 20,000 metric tons of existing waste on site to extract metals from slag and fine ore residues. Mr. Higgs stated that Natrium Redox’s technology allows for the production of high-purity manganese without CO2 emissions, by utilising sodium instead of coke.
Tasmanian Minister of Industry, Felix Ellis, has confirmed that he has written to EY, the liquidator, urging them to thoroughly consider all credible proposals through a market testing process. Minister Ellis also reported that he, alongside the federal treasurer, appealed to the Australian Securities and Investments Commission (ASIC) last week. Their aim was to support the liquidators in investigating the actions of GFG Alliance and, if necessary, to recover assets or enforce collection. The ultimate decision regarding the facility’s future rests with the liquidator, the ABC reported.
The Tasmanian government had previously purchased a $14-million ore stockpile last year, which is now controlled by separate state-appointed receivers who will manage its sale. Concerns have also been raised that the rehabilitation of the site could fall to the state government, potentially costing around $200 million. Earlier reports indicated that Liberty Bell Bay operated at a net loss of $80 million in the last financial year, and the Tasmanian government received advice that $200 million was withdrawn from the operation and transferred to a UK-based parent company. The federal and Tasmanian governments have collectively provided $9.6 million across three packages to support workers’ wages during the administration period.
Readers seeking further information are encouraged to consult the original ABC News report.