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Qld Nickel fate in creditors’ hands

Clive Palmer has won back control of Queensland Nickel. ( AFP)

Clive Palmer has won back control of Queensland Nickel. ( AFP)

Clive Palmer has seized back control of his ailing north Queensland nickel refinery but the fate of the firm remains in the hands of creditors.

Administrators FTI Consulting announced on Monday that Queensland Nickel Pty Ltd had been replaced as the Yabulu Refinery’s manager by Queensland Nickel Sales Pty Ltd which is run by Mr Palmer and controlled by two of his entities.

Mr Palmer has been able to keep the refinery and associated Townsville Port facilities open by securing $23 million of funding outside Queensland Nickel Sales Pty Ltd.

While the administrators will no longer oversee operations, they will evaluate proposals put forward for any potential restructure or liquidation of the firm and make recommendations to creditors by April 15.

It will then be up to creditors to decide the future of the refinery.

Prior to being replaced as manager, FTI Consulting said they had given “strong consideration” to placing the refinery into care and maintenance due to trading losses as well as concerns over plant maintenance, safety and environmental issues.

Mr Palmer has described the restructure as a long-term solution.

 


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