A $135 million funding is being injected towards upgrades to Nyrstar’s Port Pirie and Hobart smelters, transforming them into modern facilities capable of producing critical minerals.
This is a joint commitment from the Australian, South Australian and Tasmanian Government – each contributing $57.5 million, $55 million and $22.5 million respectively.
The combined support package as well as investment from Nyrstar will enable smelter operations to be maintained while progressing detailed engineering plans to possibly rebuilt and modernise the facilities while also fast tracking feasibility studies into world-leading critical metals production.
Through the studies, Nyrstar is proposing to explore the potential production of essential critical minerals suc as antimony and bismuth at Port Pirie and germanium and indium at Hobart.
These critical minerals are considered vital for sectors including defence, clean energy, transport, advanced manufacturing and high-tech applications.
“We have an opportunity to transform the Port Pirie smelter and secure its future for the long term.
“Working with Nyrstar and the Commonwealth, we can modernise the Port Pirie smelter and take advantage world’s desire for critical minerals.
“There is no doubt the Port Pirie operations have faced challenges from global forces largely beyond its control.
“But the transformation of the smelter into a producer of critical minerals like Antimony would put our state at the forefront of a global supply chain that is vital to clean energy, defence, and high-tech manufacturing,” SA Premier Peter Malinauskas said.
“We will help secure the future of Nyrstar’s Hobart operations, backing Tasmanian workers and their families and saving more than 500 local jobs at one of our state’s most significant employers.
“The Hobart site is a key part of our national critical minerals supply chain, and this facility is both vital for Australia’s sovereign capability and Tasmania’s economy.
“We’ve worked closely with Nyrstar, Trafigura, the Commonwealth Government and South Australian Government over recent months to secure a path forward, and today we’re delivering,” TAS Premier Jeremy Rockliff said.
The significant support package will immediately focus on the deployment of an Antimony Pilot Plant in Port Pirie. If successful, it will make Port Pirie the only producer of antimony metal in Australia and one of the few producers globally.
Antimony is an alloy hardener for other metals in ammunition and is critical to the manufacture of semi-conductors in electronic and defence applications. It is also used in flame retardant materials.
Support provided to Nyrstar will also be spent on asset integrity projects including a planned Major Maintenance Project at Port Pirie and Major Furnace and Wharf Investments at Hobart.
Funding flowing to the Hobart project will be a combination of existing support streams already allocated to Nyrstar, including its Electrolytic Cellhouse upgrade and new support streams.
Nyrstar contributes about $1.7 billion to Australia’s economy annually as the country’s only lead refiner and the largest zinc refiner. Nyrstar employs approximately 1,400 Australians directly and supports 6,647 indirect jobs.
The Major Maintenance Project in Port Pirie will require over 350 contractors and more than 90 suppliers while the Major Furnace and Wharf Investments in Hobart will need around 200 contractors and suppliers.
“The Commonwealth, South Australian and Tasmanian Governments are together investing $135 million to transform Nyrstar’s Port Pirie and Hobart smelters.
“Nyrstar and its parent company Trafigura will co-invest in these facilities and lead feasibility, fast-track pilot projects and facility upgrades to secure their future operations.
“Nyrstar contributes $1.7 billion to the Australian economy annually, directly employing 1,400 Australians and supporting over 6,600 indirect jobs.
“Through this transformation, Nyrstar aims to explore possible production of antimony, bismuth, tellurium, germanium and indium, minerals vital to clean energy, defence, and high-tech sectors.
“An Antimony Pilot Plant will be deployed in Port Pirie as a priority.
“If pilot studies are successful this would position Port Pirie as Australia’s only producer of antimony metal and one of the few globally, supporting sovereign capability in defence and advanced manufacturing.
“Sustainability and competitive smelting capabilities in Australia that can deliver critical minerals projects are part of the Albanese Labor Government’s Future Made in Australia agenda,” Minister for Industry and Innovation Senator Tomothy Ayres said.
Source: Government of South Australia – Media Releases; Premier of Tasmania – Latest News; Australian Mining