Liberty Bell Bay smelter officially enters liquidation

The Liberty Bell Bay smelter in northern Tasmania has officially entered liquidation after creditors voted to dissolve the business, following unsuccessful attempts to find a buyer. The smelter, which employs 200 workers, closed down after creditors rejected a potential sale last month. It has been in administration since March due to issues with its former owner, GFG Alliance. The Tasmanian government is committed to supporting workers and their families during this transition.

EY Parthenon has been appointed as the liquidators, and they will pursue creditors for millions of dollars owed, including around $27 million owed to workers. After liquidation, affected employees can apply to the federal government's Fair Entitlements Guarantee for unpaid wages, redundancy pay, and other entitlements, capped at the weekly wage of $3,032. The government is encouraging workers to review the dedicated webpage for more information on available support.

The government is also working to recover a $14 million stockpile of ore purchased for the smelter, which is currently controlled by state-appointed receivers. They plan to sell the ore soon, potentially generating revenue to offset the estimated $200 million cost of rehabilitating the Liberty Bell Bay site. While some express concern about the future of the site, the government maintains that liquidation does not diminish its strategic potential and is exploring third-party interest in the property.