Australia's only manganese smelter to close immediately after sale fails

Australia's only manganese smelter, the Liberty Bell Bay smelter in northern Tasmania, will cease operations immediately after administrators failed to find a buyer. The smelter, which entered administration in March, was slated for acquisition by a consortium, but the deal collapsed this week.

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In the absence of both a commercially viable transaction, and the funding required to continue operations, the Administrators have made the difficult decision to commence the orderly closure of the business with immediate effect.

EY Parthenon, the administrators, announced the closure on Wednesday morning. The consortium's main financial backer withdrew last month, casting doubt on the sale. "In the absence of both a commercially viable transaction, and the funding required to continue operations, the Administrators have made the difficult decision to commence the orderly closure of the business with immediate effect," the administrators stated.

They cited broader economic challenges within a volatile global economy as contributing factors to the difficulties in operating the smelter. Employees were informed of the decision on Wednesday and will receive further information regarding redundancies next week. "Employees are being provided with all support available during this difficult period," the statement read.

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These difficulties were, in part, driven by the broader economic challenges associated with operating the smelter in a volatile global economy.

A small workforce will be retained in the short term to safely demobilize the site, sell remaining assets, and fulfill environmental and regulatory obligations. The closure marks the end of an era for manganese smelting in Australia, leaving workers and the local community facing an uncertain future.

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Employees are being provided with all support available during this difficult period.