🧐 ProPicks AI October update is out now! See which stocks made the listPick Stocks with AI

Administrators recommend winding up Queensland Nickel company

Published 12/04/2016, 11:13 am
Updated 12/04/2016, 11:20 am
© Reuters.  Administrators recommend winding up Queensland Nickel company

MELBOURNE, April 12 (Reuters) - The administrators of Queensland Nickel Pty Ltd, owned by Australian politician Clive Palmer, on Tuesday recommended putting the company into liquidation.

FTI Consulting said it was also seeking $190 million from the operators of the refinery, a joint venture run by two Palmer-linked units, for employee entitlements and unsecured creditor claims.

The recommendation to wind up the company will be voted on by creditors on April 22, and could potentially trigger sales of assets owned by the current operators of the refinery.

The plant, at Townsville in Australia's northeast, went into voluntary administration in January as a collapse in nickel prices CMNI3 to 12-year lows pushed it into financial difficulty.

Palmer, however, wrested back management control of the plant as the head of a new joint venture, Queensland Nickel Sales Pty Ltd, and announced his intention to keep the refinery open.

"As administrators, we recommend that creditors resolve... that the company be wound up," FTI consulting said in a statement.

Palmer, who could not immediately be reached on Tuesday for comment, said last month the refinery was unlikely to restart before late July.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.