Port Pirie’s high-polluting plant restarted by Nyrstar amid claims of community backing
Port Pirie’s smelter operator has restarted its mothballed, high-polluting lead plant as it fixes problems with new multimillion-dollar machinery.
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Port Pirie smelter operator Nyrstar is facing a massive cost blowout after restarting its mothballed high-polluting lead plant, under strict environmental conditions, as it continues to try to fix problems related to its recently completed $600 million expansion.
The restart of the plant, 230km north of Adelaide, has strong local community backing, Frome MP Geoff Brock told The Advertiser.
“Everyone is behind this. No one has come up to me with any complaints. All we want is for the plant to be up and running safely and efficiently for the long term wellbeing of our community,” he said.
Mr Brock said the restart of the plant, that feeds the operating blast furnace, was necessary to the operations going. The smelter employs about 700 workers.
Belgium-based Nyrstar — now under the control of shareholder, commodity trading firm Trafigura — is a major global supplier of lead, supported mainly by its Port Pirie operations.
“I am thankful that they have a new owner because the restart of the old sinter plant has been an expensive exercise along with the repairs costs, a few millions at least,” he said.
A spokeswoman for the Environment Protection Authority said the sinter plant was restarted in August.
“Nyrstar applied to the EPA for approval to temporarily restart the sinter plant (mothballed in early 2019) while the smelter is being repaired.
“The EPA granted approval for the restart, and the sinter plant is being operated with controls and contingency measures in place to minimise environmental nuisance or harm.”
Compliance requirements for air emissions remain in place during the repairs.
Late last year, Nyrstar shut down parts of its operations to cut dangerous emissions and avert a breach of its licence conditions when levels hit a five-year high.
The high result in 2018 was due to short-term dust sources related to the new plant being started while the sinter plant operated.
At the end of each quarter, Nyrstar must meet a rolling 12-month average of lead-in-air levels below 0.5 micrograms per cubic metre at two compliance sites in Port Pirie.
The latest update at the end of June shows the levels were at 0.44 micrograms and 0.40 micrograms at the two sites.
Childhood exposure to lead has been linked to lower IQ and academic achievement, and to a range of socio-behavioural problems such as attention deficit hyperactivity disorder and learning difficulties.
SA Health regularly tests Port Pirie children aged five and under.
Mr Brock said the plant was operated by people with families in Port Pirie.
“They will not do anything to harm the health of their children,” he said.
It is expected that repairs related to the company’s second unplanned shutdown this year will continue until at least mid-November.
The shutdown followed an ‘incident’ in which molten material and gas escaped from a large Top Submerged Lance furnace.
The Port Pirie smelter operation produced 160,000 tonnes of lead metal last year.
Nyrstar had quantified the impact of the first shutdown, from May 28 to July 18, at 30,000 tonnes of lost lead metal and a reduction in underlying earnings before tax of approximately €20 million-€25 million in the same period. It has not detailed the impact of the second shutdown yet.
The $600 million capital upgrade of the plant, completed in 2018, was backed by a $291 million debt guarantee from the previous State Government as part of a deal with Mr Brock in 2014.
Trafigura has guaranteed it will pay off the loan by November 2022.
The Advertiser has contacted Nyrstar and the Port Pirie Regional Council for comment.