New Nyrstar owner outlines future of Hobart zinc works

There’s a new owner of Nyrstar and the company has outlined the future for Hobart’s zinc works.

Nyrstar’s Lutana plant. Picture: NIKKI DAVIS-JONES

HOBART zinc works owner Nyrstar has been taken over by major shareholder Trafigura.

Trafigura is on a much stronger financial footing than the struggling Nyrstar, with $US53.8 billion in assets across commodities trading and production.

As part of a restructure, new chief executive officer for Nyrstar, Daniel Vanin, was appointed today.

“Nyrstar begins a new chapter today,” he said.

“I’ve already visited almost every Nyrstar operation around the world. I’ve been impressed by the fundamental strength of the assets, by the depth of technical knowledge of the teams and by their passion for the work that they do. I’ve seen many opportunities and solutions that could be implemented quickly.”

Treasurer Peter Gutwein said in November last year Nyrstar had advised it was committed to its Hobart operations and the Hobart smelter was sustainable.

It followed reports that 12 contractors had been told by the company that their jobs were on the line.

The zinc works, Nyrstar, on the River Derwent near Hobart. Picture: SAM ROSEWARNE

Last year the plummeting share price of the Belgian-listed metals giant cast doubts over the Hobart smelter’s future.

A spokeswoman said today Nyrstar Hobart welcomed the new ownership arrangement.

“Our focus remains as always on the safe and efficient production of zinc and we look forward to a bright and sustainable future in which we can continue to contribute to the Tasmanian economy and our community,” the spokeswoman said.

State Growth Minister Michael Ferguson said the Government welcomed the announcement after meeting with representatives from Trafigura and local Nyrstar management earlier this year.

“We continue to strongly support Nyrstar and the jobs and investment it contributes to our economy,” Mr Ferguson said.

Australian Workers’ Union state organiser Kevin Midson said the change of ownership was positive news for the Hobart plant.

“We are confident this has secured our members jobs on the site and are hopeful this means there will be much needed investments in the safety of the plant and its ongoing maintenance,” he said.