SENATOR TIM AYRES, MINISTER FOR INDUSTRY AND INNOVATION AND MINISTER FOR SCIENCE: Well, I’m delighted to welcome all of you here today to Nyrstar’s Port Pirie facility. We are here to see remarkable progress moving from when the Albanese Government and the Malinauskas Government announced in September last year a support package for this facility that was based upon its enormous economic impact, but also the strategic value for Australia of critical minerals production and, in this facility, proposed investment in antimony production. We’ve moved from what I saw there last year, which was pilot level production of small amounts of antimony, to now the first commercial shipment being exported from Port Pirie, this time to an Australian facility on the east coast of Australia, and in the future to American, European, NATO countries and to North Asia. 

This is a valuable critical mineral that is at the heart of the Albanese Government’s Future Made in Australia vision for rebuilding and reconstructing Australian manufacturing. That is a $22.7 billion package of which this venture is just one part. It means good jobs, good blue-collar jobs that regional communities and outer suburban communities can be proud of. It means growth and prosperity and lifting productivity, and it means future economic resilience, making Australia stronger and smarter and safer. 

Antimony as a product is at the heart of many of our international agreements around supply chain security. Late last year, when the Prime Minister and Madeleine King, the resources minister and I travelled to the White House to meet President Trump about the critical minerals agreement between Australia and the United States of America, this facility and antimony production here was very much at the heart of that discussion. Eight-and-a-half billion dollars immediately flowed from that discussion into investments in facilities around Australia to ramp up Australia’s production of critical minerals. 

Antimony is vital, particularly in defence supply chains, as a hardening agent for alloys, particularly for defence applications. It goes into a market where there is market concentration, unfair subsidies, non-market practices that mean that governments, including the Albanese Government, the government of the United States and in Europe and in North Asia, are acting to make sure that we deliver supply chain security. It’s good for jobs, good for our national security, good for strengthening our relationships with our partner economies, and it’s absolutely vital as the beating heart of this regional community that that investment happens. 

I do want to say while Peter Malinauskas as the Premier of South Australia and I are here and the management, Darin, as the manager of this amazing facility are here, this is also an achievement of the Port Pirie community and the workers who have worked so hard; production workers, the tradespeople, the metallurgists, the chemical engineers who have worked hard to move from pilot production to commercial production. And that’s something Port Pirie should be proud of. It’s something South Australia should be proud of, and I can tell you, as Australians, we should all be proud of this great achievement. So, well done. 

I want to welcome the Premier of South Australia, Peter Malinauskas. 

PETER MALINAUSKAS: Thank you so much, Minister. I can’t thank Tim enough for the work that he is leading in the Federal Government to see the uplift in capability in the Upper Spencer Gulf in South Australia to ensure that not just sovereign capability but internationally critical capability is maintained here in this nation to benefit like-minded allies and partners around the world. 

I want to thank Tim and Minister Koutsantonis for their ongoing engagement and dialogue in conjunction with Nyrstar, and I thank Darin for having us here today. The work that has been achieved at Nyrstar with the support of local MP Geoff Brock, who used to work at this very facility, and which I know lives deep in his heart, as this whole community does, has been a real example of what good partnership looks like. 

You know, the Federal Government, in conjunction with the State Government, Tim and I, we stood here with Nyrstar not that long ago, announcing a major $135 million co-investment to green up the capability of Port Pirie to be able to participate in the critical mineral and metal supply chains in the future. We know that globally, we are seeing a geostrategically very complex environment, compromising the nature of how critical minerals and metals flow between like-minded countries, and that represents an opportunity for us here in South Australia through this smelter at Port Pirie. This is a unique capability that doesn’t exist in too many Western nations around the world, which means we in South Australia can produce this critical mineral and metal in antimony, unlike anybody else. 

Antimony is a critical mineral the world desperately needs more of, particularly when you think about defence capabilities. And here in Port Pirie, we can now produce it at volume. This shipment, or this body of antimony that you see here, is part of the very first commercial shipment that comes out of the demonstration facility that has been invested in, in a coordinated way between the Federal and State Governments and also Nyrstar themselves, and there is a capacity to grow this. Currently, there is the capability of producing 150 tonnes per annum here at Port Pirie. Our objective in the next step is to try and get that up to 2,000 tonnes in a commercially viable way. That means this facility, and the thousand-people-plus that it employs, have an ongoing future in the Upper Spencer Gulf, moving up their capability, moving up their productivity curve, producing an even more extensive and even more critical mineral the world needs more of, particularly in the current environment. 

Now, this can't be achieved without strategic policy response. The Federal Government, in conjunction with the State Government, understand that if we want to be able to produce this mineral and other critical minerals into the future, there needs to be collaboration between governments and the private sector. We know that other producers of critical minerals, like antimony, would seek to crowd out the capability of Australians to be able to produce it in a way that is commercially viable. That’s why the government has a role to play. 

We cannot live in a world where all the strategic critical minerals and metals are produced only by a handful of countries, and like-minded allies, including Australia, aren’t able to do it. That would be at the expense of our sovereign capability. That would be at the expense of our capacity as a nation to be able to defend ourselves in the future, which is why we’ve got to be able to produce critical minerals and metals like this. 

We have that opportunity at Port Pirie. It results, not just in a greater claim or a greater strength of our sovereign capability, but it also means better jobs and better living standards for people that work in facilities like this one. We have been unapologetic as a state government to reach out and partner with the Commonwealth and the private sector to realise the economic opportunity we have in the Upper Spencer Gulf, whether it be Port Pirie or Whyalla or what we’re doing with green cement in Port Augusta. It represents a big economic and industrial opportunity for our state that the nation desperately needs. And we will continue to pursue this policy together, because that’s what a good Labor government does. 

On that note, I want to thank Darin and invite him to say a few words on behalf of Nyrstar. 

DARIN COOPER: Thank you, Premier. First of all, I would just like to take the opportunity to thank Minister Ayres and the Premier on being here today and [indistinct] Minister Koutsantonis and Geoff Brock. It’s a great pleasure to have everybody here to be able to demonstrate Nyrstar’s capacity and capability to produce antimony. I’d also like to thank everybody that’s been on this journey and helped us to be able to make this metal today. It’s just the first step in being able to expand our capacity and develop that sovereign capability of making metal for Australia. It’s been a good journey so far. It’s just the beginning. We have planned on being able to expand not just antimony, but we are looking at other critical minerals as well. And it all adds to Australia’s sovereign capability [indistinct]. Thank you. 

JOURNALIST: Can you tell us who bought the first shipment? 

COOPER: Yes, it's going off to somebody on the east coast, and eventually it’s being made into an alloy which will come back into the Nyrstar; basically it goes into zinc alloys in Hobart and then potentially international sales. What we’re trying to do here is grow that global market so we can sell to all of our strategic partners. 

JOURNALIST: What’s it worth? 

COOPER: Antimony, it depends upon the day, but somewhere between 20 and $40,000 per tonne right now. 

JOURNALIST: [Indistinct] 

COOPER: Obviously, the entire intent here is to build and provide that strategic capability. So, into the Western world and into Australia’s allies. But they may be better questions to ask Minister Ayres. 

JOURNALIST: Now that you’ve hit this milestone, are you going to approach the state and federal governments for more money to further expand this plant? 

COOPER: It’s been a great partnership to this point, and we look forward to that continuing. 

JOURNALIST: Have you made that approach? 

COOPER: An approach has been made, yes. 

JOURNALIST: And what response –

COOPER: And we’re working together to try and look at how best to fund it [indistinct]. 

JOURNALIST: And how much would it cost to expand the plant here? 

COOPER: That’s something I would leave to the government. 

AYRES: I don’t know whether Darin wants to negotiate –

COOPER: No, that’s not my place. That is not my place. 

JOURNALIST: How much money would you need from the government, do you think? 

COOPER: We’ll take whatever is available, but we’ve already outlined exactly what’s needed for the next stage. Those discussions are very active. 

JOURNALIST: What does that look like, for the next stage? 

COOPER: There’s a couple of things. There’s obviously the ongoing support, and that’s already been mentioned. And we’re looking at traditional capital to be able to expand that plant to between 2,000 to 5,000 tonnes per year. 

JOURNALIST: So, actually making the plant bigger? 

COOPER: Making the plant bigger. We’re still at the demonstration phase, so this is just the first metal that’s been made to demonstrate the capacity and the capability of Nyrstar in Australia. And then we’ll look to expand that. 

JOURNALIST: And would that be mostly funded by Nyrstar with a little bit of help from the government, or what would the split be? 

AYRES: Why don’t I jump in on these questions? They’re really questions for – we are working carefully with Nyrstar and their parent company over the future plans at this site. The initial announcement in September of last year was part of a support package that we are further developing to back in the work that Nyrstar and their staff are doing to build this capability. 

We have established, the Albanese Government – and there’s been some criticism of this approach – we have established the country’s biggest ever pro-manufacturing suite of policy measures, including capital support and support for smelters like this to make sure they get through the next few years to be able to invest. It is the National Reconstruction Fund $15 billion, Future Made in Australia, $22.7 billion worth of support. This is an unashamedly pro-manufacturing, pro-industry government, the Albanese Government. Working with Peter Malinauskas, the South Australian Government here in our national interest and in the interests of our future economic resilience, but also, as has been set out here very clearly today, in our national security interest as well. 

And think about what it is that we are trying to achieve in this venture together. It is a facility that will produce 15 per cent of the world’s antimony in one place in Port Pirie, with Australian ore and Australian products going in here and supporting our partners. We currently live in a world where, whether it’s NATO or our other strategic partners around the world, don’t have supply chain security over this product, and it is vital for defence production and for security reasons. 

So, we don’t apologise for having a tough pro-manufacturing, pro-Australian position on the future of manufacturing. We’ll work carefully with Nyrstar and Trafigura on those questions, and we’ll work through them carefully with a range of those other industrial facilities around the country as the Albanese Government shapes a future economy that’s got a key part in regional Australia and industrial functions. 

JOURNALIST: So, can you give us a bit more of an insight, then, on what further Federal Government investment looks like here as a value? 

AYRES: Well, we’ll work through those things really carefully. Of course, I’m not going to signal ahead of these discussions the value of these future arrangements. But you can see from what we’ve done already our commitment to Australian manufacturing, and the critical role that these facilities play in our economic resilience and in our future security, and in terms of the thousands of jobs that rely upon this facility. 

JOURNALIST: It sounds like the industry is in a pretty good spot, then if it’s got that sort of support from the government. It’s almost too big to fail. 

AYRES: We are Australians working together to deliver on important national objectives. But we are demanding accountability, and what we’ve seen here is exactly that kind of accountability. The project required reaching commercial-scale production. It has been achieved ahead of time, and today is the first commercial shipment from Port Pirie in South Australia to contribute to those national efforts and those global supply chain efforts. This is a good day for South Australia. I’m very pleased. You know, sometimes you engage with firms where they don’t meet the objectives, and there’s tough discussions about that and tough accountability about that in the Future Made in Australia program. But today we are here to celebrate with workers and this firm the early achievement of commercial production that some people – Mr Taylor and others – say couldn’t be done and shouldn’t be done. Well, Australians have done it here together with the Albanese Government’s support. 

JOURNALIST: Are you going to require that Nyrstar pay for the vast majority to build this upgrade, or what will the support be? 

AYRES: Well, we are going to work through those details together. It is clear that between the Albanese Government and the Malinauskas Government in South Australia, we are determined to work together with a shared approach to all of those questions, and we will unroll that in a responsible way. This is public money that has been engaged for a national interest purpose. We are absolutely determined to deliver here in the interests of the country but also regional Australians who rely upon these kind of jobs for dignity at work, for economic growth. And for all of the firms in the Upper Spencer Gulf who rely upon facilities like this for contracts and maintenance and engineering work, the ongoing operation of this facility is absolutely fundamental for South Australian economy. 

JOURNALIST: What’s the timeline on exporting beyond Australia, these resources? 

AYRES: Well, these products, I think Darin explained, will ultimately have an offshore destination. There’s more work to do in this particular contract. Some of the future arrangements here will be direct export of that product there from Port Pirie, Australia, to partners in the United States and Europe and North Asia. 

JOURNALIST: So that – 

AYRES: This is all about, as we indicated in the agreement that we struck with, for example, the United States, it’s all about supply chain security for our partners overseas and making a Future Made in Australia so we are moving up the value chain here and securing jobs and higher-value products. 

JOURNALIST: So that doesn’t [indistinct]? 

AYRES: Well, the more we expand, the more capacity to deliver for our partners, and 2,000 tonnes a year represents a very significant expansion. That is deliverable. It’s a modular production process. So, for this, it needs additional production cells. It’s absolutely achievable to reach that 2,000-tonne milestone. And I am really looking forward to working with the people here in Port Pirie and in Nyrstar to deliver that objective. 

JOURNALIST: Can you give us a timeline for when you expect those things to be done? 

AYRES: We’ll work it through really carefully. And, of course, you won’t be surprised to learn that as a responsible minister we don’t, you know, talk about these things publicly until we’ve reached the conclusion of those kind of commercial discussions. 

Any other questions for me or Premier Malinauskas? 

JOURNALIST: I’m just wondering how this integrates with defence manufacturing in [indistinct]? 

AYRES: Well, so antimony is vital for defence production, particularly for armaments. And it may well ultimately play a role down the track in broader defence production efforts in Adelaide, AUKUS-related developments. Recently, the Albanese Government, Minister Pat Conroy, has announced that we are commencing missile production in the Hunter Valley. It may well play a role in that production process as well. 

These are, of course, production processes that are integrated with our partners overseas – the United Kingdom, the United States and our partners more broadly. And it’s part of us, not just contributing to our own production processes, but Australia and Australians and Australian manufacturing building supply chain security around the world for economies and countries that are also contributing to our national security. So, it’s a partnership. Port Pirie, South Australia, is right at the centre of the global critical minerals discussion, particularly around the future of antimony production around the world. 

JOURNALIST: Just one for the Premier on a different topic. 

MALINAUSKAS: I think we’re answering [indistinct] questions later. 

SPEAKER: Yeah, this is a Gus question? 

JOURNALIST: Gus, yeah. That’s all right? 

MALINAUSKAS: [Indistinct]. 

JOURNALIST: No, nothing has. Just similar to my question yesterday, have you had a briefing from the Police Commissioner [indistinct] certain day? Do you have any update on the search? 

MALINAUSKAS: Not today. 

JOURNALIST: Have you had a briefing from the Police Commissioner [indistinct]?

MALINAUSKAS: In the past, but not in the last [indistinct].

SPEAKER: Thanks very much everyone. Cheers. 

JOURNALIST: Sorry. 

MALINAUSKAS: Not that I would expect [indistinct].

JOURNALIST: Thanks. The Opposition has essentially matched your drought support package but has also broadened the criteria to all farmers, not just the two regions in yours. Would you consider expanding the criteria? 

MALINAUSKAS: We’ve calibrated our package – firstly, this is an unprecedented package from a government of South Australia. It’s very unusual in this country for a state government to offer a concessional loan package to drought-stricken farmers. The drought assistance and loan package that we’ve put into place is far more generous to drought affected farmers than any Commonwealth government scheme. [Indistinct] state government, but we believe it’s the right thing to do. When we [indistinct] and calibrated that package [indistinct] development in conjunction with [indistinct] South Australia, probably the best frontline advocate on behalf of grape producers in our state. We endorsed [indistinct] other industries. We’re very conscious of the impacts that many grape growing communities are experiencing at the moment [indistinct]. But the package that we’ve announced, we’ve done [indistinct] South Australia in conjunction with [indistinct] as well [indistinct] support. 

JOURNALIST: So there’s no plans to expand it or [indistinct]? 

MALINAUSKAS: Well, what I would say is that the package that we have developed for those grain producers and those drought-affected farmers. And as they themselves I understand have made clear, they would want to see [indistinct] expansion of criteria. Now, that’s not to say that there aren’t other areas [indistinct] what’s happening in the grape growing sector at the moment. But the package that we’ve announced – the difference between our package and the Liberal Party’s package is, we’ve [indistinct] South Australia to make sure that we’ve got the policy settings right. As it stands right now we believe that’s the case. [Indistinct] grain producers. 

JOURNALIST: Just as, you know, [indistinct] Nyrstar, is there a plan to invest more in Port Pirie in those basic things like roads and infrastructure for other opportunities in the town?

MALINAUSKAS: Well, as a government we work really hard to make sure that we see a range of investments across Port Pirie. [Indistinct] program [indistinct]. Geoff Brock who’s here has been a powerful advocate for Port Pirie across sporting infrastructure, education infrastructure and health investment, too. And we’ve made a number of commitments. We’re honouring those commitments. And no doubt we’ll turn our minds to others in the not too distant future. 

JOURNALIST: And do you have an idea of job expansion as production expands at Nyrstar? 

MALINAUSKAS: Well, I think the first order of business is to make sure that the existing workforce – which is well over a thousand people – is critical to not just to the economy of Port Pirie but the Upper Spencer Gulf more broadly and the state at large, is able to be maintained on a strong economic and industry footing. It’s important to appreciate that without the partnership that we’ve been able to collaborate with the Federal Government and Nyrstar and its parent company Trafigura, there’s every chance that the Port Pirie smelter’s economics would be compromised. So the first step was to get the future of the smelter looking like a positive one. Antimony provides a clear economic pathway to do that. And then who knows what we can see in terms of expansion in the future. But certainly, our policy is to see preservation and ultimately expansion of [indistinct] demonstration of the first big step. Appreciate this – we stood here with the pilot plant, hoping that we could make the demonstration plant work. Now both have been achieved. The opportunity to go to the next level is something we’re very excited about indeed, particularly given what the demonstration has proven to be successful thus far and those are negotiations we look forward to continuing should that opportunity present itself subject to the election in March. 

SPEAKER: Thanks very much, everyone.