Ann: Armour Energy Updates its Northern Territory, page-13

re: Ann: Armour Energy Updates its Northern T... T:Workers happy as Gove operations secured

By Xavier La Canna
DARWIN, Feb 13 AAP - Alumina workers in the outback Northern
Territory town of Nhulunbuy are cheering news that mining giant Rio
Tinto Ltd will maintain operations at its Gove refinery.
A statement on Wednesday from Rio Tinto subsidiary Pacific
Aluminium, which runs the plant, confirmed the decision.
"Pacific Aluminium's alumina refinery in Nhulunbuy will continue
operating as planning, approvals and delivery of the gas to Gove
project progresses," the company said.
A question mark over the refinery and bauxite mine, which was
losing Rio about $30 million each month, has plagued the town since
the announcement of a review into the operation.
It recommended the plant be mothballed - a decision that would
have impacted heavily on the town's 3800 residents, many of whom
work at the refinery.
Dave Suter, from the Nhulunbuy Chamber of Commerce and Industry,
said word the refinery would remain open was given to workers about
10am (CST) at a meeting at the town hall.
"There were claps and cheers," Mr Suter said.
"For the Rio people it was pretty good, it has taken a lot of
stress off them," he said.
Northern Territory Chief Minister Terry Mills told parliament
the decision to keep the refinery open was made by Rio's board in
London overnight.
Earlier in the week the NT government agreed to allocate the
company gas from the territory's own domestic supplies to keep the
plant running.
"They therefore and consequently made a decision to keep the
refinery in operation," Mr Mills said.
Some steps were still needed before the deal was sealed though.
Mr Mills said the federal government must ensure the
underwriting of a gas pipeline, commercial arrangements were needed
for the gas supply, and environmental approvals were needed.
Klaus Helms who heads a local Aboriginal corporation and is
chairman of the East Arnhem Futures Alliance said it was great news
for the town.
"All I can see is smiles on faces," he said.
About 16,000 Aborigines lived around Nhulunbuy and there had
been fears a refinery shutdown could have made it difficult for
them to access hospitals and schools, Mr Helms said.
"The traditional owners have just got the news and they are rapt
with it," he said.
Rio chief executive Sam Walsh commended the NT government for
its efforts and said the outcome balanced the needs of all
stakeholders.
"It has been a complex issue to resolve but everyone involved
has worked tirelessly to find a solution," Mr Walsh said in a
statement.
"Gas to Gove is not only important for the refinery and the
community of Nhulunbuy, it is important to the entire Northern
Territory."
He said the decision made by his company would double the size
of the domestic gas market, drive further investment in gas
exploration, increase long-term gas supply, attract new industries
and create jobs for Territorians.
Now Rio Tinto has agreed to keep the plant open, Mr Mills says
about 700 more workers will be needed to help get the gas to Gove.
"A $1.2 billion project is now likely in the Northern
Territory," he said in a statement.
AAP xlc/jk/was