" Townsville Destruction"..., page-5

You over simplify. BHP sold Yabulu [let's refer to the plant not the company owning the bank accounts] to Palmer at what sounds like cash value. BHP is a LARGE company and has a history of divesting small scale operations on the pretext that it allows them to concentrate on the big picture. They once off loaded a nickel mine in WA where the decline was almost complete and all drilling done. Those interested in Metals Ex can tell me if I have the right name. If I am right the company, while being a disappointing investment, has survived. That's what BHP do.

Environmental issues are best handled by a profitable, operating company and I assume that's why BHP sold it at a price which should have allowed the refinery to be profitable.

Fearing that Palmer would asset strip the refinery assets they had three years [I think] covenants included in the contract. Once the three years was up, Palmer stripped the assets.

I'm not sure how a government can replace stripped cash with the same directors in control. Had Palmer NOT been an absolute bastard I think the rescue would have happened. The liquidators planned to keep it as a going concern and ordered two shipments of ore from New Caledonia but Palmer did a sale to himself with no cash involved which meant that the plant was no longer under the control of the liquidators. The new company that owned the bank accounts would not accept delivery of the ore [no intention of continuing operations obviously] so the liquidators had to sell it on the high seas to the highest bidder.

How could you expect a rescue? I wish it were otherwise.