Mataura lignite briquette plant gets reprieve

MARTA STEEMAN
Last updated 05:00 21/06/2013

Relevant offers

Industries

First look at David Jones department store in Wellington Valleygirl and Temt administrators search for supplier solutions Check out the world first 'un-meltable' ice cream Ryman Healthcare responds to staff pay gripes and increases directors fees Underwater glass lift proposed for Napier's National Aquarium After 15 years the wait is over for new Countdown Waiheke Tesla driver speeding in fatal Autopilot crash Mortgage lending hits record levels as national house prices soar Real estate agent with terminal cancer claims he was cut loose because of illness Safety box cutter called 'health and safety gone mad'

Solid Energy's $30 million lignite to briquettes plant at Mataura, in Southland, has a reprieve, although the company will not be a long-term owner.

Local workers had feared it might be closed. Solid Energy acting chief executive Garry Diack said the coalminer did not see itself as a long-term owner of the plant, but Solid Energy and GTL Energy were continuing with the operations.

They wanted to demonstrate the plant's capabilities and technology and establish its value. The plant uses Australian company GTL Energy's technology to convert lignite to briquettes and had completed sustained production runs leading to the plant's commissioning in May.

The two companies are assessing commercial arrangements for its future.

GTL Energy leased the plant from Solid Energy and took over its operation in February after the state coalminer's financial woes deepened.

GTL Energy chief executive Fred Schulte said continuing to run the plant would underpin the use of the technology globally and was important for a large-scale project under development in Indonesia.

It would also show if there was a deep market in New Zealand for the briquettes.

Ad Feedback

- Fairfax Media

Special offers

Featured Promotions

Sponsored Content