20 Jul 2021

New Caledonia's Koniambo plant still shut

2:00 pm on 20 July 2021

An attempt by New Caledonia's Koniambo nickel plant to resume operations has failed.

The site has been blockaded for nearly two weeks by a group claiming the company's tendering process sidelines local businesses.

Koniambo nickel plant

Koniambo nickel plant Photo: AFP

The protest action prompted the plant's operators last week to halt production, but it planned to resume work yesterday, saying the shutdown was untenable.

However, the protestors prevented hundreds of employees from returning to the plant, which is one of the territory's three nickel producers and the most significant industrial site in the province.

A skeleton staff is still on site to ensure the furnace remains in working order.

The plant, which is a joint venture between the Northern Province's SMSP and multinational Glencore-Xstrata, has suffered a series of technical problems this year.

Glencore is expected to inject another $US250 million into the plant this year.