- Cook Government to support ramp-up and re-start of nickel mines
- $15 million allocated for interest free loans
- Initiative aims to support miners as sentiment and prices for nickel improve
- Part of Cook Government's support for WA's nation-leading resources industry
The Cook Labor Government will allocate $15 million for interest-free loans to help Western Australia's nickel miners in operation and support the potential restart of idled mines and ramp-up of new projects.
The initiative aims to provide further confidence for the industry as sentiment and prices for the steel-making commodity and battery metal improve.
The Western Australian nickel industry has experienced extremely challenging global market conditions in the past few years, which have prompted mine and processing plant suspensions, and significantly impacted jobs.
However, prices and the market outlook for the commodity have improved in recent months.
The loans will be repayment free until either 1 July 2028 or until nickel prices exceed $US22,000 per tonne for two consecutive quarters.
Interest-free repayments will be in quarterly instalments over a two-year period following the conclusion of the interest-free period.
Details on the loan facility, eligibility criteria, application process and maximum loan per miner will be developed by the Department of Energy and Economic Development in consultation with the Department of Mines, Petroleum and Exploration and the Department of Treasury and Finance.
As stated by Mines and Petroleum Minister David Michael:
"Besides the jobs and export sales it provides, WA's nickel industry is also an essential component of the State's vision of becoming a global hub for the downstream processing of battery metals.
"Our nickel miners are competing internationally with mining jurisdictions that have significantly lower environment, social, and governance standards.
"It's important that they are supported to weather the storm of current market conditions and get back to what they do best, so they can be part of ongoing and future efforts to decarbonise the globe.
"The no-interest loan initiative represents sensible, responsible and targeted support to help WA's nickel industry get back on its feet."
