Incitec Pivot Ltd. (IPL) today announced that it will continue manufacturing operations at its Gibson Island nitrogen plant in Queensland after confirming a new gas supply agreement through to Dec. 2022, securing the employment of approximately 400 workers at the site. The company had warned it might have to close the plant if a gas supply contract could not be secured at the right price. Its current temporary one-year gas contract expires on Dec 31, 2019.
IPL said the new supply agreement reached with Australia Pacific LNG through to Dec. 2022 provides certainty to allow a circa A$100 million, three-year investment in major plant maintenance at Gibson Island.