CopperCo Limited | Deloitte Australia | Restructuring, Insolvency & Financial Advisory

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CopperCo Limited

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Details

Appointment type :

Receivership

Appointment date :

6 February 2009

ACN :

004 434 904

Appointee(s) :

Gary Doran and David Lombe

Office :

Perth

Enquiries :

Email

URL :

www.deloitte.com/au/copperco

Background information

Gary Doran and David Lombe of Deloitte Touché Tohmatsu were appointed as Receivers and Managers of CopperCo Limited and several of its subsidiaries on 6 February 2009. The appointment followed a fall in commodity prices during the Global Financial Crisis.

Trading operations were at the Lady Annie Operations site northwest of Mount Isa, Queensland. It comprised two active mining operations and an Electrowinning and Solvent Extraction process to produce high quality copper.

About an hour after the Receivers’ appointment on 6 February 2009 it started raining. With more than 340mm falling in the next three days the storm water ponds flooded and contaminated water was released impacting watercourses for a distance of approximately 54km.

The Receivers not only had a duty of care under the Environmental Protection Act to prevent a reoccurrence but any buyer of the mine would insist on funds from the sale being set aside to meet remediation.

After extensive negotiations with local land holders and stakeholders an innovative treatment strategy was implemented comprising:

1. Flushing the creek with freshwater into in-stream dams for treatment

2. Treatment of dams with a red mud (treated bauxsol)

3. Removal of contaminated red mud.

 

Costs exceeding $10m were funded by the secured creditor and then out of the $85m sale proceeds.

 

All shareholder and unsecured creditor enquiries should be directed to the liquidators McGrath Nicol.

 

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Costs exceeding $10m were funded by the secured creditor and then out of the $85m sale proceeds.

Circulars

CopperCo Limited | Deloitte Australia | Insolvency matter

Circular to creditors
CopperCo Limited, 6 February 2009

Circular to creditors
Mineral Securities Operations Limited, 6 February 2009 

Notices

Resignation of John Moore
ASX notice, 22 November 2010

Environmental remediation
11 February 2010

Sale of assets and environmental update
ASX notice, 7 May 2009

Suspension of mining activities at Lady Annie mine
ASX notice, 6 March 2009

Notice to employees of standown
13 February 2009

Serious rain disrupts Lady Annie mine
ASX notice, 13 February 2009

 

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