News

$10 million cut out of Yarwun alumina refinery site

RIO Tinto is losing money from Gladstone's alumina refineries and it's the contractors who are being squeezed to turn that around.

Yarwun and Queensland Alumina Limited Contractors and suppliers will be worse off about $10 million through a re-tendering process that will look to make a saving on 750,000 hours (or around 90% of total contract hours).

We understand there have been tens of contractors already laid off, if not more, although nor the company or individual contractors were willing to discuss the details of this.

The company has confirmed a re-tendering process is underway and that they are delaying payments to current contractors; extending their payments from 30 days to 60.

This is all only part of a $300 million cost cutting effort across the Rio Tinto aluminium group worldwide announced to the London Metal Exchange this week by chief executive Alf Barrios (pictured).

Speaking to investors, he said Yarwun and QAL were continuing to lose money but they would "aggressively drive costs out of the business".

The price of aluminium is being driven down by an oversupply from China.

But Rio Tinto does estimate prices will increase mid-next year as Chinese production slows down and the country runs out of quality bauxite.

This paper spoke to the manager of a local contract firm who works for both QAL and Yarwun - he didn't want us to name him for fear he would lose his job - who said his employees were nervous but that he understood the need for drastic measures.

"We're happy with the reduction. I'm from Gladstone and if we take the two big players out of the town the impact would be quite severe," the manager said.

"I totally understand that it is out of their control."

He said his staff were nervous about job security but he was more nervous about the town. "I would like to know how many wages they have paid, children they have put through uni and homes they have put up," he said. "They have been great community partners since 1966 and it upsets me when people complain."

Rio Tinto wouldn't go into the expected cuts to contractors at QAL but were positive with the new mine in Weipa that the company would stay in the aluminium business for the long term as long as the refineries were profitable.

Topics:  gladstone gladstone industry mining rio tinto yarwun



How to do Eat Street the right way

EVERYTHING you need to know to get the most out of your Eat Street experience and to avoid a food coma when you’re only one stall deep.

Don’t go chasing waterfalls…find them on these drives!

The Scenic Rim is just one place nearby that you'll love.

BRISBANE isn’t all bright lights and city slickers.

Science Festival seriously awesome

Don't miss the World Science Festival Brisbane!

CALLING everyone who wants to see something totally cool.

Drink where the cool kids do this summer

There are a bunch of new bars open in Brisbane, make sure you're there!

CHECK out these new funky bars.

Discover Brisbane’s laneway gems

Brisbane's laneways will surprise you.

NOT all of Brisbane City is as it seems…

Top five things to experience this summer in Brisbane

Tangalooma is amazing if you're keen for a dive, kayak or swim.

THIS summer get out and explore your capital city.

Your boots are made for walking these tours

Brisbane Greeters tours are a great way to learn the local history of the city.

YOU don’t need a bike or bus for a seriously good tour of Brisbane.

WATCH: Child wrestles monster snake with bare hands

Oli Wardrope, 14 slid underneath the family car and pulled out a massive 2-metre long python.

HE WAS ready for school, then he saw this.

'Absolute grub': Poo, toilet paper left at door of business

Poo at Gladstone Fish Market

A GLADSTONE business owner has never felt so disgusted in his life.

'Loving': Heartfelt tribute to iconic Gladstone woman

REST IN PEACE: Fay Owens, well-known Gladstone woman was paid tribute to in parliamentby Glenn Butcher.

SILENCE as prominent politician recalls life of a Gladstone woman.

Local Partners

Living End, Grinspoon stars hit stage for American Idiot

GET a sneak peek at Green Day's American Idiot The Musical as we go behind the scenes to meet the stars at a QPAC rehearsal.

Samuel L Jackson dismisses La La Land ahead of Oscars

Ryan Gosling and Emma Stone in a scene from the movie La La Land.

Hollywood actor and Oscars voter says Denzel should win top gong

Live performance of Sci-fi classic to open Science Festival

Qld Symphony Orchestra perform live to 2001: A Space Odyssey.

Festival will host A Live Presentation of 2001: A Space Odyssey.

Former Family Matters stare accused of child abuse

Reginald VelJohnson, left, and Darius McCrary arrive at the TV Land Awards on Sunday, April 19, 2009 in Universal City, Calif.

Darius McCrary has been accused of child abuse

Bindi Irwin's birthday tribute to her dad

Bindi Irwin

Bindi Irwin has paid tribute to her dad on his 55th birthday

Reality TV show gives Maryborough a boost

*WARNING EMBARGOED until 9.15pm Monday January 30* Sean Hollands and Susan Rawlings pictured after their wedding on the TV series Married At First Sight. Supplied by Channel 9.

Maryborough looks good on reality TV show.

72 hours of things you can't miss in the Gladstone region

The Screaming Jets are making their way to Gladstone in 2017.

YOU CAN'T miss these things to do in the Gladstone region.

Gladstone's 20 cheapest properties on the market, all under $150K

DIRT CHEAP: 5/239 Sun Valley Rd, Kin Kora is selling for $140,000

PROPERTY sellers drop prices as houses and units sell for bargains.

$140k damage: landlord says property trashed, contaminated

He had what he calls "the tenants from hell"

Submarine, buses and 3000 tyres removed in $100K clean up

The list of things removed from this property is beyond astonishing

Popular island resort sells to loaded international investor

OUR PICK: Chris Foey's colourful shot of one of Gladstone's great tourism hot spots, Heron Island.

International investor snaps up piece of Gladstone paradise.

Ready to SELL your property?

Post Your Ad Here!