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The Queensland government has not made any decisions on whether to bail out embattled Queensland Nickel, Treasurer Curtis Pitt said this week. Queensland Nickel owner Clive Palmer had appealed to the government to provide “minimal assistance” to ensure the continued operation of the Townsville refinery. Palmer’s cry for help came after the Western Australian Supreme Court dismissed a bid by Mineralogy for Chinese State-owned CITIC to pay a A$48-million advance on disputed royalties over the Sino iron-ore project, in Western Australia. In its application, Mineralogy claimed that Queensland Nickel was experiencing a liquidity crisis and would require a cash injection of A$28-million to avoid the closure of its refinery, and job losses of 767 employees. Palmer had urged the state government to get involved, saying it needed to put the welfare of the Townsville families on its agenda. He added that the loss of the refinery would have serious consequences, plunging the region into a decline lasting up to a decade. “The state government is already financially supporting the foreign-owned Boyne Smelters in Gladstone and should do the same for the nickel operation. "Queensland Treasurer Pitt gives away A$40-million each year to the foreign-owned Gladstone smelter but has refused to support Queensland company Queensland Nickel, the largest employer in North Queensland,’’ Palmer said. However, the Treasurer said that until October this year, Palmer had maintained that the operation and the jobs at the refinery were safe. “The state government has met with Queensland Nickel numerous times to discuss its operating position. Now, a few weeks before Christmas, he’s come back threatening to close the business if the state doesn’t bail him out,” Pitt said. “If Clive Palmer makes a decision to close the refinery, that would be his decision alone.” The Treasurer added that Queensland Nickel’s first priority should be setting aside funds to provide for employee entitlements.

• [Editor:Juan]