February 29, 2008

Clean Seas' redevelopment plans could fall through due to rising costs

Clean Seas and Southern Star Aquaculture's redevelopment plans for the Kingfish Harbour is unlikely to materialise as the costs is now expected to reach AU$6 million (US$5.7 million).
 

The government's funds is only at AU$3.8 million (US$3.6 million) and the two companies will have to fill in the gaps in order to get the project moving, which is in accordance with a Memorandum of Understanding between the Whyalla City Council and the aquaculture industry.

The two companies would have used the redeveloped harbour for the fishing industry but Hagen Stehr, chairman of Clean Seas, said that the company is unwilling to carry the financial burden of the AU$3 million (US$2.8 million) on its own.

"We can't carry all the financial burden ourselves," Stehr said, citing that his company has other financial commitments.

Stewart Payne of Whyalla City Council said it is up to the industry to acquire additional funding if the given AU$3.8 million (US$3.6 million) proves to be insufficient.

Some of Clean Seas' operation may have to be relocated to Port Pirie or Adelaide if the project does not go ahead.

Part of the Clean Seas operation may have to be relocated to Port Pirie or Adelaide if the project doesn't go ahead, as the company have insufficient of onshore infrastructure, according to Stehr.

Clean Seas Tuna Ltd is a South Australian aquaculture enterprise with strong links into the tuna fishing and fish farming industries. Its operations are located in Port Lincoln, Fitzgerald Bay, Port Augusta and Arno Bay.