Hundreds of jobs saved from the axe after ASIC’s case to close Liberty Bay Bell manganese smelter was dropped

Australia’s only manganese smelter will continue to operate after the corporate watchdog dropped its case.

Liberty Bell Bay was taken to court by the Australian Securities and Investments Commission for failing to file its financial accounts for five years.

The smelter’s administrator, EY (Ernst & Young), which was appointed in March, reached an agreement with ASIC for the corporate watchdog to discontinue its case.

“On 30 April 2026, ASIC discontinued its proceedings to wind up Liberty Bell Bay Pty Ltd,” ASIC said in a statement.

“Administrators have since been appointed to the company.

“Consequently, its obligations to comply with its financial reporting requirements have been deferred as the administration takes its course.”

This move could secure a future for Liberty Bell Bay’s 216 employees as the administrators attempt to find a new owner.

EY earlier this month revealed there was not enough money to continue paying all employees’ salaries.

The administrator said it would need to make 175 workers redundant, however, the smelter received a lifeline from the federal and Tasmanian governments.

Tasmanian Premier Jeremy Rockliff and Federal Industry Minister Tim Ayres announced a $3m loan for Liberty Bell Bay.

Prime Minister Anthony Albanese said the loan was critical for the community in Tasmania.

“We’re backing the workers, their families and the community through this sale process because this facility and these jobs matter,” Mr Albanese said in a statement.

The loan follows the smelter being handed a $20 million loan from the Tasmanian government in August and after being in limited operations since May last year.

Liberty Bell Bay was owned by British billionaire Sanjeev Gupta’s company GFG Alliance before it fell into administration.

The voluntary administration comes as a blow to GFG Alliance, which ran the Whyalla Steelworks before it was forced into administration by the South Australian government last year.

GFG Alliance also ran the Tahmoor Coal Mine, however, this was also placed into administration after a series of creditors appeared in NSW’s Supreme Court seeking that the company be wound up.

Liberty Bell Bay entering administration means steelmaking business InfraBuild is the last remaining Australian asset under Mr Gupta’s control.