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WA gas crisis could threaten meat processing

13 Jun, 2008 12:28 PM
Western Australia's meat processing sector has been thrown into disarray as the full extent of the State's gas crisis begins to hit home.

Two of the State's biggest abattoirs say they may be forced to stop production completely unless alternatives are found and consumers should brace themselves for beef and pork shortages.

WA's gas supply was cut by a third last week due to an explosion at one of its major suppliers Apache Energy last week.

Craig Mostyn Group owns the Linley Valley Pork abattoir, which processes 10,500 pigs per week.

Craig Mostyn cheif executive officer, David Lock, initially believed their natural gas supply was assured, but now their supplier of liquid CO2, Air Liquide, has claimed force majeure because its supplier of ammonia has been forced to stop its production.

Mr Lock said CO2 was the only option for euthanising pigs and the plant only had enough for a further 11 days processing.

"Gas supply wise we thought the operation was secure," Mr Lock said.

"We have met with the State Government and they are looking at various options.

"One of those options is to scale back the State's desalination plant which would free up some liquid CO2.

"We only require 2t per week to run the plant, so hopefully that will become available.

"If we are forced to cease processing it would have dire consequences for the WA pig industry as we are currently processing 95pc of the state's pigs."

Harvey Beef chief executive officer, Michael Rapattoni, said the situation was still unfolding and the full extent of the affect on the processing plant was not yet known.

"If it deterorates then we would have to stop production," he said.

"That would be a catastrophe for the industry as it would mean 2500 head of cattle a week would not be processed.

"We are currently running at 65pc of our gas allocation at the moment and are just getting by.

"We are having to reduce production and speed the chain up to try and get as many numbers as possible processed."

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Craig Mostyn Group chief executive officer David Lock said WA's pork supply could be threatened by the gas crisis
Craig Mostyn Group chief executive officer David Lock said WA's pork supply could be threatened by the gas crisis
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