BHP Suspends Nickel West Operations, Australia Responds with Support and DiversificationBHP Suspends Nickel West Operations, Australia Responds with Support and Diversification BHP’s recent decision to suspend operations at Nickel West has had a significant impact on Western Australia’s Goldfields region. The Cook Labor Government has pledged support for affected employees and communities while emphasizing the importance of diversifying the state’s resources sector. Support for Affected Employees * Free career support through jobs and skills centers * Redeployment opportunities within BHP * Training and upskilling initiatives * Support from community organizations Government Commitment to Diversification * Investment in a Critical Minerals Advanced Processing Facility * Collaboration with BHP on an electric smelter in Kwinana * Research partnership with Curtin University on critical minerals * Funding for construction apprenticeships BHP’s Support for Diversification * Commitment to reviewing the suspension by February 2027 * Investment in the government’s Critical Minerals Advanced Processing Facility * Exploration of a green steel industry in Kwinana Statements from Government Officials * Premier Roger Cook: “This is a disappointing decision… My government will do everything it can to support workers… We are investing billions to set up our economy for the long term.” * Minister of Mines and Petroleum David Michael: “This is a reminder that the mining sector is subject to cyclical fluctuations… Western Australia’s job outlook is good… The government remains committed to positioning our state as a major global leader in downstream processing.” The Cook Government emphasizes the importance of a resilient and diversified economy in light of global commodity market volatility. By supporting affected workers and investing in critical minerals and green steel industries, the government aims to create long-term sustainable jobs for Western Australia’s future.
- BHP temporarily suspends Nickel West operations
- Support available for affected employees
- The Cook government is committed to diversifying the economy and creating long-term jobs
The Cook Labor Government has pledged to support affected workers and communities while continuing to encourage diversification of Western Australia’s resources sector, following BHP’s disappointing decision to suspend operations at Nickel West.
BHP today announced that it is temporarily suspending operations at Nickel West, a move that will have a significant impact on thousands of employees and communities in the Goldfields region of Western Australia.
The Cook Government has taken steps to assist workers who require support in finding alternative employment, including through retraining or upskilling, given BHP’s commitment to redeploying frontline workers.
Employees can get free career support by calling their nearest jobs and skills centres. They are ready to provide employees with individual support, such as information on training and courses, and help with job searches and finding the right job.
BHP has also committed $20 million to support local communities affected by the decision and will honour contracts for the supply of reagents in Kalgoorlie from its own operations.
Importantly, BHP today announced a range of measures to support the Cook Government’s plan to diversify Western Australia’s economy and create long-term jobs for Western Australia’s future, including:
- funding for the Cook administration’s proposed Critical Minerals Advanced Processing Facility, building on a $100 million state investment included in the 2024-2025 state budget;
- commit to working with its project partners to develop an electric smelter in Kwinana, placing Western Australia at the forefront of the global green steel industry;
- making BHP’s refinery resources and expertise available for critical minerals research, in partnership with Curtin University, in support of the Cook Government’s Battery and Critical Minerals Strategy; and
- $5 million to support construction apprenticeships through the Cook Government’s Group Training Organisation wage subsidy program.
BHP has committed to reviewing the suspension by February 2027.
As Prime Minister Roger Cook said:
“This is a disappointing decision and our thoughts are with the thousands of employees and their families affected by the suspension.
“My government will do everything it can to support workers and our regional communities during this difficult time.
“This announcement once again demonstrates the volatility of global commodity markets and underscores the importance of my administration’s efforts to diversify our economy and make our resources sector more resilient.
“We are investing billions to set up our economy for the long term, reduce volatility in our mining sector and create long-term local jobs for Western Australia.
“I welcome BHP’s commitment to support that work, by investing in our Critical Minerals Advanced Processing Facility and kicking off work on a green steel industry in Kwinana.
“These are significant projects that will position Western Australia as a leader in the global green steel and critical minerals manufacturing industry.”
As Minister of Mines and Petroleum David Michael said:
“My thoughts are with the thousands of employees and their families affected by this decision.
“This is a reminder that the mining sector is subject to cyclical fluctuations in commodity prices and other market forces beyond the sector’s control.
“I hope that many employees will remain with BHP, given the company’s commitment to redeploying all frontline workers.
“While this news is disappointing, Western Australia’s job outlook is good. Monthly employment in the state grew by a robust 1.8 per cent in May, or 28,000 people, the best result in the country, while the unemployment rate fell to 3.6 per cent, the lowest rate in the country.
“I am confident that Western Australia’s vital minerals industry will thrive in the long term, delivering responsibly sourced, high-quality metal products that are essential to the global energy transition.
“Critical minerals are an important part of Western Australia’s economic diversification story and the government remains committed to positioning our state as a major global leader in downstream processing.”
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