Kimberley iron ore miner Cockatoo Island Mining heading into liquidation unless last-minute rescue drops

Detailed summary

Without a last-minute deed of company arrangement, administrators from KordaMentha will recommend at next week’s meeting of creditors that Cockatoo Island Mining be liquidated.

The company behind a short-lived resumption of iron ore mining on a Kimberley island once linked with Alan Bond will be liquidated unless administrators receive an acceptable offer by next week. Restructuring experts from KordaMentha remain in talks with a handful of parties interested in Cockatoo Island Mining, but efforts to secure a binding deal to recover some of the $150 million owed to creditors have been hampered by inadequate funding commitments and concerns about the viability of mining on the island. Without a last-minute deed of company arrangement, the administrators have recommended that CIM be wound up at next week’s meeting of creditors.

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