asked the Minister for Industry and Energy if there have been any developments in the steps he has taken to ensure that the Quigley Magnesite Plant at Ballinacourty, Dungarvan, County Waterford, is kept open; and in particular if he has made any inquiries into the import substitution effect which would be present if this plant were kept open; and if he will make a statement on the matter.
Written Answers. - County Waterford Plant.
697.
As I have indicated previously, I am satisfied that the competitive disadvantages under which Quigley Magnesite have been operating for some time were such that there was no realistic alternative to discontinuing their manufacturing operations. I understand that the company proposes to maintain the plant on a "care and maintenance" basis for some time while they are reviewing developments. The company, in conjunction with the Industrial Development Authority, are also examining the possibility of securing a takeover of the plant. No proposals for a takeover have yet emerged.
The closure of the plant will increase imports of magnesite from their current level of about £2 million per annum to about £3 million per annum. The information available to me is that it would take a subsidy of the order of £10 million over a two-year period to keep the company in operation. In all the circumstances, I cannot see a sustainable economic basis for maintenance of the operations.