Waroona abattoir back on the market after long-awaited reopening shelved

Prime Meat Co is selling its Waroona abattoir four years after purchasing it from billionaire Gina Rinehart, with plans to reopen the disused plant for the first time in 13 years shelved. The fit-for-purpose cattle processing facility, which was once one of WA’s biggest abattoirs but has not operated since 2009, received approval for upgrades from the Department of Water and Environmental Regulation in April 2021. It was set to reopen early this year after owner Prime Meat Co invested in significant upgrades. But while much of the works were completed, the long-awaited reopening was set back, with the abattoir now listed for sale by CBRE real estate. CBRE agent Phil Melville told Countryman COVID-19 had forced Prime Meat Co to reassess its options. “Right now, the world looks very different to when it was purchased,” he said. “A lot has gone into the approval process for operation, and also with the repairs after the Yarloop fire, so there has been money spent on the facility. “But there’s compelling opportunities out there that the owners want to consider; and just like any portfolio, the prudent manager assesses it when outside variables change — in this case, in the favour of a potential sale.” The completed upgrades included a new 300sqm carton chiller and significant improvements to water supply infrastructure at the site. A Prime Meat Co spokeswoman said the former Clover Meats plant had been well maintained and was in excellent condition. “There has been major upgrades to the abattoir, and everyone that comes in is surprised with the state that it has been kept in,” she said. “We’ve now got full water supply to the plant compared to before, when the water supply was limited, with all the infrastructure to keep us going. “We’ve got new dams and refurbished dams as well. . . and full power throughout the plant and office.” Despite all the investment, the spokeswoman said COVID-19 had caused problems securing labour and the tradespeople necessary to open the plant. “With a plant like this, we need a lot of specialist contractors; it’s not any contractors that can work on this facility,” she said. “To be able to get these contractors is very difficult at the moment, and labour is very scarce.” The facility comes equipped with a four-tower plate freezer with storage capacity of about 3000 cartons, or 150 tonnes. It also boasts five chillers, a batching plant, and a “well equipped and spacious” slaughter floor, with full boning and packing capacity. Under the approvals secured last year, the abattoir can process 500 cattle daily and 83,500 tonnes (hot standard carcase weight) per year. But Mr Melville said the prospective buyer would have to invest more money to get the plant operational. “It comes down to whoever wants to operate it and what they’re going to be focusing on, because historically, it’s been pigs, sheep and cattle,” he said. “We don’t know what the buyer’s market is and what they want to specialise in. “If they want to take it to the nth degree and really utilise the boning room, and pack it to end user like Clover Meats did, it’s going to be different to somebody that just wants to quarter cattle, put them in a chiller and get them processed overseas.” Mr Melville said the Waroona abattoir — which would have employed up to 250 people had it opened as planned this year — offered investors a “historically proven plant in the right location”. “It’s in the space where there’s other abattoirs operating, so there is a proven labour force in that region, and proven access for beef supply,” he said. “Right now, the low Australian dollar is also appealing for international investors. “I think our timing is very good; we’re coming in when abattoirs that weren’t operational are now becoming operational again, so there’s a clear appetite for it.” Previously called Clover Meats, the abattoir and by-products plants, were acquired by Mrs Rinehart in 2014 when she bought Liveringa and Nerrima stations in the Kimberley as part of a deal estimated to be worth $40 million. The Waroona abattoir was among a string of disused abattoirs purchased by Prime Meat Co in 2018, including facilities at Geraldton — which has yet to open — and Gingin.