The MIM-owned Britannia Zinc works is adjacent to a site that St Modwen has already developed.
The smelting plant closed in March with the loss of 400 jobs, after a planned sell-off fell through. St Modwen says that more than 4,000 jobs would be created when the development was complete.
MIM is said to be delighted with the deal, which allows it to get out of the UK for A$73 million ($48 million), against the A$114 million ($75 million) it had budgeted. It had previously exited a site in Duisberg, Germany, for A$78 million ($51 million) against a budget of A$106 million ($70 million). As a result, the Brisbane based group plans to write back on to its books some A$41 million ($27 million).
Most of the terms of the Avonmouth deal were undisclosed. As part of the transaction, however, MIM will pay £2 million ($3.3 million) to St Modwen for demolition. MIM says the developer will assume environmental responsibility for the site.
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