Orica has been fined $1.2 million for exposing workers to harmful cobalt dust.

Orica Australia Pty Ltd was handed the penalty in the District Court of NSW after SafeWork NSW uncovered the exposure at its Kooragang Island facility. 

The case centred on the exposure of two workers at Orica's Cobalt Catalyst Manufacturing Shed to cobalt dust, a substance known to cause severe respiratory and other health issues. 

The court heard that these workers were subjected to this hazardous environment over several years, leading to serious health consequences including occupational asthma.

“The Court found the likelihood of risk of exposure was certain and few steps were taken by Orica to guard against the risk, and those steps were poorly implemented and inadequate,” said SafeWork NSW head Trent Curtin.

Orica, a major player in the industrial chemical manufacturing industry, produces cobalt catalyst pellets used in various chemical processes. 

The court found that the production methods led to visible cobalt dust and powders being released into the workplace environment, linked with different stages of the manufacturing process.

The chronic exposure to cobalt dust has been associated with respiratory effects such as asthma, fibrosis, lung damage, and in rarer cases, cardiac issues and liver and kidney congestion. 

The court heard this exposure came despite previous knowledge of the risks associated with cobalt dust, which Orica had been aware of since at least 2014.

District Court Judge David Russell highlighted Orica's previous convictions related to workplace safety, noting the company had 12 prior similar convictions over 29 years. 

“Orica certainly foresaw the possibility of the risk to an individual of death or serious injury through its lack of precautions taken in the cobalt shed,” Judge Russell stated.

Orica's Kooragang Island manufacturing centre manager, Viney Kumar, has expressed regret over the incident. 

“Orica expresses our deepest regret and acknowledges that our conduct fell below what was acceptable. We sincerely apologise to the impacted workers and their families and continue to provide them with the support required,” Kumar said.

The company has reportedly implemented improvements to the manufacturing processes at the site to prevent future incidents.