COLLIE-PRESTON MLA Mick Murray has urged Perdaman Industries to be honest with the community as to whether its planned $3.7 billion urea plant near Collie will ever go ahead.
It is understood that no progress on the project has been made since the Collie Mail reported in January that Perdaman was investigating alternate sites in the United States after coal supply negotiations with Premier Coal stalled.
Mr Murray was responding to questions in the wake of Perdaman Chemicals owner Vikas Rambal's media comments on Monday that the project would head east or to the United States if an agreement could not be reached.
"I don't see that Mr Rambal will be able to find any cheaper coal in the Western world," Mr Murray said.
"It sounds like a way of saying it is over but I would rather see him just come out and say whether it is viable or not.
"The coal companies have put in the base price - unless he can find another source he'll be struggling to find a price near the one that has been offered."
Mr Murray said he expected both parties were looking to get the best deal and the resulting deadlock has left the project with little chance of ever seeing the light of day.
"I'm sure both parties have sharpened their pencils and if they can't reach an agreement then it is all but over," Mr Murray said.
A Perdaman spokeswoman said discussions were last held between the two companies back in late 2013 before Mr Rambal travelled to China to hold meetings with Chinese miner Yankuang.
Perdaman declined to comment on which specific sites on the east coast and in the United States were being considered or why they offered a better alternative.
