The Sibelco Magnesia processing plant at Parkhurst near Rockhampton.

Sep. 19, 2017 - AFFORDABLE energy supply has been cited by Sibelco as they announced the loss of about 15 jobs in Rockhampton.

Yesterday, the company announced it would scale back its Magnesia business in Rockhampton to ensure the company can remain competitive.

"The restructure outcome is designed to achieve a scalable manufacturing organisation; capable of rapidly expanding and contracting in response to market needs,” the company said in a statement.

The company has met with impacted individuals and has presented redeployment opportunities, but up to 15 jobs could be lost.

These numbers are yet to be finalised based on redeployment decisions.

Sibelco's Chief Operating Officer, John McBride changes as the Parkhurst and Kunwarara operations were "essential to improve the capability of our Magnesia Operations to be more agile, adaptable and competitive”.

"We will continue to invest in our Magnesia operations to allow future growth, and we remain committed to ensuring that our focus on safety does not diminish, our product quality is maintained and our employees and the communities we operate within are supported,” he said.

Rockhampton mayor Margaret Strelow said it was not the first time the business had scaled down, but that it was tough news for the region.

"Reading the announcement from Sibelco had a sense of déjà vu about it,” she said.

"We have seen this business scale up and down on more than one occasion.

"What is different is that this time the cost of power is featuring in the story.

"Sibelco have previously scaled their operation to suit prevailing markets.

"And in the past we've seen them look for new opportunities and take on staff again when they can.

"We trust that they will find ways around the current challenges and open up new markets.

"None of that makes it any easier for the workers who had tough news today.

"And as a cumulative story for our regional economy this is tough news for all of us.”