A construction contractor is closing a manufacturing plant in Cheshire citing “economic challenges” in the energy-from-waste (EfW) market for its decision.
Sixty jobs are at risk at Interserve’s Ellesmere Port facility which has been making parts for energy projects since 2006.
The company has begun a formal redundancy consultation process, with 1 July said to be the likely date for closure.
In a letter to workers, Interserve said there was interest from a potential buyer but an offer was “not yet firm”.
A company spokesman said: “We are closing our mechanical and fabrication facility at Ellesmere Port. This decision reflects economic challenges currently being experienced throughout the EfW and oil and gas industries.
“The closure will have no impact on our ability to support our customers.
“We have advised all employees that we have had interest from a company which is presently searching for a manufacturing facility in this sector.
“We are in discussions with this business and hope that we may be able to avoid redundancies.”
The news comes within days of Interserve announcing it had taken a £70m hit on its EfW plant in Glasgow.
The company said problems relating to the design, procurement and installation of the gasification plant had contributed to the losses.