NSW Premier Barry O'Farrell says he's warned Orica he will close its Newcastle chemical plant if there are any more leaks.
The Kooragang Island ammonia plant is due to reopen on Tuesday after a string of leaks shut down the operation.
"It's no secret that I don't have much faith in Orica which has been a serial offender when it comes to its Kooragang Island facility," Mr O'Farrell told reporters in Sydney on Tuesday.
The plant was shut down in August after hexavalent chromium fumes leaked near more than 70 homes in the beachside suburb of Stockton, near Newcastle.
In December, the company also confirmed there was a "contained leakage" of about 3000 to 4000 litres of sulfuric acid at its Port Kembla facility, on the NSW south coast.
News that makes sense
Your trusted source for staying up-to-date with the world around you. Get free daily news updates and analysis, straight to your inbox.
Mr O'Farrell said the Kooragang plant was being reopened under strict supervision.
"And, I say again to Orica that continued offences at that plant is likely to end up with the plant not operating at all," he added.
