Elevated levels of sulphur dioxide have been reported leaking from Orica's Port Kembla plant on the NSW south coast.
The chemical giant said it recorded increased amounts of sulphur dioxide (SO2) from its Spent Acid Regeneration Plant (SARP) at Port Kembla on Friday night.
The SO2 spiked at around 3000 parts per million (ppm) and stayed above the 1000ppm limit for approximately 15 minutes, Orica said in a statement on Saturday.
"This averages as a release of 595ppm and does not constitute a breach of license," it said.
The Environmental Protection Authority said it was following up the reasons behind the spiked reading with Orica but said there were no health or environmental impacts.
In December, the company confirmed there had been a "contained leakage" of about 3000 to 4000 litres of sulphuric acid from the same facility.
Meanwhile, its ammonia plant on Kooragang Island, near Newcastle, was reopened earlier this month after it was shut in August because toxic hexavalent chromium fumes had leaked near more than 70 homes in the beachside suburb of Stockton.
NSW Premier Barry O'Farrell has warned Orica he will close its Kooragang Island plant if there are any more leaks.