Updated February 24, 2017 17:56:51

Photo: Clive Mensink has been on a round-the-world holiday since mid 2016. (AAP Image/Supplied by Crook Group)

It would be unreasonable to force former Queensland Nickel director Clive Mensink to fly economy class to Australia to face a public examination into the Townsville refinery's collapse, the Federal Court in Brisbane has heard.

Justice John Dowsett ordered Mr Mensink to return home by March 27 or risk contempt of court.

No arrest warrant has been issued but it could be if Mr Mensink does not comply with the order.

During a hearing on Friday, Mr Mensink's barrister and the legal team for special purpose liquidators PPB Advisory negotiated the terms on which Mr Mensink would return to Australia.

Alex Nelson, acting for Mr Mensink, told the court his client would need $50,000 to cover his expenses home, which included a business-class return ticket from Europe.

Mr Nelson said Mr Mensink would have trouble fitting into an economy-class seat and it would be uncomfortable for him on the long-haul flight.

"He's a larger-than-average fellow," Mr Nelson said.

The liquidators offered to pay $3,000 for the flight and suggested Mr Mensink upgrade to business class at his own expense if required.

The liquidators would shell out $5,000 to cover flights, accommodation and meal expenses for a five-night, six-day trip back to Brisbane.

Mr Mensink is required to be available for five days of examination.

Yesterday, the court was told Mr Mensink had been diagnosed with clinical depression and anxiety and returning to Australia to face a public court examination would prove difficult.

Topics: courts-and-trials, company-news, clive-palmer, brisbane-4000, qld, australia, townsville-4810

First posted February 24, 2017 17:39:31