In a bid to avert disaster, the SA Treasurer Kevin Foley is holding high-level talks in Brisbane this week with representatives of NRG Energy, which operates the Port Augusta power stations and the Leigh Creek coalfield through its South Australian subsidiary, NRG Flinders.

While Mr Foley said he was unsure what would come out of the meeting he said it was critical the Government continued to pressure NRG to consider SA's interests.

"I'm not leaving any stone unturned," he said. "The fact that the people in charge of NRG in the US have agreed to meet with us is encouraging.

"However, the state has been left in a terrible, terrible position with the likelihood of losing up to $140 million."

Last month, the Government sent a strongly worded letter to the US company demanding it honour its contractual agreements with SA and warning of legal action.

NRG Energy later agreed to make an interim injection of $4.5 million to pay for short-term gas supplies to the Osborne Power Station at Port Adelaide.

Mr Foley said he was also concerned at the prospect that the SA power operations would fall under the control of banks if NRG Energy was declared bankrupt in the US.