Clive Palmer has denied his mining company siphoned millions of dollars from his Chinese business partners to cover the Palmer United Party’s federal election campaign expenses.

The mining magnate-turned-political powerhouse believes the allegations stem from his opponents who are concerned about PUP holding the balance of power in the Senate from July 1.

Speaking at a business breakfast in Sydney on Friday, he said his company Mineralogy did not siphon $12 million from the Chinese-owned Citic Pacific, as has been alleged in the Federal Court in Perth.

He insisted the PUP’s campaign money came from donations to the party which "will all be detailed when they are declared in accordance with the act".