Landmark Deal to Protect Regional Queensland Jobs and Strengthen Australias Copper Capability

Strategic Insights -

The Albanese Government and the Queensland Government have signed a Heads of Agreement with Glencore, committing to invest up to $600 million over the next three years in the Mount Isa Copper Smelter and Townsville Refinery. This investment will protect over 600 direct jobs and a further 500 jobs at the nearby Phosphate Hill facility, alleviating immediate pressures on the facility and reinforcing Australia's position as a key global supplier of copper.

Key Takeaways:

  • The deal will provide funding of up to $200 million per year for three years, contingent on the completion of a transformation study and other review points.
  • The transformation study will focus on driving sustainable and long-term industrial capability in Mount Isa, evaluating the end-to-end copper value chain in the region and seeking to understand the long-term opportunity for the facilities, industry, and Mount Isa workers beyond the support period.
  • Both Governments have signed a Heads of Agreement with Glencore, giving certainty to workers, local communities, and businesses that rely on the Mount Isa operation.
  • The continued operation of the Mount Isa Copper Smelter supports the Albanese Government's commitment to strengthening strategic supply chains and delivering a Future Made in Australia, and the Crisafulli Government's Transforming Queensland Manufacturing Strategy.
  • The Mount Isa Copper Smelter provides half of Australia's copper smelting capacity, maintaining Australia's domestic minerals and metals processing capability fundamental to economic resilience in a concentrated global market.

Statistics:

  • $600 million investment over the next three years in the Mount Isa Copper Smelter and Townsville Refinery.
  • 600 direct jobs protected in the Mount Isa Copper Smelter and a further 500 jobs at the nearby Phosphate Hill facility.
  • 50% of Australia's copper smelting capacity provided by the Mount Isa Copper Smelter.
  • Three-year funding of up to $200 million per year, contingent on the completion of a transformation study and other review points.

Sources:

  • "The Honourable Dale Last Landmark deal to protect regional Queensland jobs and strengthen Australias copper capability" (2022, date unavailable).
  • Attributed to Tim Ayres, Minister for Industry, Innovation and Minister for Science: Quotes from "The Honourable Dale Last Landmark deal to protect regional Queensland jobs and strengthen Australias copper capability".
  • Attributed to Dale Last, Minister for Natural Resources and Mines, Minister for Manufacturing and Minister for Regional and Rural Development: Quotes from "The Honourable Dale Last Landmark deal to protect regional Queensland jobs and strengthen Australias copper capability".