Powering ahead in Mount Isa and the North West Minerals Province

A major new energy solution for Mount Isa and the North West Mineral Province is a step closer and has been declared a project of state significance Premier Anna Bligh announced today.

Ms Bligh said private entities CuString and Leighton Contractors had joined forces to solve the region’s power shortfall with plans for a proposed 700km power line project worth $1 billion from Cloncurry to Townsville.

The State Government will join with the private companies to conduct a feasibility study into the CopperString project which could link existing and future mines in the North West Mineral Province to the national electricity grid.

The Premier said the milestone follows the independent Sims Review which determined the private sector should fund infrastructure to address the region’s electricity shortfall although government will support the feasibility study.

“The commitment of energy customers in the region to a feasibility study for this proposed 700km plus transmission line is a significant milestone,” Ms Bligh said.

“The North West Minerals Province around Mount Isa is one of the most significant base and precious metal mining provinces in the world, with production in 2007-08 valued at $7.5 billion.

“This is a once in a generation opportunity for this crucial mineral rich area to find the energy it needs to power Queensland past 2030.

“In August 2009, the Queensland Treasurer, with the support of the Federal Treasurer and the Queensland Resources Council, called on potential energy providers to work with major regional energy users to find a commercially viable long-term answer.

“In the case of a transmission connection, customers for these projects have advised the State Government they have selected the CopperString project from a number of potential transmission proponents to undertake a detailed feasibility study.

“Results of the CopperString feasibility study, due later this year, will allow the major energy customers to assess if this represents a better solution compared to local generation for their energy requirements over the next 20-plus years.”

The Federal Treasurer Wayne Swan welcomed the progress that has been made in securing the long-term energy security of North West Queensland.

“This is one of Australia’s most promising regions - both in terms of economic growth and renewable energy potential.  Improving energy infrastructure in the region will help deliver strong and sustainable growth, benefitting Queensland and Australia.”

Member for Mount Isa Betty Kiernan said the announcement was an act of great faith in the region’s future on the part of private industry and the State Government.

“The Bligh Government has shown its commitment to the North West Mineral Province and the renewable projects that will be based around this project will only add to the strength of the region,” she said

Ms Bligh said the proposed 275 to 300 kilovolt transmission line was declared a Significant Project by the State Government’s independent Coordinator-General Colin Jensen yesterday.

“I welcome the Coordinator-General’s declaration which means CopperString must now undergo a rigorous Environmental Impact Statement to identify and mitigate the project’s impacts,” Ms Bligh said.

“There will be multiple stages of public consultation as part of the Environmental Impact Statement process.

“CopperString has also indicated it will conduct detailed investigations before any final alignment is identified.”

Ms Bligh said the Sims Review identified an upgrade of CS Energy’s Mica Creek Power Station as an option for future power supply to the region, while leaving the door open for other parties to develop alternatives.

The Mica Creek Power Station is the main power provider for the Mount Isa and Cloncurry regions. CS Energy is well advanced in its investigations into upgrade and expansion options for Mica Creek Power Station.

“To ensure all potential energy solutions have a strong chance of success, the State Government is working with energy infrastructure proponents and customers to facilitate the necessary approvals,’’ Ms Bligh said.

“The delivery of secure and competitively-priced energy to North West Queensland and the North West Minerals Province, including the consideration of energy alternatives such as renewable energy, is a key priority of the Northern Economic Triangle Infrastructure Plan 2007-2012.

“The proposal may also help harness emerging renewable energy opportunities in the corridor between Townsville and Mount Isa.

“This transmission line is intended to complement, not replace existing energy infrastructure in North and North West Queensland.’’

The proposed 275-300 kilovolt transmission line would run from near Townsville, to Chumvale near Cloncurry. The project could create 400 construction and 30 ongoing jobs.

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