EOI for Managing Contractor for new common user facility in QLD begins

The Queensland Government is getting on with the delivery of a state-owned mineral processing facility in Townsville with Expressions of Interest (EOI) for a managing contractor now underway. 

The Queensland Resources Common User Facility (QRCUF) at the Cleveland Bay Industrial Park - within the Townsville State Development Area -  is going to be a purpose-built testing and demonstration facility that will focus initially on vanadium processing and will have the capacity to expand over time to include the processing of other minerals such as cobalt and rare earth elements. 

“Delivery of the Queensland Resources Common User Facility reinforces our Government’s ongoing commitment to the critical minerals industry in North Queensland. 

“Once operational the facility will enable North Queensland to leverage their abundant critical minerals and rare earth elements to secure local supply and meet the growing global demand. 

“There is already interest from companies in using the facility, and opportunities for jobs, new manufacturing and processing supply chains and investment to North Queensland is expected to follow,” Treasurer and Minister for Trade and Investment Cameron Dick said. 

The QRCUF is going to be an enclosed facility: 

• Containing a base set of processing equipment, with a target nominal capacity of up to 1.5 tonnes of feed ore per hour 
• Designed to accommodate trials of a range of critical minerals and rare earth elements, with the initial focus being vanadium 
• Able to be adapted to accommodate different users’ processes 
• Capable of future expansion 

The delivery of the new common user facility is anticipated to fast track the development of commercial mining projects, stimulate investment in advanced mineral manufacturing as well as support the supply chain and industry development. 

The QRCUF is a key action under the Queensland Resources Industry Development Plan, and it also supports the delivery of the $62 billion Queensland Energy and Jobs Plan. The project will also help transform the State’s energy system to deliver clean, reliable and affordable energy to provide power now and into the future. 

“Queensland and in particular the North West Minerals Province has an abundance of critical minerals like vanadium that the world is demanding as it decarbonises. 

“The Queensland Resources Common User Facility as well as the Palaszczuk Government’s investment in Copperstring 2032 will help unlock these deposits and the next resources boom for the state. 

“This facility will help resources companies prove up their product and develop new opportunities for vanadium mining in Queensland which will support good jobs in regional Queensland,” Minister for Resources Scott Stewart said. 

The Queensland Government has committed $150 million through the 2022-2023 State Budget Update for the delivery of common user infrastructure – including $75 million for QRCUF – that will support the development, extraction and production of critical minerals. 

Proponents who are interested are invited to submit an EOI that demonstrates their capability to lead the delivery of the project and be responsible for the design and construction of the QRCUF. 

More information on the EOI process can be found on the QTenders website. Interested parties can submit their EOI by 15 May 2023. 

The EOI stage is the first of a two-stage procurement process. A shortlist of respondents is going to be chosen by the Queensland Government to proceed to the Request for Proposal stage by mid-2023. 

The chosen Managing Contractor will be responsible for engaging consultants, suppliers and trade contractors for the delivery of the project. 

The Queensland Resources Common User Facility is expected to be operational by 2025. 

Source: Queensland Government – Media Statements; Queensland Government – Queensland Treasury; QTenders