Agreement reached on Mount Isa Copper Smelter and Townsville Copper Refinery
Media release
Mount Isa, Queensland
Glencore has reached a Heads of Agreement (the Agreement) with the Australian and Queensland Governments on a support package of up to A$600 million to continue operating the Mount Isa copper smelter and Townsville copper refinery for the next three years.
After eight months of constructive engagement with both governments, this Agreement provides greater certainty for 600 workers and their families in Mount Isa and Townsville. It also recognises the Mount Isa copper smelter and Townsville copper refinery are strategic national assets that underpin the copper supply chain across Queensland and the country’s critical minerals strategy.
The support package includes several review points and a commitment to complete a transformation study that will examine opportunities to further develop industrial capabilities in the Mount Isa region to ensure long-term economic resilience. The parties will now begin discussions to finalise the detailed formal agreement.
For over 20 years, Glencore’s Queensland metals operations have been an economic anchor for North Queensland’s pit to port copper, zinc, lead and silver supply chain.
Since 2003, Xstrata and Glencore combined have made capital investments of an estimated A$10 billion into the Queensland Metals business and spent approximately A$30 billion on day-to-day operating costs.
Our Mount Isa Mines copper smelter is the only smelter in the country that treats products from local and regional mines as well as across Australia. The copper smelter and refinery are at the centre of an economic network that provides jobs for many thousands of people and partners with thousands more suppliers, making a substantial positive economic contribution from Mount Isa to Brisbane.
Over the next six years, Glencore has A$2.5 billion in planned or proposed capital investment across the Mount Isa region. This includes further investment in George Fisher Mine and potential development of the Black Star Open Cut (BSOC) project.
Glencore Metals Australia Interim Chief Operating Officer Troy Wilson said:
“This agreement provides a short-term lifeline for the copper smelter and refinery and comes after Glencore had already stepped up to absorb significant financial losses to maintain operations and jobs while working on a solution with government.
On behalf of Glencore and our workers, I would like to express thanks to the Australian and Queensland Governments for backing the region and these strategic assets with a critical support package.
In particular, I want to sincerely thank our workforce, whose commitment and resilience over the past eight months has been outstanding.
Copper is a critical metal for the future. Competition in the global copper smelting market is fierce and it’s not a level playing field with various countries seeking to secure substantial market positions.
We support the Australian and Queensland Governments’ push to develop policies which enable critical metals processing to continue in Australia, backed by a mining sector that makes a significant contribution to the economy and supported by affordable and reliable energy.
Glencore has demonstrated its commitment to sustaining copper processing operations and preserving jobs by absorbing material financial losses. It is our hope that conditions improve over the next three years to a point where government assistance is no longer necessary.
Glencore would also like to gratefully acknowledge the support of the Mount Isa City Council, Australian Workers Union (AWU) and Townsville Enterprise Limited for championing solutions to benefit the whole region.”
For further information, please contact:
Agata Graham
m: +61 438 304 345
e: Agata Graham
Francis De Rosa
m: +61 417 074 751
e: Francis De Rosa
Notes for editors
About Glencore in Australia
In Australia, Glencore produces coal, zinc, nickel, cobalt, copper, lead and silver from 20 active mining operations. We also operate metals processing assets in Queensland, Western Australia and the Northern Territory, including concentrators, smelters and refineries.
We are among Australia’s largest producers and marketers of natural resources, connecting Australian resources with industrial customers around the world. Through our diverse portfolio, we responsibly supply the resources that advance everyday life.
We employ 17,420 people in Australia and in 2024 contributed $19.6 billion to the regional, state and national economies. This included spend of $13.2 billion with 6,810 businesses across the country, as well as $3.6 billion in government tax and royalty payments.
We are committed to providing a safe, inclusive and respectful workplace for our people, to respecting the environment, to engaging openly and constructively with the Traditional Owners on whose lands we operate and to bringing value to local communities.
We will support the global effort to achieve the goals of the Paris Agreement through our efforts to decarbonise our own operational footprint. We believe that we should take a holistic approach and have considered our commitment through the lens of our global industrial emissions. For more information see our 2024-2026 Climate Action Transition Plan.
Learn more about Glencore Australia