Mt Isa's $145 million critical minerals pitch one step closer

Mount Isa's push to reinvent its regional economy with a new mineral research hub has secured state and federal backing for a feasibility study.

Mount Isa City Council and the University of Queensland released a business case earlier this month for a $145 million critical minerals research centre.

The facility would allow mining companies to analyse rock samples from local mineral deposits to see what minerals were present and if they would be viable to mine.

In July 2025, Mount Isa's underground copper mine closure saw nearly 500 workers sacked in the 19,000-strong community, forcing the council to search for economic alternatives.

While Mount Isa's economy has been affected, exploration and investment across the wider North West Minerals Province has boomed, with about 85 critical minerals projects underway.

Sustainable Minerals Institute director at the University of Queensland Rick Valenta said the proposed hub would allow industry to scale operations quickly.

"The reason you can't just find a deposit and put it into production in a year is because you've got to answer … 'What's the content of the metal that you're after? And … how do we get the metals out of that rock?'" Professor Valenta said.

"[At the moment], those rocks would be going elsewhere in Queensland … Australia or the world … [and] that involves a cost and a delay.

"This centre is aimed at providing a local solution to that sort of thing."

Search for new ideas

Mount Isa Mayor Peta MacRae said she hoped the research hub would help future-proof the city by giving mining companies a dedicated site to research problems locally.

"[Currently] minerals are just going to be ripped up and shipped," she said.

"What we want to do is add the value and do as much processing as we can … to help us secure the future for our communities."

The proposed hub is expected to create up to 50 permanent jobs and would be located near the Mount Isa Airport.

On Friday morning, Federal Assistant Minister for Resources Anthony Chisholm confirmed funding would be released to consider the proposal.

"We want to make the most of these opportunities … and ensure that Mount Isa remains a great place to live and work and attract people at the same time," he said.

"We know that there is enormous potential, but it's about proving that and then also ensuring that we can attract the industry investment."

The federal and state governments have agreed to tip in $241,250 each to fund a feasibility study, with an additional $482,500 to come from Mount Isa City Council.

If successful, the hub would operate in conjunction with similar facilities in Mackay and Townsville.

Initial testing and analysis would start at Mount Isa's centre, before small-scale piloting took place in Mackay followed by large-scale trials in Townsville.