Quinbrook sponsors development of ‘Green Iron’ Project in Gladstone, Queensland

Eulogie holds the potential for a world class magnetite resource where mining, processing and conversion to green iron can be powered by Quinbrook’s large scale renewables portfolio creating a new value-added export industry for Australia

Gladstone, Queensland – 20 May 2024 – Quinbrook Infrastructure Partners (“Quinbrook”), a specialist global investment manager focused exclusively on the infrastructure needed for the energy transition, today announced it has commenced the development phase on proposed Green Iron Project in Gladstone, Queensland.

Quinbrook has partnered with Central Queensland Metals (‘CQM’) which holds the exploration permits for what is the largest known magnetite deposit in Queensland. Quinbrook will sponsor the detailed evaluation and testing of the ore deposit to prove its quality and scale, utilizing some of the world’s leading metallurgical expertise that the Australian resources industry possesses.

The Eulogie resource is a vanadiferous titanomagnetite ore deposit located 70km west of Gladstone, estimated to contain 465 million tonnes of ore with attractive characteristics for low cost extraction. The deposit is anticipated to have the potential to support a resource more than double this amount after further exploration work is undertaken by CQM supported by Quinbrook. Quinbrook is currently developing a portfolio of renewable energy and storage projects in central Queensland dedicated to power multiple new energy intensive manufacturing projects planned for the Gladstone region in support of the Queensland Government’s Energy and Jobs Plan.

The Gladstone Green Iron project represents a capital investment of up to $3.5 billion on current estimates and incorporates the exploration, development, mining and concentration of the magnetite ore at Eulogie, the transport of concentrated ore to the Gladstone State Development Zone and potential conversion to green iron using hydrogen produced by the Central Queensland Hydrogen Project (CQ-H2). There are multiple export opportunities for both the ore concentrate and green iron using the existing rail infrastructure through to the Gladstone Port. Quinbrook has secured exclusive rights over land adjacent to CQ-H2 and is engaged in joint venture discussions with Stanwell Corporation on both hydrogen supply and the delivery of firm renewable power to support CQ-H2 and the power needs of the Gladstone Green Iron project. The development phase is expected to take several years to complete with planning approvals already underway. Quinbrook has received several expressions of interest from global industry players regarding the project and expects to commence a process to select an industry partner to take over the design, construction and operation of the green iron elements of the project once development work is further progressed and approvals secured.

Gladstone has all the fundamentals needed for a world class green iron project with many compelling cost advantages including what looks to be a world class ore deposit in close proximity to existing port infrastructure, as well as established road, rail and high voltage transmission infrastructure and more importantly, direct access to central Queensland’s abundant renewable power endowment. These are the exact fundamentals that hopeful green steel producers need and are scouring the planet for and we have them right here in Gladstone. This is exactly the type of project the ‘Made in Australia’ and critical minerals policies of the Federal and Queensland State Government are designed to support and the recent Federal budget announcements have given us and our partners the confidence to get on with it. We thank the Federal and Queensland Governments for their bold and visionary policy initiatives and their ongoing support of plans for new Australian manufacturing which is attracting the attention of the world’s leading investors who are the same investors driving real progress in the global energy transition.

David Scaysbrook
Co-founder and Managing Partner of Quinbrook Infrastructure Partners

“This is unquestionably an ambitious project that directly addresses the hopes for Australia’s manufacturing renaissance.  Whilst in its early stages, we believe the project has the potential to create a significant new infrastructure investment and export opportunity in the same way that Queensland’s coal seam gas resources have already done. Quinbrook has built a reputation for devising differentiated investment strategies that create the new infrastructure assets needed to progress the energy transition. With Gladstone Green Iron, we are using our long established project development DNA to identify unique industrial sites that can host new green manufacturing and processing industries benefitting from globally competitive operating costs including Quinbrook supplied renewable power,” said Brian Restall, Managing Director and Regional Leader of Quinbrook Infrastructure Partners.

About Quinbrook

Quinbrook Infrastructure Partners (http://www.quinbrook.com) is a specialist investment manager focused exclusively on the infrastructure needed to drive the energy transition in the UK, US, and Australia. Quinbrook is led and managed by a senior team of power industry professionals who have collectively invested c.USD 8.2 billion equity in energy infrastructure assets since the early 1990s, representing a total enterprise value of c.USD 28.7 billion or 19.5 GW of power supply capacity. Quinbrook has completed a diverse range of direct investments in both utility and distributed scale onshore wind and solar power, battery storage, reserve peaking capacity, biomass, fugitive methane recovery, hydro and flexible energy management solutions in the UK, US, and Australia. Quinbrook is currently developing and constructing some of the largest renewables and storage infrastructure projects in the UK, US, and Australia.