In a move aimed at securing the future of the Boyne Island aluminium smelter near Gladstone, the Queensland Government announced a partnership with mining giant Rio Tinto.
This collaboration is designed to safeguard approximately 1,000 jobs in Central Queensland by leveraging the state’s renewable energy resources to ensure the smelter’s long-term viability.
Premier Steven Miles highlighted the importance of this initiative, stating, “I am partnering with industry to secure the jobs of working Queenslanders. This partnership with Rio Tinto will use firmed renewables to safeguard jobs at Boyne Smelter for the future.”
Operating since 1982, the Boyne Smelter is Australia’s second-largest aluminium smelter, playing a crucial role in manufacturing carbon anodes, producing aluminium, and casting molten metal into products for export.
To maintain its economic competitiveness, the government has committed to a support package, which Rio Tinto can access starting in 2029, as the smelter transitions to cleaner and renewable energy sources.
Rio Tinto will be required to operate the smelter at full capacity until the end of 2040, ensuring ongoing maintenance and employment commitments.
The company has also pledged to invest in demand response capabilities, which will allow the smelter to reduce its electricity demand during periods of tight supply, thereby easing pressure on the national grid and helping to stabilise wholesale energy prices.
Minister for Regional Development and Manufacturing Glenn Butcher expressed his pride in the government’s commitment to the Gladstone community.
“Gladstone is Queensland’s industrial powerhouse, and the success of the Boyne Smelter is critical for our community and the livelihoods of the Gladstone residents that depend on it directly and indirectly,” Butcher said.
In addition to securing jobs, the agreement will see Rio Tinto introduce an additional Australian-crewed vessel on its Cape York to Gladstone route
This move is expected to create more well-paying maritime jobs in Queensland and strengthen local supply chains.
Minister for Resources and Critical Minerals, Scott Stewart, praised the initiative, noting, “Boyne Smelter supports hundreds of local jobs and we want to see that continue which is why this partnership is so important.”
The agreement is contingent upon the completion of Rio Tinto’s energy contracting activities, relevant joint venture approvals, and contributions from the Commonwealth Government to support the ongoing viability of the Boyne Smelter.
Rio Tinto Chief Executive Australia, Kellie Parker, emphasised the significance of the partnership, stating, “This agreement with the Queensland Government represents one of the most significant partnerships in our long history of operations in the State. It paves the way for a competitive, green-energy powered BSL, supporting employment and lowering Australia’s carbon footprint.”
The partnership not only secures the future of the Boyne Smelter but also positions Queensland as a key player in Australia’s green energy transition.
As Premier Miles noted, “This will create new opportunities to attract investment and jobs in manufacturing, energy supply chain capabilities, and advanced and value-added agriculture across the regions.”
