Business as usual: one coal project killed off, another kicks off

The delayed Olive Downs coal mine in central Queensland has started its $1 billion construction.

Apr 08, 2022, updated May 22, 2025
BHP's Hay Point coal terminal
BHP's Hay Point coal terminal

The Pembroke Resources project was expected to create up to 1000 jobs and deliver $10.1 billion to the gross state product when it starts exporting in about two years.

The 15 million tonne mine has largely avoided controversy because its coal would be for steel making rather than energy.

Significantly, the Palaszczuk Government this week killed off an application for exploration at a thermal coal project proposed by Fox Resources near Bundaberg because of a public backlash.

Pembroke Resources chairman Barry Tudor said the official start of works at the project opened the door to new job and economic opportunities for Central Queensland.

“The high quality steel-making coal that will be produced from our mine will contribute to national and state economies as well as much needed infrastructure across the world, delivering economic benefits and jobs from a grassroots to a global scale,” Tudor said.

“Importantly, Pembroke is committed to providing workers with an opportunity to live in towns near the mine including Moranbah and Dysart and is building sustainable futures for people in the communities in which Olive Downs operates.

“We are already creating valuable jobs throughout the region with early works, from cleaners to signwriters to mining professionals, and we look forward to adding to workforce numbers and building even stronger partnerships with local communities.”

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Resources Minister Scott Stewart said the Palaszczuk Government continued to support the resources sector for the royalties and jobs it generates, particularly in regional Queensland.

“Queensland will be a coal exporter for many years to come, which means coal mining and jobs will be part of our economy for the foreseeable future.

“Even as the world transitions to renewables, metallurgical coal for steel will remain an essential, and therefore valuable, international export commodity for Queensland.”

 

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