Katter’s Australian Party has accused the State Government of stalling a process that would deliver 800 vital Townsville jobs through the development of the Townsville Energy Chemicals Hub

Queensland Pacific Metals was desperate for tangible State Government support to get its battery materials project up and running, KAP leader and member for Traeger Robbie Katter said.

“If Townsville and the surrounding areas are serviced so well by Brisbane’s parties, why would this be allowed to fall through the cracks?” he said.

QPM has not commented on the KAP statements, but in April announced to the ASX that it would be stepping back from its TECH battery materials project in Townsville and switching its core focus to advancing its gas and energy assets. 

The company said it would limit further expenditure on the TECH project, pointing to challenging nickel and battery metal market conditions.

Resources Minister and Townsville MP Scott Stewart said this was ultimately a commercial decision made by QPM based on a range of factors.

“As a government we have supported this project and will continue to work with QPM moving forward,” Mr Stewart said.

“I have advocated in support of this project and will continue to do so. We are also building the $5 billion Copperstring project which will unlock $500 billion dollars of critical mineral deposits and thousands of jobs in North Queensland and Townsville.”

Expected to cost about $2.1 billion to build in its first stage of development, TECH last year attracted Significant Investment Project status from the State Government.

The TECH plant is set to process about 1.6 million wet metric tonnes of ore per annum to produce about 16,000t of nickel metal and 1,750t of cobalt metal, both in sulfate form, as well as other valuable co-products.

QPM has secured offtake agreements for 100 per cent of nickel and cobalt sales for the life of the project with General Motors, LG Energy Solutions and POSCO.