Queensland opens critical minerals facility to support advanced manufacturing

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Stock image. Image credit: BlackMediaHouse/stock.adobe.com

The Queensland Government has opened an Australian-first critical minerals processing facility in Townsville, aiming to support downstream manufacturing, reduce technical risks for mining projects and attract investment in local processing capabilities.

The Queensland Resources Common User Facility provides companies with access to specialised equipment to test and validate mineral processing methods at scale without the capital investment required to build their own demonstration facilities.

According to the Queensland Government, the facility is designed to help companies progress projects towards commercial production, strengthen supply chains and increase the amount of critical minerals processed in Queensland.

The facility will initially focus on vanadium processing, with capacity to expand to other critical minerals, including cobalt and rare earth elements. The government said these materials are important to advanced manufacturing and defence technologies.

Foundation customer Vecco Group will use the facility to validate its process for converting vanadium-bearing ore into a high-purity vanadium product for use in vanadium flow batteries.

Queensland Minister for Natural Resources and Mines Dale Last said the opening marked a step towards developing the state’s critical minerals resources into commercial projects.

“Projects need confidence that a process will work at scale, the capability to test and refine, and investment to take a project from concept to commercial reality,” Minister Last said.

The facility forms part of the Crisafulli Government’s plan to expand the state’s critical minerals sector, supported by a $146.1 million investment in the 2026–27 Budget.

Member for Mundingburra Janelle Poole said the facility could help Townsville attract investment and support skilled employment in the region.

“We have the skilled workforce, industry expertise and infrastructure to become a powerhouse for critical minerals processing, and this facility puts us at the forefront of that opportunity,” Ms Poole said.

MITEZ chief executive officer Maria James said the facility could strengthen processing capabilities across the Mount Isa–Townsville corridor, where established mining expertise and mineral resources could support further development.

“Expanding our processing capability will strengthen regional supply chains, support local businesses and create long-term jobs across the corridor,” Ms James said.

The Queensland Government said the facility was officially opened in front of industry representatives and a visiting European Union delegation exploring the state’s critical minerals processing capabilities and investment opportunities.

The facility is intended to help companies establish the technical feasibility of processing projects before committing to commercial-scale development, with the government aiming to retain more value from Queensland’s mineral resources through local downstream processing.