A newly released report on the impacts of the closure of Queensland Nickel has shown the refinery contributes an estimated $1.1 billion in output to the region.
That’s only part of what is at stake should the refinery close.
The Queensland Nickel (QN) Yabulu Refinery is part of a triumvirate of processing in Townsville along with Glencore’s Copper Refineries Limited and Korea Zinc’s Sun Metals plant.
QN employed about 780 staff before administrators recently moved to force more than 230 off the books.
It’s been forced as a result of ongoing low mineral prices.
The Offermans Partners’ report provides an assessment of the potential economic impacts of the closure of the Yabulu refinery to the North Queensland and the State economies.
The report shows the refinery is estimated to support on an annual basis in North Queensland:
- $1.1 billion in output (including $680 million directly and $400 million indirectly)
- $220 million in Gross Regional Product (GRP) per annum (including $40 million directly and $180 million indirectly)
- $150 million in incomes and salaries paid to workers (including $70 million directly and $80 million indirectly)
- 1970 Full-Time Equivalent (FTE) jobs (including 780 directly and 1190 indirectly).
- Across Queensland (due to the greater flow-on implications) the Yabulu nickel refinery is estimated to support the following annual economic activity:
- $1.7 billion in output (including $680 million directly and $1.0 billion indirectly)
- $530 million in Gross State Product (GSP) (including $40 million directly and $490 million indirectly)
- $310 million in incomes and salaries (including $70 million directly and $240 million indirectly)
- 3960 FTE jobs (including 780 directly and 3180 indirectly).
- Beyond the direct and flow-on economic impacts, the closure of Yabulu Nickel Refinery would have further substantial implications for the viability of regional supply chains as well as business and investor confidence across North Queensland.