Key points
- Queensland’s Minister of Mines granted mining lease ML100379 for Chatham Rock’s Korella North mine.
- The mine sits 160 kilometres southeast of Mount Isa, straddling the Phosphate Hill/Townsville rail line.
- Korella North is expected to create 50 construction and operational jobs over the mine life.
- Phosphate will initially supply domestic cotton and cropping farmers, with the highest-grade rock later exported for battery manufacture.
CHATHAM CONFIRMS GRANT OF KORELLA NORTH MINING PERMIT
Chatham Rock Phosphate Ltd. ‘s Korella North mine has been given the green light with the granting of mining lease ML100379 by the Queensland Minister of Mines.
Chatham Rock’s Korella North mine is located 160 kilometres southeast of Mount Isa. The mine straddles the Phosphate Hill/Townsville rail line and connects with the Phosphate Hill to Cloncurry Road.
Due to the accessibility of the phosphate rock deposit (effectively at surface) and the resulting simplicity of the mining method, small-scale production from the mine can commence almost immediately.
The phosphate produced by the Korella mine will initially be sold into the domestic farm market, with particular focus in supplying the phosphorus needs of cotton and cropping farmers in the north. After sorting, the highest-grade rock is expected to be exported for battery manufacture.
Phosphate is a key ingredient for Australia’s multibillion-dollar agricultural industry and in technologies needed for a decarbonized economy.
Phosphorous is predominantly used in the production of fertilizer for agriculture and for direct application on farms as a source of phosphorus. Phosphorus is also an important ingredient in batteries and other technologies needed as the world moves toward a decarbonized economy.
The Korella North mine is expected to create 50 construction and operational jobs over the mine life, with contractors delivering phosphate to farmers and fertilizer blenders, and confirms the North West mineral province will continue to be a key driver in Queensland’s economy. Chatham Rock intends to use local services which will provide a further boost to the North West Queensland economy.
Phosphorous is an important product not only in the agriculture sector but is also needed for the technologies the world will adopt as it moves to a net-zero economy, which is why the Australian government has added phosphorous to its new strategic material list.
Chatham Rock president and chief executive officer Chris Castle noted:
“This is one of the most significant milestones achieved since we started operating in 2007 and certainly the most important since we merged with Avenir Makatea in 2021.
“The grant of this mining permit is a game changer for Chatham.
“Our next expected significant milestone is for the Chatham Rise project to be named in the proposed fast-track permitting legislation when the relevant bill is reconsidered by the NZ [New Zealand] Parliament in the next few weeks.
“In Queensland, we have worked very closely with the state and local government in bringing this project to fruition in the North West and we are excited to reach this significant milestone for our Korella project, which includes our initial Korella North mine and subsequently our export-oriented Korella South project.
“Thank you to the Queensland government for the support they have provided us to date and for their ongoing commitment to the North West region; keeping and growing jobs in the North West is a priority for all of us.
“We know that the community in the Mount Isa region is relying on us to deliver local jobs and local opportunities, and we will continue to work with the Queensland government to get this project into the ground as soon as possible.
“The phosphate-bearing Georgina basin is larger than the Bowen basin, with first discoveries, such as at Korella North, back in the 1960s. The grant of ML100379 will open another chapter in the development of the Georgina basin and bring domestic supplies of phosphate to the benefit of the Australian farming communities.”
