Economic Impact of Proposed Sun Metals Expansion
An AEC report, commissioned by Townsville Enterprise in partnership with Sun Metals, confirms the refinery’s vital contribution to the local, state and national economies, as well as identifying the creation of approximately 827 new local jobs if the company moves ahead with its proposed upgrade and expansion (click here to view full report).
The upgrade involves a $267 million investment in cutting edge technology to refine zinc, as well as expanding its electrolysis plant a further 50% above current capacity (approximately 100,000 tonnes per annum of refined zinc).
The expansion remains subject to final approval and is dependent on a number of factors including confirming technical feasibility of the technology, addressing issues with amplified supply chain and securing affordable energy to power the larger plant. Sun Metals and its relevant stakeholders are working hard to address each of these issues.
The expansion project is on top of the 125MW solar farm that will begin construction in April 2017.
Sun Metals proposed construction activities are expected to deliver a significant impact to the local economy. Within North Queensland, the proposed construction activity is projected to support:
- $268.9 million in total industry output (including $116.4 million in direct impacts)
- A $122.0 million contribution to GRP (including $43.5 million in direct impacts)
- Wages and salaries of approximately $70.7 million (including approximately $31.1 million paid to labour directly associated with the construction activity)
- FTE employment of approximately 827 positions for local workers (including 315 direct FTE jobs associated with construction activity)
Once operational, the annual economic impacts for North Queensland are estimated at:
- $1.5 billion in total industry output for North Queensland businesses (including $919.8 million in direct output)
- A $397.5 million annual contribution to GRP (including $131.5 million in direct impacts)
- Wages and salaries of approximately $183.1 million per annum (including $65 million paid to labour directly associated with the operational activity, including sub-contractors)
- FTE employment of 2,113 positions (including 510 direct FTE jobs associated with operations, including subcontractors)
The report identifies that Sun Metals is a critical contributor to the local economy and that its plans for expansion would dramatically hasten the city’s economic fight back.
The Sun Metals expansion will pave a new path for the future of processing in Australia through an investment into technology and innovation that will take this industry to the next level.
Townsville Enterprise is united behind Sun Metals and welcomes the positivity shown by the Premier and the State Government who are actively working with the company to bring this vital project to fruition.
This Article is an extract from Townsville Enterprise Newsletter
Property Friends is a specialist Property Investment Advocacy that has been operating for the last 13 years on the basis of 3 principles: Trust, Community & Progress. www.propertyfriends.com.au (03) 9758 5331
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