Just came across a document from QLD Department of Mines and...

Just came across a document from QLD Department of Mines and Energy. I was interested to find out what Iron ore resources are available in QLD instead of WA. Mainly because of the cost associated to transport and shipping iron ore from WA to QLD.

See Link:

http://www.dme.qld.gov.au/zone_files/QGMJ/qgmj_spring_2008_iron_ore_in_queensland.pdf

Just a brief summary as I was just having a quick look: Basically WA has 99% of iron in Aust, and 89% of that are in Pilbara. QLD doesn't produce any iron ore (as written in the document dated 2008), but does have iron ore deposits ready for iron production. However, they are not in the scales of WA iron deposits.

So on the last page of the document:

"The support of the Government for the development of a Queenslandbased iron and steel industry based
on supply of iron ore from Queensland should result in a major new industry for the State in the medium term.
This could potentially be based at one or both of the two main industrial centres of Gladstone and Townsville/
Bowen. Significant factors impacting on development of the industry will be transport and port infrastructure and
capacity, and the availability of water for processing."

It appears that Gladstone was chosen for the steel plant not without good reasons. Note in the last QTR Report, BGD are in constant interaction with QLD Government DIP, Gladstone Ports Corp. Queensland Rail and GEIDB.

In my view, the project has the QLD Government support as a way of helping to build the QLD iron mining and steel making industry. This is on top of employment opportunities.