A double bottom line figure has been put on the return on investment in an upgrade and expansion proposal for Townsville’s Sun Metals zinc refinery.
The AEC report identifies the creation of approximately 827 new local jobs if the company moves ahead (click here to view full report).
The upgrade involves a $267 million investment in cutting edge refining technology and a 50 per cent expansion in its electrolysis plant above current capacity (approximately 100,000 tonnes per annum of refined zinc).
This is on top of the 125MW solar farm scheduled to begin construction in April 2017.
The proposed construction activity is projected to broadly support in the north, including:
• $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 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.
The report was commissioned by Townsville Enterprise and Sun Metals.