Media Release

Federal Member for Kennedy Bob Katter today said he had confidence the Mount Isa Mine and town would survive the financial woes currently facing its owner Glencore, and that there are several options to ensure the viability of the famous mining town, but it would be irresponsible to assume the good times would just roll on.

“As with all things, it is the collective will that is needed to ‘make it happen’ and the determination of individuals - whether it be engineering leadership, union and worker leadership or a steely determination and resolve by our political representatives,” Mr Katter said.

“Of the Mount Isa mining operations copper has been doing it hard. But my argument has always been that our mining, tourism and agriculture industries are in desperate trouble because of an artificially inflated dollar.

“You can defy gravity for a long time, with outrageous interest rates a thousand percent higher than the rest of the world, but it can’t go on forever. We’re down to an economy bereft of agriculture and stripped of all manufacturing; the only significant export items left are iron, coal, aluminium and gold.”

But Mr Katter said he thought Mount Isa was still in a very strong position to ride out the current storm affecting Glencore.

“There is no doubt that State Member for Mount Isa Rob Katter has had a spectacular breakthrough with the Government as far as environmental issues are concerned and ensuring continuation of the copper smelter. That has relieved the pressure on the town considerably,” Mr Katter said.

“But most importantly, I think he will succeed in getting cheap gas via a pipeline from the Northern Territory. It’s what they call captured gas, it’s got no world market access, and we feel the Queensland Government should participate and help the Northern Territory Government in getting that gas to Mount Isa.

“That will be very, very significant for the town. Because gas really is the major factor. The biggest fertiliser plant in the Southern Hemisphere is in Mount Isa and it in turn depends on the copper stream staying open.

“So I don’t want to start pushing the cards here, because you don’t know where they’re going to end up falling. But if we don’t get the gas and the copper stream falls over, then you’re most certainly looking at the best part of 10,000 jobs lost, if you throw in the fertiliser plant, the copper processing plant and the zinc processing plant in Townsville.

“You‘ve got a big knock on effect here that will affect the economy of all of Queensland, not just North Queensland.

“But if Glencore was to go over on its own, then ultimately so what? Someone else will come in and take over the mining operations. I don’t want people to be hitting panic buttons here because Glencore is in trouble, because that doesn’t mean that a successfully operating mine is in trouble.

“And I’m not saying this because this is my homeland of Mount Isa and Cloncurry, I’m saying that by world standards it’s still got world class mines and they’ve got a very good future, if they can get that cheap gas,” Mr Katter said.